Terra Nova Announces Cash Dividend of $0.20/sh

Terra Nova Royalty Corporation (NYSE: TTT) is pleased to announce it has declared an annual cash dividend and established an annual dividend policy as follows: The annual dividend will be based on the annual dividend yield of the New York Stock Exchange Composite Index for the preceding year plus 25 basis points. For 2011, the board of directors of Terra Nova has declared an aggregate cash dividend of $0.20 per common share, representing a dividend yield of 2.58 percent. The 2011 annual cash dividend will be paid in quarterly installments by the Company. The first payment of $0.05 per common share will be paid on January 31, 2011 to shareholders of record on January 20, 2011. The remaining quarterly dividend payments will be made in each of March, June and September, 2011. This 2011 dividend will be a return of capital and no tax will be withheld. In the future, Terra Nova will announce and declare the cash dividend during the first full week of each year. For the first payment of 2011, the common shares of Terra Nova will trade ex-dividend on January 18, 2011.