TNR transfers Alaskan projects to new U.S. subsidiary

2008-09-17 18:28 ET - News Release

Mr. Gary Schellenberg reports

TRANSFER OF ALASKAN PROJECTS TO NEW SUBSIDIARY

TNR Gold Corp. has incorporated Bristol Explorations Co. Inc., a wholly owned U.S. subsidiary. Bristol was incorporated in Alaska and has obtained 100 per cent of TNR's properties in Alaska which include the Iliamna project and the Shotgun project.

Bristol will focus on developing and exploring the Iliamna, Shotgun and various Alaskan ventures. It has completed a $75,000 geochemical sampling program on Iliamna and results are pending. This survey is deep looking and designed to be used in conjunction with existing geophysics for drill targeting.

TNR believes this new corporate structure will allow it to deliver enhanced shareholder value and focus on mineral exploration in Argentina and other areas of interest in South America. It will also allow it to participate in future developments in Alaska with its interest in Bristol, especially given the recent interest in the Iliamna region.

This news release has been prepared under the supervision of John Harrop, PGeo, TNR's qualified person on this news release.

Shotgun property

The Shotgun project is located 175 kilometres south of Donlin Creek within the Kuskokwim gold belt in southwestern Alaska, an area emerging as a world-class gold district hosting more than 40 million ounces of total gold resources. The Shotgun project includes a number of prospects, including Shotgun Ridge and nearby Winchester. Donlin is an intrusion-associated system and represents one of the largest undeveloped gold deposits in the world (see NovaGold's website). The company believes that there are several key similarities between prospects in the Shotgun area and that of the Donlin Creek gold deposit as well as other intrusion-associated deposits.

In July, 2006, TNR announced 210.5 metres of 1.29 grams per tonne gold at Shotgun Ridge, which led to the identification of a feeder zone and leaves the mineralization open at depth. TNR has earned a 50-per-cent interest from NovaGold Resources Inc. in the Shotgun project. To date there has been 4,095 metres of drilling at Shotgun Ridge and 1,653 metres at Winchester.

Previous work at Shotgun Ridge by NovaGold has estimated a historical resource of 980,000 ounces grading 0.93 gram per tonne at a cut-off of 0.5 g/t (non-National Instrument 43-101-compliant resources). The geology and style of mineralization at Shotgun are very similar to the Dome area of the Donlin deposit.

Iliamna property

The Iliamna property is a claim in Alaska covering 412 square kilometres of land approximately 100 km from the highly visible Pebble deposit held by Northern Dynasty Minerals Ltd. The Pebble deposit contains an indicated mineral resource of 31 million ounces of gold and 18.8 billion pounds of copper, making it one of the world's largest deposits of its kind. Initial target definition at Pebble occurred in areas covered by glacial overburden and/or Tertiary volcanic rocks, as is the case at the Iliamna project. In 2000, Rio Algom carried out several phased exploration programs including an airborne magnetic survey, reconnaissance geology, and induced polarization/resistivity surveys. These surveys led to the successful identification of several geophysical anomalies, including the Iliamna project. The airborne magnetic survey successfully outlined three regional anomalies: the Pebble intrusive complex, the Nushagak anomaly and the Kvichak anomaly, which includes the Iliamna property. Following the regional geophysical programs, site-specific IP/resistivity surveys targeted and successfully located several anomalies that are similar in size and characteristics to the Donlin Creek and Pebble deposits, including the Iliamna project. Subsequent drilling encountered copper-gold mineralization in an intrusive setting at Iliamna's H claims.

A total of 1,883.1 metres of drilling has been completed between 2003 and 2006. Some holes intercepted low-grade, altered intrusive consistent with that which would be found near the periphery of a mineralized system.

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