2.0 Million Ounces Buckreef Gold Project

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FSC / Press Release


Tanzanian Royalty to Expedite Mine Development at Newly Acquired 2.0 Million Ounces Buckreef Gold Project


South Surrey, British Columbia CANADA, April 25, 2011 /FSC/ - Tanzanian Royalty Exploration Corp (TNX - TSX, TRE - American),


Because of the recent increase in gold resources to 2.0 million ounces at the Company's newly-acquired, fully licensed for mining Buckreef Gold Project, Tanzanian Royalty has decided to expedite its proposed mine development program for the advanced stage project. In addition, the Company will accelerate exploration within target rich areas in order to increase the project's existing resource base.


The following update is part of a thorough review by the Company of previous work conducted by IAMGOLD Corporation on the Buckreef property prior to its acquisition by Tanzanian Royalty. This comprehensive technical review has increased our understanding of the geological controls at Buckreef along with the various styles and continuity of mineralization on the property.


"Based on what we see after the detailed technical review, I genuinely believe we can now significantly accelerate our expected gold production plans and simultaneously increase resources," said Jim Sinclair, the Company's President and CEO. "With the positive developments we are seeing today, we are confident in the potential to grow exponentially."


"We have already seen a 30% increase in our gold resources (see April 15, 2011 News Release) based on the improved economics of our project generated by higher gold prices," he added.


The aggressive exploration program the Company is planning will utilize additional drilling and testing equipment that has become available under its agreement with the State Mining Company of Tanzania.


As a result of these exciting developments, the Company has decided to consolidate its mining and exploration activities at the Buckreef site. All staff members in Mwanza will be relocated to the Buckreef Camp which already has significant infrastructure in place. This will allow the Company to concentrate resources, skills and experience, maximizing the potential of this extremely important asset.


The Company is also pleased to announce that the bulk sampling program at Kigosi has been completed and the sampling plant is being moved to Buckreef in conjunction with the purchase of new process equipment to accommodate the mining of gravel resources at all three of our major sites: Buckreef, Kigosi and Lunguya.


Expanded exploratory drilling to further increase resources will also continue at these and other company properties which all have exciting up-side potential. Tanzania has become one of Africa's fastest emerging gold producers and is now the continent's fourth largest gold producing country behind South Africa, Ghana and Mali. Large scale mines in the Lake Victoria Goldfields area surrounding Buckreef include Barrick's Bulyanhulu mine and Anglogold Ashanti's Geita mine.


Respectfully Submitted,


James E. Sinclair

President and Chief Executive Officer


For further information, please contact Investor Relations at 1-800-811-3855

Visit our website: http://www.tanzanianroyaltyexploration.com/">www.TanzanianRoyaltyExploration.com


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