Terrane Announces Results of Feasibility Study on Mt. Milligan Copper-Gold Project

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


Robert Pease, President and CEO of Terrane Metals Corp. ("Terrane" or the
"Company") (TSX VENTURE:TRX) is pleased to announce results of a Feasibility
Study Report ("Report") on its 100%-owned Mt. Milligan Copper-Gold Project
("Project") in British Columbia, Canada.


The Report was prepared by Wardrop Engineering Inc. ("Wardrop") following a 22
month and $20 million work program. The Report describes scope, design features
and economic viability of a conventional truck-shovel open pit mine and 60,000
tonnes per day copper flotation process plant at Mt. Milligan. The capital cost
is estimated at $917 million and commercial production is scheduled to begin in
Q1 2012. The Project would create 400 permanent jobs over a 15.3 year mine life.


The Report considered a Base Case commercial production plan that utilized
London Metal Exchange ("LME") three-year rolling average metal prices and
exchange rate as noted below. All amounts are in Canadian funds unless otherwise
stated.




--------------------------------------------------------------------------
Base Case Highlights                                  Years          Years
(US$2.75/lb Copper, US$600/oz Gold and FX 0.89)       1 - 6         1 - 15
--------------------------------------------------------------------------

Average Annual Metal Production
-------------------------------
Copper lb, million                                       97             88
Gold oz                                             265,100        217,000

Average Annual Production Cost (US$/lb/oz)
-----------------------------------------
1 lb copper net of gold credit                        $0.36          $0.64
1 oz gold net of copper credit                       - $268         - $250

Pre-Tax Payback (years)                                                3.7
----------------------

Pre-Tax Internal Rate of Return (%)                                   18.1
----------------------------------

Pre-Tax Net Present Value (8%)                                $606 million
-----------------------------

--------------------------------------------------------------------------



Rob Pease stated: "We are excited about the results of the Feasibility Study
Report. It describes a development and operations plan that successfully
combines long-term commercial viability with environmental stewardship. At Mt.
Milligan we have designed a Project with low unit cost open pit reserves,
excellent metallurgy and established infrastructure all within the framework of
an effective and safe closure plan. These key Project components provide the
opportunity for Mt. Milligan to be a low cost producer of copper or gold that
will have a positive long-term impact on the social and economic well being of
the Project area. The Company looks forward to ongoing consultation with local
communities and First Nations. An Application to the BC Environmental Assessment
Office for an Environmental Assessment Certificate to build and operate a mine
at Mt. Milligan will be filed in Q2 2008."




KEY LIFE-OF-MINE PARAMETERS

Mineral Reserve(i)                    333.7 million tonnes
Millfeed Grade                        0.217% Cu    0.428 g/t Au
Contained Metal
 Copper lb                            1.60 billion
 Gold oz                              4.59 million
Stripping Ratio                       0.82/1
Annual Throughput                     21.9 million tonnes
Milling Rate                          60,000 tonnes per day
Copper Recovery                       84.6%
Gold Recovery                         72.3%
Copper Concentrate Grade              27.0%
Capital Cost                          $917 million
Operating Cost                        $7.12 per tonne milled
Mine Life                             15.3 years
(i) See Table V



CAPITAL COST

The capital cost is $917 million in Q1 2008 dollars and has been estimated to an
accuracy of +/-15%. The capital cost is shown in Table I.




Table I CAPITAL COST

------------------------------------------------------
------------------------------------------------------
Description                                  $ million
------------------------------------------------------
------------------------------------------------------
Direct Costs
------------------------------------------------------
Plant Site Infrastructure                           23
------------------------------------------------------
Mining & Pre-Production Development                164
------------------------------------------------------
Process Plant                                      252
------------------------------------------------------
Ancillaries                                         23
------------------------------------------------------
Power Supply & Distribution                         64
------------------------------------------------------
Tailings & Water Reclaim                            92
------------------------------------------------------
Total Direct Costs                                 618
------------------------------------------------------
------------------------------------------------------
Indirect Costs
------------------------------------------------------
Owner's Costs                                       31
------------------------------------------------------
EPCM                                               167
------------------------------------------------------
Total Indirect Costs                               198
------------------------------------------------------
------------------------------------------------------
Subtotal                                           816
------------------------------------------------------
------------------------------------------------------
Contingency - 12.4%                                101
------------------------------------------------------
------------------------------------------------------
Total                                        $     917
------------------------------------------------------



The capital cost estimate and financial models exclude allowances for cost
escalation over the Project schedule. Based on certain assumptions with regard
to Project schedule and procurement of capital equipment, capital cost
escalation is estimated to be $70 million.


