Tanzanian Royalty Files Amended and Restated MD&A for Period Ended May 31, 2011

Tanzanian Royalty Exploration Corporation (TSX: TNX; NYSE-Amex: TRX)
(the 'Company?) announced that as a result of a review by the
British Columbia Securities Commission, it has filed amended and
restated MD&A for the period ended May 31, 2011 to include additional
disclosure required by applicable regulatory requirements, and is
issuing this press release to clarify the Company′s disclosure.

The amended MD&A (available at www.sedar.com)
now includes a discussion of the Company′s analysis of current quarter
and year-to-date results including a comparison of results of operations
and cash flows to the corresponding periods in the previous year,
additional related party disclosure, discussion of significant quarterly
fluctuations, additional information relating to a subsequent event note
and relating to prior financings, additional information regarding
internal control over financial reporting and disclosure controls and
procedures, an exploration summary for the Luhala property, information
concerning the Company′s changeover plan for IFRS and a related risk
factor, and a revised cautionary note regarding forward-looking
statements.

The additional disclosure does not impact the unaudited interim
consolidated financial statements of the Company for the nine months
ended May 31, 2011 and 2010 previously filed.

For further information, please contact Investor Relations at
1-800-811-3855 or visit our website: www.TanzanianRoyalty.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.

This news release contains certain forward-looking statements and
forward-looking information. All statements, other than statements of
historical fact, included herein are forward-looking statements and
forward-looking information that involve various risks and
uncertainties. There can be no assurance that such statements will prove
to be accurate, and actual results and future events could differ
materially from those anticipated in such statements. Important factors
that could cause actual results to differ materially from the Company's
expectations are disclosed in the Company's documents filed from
time-to-time with the British Columbia, Alberta and Ontario provincial
securities regulatory authorities.

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

Investor Relations:

David
Duval, 1-800-811-3855

Visit our website: www.TanzanianRoyalty.com

or

Connecticut
Office:

Tel: (860) 364-1830

Fax: (860) 364-0673

Email:
investors@TanzanianRoyalty.com

Website:
www.TanzanianRoyalty.com

or

South
Surrey Office:

Toll Free: 1-800-811-3855

Tel: (604)
536-7873

Fax: (604) 536-2529