Troy to Raise A$24.9M From Underwritten Entitlement Issue

PERTH, WESTERN AUSTRALIA--(Marketwire - Oct. 29, 2009) - 

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR 
DISSEMINATION IN THE UNITED STATES

Growing junior gold producer, Troy Resources NL (Troy or the Company) 
(TSX:TRY)(ASX:TRY) is pleased to announce a capital raising of $24.9 
million via an underwritten pro-rata, non-renounceable entitlement issue 
(Entitlement Issue) to maintain project development momentum of the 
Company's Casposo gold-silver project.

Troy Chairman, John Dow, said, "This fully underwritten issue allows the 
Company to continue new mine construction at Casposo with certainty. It 
also provides Troy shareholders with an opportunity to maintain their 
shareholding in the Company. I am also pleased to report to shareholders 
that this Entitlement Issue has the unanimous support of the full Troy 
Board".

Entitlement Issue

Troy intends to offer existing shareholders the opportunity to subscribe 
for fully paid ordinary shares (New Shares) at A$2.00 per New Share 
pursuant to a 1 for 6 pro-rata non-renounceable Entitlement Issue to raise 
A$24.9 million. The Company has reserved the right to make a PRIVATE 
placement of securities to certain jurisdictions on similar terms to the 
Entitlement Issue.

The Entitlement Issue is fully underwritten by Euroz Securities Limited, 
Argonaut Capital Limited and Bell Potter Securities Limited. The issue 
price of a New Share represents a 19% discount to Troy's last traded Share 
price prior to announcement of the capital raising and a 17% discount to 
the theoretical ex-rights price.

All directors of Troy have confirmed their intention to participate in the 
Entitlement Issue.

Under the Entitlement Issue, Troy shareholders as at the record date will 
be able to subscribe for New Shares at an issue price of A$2.00 per New 
Share on the basis of 1 New Shares for every 6 Shares held at the record 
date.

Use of Proceeds

The proceeds of the Entitlement Issue will be fully applied to construction 
activities at the Casposo Project in Argentina.

Indicative Timetable

The timetable is currently being finalised with the details, including the 
record date, expected to be announced in approximately one week's time when 
it is expected the Entitlement Offer documents are lodged with ASX.

Disclosure

The rights to subscribe for shares of Troy at A$2.00 per share pursuant to 
the Entitlement Issue will not be registered under the United States 
Securities Act of 1933 Act, as amended and may not be offered or sold in 
the United States or to, or for the account or benefit of, US persons.

The listing of the New Shares on the Toronto Stock Exchange (TSX) remains 
subject to the approval of the TSX.

ABOUT TROY RESOURCES

Troy Resources (TSX:TRY)(ASX:TRY) is a dividend-paying junior gold 
producer, with a clear growth strategy. The Company has two producing gold 
operations; at Sandstone in Western Australia and the Andorinhas Mine in 
Para State, Brazil and a gold silver development project, Casposo, in San 
Juan province, Argentina.

Troy has an experienced Board and management team with a portfolio of 
successful, fast-track mine development and low-cost operations.

Troy has an annual exploration budget of $5 million and a proven track 
record in exploration discoveries and strategic acquisitions.

Troy is currently focused on developing its Casposo Project, which it 
acquired in May 2009. With the acquisition and development of Casposo, Troy 
is entering a renewed growth phase which will again lift the Company's 
annual gold production above 100,000 ounces of gold per annum.

The Company maintains a robust balance sheet, and its current assets are 
forecast to continue to generate strong cash flow. Troy's gold production 
is unhedged; allowing its shareholders access to the full benefit of 
current and future gold price upside.

With the recent Casposo acquisition, Troy is positioned to continue its 
path of strong growth and profitable operations and is well on track to 
achieve its vision of becoming a highly profitable mid-tier gold producer 
with a portfolio of quality long-life assets.

Troy is a responsible corporate citizen, committed to the best practice of 
health and safety, environmental stewardship and social responsibility.

To view the Project Locations, please visit the following link: 
http://media3.marketwire.com/docs/TRY1029S.JPG 

ABN 33 006 243 750

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FOR FURTHER INFORMATION PLEASE CONTACT:

Troy Resources NL
Paul Benson
Chief Executive Officer
(61 8) 9481 1277
troy@troyres.com.au
www.try.com.au
or
Purple Communications
Annette Ellis / Warrick Hazeldine
Media Relations
(61 8) 61 8 6314 6300
aellis@purplecom.com.au