OPERATING COST

The operating cost is $7.12 per tonne of ore milled as shown in Table II.



Table II OPERATING COST

------------------------------------------------------
------------------------------------------------------
Description                         $ per tonne Milled
------------------------------------------------------
------------------------------------------------------
Mining (including waste)                          2.65
------------------------------------------------------
Processing                                        3.77
------------------------------------------------------
General and Administrative                        0.55
------------------------------------------------------
Plant Services                                    0.15
------------------------------------------------------
------------------------------------------------------
Total Operating Cost                $             7.12
------------------------------------------------------
------------------------------------------------------



FINANCIAL EVALUATION

Pre-tax financial models presented in Table III are based on three LME metal
price scenarios and calculated as of February 29, 2008. Wardrop adopted
three-year rolling average metal prices as the Base Case. This approach is
considered to be an industry standard and consistent with the SEC requirements
of the United States. Other cases considered by Wardrop included a two-year
rolling average and current prices. Variable rolling average exchange rates
(US$/C$) are used for financial modeling purposes. A constant exchange rate of
$1.00 (US$/C$) has been used for the capital cost estimate.




Table III PRE-TAX FINANCIAL MODELS

---------------------------------------------------------------
---------------------------------------------------------------
                                     Metal Price Models
                          -------------------------------------
                          -------------------------------------
                          Current      2 Year    3 Year Average
           Units            Price     Average        (Base Case)
---------------------------------------------------------------
---------------------------------------------------------------
Copper     US$/lb            3.85        3.20              2.75
Gold       US$/oz             970         680               600
FX         USD/CAD           1.02        0.92              0.89
---------------------------------------------------------------
---------------------------------------------------------------
NPV 0%     $ millions       3,788       2,664             1,944
    5%                      2,121       1,412               962
    8%                      1,510         956               606
Payback    Years              2.3         3.0               3.7
---------------------------------------------------------------
---------------------------------------------------------------
IRR        %                 29.7        22.9              18.1
---------------------------------------------------------------
---------------------------------------------------------------



Working capital of $37 million, sustaining capital of $130 million and
reclamation and closure costs of $31 million have been included in the financial
models. Financial metrics over a wider range of metal prices can be viewed in a
sensitivity matrix at the Company's website http://www.terranemetals.com.


MINERAL RESOURCE AND MINERAL RESERVE

The Mt. Milligan copper-gold porphyry deposits contain a Measured and Indicated
Mineral Resource of 590.8 million tonnes averaging 0.193% Cu and 0.352 g/t Au
containing 2.52 billion lb copper and 6.70 million oz gold (Table IV). The
Mineral Resource was tabulated within a conceptual open pit at a US$4.20/tonne
Net Smelter Return ("NSR") cut-off value using US$2.00/lb Cu and US$650/oz Au.
The NI 43-101 compliant Mineral Resource is based on 218,700 m of core drilling
in 960 drill holes. The drill hole database was supported by some 35,000 quality
assurance/quality control (QA/QC) check assays.


The Mineral Reserve was developed through the construction of an ultimate open
pit within the above Mineral Resource model. The Proven and Probable Mineral
Reserve totals 333.7 million tonnes averaging 0.217% Cu and 0.428 g/t Au
containing 1.60 billion lb copper and 4.59 million oz gold (Table V).The Mineral
Reserve was optimized at a US$4.20/tonne cut-off value using US$1.60/lb copper,
US$550/oz gold and an 0.88 US$/C$ exchange rate. Both the Mineral Resource and
Mineral Reserve take into account metallurgical recoveries, concentrate grades
and transportation costs and smelter treatment charges in determining NSR
values. The Mineral Reserve incorporates allowances for grade dilution, mining
dilution and ore losses.




