Tanzanian Royalty Exploration is pleased to announce that it has received an updated NI 43-101 compliant technical report from Venmyn Rand (Pty) of South Africa for its Kigosi Gold Project in northern Tanzania. The updated technical report provides a summary of all scientific and technical information accumulated for the Kigosi property and includes a confirmation statement of mineral resources.
In addition, the Company has negotiated a resource sharing joint venture for Kigosi with the State Mining Corporation (Stamico) of Tanzania that conforms with the government’s policy of direct participation in minerals industry projects.
The gross resource estimate for the Kigosi Gold Project of 586,391 ounces includes weight averaged Measured and Indicated resources for the Luhwaika and Igunda prospects of 12,859,909 tonnes grading 0.99 g/t gold, representing 408,091 troy ounces. The resource assessment also defines weight averaged Inferred Resources for these two prospects of 8,930,000 tonnes grading 0.62 g/t or 178,300 ounces.
The Kigosi Project is subject to certain license-specific underlying agreements that include option fees to the original property vendors. At the present time the net ounces attributable to Tanzanian Royalty for the Kigosi Project in all categories are 338,439 troy ounces. Upward adjustments will be made to this net resource figure as time sensitive option payments are made to the underlying property vendors.The Venmyn report will be posted on www.SEDAR.com. Tanzanian Royalty is delighted to announce that it has entered into a joint venture with Stamico that will enable the state corporation to earn a 15% carried interest in the Kigosi Project. The Company confirms the arrangement is consistent with the government’s expressed desire to generate greater economic benefits for its citizens by expediting and accelerating mining resource revenues. The joint venture with Stamico is consistent with Tanzanian Royalty’s longstanding policy of engaging the government as a fully carried partner in its entire portfolio of mineral prospects. Only a small percentage of the Kigosi Project has been explored in any detail, providing the joint venture with additional room for resource development along established mineral trends, the Company confirms.