Tanzanian Royalty Chairman to Proceed With Sixth Tranche of CDN$3 Million Private Placement
Vancouver, Canada (ots/PRNewswire) - Tanzanian Royalty Exploration Corporation advises that Mr. James E. Sinclair will proceed with the sixth tranche of the private placement announced on January 13, 2005 (the "Placement") whereby Mr. Sinclair agreed to purchase common shares of the Corporation representing an aggregate value of CDN$3,000,000. Such shares are to be purchased in 8 quarterly tranches of CDN$375,000 each, commencing February 1, 2005, of which five tranches have been completed to date.
The number of shares comprising the sixth tranche of the Placement and the price to be paid therefore will be determined on the basis of the weighted average trading price of the Corporation's shares for the five consecutive trading days ending July 31, 2006.
In the interim Mr. Sinclair has agreed to make available to the Corporation an interest free advance of CDN$750,000, to be repaid upon the completion of the remaining tranches of the Placement.
All private placement common shares are subject to certain mandated hold periods and resale restrictions 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. Each tranche is subject to regulatory approval.
"James E. Sinclair"
James E. Sinclair
Chairman and Chief Executive Officer
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 US Investors - The United States Securities and Exchange Commission permits US mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms on this news release, such as "measured", "indicated", and "inferred" "resources" that the SEC guidelines strictly prohibit US registered companies from including in their filings with the SEC. US Investors are urged to consider closely the disclosure in our Form 20-F, File No. 0-50634, which may be secured from us, or from the SEC's website at http://www.sec.gov/edgar.shtml.
ots Originaltext: Tanzanian Royalty Exploration Corporation
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