Table IV MINERAL RESOURCE (Inclusive of Mineral Reserve)

--------------------------------------------------------------------
--------------------------------------------------------------------
               Tonnes      Cu      Au  In-situ Cu lb   In-situ Au oz
Category     (Million)      %    (g/t)      (Million)       (Million)
--------------------------------------------------------------------
--------------------------------------------------------------------
Measured        301.8   0.206   0.415          1,371            4.03
Indicated       289.0   0.180   0.287          1,147            2.67
--------------------------------------------------------------------
--------------------------------------------------------------------
Total           590.8   0.193   0.352          2,518            6.70
--------------------------------------------------------------------
--------------------------------------------------------------------
Inferred         11.9   0.170   0.228             45            0.09
--------------------------------------------------------------------
--------------------------------------------------------------------
Note: Mineral Resources that are not Mineral Reserves do not have
      demonstrated economic viability


Table V MINERAL RESERVE

--------------------------------------------------------------------
--------------------------------------------------------------------
               Tonnes      Cu      Au  In-situ Cu lb   In-situ Au oz
Category     (Million)      %    (g/t)      (Million)       (Million)
--------------------------------------------------------------------
--------------------------------------------------------------------
Proven          213.8   0.228   0.472          1,075            3.24
Probable        119.9   0.198   0.351            523            1.35
--------------------------------------------------------------------
--------------------------------------------------------------------
Total           333.7   0.217   0.428          1,598            4.59
--------------------------------------------------------------------
--------------------------------------------------------------------



MINERAL PROCESSING

The 60,000 tonnes per day process plant will utilize conventional crushing,
grinding, rougher and cleaner flotation to produce a marketable gold-rich copper
concentrate. Coarse metallic gold will be recovered in a separate gravity
concentrate and mixed with the final copper concentrate. The overall process
design philosophy was to select large equipment and to maintain a simple and
conventional single-line flowsheet. Table VI summarizes forecast process plant
metallurgical performance.




Table VI METALLURGICAL PERFORMANCE

---------------------------------------------------------------
---------------------------------------------------------------
                                             Years        Years
                                               1-6         1-15
---------------------------------------------------------------
---------------------------------------------------------------
Millfeed Grade
--------------
Cu (%)                                       0.232        0.217
Au (g/t)                                     0.512        0.428

Recovery (%)
-----------
Cu                                            87.7         84.6
Au                                            74.3         72.3

Concentrate Grade
-----------------
Cu (%)                                        27.3         27.0
Au (g/t)                                      51.0         45.4

Annual Concentrate (dry tonnes)            161,500      148,600
---------------------------------------------------------------
---------------------------------------------------------------



MINING OPERATIONS

The near-surface and tabular configuration of the Mineral Reserves make them
well-suited to low unit cost open pit development at a waste/ore ratio of
0.82/1. Large-scale open pit mining will provide mill feed at a nominal rate of
60,000 tonnes per day or 21.9 million tonnes per year with a copper head grade
blending strategy to optimize metallurgical performance. The mine production
schedule was developed through seven pushbacks and allows for early extraction
of higher grade and gold-rich reserves.


TAILING STORAGE FACILITY

The U-shaped Tailings Storage Facility ("TSF") is located immediately adjacent
to the open pit and process plant to minimize Project footprint and to allow for
effective and safe closure. Its construction is fully integrated into the mine
plan and eliminates the need for a conventional waste rock storage facility.


INFRASTRUCTURE

The Project is connected to existing roads and railheads at the nearby
communities of Fort St. James and Mackenzie. Mine employees will commute daily
from local communities. Delivery of electrical power will require the
construction of a 92km - 230kV transmission line, part of which follows an
existing right-of-way from the BC Hydro Kennedy substation.


The Project is strategically located for delivery of gold-rich copper
concentrates to Pacific Rim smelters. Concentrate will be transported from the
railhead at Fort St. James to the port of Vancouver and then transferred to
ocean vessels for shipment to smelters.


PERMITTING

The Project will be reviewed under both the British Columbia and Canadian
Environmental Assessment Acts. A Project Description was filed in September
2006. Draft Terms of Reference were filed with provincial and federal agencies
in December 2007.


In 1993, Placer Dome obtained federal and provincial approvals to develop the
Project. The current Project design has been refined through an additional 15
years of study.


Final Terms of Reference from the BC Environmental Assessment Office and a
scoping decision from the Canadian Environmental Assessment Agency are expected
in Q2 2008. An Environmental Assessment Certificate Application for a provincial
Certificate and information required for a federal Comprehensive Study Report
will be filed in Q2 2008. Necessary approvals including construction permits are
anticipated by the end of Q2 2009 which would allow for the commercial
production in Q1 2012.


CONFERENCE CALL

Terrane will host a conference call on Tuesday April 1, 2008 at 8:00am PDT to
discuss the Feasibility Study Report. A recording of the call will be available
on the Company's website. Call-in information is as follows:


Toll Free Dial-in Numbers (within the US and Canada): 1 800 951 6728

International Dial-in Number: [phone]

QUALIFIED PERSONS

Ms. Karla Mills, P. Eng., of Wardrop Engineering Inc. is an independent
Qualified Person as defined by NI 43-101. Ms. Mills has reviewed and approved
the contents of this news release.


