Tanzanian Royalty to Expedite Mine Development at Newly Acquired 2.0 Million Ounces Buckreef Gold Project
Because of the recent increase in gold resources to 2.0 million ounces
at the Company′s newly-acquired, fully licensed for mining Buckreef Gold
Project, Tanzanian Royalty has decided to expedite its proposed mine
development program for the advanced stage project. In addition, the
Company will accelerate exploration within target rich areas in order to
increase the project′s existing resource base.
The following update is part of a thorough review by the Company of
previous work conducted by IAMGOLD Corporation on the Buckreef property
prior to its acquisition by Tanzanian Royalty. This comprehensive
technical review has increased our understanding of the geological
controls at Buckreef along with the various styles and continuity of
mineralization on the property.
'Based on what we see after the detailed technical review, I genuinely
believe we can now significantly accelerate our expected gold production
plans and simultaneously increase resources,? said Jim Sinclair, the
Company′s President and CEO. 'With the positive developments we are
seeing today, we are confident in the potential to grow exponentially.?
'We have already seen a 30% increase in our gold resources (see April
15, 2011 News Release) based on the improved economics of our project
generated by higher gold prices,? he added.
The aggressive exploration program the Company is planning will utilize
additional drilling and testing equipment that has become available
under its agreement with the State Mining Company of Tanzania.
As a result of these exciting developments, the Company has decided to
consolidate its mining and exploration activities at the Buckreef site.
All staff members in Mwanza will be relocated to the Buckreef Camp which
already has significant infrastructure in place. This will allow the
Company to concentrate resources, skills and experience, maximizing the
potential of this extremely important asset.
The Company is also pleased to announce that the bulk sampling program
at Kigosi has been completed and the sampling plant is being moved to
Buckreef in conjunction with the purchase of new process equipment to
accommodate the mining of gravel resources at all three of our major
sites: Buckreef, Kigosi and Lunguya.
Expanded exploratory drilling to further increase resources will also
continue at these and other company properties which all have exciting
up-side potential. Tanzania has become one of Africa′s fastest emerging
gold producers and is now the continent′s fourth largest gold producing
country behind South Africa, Ghana and Mali. Large scale mines in the
Lake Victoria Goldfields area surrounding Buckreef include Barrick′s
Bulyanhulu mine and Anglogold Ashanti′s Geita mine.
Respectfully Submitted,
James E. Sinclair
President and Chief Executive Officer
For further information, please contact Investor Relations at
1-800-811-3855
Visit our website: www.TanzanianRoyaltyExploration.com
The Toronto Stock Exchange and NYSE Amex Equities have not reviewed and
do not accept responsibility for the adequacy or accuracy of this release
Cautionary Note to U.S. Investors - The United States Securities and
Exchange Commission limits disclosure for U.S. reporting purposes to
mineral deposits that a company can economically and legally extract or
produce. We use certain terms on this news release, such as 'reserves?,
'resources?, 'geologic resources?, 'proven?, 'probable?, 'measured',
'indicated', or 'inferred' which may not be consistent with the reserve
definitions established by the SEC.U.S. Investors are urged to
consider closely the disclosure in our Form 20-F, File No. 001-32500.You can review and obtain copies of these filings from the SEC's
website at http://www.sec.gov/edgar.shtml.
Certain information presented in this release may constitute
'forward-looking statements? within the meaning of the Private
Securities Litigation Reform Act of 1995.Such
forward-looking statements are based on numerous assumptions, and
involve known and unknown risks, uncertainties and other factors,
including risks inherent in mineral exploration and development, which
may cause the actual results, performance, or achievements of the
Company to be materially different from any projected future results,
performance, or achievements expressed or implied by such
forward-looking statements.Investors are referred to our
description of the risk factors affecting the Company, as contained in
our Form 20-F, File No. 001-32500, for more information concerning these
risks, uncertainties, and other factors.
Tanzanian Royalty Exploration Corporation
James E. Sinclair
Connecticut
Office:
Tel: (860) 364-1830
Fax: (860) 364-0673
or
South
Surrey Office:
Toll Free: 1-800-811-3855
Tel: (604)
536-7873
Fax: (604) 536-2529
investors@TanzanianRoyaltyExploration.com
www.TanzanianRoyaltyExploration.com