Terra Nostra Resources Corporation Expects Fiscal 2008 Joint Venture Revenues to Increase 86% Over Fiscal 2007

LOS ANGELES & ZIBO, China–(EMWNews)–Terra Nostra Resources Corporation (OTCBB: TNRO), a majority owner of

two joint venture companies in the copper and stainless steel industries

in China, anticipates that, based on a preliminary review of

production volumes and revenues provided by its joint venture partner

for the fourth quarter ended May 31, 2008, it will report revenue of

approximately $123 million, a 13% increase over the third quarter of

2008. These revenues as reported bring the total fiscal 2008 revenue to

$532 million, 86% higher than fiscal 2007’s

revenue of $285 million.

For the fourth quarter of fiscal 2008, revenues reported from copper

production are expected to be approximately $57 million, a 25% increase

over the third quarter, on volume of approximately 7,500 tons sold, up

22% from the third quarter.

Reported revenue from stainless steel production is expected to reach

approximately $66 million, representing growth of 4% from the third

quarter, on volume of approximately 22,387 MT sold, also up 4% from the

third quarter.

“These preliminary fourth quarter results as

reported to Terra Nostra will cap a year of planned execution of our

growth strategy and increased value-added down-stream production,”

said Don Nicholson, president of Terra Nostra. “With

the Dongying copper plant fully operational, we achieved a significant

20%-plus increase in copper production and revenue year over year. In

our stainless steel business, a quarterly increase in volume and revenue

included an increased level of production of higher grade 304 series,

for which production allocation rose 37% over the third quarter and

revenue allocation grew 29%. As a producer of strategic metals in China,

we are well positioned to build on this growth in fiscal 2009 by

capturing an increasing share of the demand for specialty stainless

steel that is frequently being met by imports, and by further meeting

the strong local demand for cathode copper,”

concluded Nicholson. “Our thanks to our joint

venture partner who has provided strong growth numbers for this fiscal

year.”

About Terra Nostra Resources Corporation

Terra Nostra is a leading copper and stainless steel producer in China

through its 51% majority interests in two joint venture companies in

China. Shandong Terra Nostra-Jinpeng Metallurgical Co., Ltd. has an

existing and under construction production capacity of 170,000 MT of

refined copper, together with value-added copper rod and wire

capabilities. Shandong Quanxin Stainless Steel Co., Ltd. operates a

modern stainless steel production facility with a 230,000 MT peak

capacity casting mill, and a 150,000 MT rolling mill. The two joint

venture companies, with total assets in excess of US$225 million and

over 1,000 employees, are located in the highly industrialized coastal

province of Shandong, midway between Beijing and Shanghai. Terra Nostra

has entered into an agreement to increase its majority ownership in both

joint ventures from 51% to 90%. More information on Terra Nostra can be

found at www.tnr-corp.com.

Forward Looking Statements

Except for the historical information contained herein, the matters set

forth in this press release, including statements with respect to

expectations concerning (i) projects underway or under consideration,

including production capacity and completion schedules; (ii) business

and future potential of Terra Nostra Resources Corporation (“TNRO”);

(iii) estimates or implications of future earnings, profits, EBITDA, and

the sensitivity of earnings to metals prices; (iv) estimates of future

metals production, sales and profitability; (v) estimates of future cash

flows, and the sensitivity of cash flows to the other metals and ore

costs as well as, but not limited to, fluctuations in fuel prices, scrap

prices, and the availability of both, and statements related to these

matters or which use words such as “may,” “might,” “should,” “expect,”

“plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential” or

“continue,” and the negative of these terms and other comparable

terminology are all forward-looking statements within the meaning of the

“safe harbor” provisions of the Private Securities Litigation Reform Act

of 1995. Further risks, uncertainties and other factors, which affect

the forward- looking statements included herein, and could cause actual

results to differ materially from future results expressed, projected or

implied by such forward-looking statements include, but are not limited

to, completion of TNRO’s capital contributions to the joint venture

companies, working capital financing, metals price volatility,

competition for projects, reserve acquisition costs, currency

fluctuations, international economic uncertainty, sovereign risk, force

majeure, changes in tax law or concession law, project scheduling

delays, labor disputes, increased production costs and variances in ore

grade, scrap grade or recovery rates from those assumed in production

plans, political and operational risks in the countries in which TNR may

operate and governmental regulation and judicial outcomes, and other

risks detailed from time to time in TNRO’s filings with the Securities

and Exchange Commission, including its Quarterly Report on Form 10-QSB

for the period ended February 29, 2008. Copies of each filing may be

obtained from TNRO or the SEC. Furthermore, metals operation, by their

very nature, entail inherent cyclical, sectoral, and commodity risk and

could expose an investor to the entire loss of all capital invested.

TNRO does not undertake any obligation to publicly release any revisions

to any forward-looking statements to reflect events or circumstances

after the date of this release or to reflect the occurrence of

unanticipated events, except as may be required under applicable

securities laws.

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