Mr. Jianhui Huang, Ph.D., P. Eng., of Wardrop Engineering Inc. is an independent
Qualified Person as defined by NI 43-101. Mr. Huang has reviewed and approved
the contents of this news release.


Mr. Herb Welhener, MMSA-QPM, of Independent Mining Consultants, Inc. is an
independent Qualified Person as defined by NI 43-101. Mr. Welhener has reviewed
and approved the contents of this news release.


Mr. Darin Labrenz P. Geo., of Terrane Metals Corp. is a Qualified Person as
defined by NI 43-101. Mr. Labrenz has reviewed and approved the contents of this
news release.


Mr. Jay Collins, P. Eng., of Merit Consultants International Inc. is an
independent Qualified Person as defined by NI 43-101. Mr. Collins has reviewed
and approved the contents of this news release.


Mr. Bruno Borntraeger, P. Eng., of Knight Piesold Ltd. is an independent
Qualified Person as defined by NI 43-101. Mr. Borntraeger has reviewed and
approved the contents of this news release.


The NI 43-101 Technical Report for the Mt. Milligan Feasibility Study Report
will be filed on SEDAR within 45 days of the date of this news release.


ABOUT THE COMPANY

Terrane Metals Corp. is an exploration and mine development company focused on
the development of the Mt. Milligan copper-gold and Berg
copper-molybdenum-silver projects in British Columbia, Canada. Goldcorp Inc.
(TSX:G)(NYSE:GG); owns a 58% equity interest in Terrane on a fully diluted
basis.


TERRANE METALS CORP.

Robert Pease, P.Geo, FGAC, President and CEO

Cautionary Note Regarding Forward Looking Statements

Except for the statements of historical fact contained herein, the information
presented in this News Release constitutes "forward-looking statements" as such
term is used in applicable Canadian laws. These statements relate to analyses
and other information that are based on forecasts of future results, estimates
of amounts not yet determinable and assumptions of management. In particular,
statements concerning Mineral Resource and Mineral Reserve estimates should be
viewed as forward-looking statements to the extent that they involve estimates
of the mineralization that will be encountered if the property is developed. 

Any statements that express or involve discussions with respect to predictions,
expectations, beliefs, plans, projections, objectives, assumptions or future
events or performance (often, but not always, using words or phrases such as
"expects" or "does not expect", "is expected", "anticipates" or "does not
anticipate", "plans, "estimates" or "intends", or stating that certain actions,
events or results "may", "could", "would", "might" or "will" be taken, occur or
be achieved) are not statements of historical fact and should be viewed as
"forward-looking statements". Such forward looking statements, including but not
limited to, those with respect to the price of metals, the amount of estimated
mineralization and of contained metals and the timing of and possible outcome of
pending economic evaluations and other factors and events described in this News
Release, involve known and unknown risks, uncertainties and other factors which
may cause the actual results, performance or achievements of the Company to be
materially different from any future results, performance or achievements
expressed or implied by such forward-looking statements. Such risks and other
factors include, among others, the actual results of exploration activities;
variations in the underlying assumptions associated with the estimation or
realization of Mineral Resources and Mineral Reserves, the conclusions of
economic evaluations and possible variations in ore grade or recovery rates;
costs and timing of the development of new deposits; availability of capital to
fund programs and the resulting dilution caused by the raising of capital
through the sale of shares; accidents, labour disputes and other risks of the
mining industry including without limitation those associated with the
environment, delays in obtaining governmental approvals, permits or financing or
in the completion of development or construction activities, title disputes or
claims limitations on insurance coverage. Although the Company has attempted to
identify important factors that could cause actual actions, events or results to
differ materially from those described in forward-looking statements, there may
be other factors that cause actions, events or results not to be as anticipated,
estimated or intended. There can be no assurance that such statements will prove
to be accurate as actual results and future events could differ materially from
those anticipated in such statements. Accordingly, readers should not place
undue reliance on forward-looking statements contained in this News Release and
in any document referred to in this News Release.


Forward looking statements are made based on management's beliefs, estimates and
opinions on the date the statements are made and the Company undertakes no
obligation to update forward-looking statements if these beliefs, estimates and
opinions or other circumstances should change, except as required by applicable
law.