LOS ANGELES, and ZIBO, China, Oct. 22 /PRNewswire-FirstCall/ -- Terra Nostra Resources Corporation (OTC:TNRO) (BULLETIN BOARD: TNRO) , a majority owner of two joint venture companies in the copper and stainless steel industries in China, is pleased to announce record financial results and highlights for the first fiscal quarter ended August 31, 2007. First Quarter Highlights (Period Ended 31 August, 2007) -- Record revenues of $172.7 million, up 290% from the same period a year ago; -- Operating profits of $13.3 million, up 605% from the same period a year ago; -- Comprehensive net income of $7.2 million, compared to a net loss of $1.1 million from the same period last fiscal year, fully consolidated; -- Continued strong market conditions for copper and stainless steel, and; -- Raised over $10 million in additional working capital Revenues for the fiscal quarter ended August 31, 2007 were $172.7 million, as compared to $59.5 million for the same period a year ago. Gross profit for the period was $17.2 million, as compared to a gross profit of $4.5 million for the same period a year ago. Operating profits were $13.3 million, as compared to $2.2 million for the same period a year ago. Consolidated comprehensive net income for the fiscal quarter was $7.2 million, as compared to a comprehensive net loss of $1.1 million for the same period a year ago. "We continue to experience strong domestic market demand for copper and stainless steel production from both new and existing customers. This has resulted in equally strong top and bottom line growth for the Company", said Mr. Sun Liu James Po, Terra Nostra's CEO. "China's overall market for both copper and stainless steel remains very dynamic and positive. As such, we expect this growth trend to continue as our modern facilities ramp up production to meet current and future market demands". Terra Nostra has entered into an agreement to increase its majority ownership in both joint ventures from 51% to 90%. This transaction is expected to be completed no later than December 31, 2007. 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 total production capacity of 170,000 MT of electrolytic copper and 20,000 MT of low-oxygen 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 capacity casting mill, and a 150,000 MT rolling mill. The two joint venture companies, with total assets in excess of US$180 million and over 1,000 employees, are located in the highly industrialized coastal province of Shandong, midway between Beijing and Shanghai. More information on Terra Nostra can be found at http://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 Annual Report on Form 10-KSB for the year ended May, 31, 2007. 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. DATASOURCE: Terra Nostra Resources Corporation CONTACT: Investors, Tom Collins, of Mercantile Ascendency, +1-214-559-9885, for Terra Nostra Resources Corporation Web site: http://www.tnr-corp.com/

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