Teras Receives Results from Core Drill Program

Calgary, Alberta--(Newsfile Corp. - July 2, 2015) - Teras Resources Inc. (TSXV: TRA) ("Teras" or the "Company") announces the results of the recently completed core drilling program on its Cahuilla gold-silver project in Imperial County, California. West Core Drilling of Elko, Nevada completed seven angled holes (-60 degrees, due north) for a total footage of 4224 feet of HQ diamond core.

The current drill program focused on angle core drilling in and in close proximity to Target Zone "A" (as announced on March 12, 2015) to better define high grade vein systems and target areas within the current resource block model where no drill data existed. Drill results as reported below:

Note that all thicknesses are downhole thicknesses that may not represent true thickness.

Drill hole locations:

Teras' technical team must further analyse these new results along with existing data to determine the impact they may make to the existing resource. The Company will not initiate an update to its NI 43-101 at this time as the team is continuing to develop the geologic model to better reflect the controls on high grade mineralization and to determine when an update to the resource is warranted. The Company's technical team has gained further critical understanding of the geological controls on higher grade gold-silver mineralization to continue to advance the Cahuilla project and to plan future drill programs. Teras will update its shareholders with the next steps in due course. Given current market conditions and capital resources of the company, Teras continues to conserve cash and to evaluate options with its other assets to further develop Cahuilla

Mr. Paul Stubbe, Project Geologist and VP of Project Development for Teras, supervised as core samples from the diamond drill were collected on site, placed in boxes and photographed. The core was then cut in half by a rock saw located at the Company's facility. One half of the core is stored in a secure location while the other half was shipped to Inspectorate Lab in Reno, Nevada and assayed. Sample blanks and certified standards were inserted into the sample stream at random intervals forquality control purposes. Any sample grades exceeding 10 g/t gold were re fire assayed with gravimetric finish.

About Teras

Teras 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 Teras believes that the Cahuilla project has the potential to develop into a 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 technical report with an indicated resource of 1.0 million ounces of gold and 11.9 million ounces of silver on its Cahuilla project (70 million tons at an average grade of 0.015 ounces per ton gold and 0.17 ounces per ton silver with a cut-off of 0.008 ounces per ton gold) and inferred class of 10 million tons grading 0.011 opt gold and 0.10 opt silver. Gold equivalent ounces are 1.2 million ounces in indicated class and 130,000 ounces in inferred class using a ratio of 55 silver ounces to 1 gold ounce.

Dale A Vitone P. Eng., registered with the Association of Professional Engineers of Ontario, Alberta and Northwest Territories and a director of Teras, is the Company's nominated qualified person responsible for monitoring the supervision and quality control of the programs completed on the Company's properties. Mr. Vitone has reviewed and verified the mining scientific and technical information contained in this news release.

For further project and corporate information, contact:

Teras Resources Inc.
Peter Leger, President
(403) 262-8411
(403) 852-0644
Email: pleger@teras.ca
Website: www.teras.ca

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 contains “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 Cahuilla project, the development and advancement of the Cahuilla project, the development of the geologic model in respect of the Cahuilla project, the development of further drill plans in relation to the Cahuilla project and the potential of the Cahuilla project to develop into a mining operation; and the completed core drilling program including further analysis of the core drilling program, the evaluation of the core drilling program and its impact on the Company’s existing NI 43-101 technical report. 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, the ability of the Company to obtain acceptable financing, market acceptance of its exploration programs and projects; consistent and favorable commodity prices; and regulatory acceptance of the Company’s geologic models . 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.