Teras Engages National Drilling to Continue Development of the Cahuilla Gold/Silver Project

Teras Resources Inc. ("Teras" or the "Company") (TSX VENTURE:TRA)(OTCQX:TRARF):
Teras is pleased to report that the Company has engaged National Drilling of
Phoenix, Arizona to continue the development drilling program at its Cahuilla
project in Imperial County, California. National will be employing a Scrhamm
T685WS drill that possesses the capability of drilling more than 1000 meters in
depth, in order to test the high grade feeder zone. The Company is scheduled to
resume operations with the anticipation of mobilizing the drill rig to Cahuilla
in August 2013. 


The primary objective of this next phase of exploration will be focused on
deeper high grade feeder zone targets that have been delineated by recently
obtained geological and geophysical data. As reported in the June 6, 2013 press
release, geophysics delineated multiple deeper high grade feeder vein targets
located beneath the phase 2 permitted drill area. As a result, deeper drill
holes were strategically selected throughout the permit area to optimize the
probability of discovering the high grade source of precious metal
mineralization. 


Recently received detailed microscopic data from core and rock chips for select
drill holes indicates that the gold/silver mineralizing system is intense
throughout the entire deposit area. Evidence of multiple boiling zones
associated with the precipitation of gold and silver was observed in all of the
selected drill samples signifying that the epithermal system is robust and
likely extends far beneath the existing precious metal resource. This data
provides further support to the existence of deeper high grade feeder vein
targets that were originally defined from the geophysical surveys.


The following map illustrates the locations where drilling will occur during
this next phase of exploration and development.


To view the map associated with this press release, please visit the following
link:
http://media3.marketwire.com/docs/TERAS_Cahuilla_Project-Drill_Hole_Target_Map.pdf.



Additional holes to test high grade feeder veins are being planned as the
Company continues to receive geological research data. Shallower drilling will
also be conducted with the objectives of expanding the existing gold/silver
resource by better defining near surface, high grade veins and testing areas
along the margins of the resource where no to little drill data exists. 


Peter Leger, President and CEO of Teras Resources, remarked "We are very pleased
to select National Drilling for our continued exploration and development
program at Cahuilla. National performed exceptionally well during our 2012
drilling program and we have the utmost confidence that they can satisfy our
goal of testing the high priority deeper feeder vein targets with the primary
objective of increasing the tonnage and grade of our current gold/silver
resources. The Scrhamm T685WS National will provide is a much more powerful
drill rig capable of drilling deep holes at a much faster rate of speed than
previously planned."


About Teras

The Company is focused on developing its Cahuilla project located in Imperial
County, California. The project encompasses an area of at least 3 km by 1.5 km
and demonstrates the potential for a large-scale, bulk mining operation
consisting of altered and mineralized sedimentary and volcanic host rocks with
numerous sheeted high-grade quartz veins. Teras filed a NI 43-101 compliant
technical report with an indicated resource of 1.2 million plus ounces of gold
and 11 million plus ounces of silver on its Cahuilla project (70.148 million
tons at an average grade of 0.015 ounces per ton gold and 0.17 ounces per ton
silver with a cutoff of 0.008 ounces per ton gold). The Company has an
aggressive plan to increase the resource and develop the project for future
mining operations.


Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy of accuracy of this news release.


This press release may contain "forward-looking information" within the meaning
of applicable Canadian securities legislation. All statements, other than
statements of historical fact, included herein may be forward-looking
information. Generally, forward-looking information may be identified by the use
of forward-looking terminology such as "plans", " expects" or "does not expect",
"proposed", "is expected", "budgets", "scheduled", "estimates", "forecasts",
"intends", "anticipates" or "does not anticipate", or "believes", or variations
of such words and phrases, or by the use of words or phrases which state that
certain actions, events or results may, could, would, or might occur or be
achieved. In particular, this press release contains forward-looking information
regarding: the potential of the Cahuilla Project; the potential of geophysical
programs on the Cahuilla Project; the potential to expand the resource, to
identify new targets and to identify high grade zones and structures; the timing
of and potential of drilling and exploration programs, surveys, studies and
developments; and the potential for finding high grade deposits. This
forward-looking information reflects the Company's current beliefs and is based
on information currently available to the Company and on assumptions the Company
believes are reasonable. These assumptions include, but are not limited to, the
actual results of exploration projects being equivalent to or better than
estimated results in technical reports or prior exploration results; future
costs and expenses being based on historical costs and expenses, adjusted for
inflation; continued success in drilling and exploration programs and geological
and geophysical studies at the Cahuilla project; successful studies in mining
techniques and metallurgy; commodity prices continuing at today's prices or
rising; obtaining the necessary funding to carry out recommended work programs,
exploration and studies; and continued success in obtaining permits. 


Additional assumptions can be found in the Company's disclosure documents on the
SEDAR website. Forward-looking information is subject to known and unknown
risks, uncertainties and other factors that may cause the actual results, level
of activity, performance or achievements of the Company to be materially
different from those expressed or implied by such forward-looking information.
Such risks and other factors may include, but are not limited to: the early
stage development of the Company and its projects; general business, economic,
competitive, political and social uncertainties; commodity prices; the actual
results of current exploration and development or operational activities;
competition; changes in project parameters as plans continue to be refined;
accidents and other risks inherent in the mining industry; lack of insurance;
delay or failure to receive board or regulatory approvals; changes in
legislation, including environmental legislation, affecting the Company; timing
and availability of external financing on acceptable terms; conclusions of
economic evaluations; and lack of qualified, skilled labour or loss of key
individuals. Although the Company has attempted to identify important factors
that could cause actual results to differ materially from those contained in
forward-looking information, there may be other factors that cause results not
to be as anticipated, estimated or intended. Accordingly, readers should not
place undue reliance on forward-looking information. The Company does not
undertake to update any forward-looking information, except in accordance with
applicable securities laws. 


FOR FURTHER INFORMATION PLEASE CONTACT: 
Teras Resources Inc.
Peter Leger
President
[phone] or [phone]
[e-mail]
www.teras.ca