Tanzanian Royalty Awards Contract for Preliminary Economic Assessment of Surface Rubble Deposit at Kigosi Gold Project

Tanzanian Royalty Exploration Corporation

is pleased to announce that it has entered into a contractual agreement with Consulmet Metals Limited of South Africa to complete a Preliminary Economic Assessment for a gravity recovery plant on its Kigosi Gold Project in the Lake Victoria Goldfields of Tanzania. A favorable conclusion to the PEA would see the commencement of a Definitive Feasibility Study that would support the Company's mining license submission and provide a basis for plant design and related work which would be completed on a “turnkey” basis. The Consulmet group of companies have supplied in excess of 100 plants within the minerals, metals and chemical processing industries, some to large international mining companies. At the very minimum the Phase 1 plant will consist of the following process circuits: Crushing, Milling, Gravity separation, Calcining, Smelting, Tailings disposal, Reagent make-up, mixing, distribution and dosing; and Utilities including water, air and electricity.