TerraX drills 1.07 m @ 15.1 g/t Au and 8.26 m @ 0.94 g/t Au in first phase drilling at Blackfly Gold Property, Atikokan, Ontario

    TSX-V: TXR
    Frankfurt: TX0

VANCOUVER, July 12 /PRNewswire-FirstCall/ - TerraX Minerals Inc. (TSX.V: TXR; Frankfurt: TX0) has received assay results from the recently completed core drilling at its wholly-owned Blackfly gold property near Atikokan, Ontario, where mineralization was identified over a strike length of 4.4 kilometres during the 2009 field program and grab samples returned assays up to 167 g/t Au. This first phase Blackfly drill program comprised six shallow holes testing near-surface Induced Polarization ("IP") chargeability and resistivity anomalies on the Blackfly and Blackfly Northeast targets. These targets are on the western margin of the Marmion Batholith, in a similar geological environment to Brett Resources' (TSX.V: BBR) nearby Hammond Reef gold deposit. These target areas are considered to have potential for both high grade gold related to quartz veins of significant width, and for lower grade, bulk mineable gold. This initial drill program successfully encountered both styles of mineralization, intersecting 8.26 m @ 0.94 g/t Au in altered tonalite, and 1.07 m @ 15.1 g/t Au in a high grade quartz vein (the "Blackfly Vein") that is open down-dip and along strike. In addition, some of the better disseminated mineralized zones were encountered near the ends of the drill holes. On the Blackfly target, hole BF10-02 was drilled behind hole BF10-01 and stopped short of the gold zone encountered at the bottom of this hole. At Blackfly Northeast, BF10-05 hit its best mineralization (1.47 metres of 2.7 g/t Au) in altered quartz diorite near the end of the hole. Hole BF10-06 was stopped short just as it entered this rock unit, prior to intersecting the better alteration and mineralization.

Four holes totaling 670 metres were drilled at the Blackfly Target, which consists of the Blackfly Vein and a coincident chargeability/resistivity anomaly identified during TerraX's IP survey earlier this year. Each drill hole encountered extensive silicification with associated pyrite, an important feature in this gold camp, as well as abundant quartz-ankerite veining. Hole BF10-01 intersected 3.96 m @ 0.79 g/t Au in weakly sericitized tonalite near the end of the hole at 130 metres (see Table 1 below). As well, erratic anomalous values (20 to 685 ppb Au) were encountered throughout the entire length of the hole. Hole BF10-02 also intersected locally anomalous values (up to 214 ppb Au) throughout much of the hole. Hole BF10-03 intersected 0.51 m @ 2.22 g/t Au in the Blackfly Vein, and 8.26 m @ 0.94 g/t Au in silicified tonalite with minor pyrite and chalcopyrite. Hole BF10-04 intersected 1.07 m @ 15.1 g/t Au in the Blackfly Vein and 1.48 m @ 0.81 g/t Au in a sericitized mafic dike that has mineralized tonalite shoulders for a total intersection of 3.2 m @ 0.47 g/t Au.

An initial drill test of the Blackfly Northeast Target comprised two drill holes totaling 293 metres, targeted solely on IP anomalies. These holes also encountered extensive silicification and pyrite development. Hole BF10-05 intersected 1.23 m @ 0.57 g/t Au, 1.47 m @ 2.70 g/t Au and 1.47 m @ 0.73 g/t Au, as well as intermittent anomalous gold values. The latter two intersections were in a magnetic quartz diorite not previously noted on the property. An intersection of 1.11 m @ 0.79 g/t Au occurred in hole BF10-06 in strongly silicified tonalite with minor pyrite. Numerous isolated intervals of anomalous gold (up to 431 ppb) were present in the hole.

