PERTH, WESTERN AUSTRALIA--(Marketwire - Oct. 12, 2011) - Troy Resources NL ("Troy") (TSX:TRY)(News - Market indicators) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Troy Resources NL advises that further to the Casposo Resource Upgrade announcement released on 29 August 2011, an updated Technical Report (NI 43-101) has been completed as required by the Canadian Securities Regulators. The report documents the Resource additions at Kamila Southeast – Inca Vein Zone and the new increase to the Julieta Zone.

• Initial Mineral Resource Estimate for the Kamila Southeast – Inca Vein Zone Discovery of 119,900oz Au_Eq (Measured and Indicated – using 2.0g/t Au_Eq cut-off) and 51,000oz Au_eq of Inferred Resource includes a "high grade" Measured and Indicated core zone (5g/t Au_Eq cut-off) grading 6.6g/t gold, 796g/t silver or 18g/t Au_Eq for 113,100oz Au_Eq.

• This discovery represents a 19% increase in the Casposo Measured and Indicated Resource Inventory and more than doubles the contained gold equivalent ounces in the Underground Measured and Indicated Resource Inventory.

• A new Inferred Resource Estimate for the Julieta Zone has been calculated at 433,000t grading 4.0g/t, gold and 23g/t silver or 4.3g/t Au_Eq for contained metal of 55,700oz gold and 320,200oz silver or 60,300oz Au_Eq which is double the 2010 Inferred Resource of 268,700t grading 3.21g/t gold and 15.44g/t silver or 3.43g/t Au_Eq for 29,700 Au_Eq ounces.

• Casposo Updated Mineral Resources summarized in Table 1 and Table 2 below.

The updated NI 43-101 report for our wholly owned Casposo Project in Argentina can be found on the Troy Resources website (www.troyres.com.au) and under our profile on the SEDAR website (sedar.com).

Readers are cautioned that the Technical Report is principally focused on new Resource additions. The portions of the Report which are based on the Mining Reserve, being the mining schedule and project economic analysis, have not been updated because Troy has not yet prepared an updated Reserve for the Casposo Project. It is expected that a new JORC compliant Mining Reserve and corresponding NI 43-101 report will be released in early calendar 2012.

Commenting on the new Resource Troy CEO Paul Benson said; "Today's release updates the market on the Resource inventory at Troy's wholly owned high-grade Casposo mine in Argentina. In addition to the Resource estimate for the Kamila SE discovery that was reported to the market on August 29, 2011 the report includes the new Resource Estimate for the Julieta Zone, at the northwest end of the main Casposo structural corridor.

"The doubling of the Julieta Resource is a result of the inclusion of the 2011 "ore grade" drill intercepts announced earlier this year.

"Julieta is strategically important because we now have ore grade mineralisation 5km along the structure to the northwest of Kamila, 4kms of which has a thin layer of cover and has yet to be mapped or drilled. We are just about to commence geophysical surveys with the aim of prioritising drill targets along the structure.

"It is important to note the new NI 43-101 Report only updates the Casposo Resource estimate. The Company is currently completing the relevant work to update the Mining Reserve and production schedule. We expect these to be completed and announced to the market in early calendar 2012."

Troy and its Resource Estimation Consultants – Auralia Mining Consultants utilised computer software to construct three-dimensional solid shapes of the five domains. Top cuts were applied to gold and silver grades for all domains. Gold and silver grades are interpolated using an inverse distance squared (ID2) methodology.

The Qualified Person (QP) for the Mineral Resource estimates is Keith Whitehouse MAusIMM (CP) of Auralia Mining Consulting.

Information of a scientific or technical nature in the report was prepared under the supervision of Peter J. Doyle, Vice President Exploration and Business Development of Troy and Keith Whitehouse Geological Associate (Auralia Mining Consultants). As the "qualified persons" under National Instrument 43-101 – "Standards of Disclosure for Mineral Projects", Mr Doyle is a Fellow of the Australasian Institute of Mining and Metallurgy. Mr Doyle has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration, and to the activity he is undertaking, to qualify as a "competent person" as defined in the 2004 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Doyle has reviewed and approved the information contained in the report.

Mr Whitehouse is a graduate of the Victoria University – Wellington New Zealand with the degree of Bachelor of Science in Geology (1976) He is a Member of the Australasian Institute of Mining and Metallurgy and a Chartered Professional (no. 107612). Mr Whitehouse has worked as a geologist for 37 years since my graduation from university and he has experience in gold exploration, mining and project development for several mining and exploration companies in Australia and overseas. Mr Whitehouse is undertaking, to qualify as a "competent person" as defined in the 2004 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Whitehouse has reviewed and approved the information contained in the report.

For further information regarding the Casposo Project, including a description of quality assurance programs, quality control measures, the geology, samples collection and testing procedures in respect of the Casposo project please refer to the technical reports entitled Troy Resources NL: Casposo Project, Argentina" dated June 2009 and May 2010, which is available under the Company's profile at sedar.com.

The report contains forward-looking statements including those relating to expected levels of production and the timing of an updated Mineral Reserve and Resource estimate. These forward-looking statements reflect management's current beliefs based on information currently available to management and are based on what management believes to be reasonable assumptions. A number of factors could cause actual results, performance, or achievements to differ materially from the results expressed or implied in the forward looking statements. Such factors include, among others, future prices of gold, the actual results of current production, development and/or exploration activities, changes in project parameters as plans continue to be refined, variations in ore grade or recovery rates, plant and/or equipment failure, delays in obtaining governmental approvals or in the commencement of operations. 

ABOUT TROY RESOURCES

Troy Resources (TSX:TRY)(News - Market indicators) is a dividend-paying junior gold producer, with a clear growth strategy. The Company has two producing gold operations; Andorinhas Mine in Para State, Brazil and the Casposo gold and silver mine, in San Juan province, Argentina.

Troy has an experienced Board and management team with a track record of successful, fast-track mine development and low-cost operations.

Troy has an annual exploration budget in excess of $15 million and a proven track record in exploration discoveries and strategic acquisitions.

With the development of the Casposo project, Troy has entered a renewed growth phase which will again lift the Company's annual gold production above 100,000 ounces of gold per annum.

The Company is positioned to continue its path of strong growth and profitable operations, and is on track to achieve its vision of becoming a highly profitable mid-tier gold producer with a portfolio of quality long-life assets.

The Company maintains a robust balance sheet and forecasts continued strong cash flow from its current assets. Troy's gold production is unhedged; allowing its shareholders access to the full benefit of current and future gold price upside.

Troy is a responsible corporate citizen, committed to the best practice of health and safety, environmental stewardship and social responsibility.

To view a map of project locations, please visit the following link: http://media3.marketwire.com/docs/try1011i.pdf.

ABN 33 006 243 750