Mr. James Sinclair reports

TANZANIAN ROYALTY ANNOUNCES SHELF REGISTRATION STATEMENT DECLARED EFFECTIVE

Tanzanian Royalty Exploration Corp.'s shelf registration statement on Form F-3 has been declared effective by the Securities and Exchange Commission (SEC). The company plans to utilize this shelf registration to conduct additional infill drilling as recommended by its engineers on page 29 of the recently released amended National Instrument 43-101 report. This gold drilling program seeks to upgrade listed inferred resources into higher categories of indicated or measured; this material, once upgraded, can be included in the company's totals for the open pit in the future definitive feasibility study. This gold drilling program will also include additional testing and delineation of the mineralization below the bottom of the open pit, which is currently open in all directions. This deep underground potential available on the Buckreef project can be viewed in cross-section in the amended NI 43-101 report on page 105. The drill program comprised the infill drilling as well as continued definition and testing at depth of the underground potential, which are accretive in nature and will solidly position the company to begin work on the definitive feasibility study. This shelf registration statement will allow the company to raise up to $15-million (U.S.) through the sale of securities, which may consist of common shares or warrants, or a combination thereof, in one or more offerings in the future. Specific terms and prices of any offering will be determined at the time of such offering and included in a prospectus supplement to be filed with the SEC. While the company has put this shelf registration in place, it has no obligation or requirement to use it and will continue to seek the best financing options available.

We seek Safe Harbor.