• Partners spending $40+ million.
• 5 operations moving to production.
• Major Silver discovery at San Miguel.

Tara Gold Resources Corp. is a US-based publicly-traded, growth-orientated resource company with 5 near-production and 3 exploration projects in Mexico. Tara is growing shareholder value by advancing 5 projects to production, expanding resources within these projects, aggressively drilling priority exploration projects, and listing on a senior stock exchange. Tara shares trade on the US Pink Sheets and the Frankfurt exchanges.

Tara is diversifying across non-precious metals and minerals in order to enhance its asset base and reduce commodity price risks. With this in mind, Tara has initiated the organization and financing of Tara Minerals Corp., an 82% owned subsidiary. Tara Minerals was incorporated on May 19, 2006 under the laws of the State of Nevada and holds a portfolio of two high-grad Zinc, Lead and Silver properties located in Mexico.

The principal business of Tara is the acquisition, exploration and development of high-quality metals and mineral projects with potential for economic commercial value. Tara is currently focused on properties in the natural resource belt of the Sierra Madre Occidental and other prolific areas in the states of Chihuahua, Sonora, and Sinaloa, Mexico. Investments must have a high probability of success based on historical data/mining and must be capable of achieving optimal shareholder value with an acceptable degree of risk.

Tara has been successfully mitigating its risk by optioning projects to partners, while retaining an average of 35% interest, in return for cash payments, start-up capital and exploration commitments. This gives Tara the ability to develop all projects simultaneously through focused partners, reduces equity dilution, and makes available resources for opportunistic investments.

Partners have committed to invest $40+ million into expansion (start-up and exploration) and into property payments to earn their options. Revenue is expected to accelerate from a growing number of producing projects, production rate increases, cost reductions, growing commodity prices and non-dilutive project acquisitions.

Commodity markets remain strong, underpinned by supply restrictions and a generally constructive global economy. The short-term global economic outlook remains positive. Growth in Asia will help drive the global economy, with Japan’s expansion now well-established and China’s economic growth expected to remain strong. The US economy is also likely to remain solid. Forward prices of LME metals remain above long-term historical averages, indicating that large-scale supply surpluses are not being anticipated in these markets.

Urbanisation and industrialisation is taking place across the developing world leading to a secular change in commodity demand that is different from the traditional business cycle. Our business strategy recognizes this probability and through our multi-partner approach which expedites multiple projects to production, we are positioned to realize the potential benefits from a multi-decade secular change in demand for commodities.

The business strategy of Tara Gold is to become a leading low-cost precious metals and mineral producer with the initial objective of advancing 5 projects to production in 2008.

The management team of Tara Gold is positioned to leverage its relationships and experience to focus on building a portfolio of precious metals within Tara Gold Resources Corp. and non-precious metals and mineral production and exploration projects under Tara Minerals Corp.