Morro Bay Resources Drilling Expands High Grade Mineralized Zone, Including 251.2 G/T Silver and 0.79 G/T Gold Over 9.5 Metres

Calgary, Alberta (FSCwire) - Morro Bay Resources Ltd. (TSXV: MRB), (“Morro Bay”), is pleased to announce additional results from its current drilling campaign on the Peñoles Project (the "Peñoles Property"). Assay results from the six final holes of this campaign demonstrate good continuity of the mineralization associated with the recently discovered Jesus Maria South target. Highlights of the final six holes from the drilling are:

- 9.5 m interval averaging 251.2 g/t silver and 0.79 g/t gold (JM DDH 14-27)
- 15.85 m interval averaging 123.7 g/t silver and 0.22 g/t gold (JM DDH 14-25)
- 6.25 m interval averaging 304.6 g/t silver and 0.17 g/t gold (JM DDH 14-26)


Results of assays for holes JM DDH 14-25 through JM DDH 14-30:

The drilling program discovered a new zone of near surface mineralization (referred to as the “Jesus Maria South Zone”) to the south of Jesus Maria. Please refer to the Morro Bay press release dated June 9, 2014 for further details.

Six holes (JM DDH 14-25 through JM DDH 14-30) were drilled over a strike length of approximately 200 meters to the east of JM DDH 14-24 to confirm the continuity of the mineralized zone. The area tested by these six holes lies within the area where Jesus Maria and Jesus Maria South targets start to merge (figure 1). All six drill holes encountered significant mineralization. Assays from the six holes are tabulated below:

Hole ID       From (m)   To (m)  Interval (m)  Au (g/t)   Ag (g/t)   Pb (%)   Zn (%)
JM DDH 14-25    20.10    35.95       15.85       0.222      123.7     0.02     0.05
and             52.20    72.05       19.85       0.350       70.1     0.90     0.13
JM DDH 14-26    11.00    17.25        6.25       0.176      304.6     0.04     0.06
and             33.65    50.20       16.55       0.453       54.5     0.65     0.78
including       33.65    41.00        7.35       0.817      109.5     1.29     1.32
JM DDH 14-27     1.95    39.00       37.05       0.395     125.05     0.12     0.13
including       15.95    25.45        9.50       0.794      251.2     0.20     0.16
including       29.95    37.10        7.15       0.482      190.1     0.24     0.16
JM DDH 14-28    14.40    38.70       24.30       0.334      39.65     0.02     0.10
including       32.10    36.55        4.45       0.297      122.5     0.04     0.27
JM DDH 14-29     7.35    28.45       21.10       0.129       34.2     0.03     0.08
and             37.30    43.75        6.45       0.209       77.8     0.05     0.13
JM DDH 14-30    16.80    56.90       40.10       0.188       55.2     0.05     0.12
including       25.05    29.75        4.70       0.386      136.7     0.16     0.18
including       41.50    45.25        3.75       0.259      164.4     0.14     0.14

All reported intervals are core lengths, true widths are unknown.

The drilling results have confirmed the presence of wide zones of polymetalic mineralization containing significant silver values. These results are consistent with those announced in the June 9, 2014 Morro Bay news release, and continue to indicate the potential for an open pit mine on the property.

John Zang, CEO of Morro Bay stated that: "The results from these six holes continue to confirm our belief in the value creation potential for Morro Bay shareholders from the Penoles Property. The drilling results to date are showing good continuity of the mineralization to the west-southwest extension of the Jesus Maria South zone.

The discovery of the Jesus Maria South Zone, as well as previously identified gold-silver targets on the project expands not only the potential but also the scope of the project. I am very pleased with these results as they demonstrate the potential for an open pit deposit in Penoles”.


Figure 1: Drill hole locator map
http://www.fscwire.com/sites/default/files/styles/400_x_400/public/NR/757/2856_morrobayjune232014003.gif?itok=78uZsd79


Quality Assurance and Quality Control and Qualified Person:

The scientific and technical data contained in this news release pertaining to the Peñoles Project was prepared under the supervision of Carl von Einsiedel, P.Geo. and Exploration Manager for Morro Bay Resources who is responsible for ensuring that the technical information provided in this news release is accurate and acts as a “qualified person” as defined by National Instrument 43-101; Standards of Disclosure for Mineral Projects.

All drill core was placed in numbered boxes and transported to Morro Bay’s secure core handling facilities by the drill contractor. Following detailed core logging all core was split using a diamond bladed core saw under the direct supervision of Morro Bay’s geologic staff with half of the core kept on site in the original core boxes. All drill samples were sealed in numbered plastic bags and transported to Inspectorate America’s assay laboratory facility in Durango City, Mexico for apreparatory work and subsequently analyzed at their facilities in Reno, NV.

Inspectorate America is certified for the provision of assays and geochemical analysis (ISO:9001-2008). All samples were prepared using standard industry preparatory methods followed by fire assay analysis and aqua regia digest for trace elements. All samples with greater than 10 g/t Au or 100 g/t silver were additionally tested by fire assay with a gravimetric finish. Morro Bay has included appropriate industry certified standards and blanks within the drill core sample stream in addition to the standards and duplicates included as part of the Inspectorate QA/QC program.

About Morro Bay

Morro Bay is a junior mineral exploration company based in Calgary, Alberta, Canada, focused on the exploration for precious metals in Mexico. Morro Bay's business strategy is to build shareholder value by rapidly advancing the Peñoles Project in Mexico through the resource delineation stage.



For further information please contact:

Morro Bay Resources Ltd.
John C. Zang, President and Chief Executive Officer
403 680 9264



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Information in this news release may contain forward looking information. Statements containing forward looking information express, as at the date of this news release, the Company's plans, estimates, forecasts, projections, expectations, or beliefs as to future events or results and are believed to be reasonable based on information currently available to the company.

There can be no assurance that forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers should not place undue reliance on forward-looking information.

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