Teuton Resources Corporation

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Tuesday August 8, 2006

Retreating Ice Exposes Copper Zone On Teuton's Leduc Silver Property

Teuton Resources Corp. (“TUO:TSX-V”) (“Teuton”) is pleased to announce the first exploration success of the 2006 field season, the discovery of the copper-bearing JK Zone on its Leduc Silver property, situated north of the formerly producing Granduc copper mine in the Stewart region of northwestern British Columbia. The discovery outcrop was exposed by the very recent meltback of part of the Granduc Mountain icefield.

Highlights:

• The JK Zone lies 1.3 kilometres along strike of the formerly producing Granduc copper deposits and may represent a northerly continuation of that mineralization.
• Host rocks of the JK Zone are similar to the rocks in Unit 3v1 of the Granduc Mine Series, which hosted most of the Granduc ore.
• The JK Zone is marked by numerous gossans of limonite and malachite stain, the latter commonly found where copper-bearing minerals have been oxidized.
• A thorough program of channel sampling is currently under way to asses the metal grades of the JK Zone, to be followed by drilling when logistics permit.

Mineralization in the JK Zone consists of massive to banded magnetite and poddy to disseminated pyrite, pyrrhotite and minor chalcopyrite. Host rocks vary from banded chert and graphitic argillite to mafic flows and iron formation. The dimensions of the zone as exposed by retreating ice are currently 30 metres in length by 6 metres in width.

The Leduc Silver property is under option to Bell Resources Corporation (“Bell”) under terms whereby Bell can earn up to a 60% interest by spending $1.5 million over five years. It was Bell personnel that very recently discovered the zone as part of an ongoing 2006 exploration program aimed at extending the limits of the Granduc copper mineralization north and south of the historical mine workings. Bell purchased the core claims covering the formerly producing Granduc mine in late 2004 and subsequently optioned Teuton's surrounding Leduc Silver property in order to control potential strike and down-dip extensions of the Granduc copper mineralization.

Work by Bell in 2005-6 continues to support the hypothesis that the original Granduc copper deposits may be part of an extensive Besshi-style VMS system. Mineralization similar to that in the historical mine workings has now been found at various points along a 4km strike length. Although more detailed exploration is necessary to firmly establish consistency of mineralization along this postulated length, potential for a very large deposit is indicated. Dr. Tim Marsh, Bell VP of Exploration, stated: “The continuity of magnetite-pyrrhotite-chalcopyrite mineralization across a 4-kilometre strike length would place Granduc in the top percentiles of Besshi-style VMS deposits. Windy Craggy, located 200 kilometres north of the Granduc property in northwestern British Columbia is the largest known Besshi deposit to date”.

Commenting on the JK Zone discovery, Teuton President, D. Cremonese, P.Eng., said: “During its heyday, the Granduc was one of British Columbia 's premier copper mines. In the twenty odd years since its abrupt closure due to low copper prices, the mine and surrounding area have lain fallow. Now we have record copper prices and an intensified rate of glacial meltback, both of which have re-ignited interest in this promising area. Our decision three years ago to sharply increase our Stewart-Eskay-Anyox holdings, emphasizing those areas that were considered highly prospective in and around various local icefields, is bearing fruit. We are hopeful that more discoveries will be made this season as prospecting of freshly exposed outcrop continues over Teuton's 400 square miles of claims in the region.”

D. Cremonese, P.Eng., is the Qualified Person for Teuton Resources Corp. in regard to data presented in this News Release.

ON BEHALF OF THE BOARD

“Dino Cremonese”
D. Cremonese, P.Eng.
President

The foregoing securities have not been, nor will be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of U.S. persons absent U.S. registration or an applicable exemption from U.S. registration requirements. This release does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state where such offer, solicitation or sale would be unlawful.

This news release includes certain forward-looking statements concerning the future performance of our business, its operations and its financial performance and condition, as well as management’s objectives, strategies, beliefs and intentions. Forward-looking statements are frequently identified by such words as “may”, “will”, “plan”, “expect”, “anticipate”, “estimate”, “intend” and similar words referring to future events and results. Forward-looking statements are based on the current opinions and expectations of management. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development, fluctuating commodity prices, competitive risks and the availability of financing, as described in more detail in our recent securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward looking-statements and we caution against placing undue reliance thereon. Silver Grail Resource Ltd. And Teuton Resources Corp. do have an ongoing obligation to disclose material information, as it becomes available.

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