Mr. Richard Patricio reports

TERRENO ANNOUNCES CLOSING OF PRIVATE PLACEMENT, DEBT SETTLEMENT AND RESIGNATION OF CHIEF FINANCIAL OFFICER

Terreno Resources Corp. has closed its previously announced non-brokered private placement of an aggregate of 3.8 million common shares in the capital of Terreno for gross proceeds of $190,000 at a price of five cents per common share. The proceeds of the offering will be used for general working capital purposes.

Further, Terreno announces that it has completed its previously announced debt settlement of $22,546.55 of indebtedness owed to an arm's-length creditor of Terreno through the issuance of 450,931 common shares in the capital of Terreno at a price of five cents per common share.

All common shares issued in connection with the offering and debt settlement are subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation.

Richard Patricio, an officer and director of Terreno, acquired 1.35 million common shares of Terreno in connection with the offering. Following completion of the offering, Mr. Patricio will own or control an aggregate of 1,513,200 common shares, representing approximately 13.47 per cent of the issued and outstanding common shares of Terreno.

Mr. Patricio acquired the common shares for investment purposes and may, depending on market and other conditions, increase or decrease his beneficial ownership, control or direction over the common shares, or other securities of Terreno, through market transactions, private agreements, treasury issuances, exercise of convertible securities or otherwise. For further details relating to the acquisition, please see the early warning report, a copy which is available on SEDAR.

The offering constituted a related-party transaction within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101, as insiders of Terreno subscribed for an aggregate of 2.15 million common shares. Terreno is relying on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, as the fair market value of the participation in the offering by insiders does not exceed 25 per cent of the market capitalization of Terreno, as determined in accordance with MI 61-101. Terreno did not file a material change report in respect of the related-party transaction at least 21 days before the closing of the offering, which Terreno deems reasonable in the circumstances, so as to be able to avail itself of potential financing opportunities and complete the offering in an expeditious manner.

Further, Terreno announces that effective today, Gerry Feldman has resigned as chief financial officer of Terreno. Ajay Dhurva has been appointed interim chief financial officer. Terreno would like to thank Mr. Feldman for his contribution and wish him all the best in his future endeavours.

We seek Safe Harbor.