Tanzanian Royalty Exploration Corporation (Toronto:TNX.TO - News) (TRE - News) announces that Mr. Sinclair is proceeding with the sixth tranche of the private placement announced on August 10, 2006 whereby Mr. Sinclair agreed to purchase common shares of the Corporation representing an aggregate value of $3,000,000. Such shares are to be purchased in 8 quarterly tranches of $375,000 each, commencing February 1, 2007. The sixth tranche of the Placement will consist of 73,242 common shares of the Corporation having a purchase price of $5.12 per share for proceeds totaling $375,000. The purchase price reflects the greater of the 5-day weighted average trading price on the Toronto Stock Exchange of the Company's shares for the quarterly period ended July 31, 2008 of $4.902 and the closing price on July 31, 2008 of $5.12. The 6th tranche purchase price will be paid by application of funds previously advanced to the company by Mr. Sinclair against future share subscriptions.
Mr. Sinclair's investments reflect his continued confidence in and commitment to Tanzanian Royalty's endeavours.
The placement common shares are subject to certain mandated hold periods and the certificates representing such shares are legended accordingly. No warrants, options or other rights have been issued or granted in connection with the placement.
The private placement is subject to Regulatory approval.
The Toronto Stock Exchange and American Stock Exchange 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.