TerraX has so far tested only the upper parts of a gold-bearing hydrothermal system, and it is encouraged by the extent of the alteration zones and the associated gold mineralization. It is considered significant that the small drill program on the Blackfly Target encountered both high grade gold associated with major quartz veins, and several intersections of low grade material (the average grade of the nearby Hammond Reef deposit is 0.8 g/t Au) associated with alteration and narrow veins. The Blackfly Vein has been tested only in the upper ten vertical meters; it is open down-dip and along strike. Brett Resources' experience in similar alteration systems is that the width and continuity of the ore improve with depth. In the Hammond Reef A Deposit, many of the shallow drill holes encountered grades of 0.30-0.50 g/t Au overlying much wider and higher grade mineralization. It is also significant that TerraX has only tested a 100 m strike length of the Blackfly Target and a 150 m strike length of the Blackfly Northeast Target, both of which occur on the 4.4 kilometer Blackfly lineament. The remainder of the strike length of this lineament has never been drill tested.

TerraX believes the first phase of drilling has revealed significant zones of gold mineralization which are incompletely understood. Our strategy for moving forward at Blackfly will include detailed surface mapping to identify the areal extent of the distinctive rock units encountered in the drilling that contained the gold mineralization. Follow-up trenching and channel sampling will provide better understanding of the structural controls and orientation of these zones. This surface work, which is scheduled for the fall of 2010, will then be used to more accurately locate the second phase of drilling on these gold zones.

A map showing the location of the drill holes completed at Blackfly will be available soon on our web site at www.terraxminerals.com.

         Table 1: Mineralized Intersections on the Blackfly Property

         Target          Hole    From (m)   To (m)        Intersection

        Blackfly        BF10-01   130.14    134.10   3.96 m @ 0.79 g/t Au
        Blackfly        BF10-03    11.43     11.94   0.51 m @ 2.22 g/t Au
        Blackfly        BF10-03    84.92     93.18   8.26 m @ 0.94 g/t Au
        Blackfly        BF10-04    13.00     14.07   1.07 m @ 15.1 g/t Au
        Blackfly        BF10-04    80.32     81.80   1.48 m @ 0.81 g/t Au
    Blackfly Northeast  BF10-05    47.45     48.68   1.23 m @ 0.57 g/t Au
    Blackfly Northeast  BF10-05   105.58    107.05   1.47 m @ 2.70 g/t Au
    Blackfly Northeast  BF10-05   118.81    120.28   1.47 m @ 0.73 g/t Au
    Blackfly Northeast  BF10-06    22.88     23.99   1.11 m @ 0.79 g/t Au

All drill core from the 2010 drill program was logged, split and sampled at a secure core facility in Atikokan. Samples were delivered by TerraX personnel to the Activation Laboratories (Actlabs) facility in Thunder Bay. Actlabs is an ISO/IEC 17025 accredited analytical laboratory. Analysis was by fire assay with AA finish. Analytical accuracy and precision are monitored at the laboratory by the analysis of reagent blanks, reference material and replicate samples. Quality control is further assured by the use of international and in-house standards. TerraX routinely inserted blanks and certified standards into the sample stream in order to independently assess analytical accuracy.

The technical information contained in this news release has been verified by Dr. Tom Setterfield, P.Geo., who is a Qualified Person as defined in "National Instrument 43-101, Standards of Disclosure for Mineral Properties."

About TerraX Minerals

TerraX Minerals Inc. is one of the major landholders of prospective ground in the burgeoning Marmion Batholith gold district near Atikokan, Ontario, host to Brett Resources' Hammond Reef gold deposit which contains a National Instrument 43-101-compliant inferred resource of 259.4 million tonnes at 0.8 grams per tonne Au (approximately 6.7 million ounces of gold). The Brett Resources Technical Report is available on SEDAR. TerraX is actively exploring three wholly-owned gold exploration projects, the Sunbeam-Pettigrew, Blackfly and Central Canada properties, all of which are located within 20 km of the town of Atikokan, 180 km west of Thunder Bay, and are within 19 km of the Hammond Reef gold deposit. For more information on TerraX, please visit the company's website at www.terraxminerals.com.

    On behalf of the Board of Directors

    "JOSEPH CAMPBELL"

    Joseph Campbell, P.Geo
    President

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 or accuracy of this release.

SOURCE TerraX Minerals Inc.