Record High Gold Values Reported by Tanzanian Royalty From RC Drill Program at Kigosi Project in Tanzania



    Trade Symbol:
    TSX: TNX
    AMEX:   TRE

    VANCOUVER, Nov. 26 /CNW/ - Tanzanian Royalty is pleased to announce that
a Phase 4 Reverse Circulation (RC) drill program has returned record high gold
values at the Company's Kigosi Project in Tanzania. In addition, the Company
has discovered a seventh gold bearing shoot containing encouraging values
within one of two previously established shear zones on the Kigosi property
which is located in the prolific Lake Victoria Greenstone Belt.
    According to Tanzanian Royalty President, John Deane, the Phase 4 drill
program "has produced the highest gold grades yet discovered at Kigosi with a
peak value of 101.25 g/t gold (3.0 oz/t) returned over 1.0 metre in Hole
KG20RC271 within the Bateleur gold shoot."
    Deane also noted that this particular sample had excellent
"repeatability" during the umpire assay verification process at the Humac
laboratory in Mwanza, Tanzania with values recorded of 177.0 g/t (5.1 oz/t);
143.77g/t (4.2 oz/t) and 153.75g/t (4.5 oz./t). The averaged value from the
Humac laboratory for this particular sample is 158.17g/t (4.4 oz/t), he added.
    Hole KG20RC-270 returned 4.0 metres (13.1 ft) averaging 11.32 g/t (0.33
oz/t) including 2.0 metres (6.56 ft.) grading 18.03 g/t (0.526 oz/t) within
the Main Zone. While KG20RC-271 returned 9.0 metres (29.5 ft.) grading
11.93 g/t (0.35 oz/t) including the value mentioned above of 1.0 metre (3.28
ft.) averaging 101.25 g/t (3.0 oz/t) which was also in the Main Zone. The
Company elected to utilize the more conservative 101.25 g/t value for these
intercepts rather than the average of the check assays which was substantially
higher.
    The new Goshawk shoot, which is contained within the Luhwaika Main Shear
zone immediately above the Bateleur shoot, produced gold values ranging
between 7.15g/t (0.21 oz/t) and 35.70g/t (1.0 oz/t).
    In less than one year, Tanzanian Royalty has confirmed the presence of
seven high grade gold shoots at Kigosi including the recent Goshawk discovery
which remains open to further expansion.
    "Given the high frequency of favourable results from Kigosi, we are
developing specific exploration milestones for this project which at the
present time we intend to pursue in-house rather than through our standard
royalty agreements which has largely been the case in the past," said the
Company's Chairman and CEO, Jim Sinclair.
    "In our view, Kigosi has the potential to become a world class gold
discovery and we intend to make it the most aggressively explored precious
metals project in Africa over the next few years," he said.
    "With that objective in mind, a number of financing options are open to
us to exploit the potential at Kigosi - both internally and externally - and
we are currently evaluating which option(s) will be best for shareholders," he
said.
    The Phase 4 drill program consisted of 62 holes aggregating 3,284 metres,
bringing the total drilled at Kigosi to 13,299 metres in 311 holes. Drilling
was conducted along five control lines with a central baseline having a strike
length of 2.8 kilometres.
    The primary objective of this fourth phase of drilling was to test the
strike continuity of the Luhwaika reef system to the northwest on two 200
metres spaced lines, and to drill infill holes down-dip and along strike of
mineralization identified in previous drilling in the northwest area. Drill
hole spacing was 30 metres.
    The two shear zones hosting these gold shoots have now been traced along
a strike length of 1.6 kilometres with the current drilling and they are still
open towards the northwest. The shoots within these shear zones now have
lengths ranging from 100 to 1,300 metres.
    Deane also pointed out that "the Luhwaika Main Shear Zone definitely has
the thicker and higher grade shoots, namely the Falcon, Bateleur and Goshawk."
    Below is a summary of the shoot statistics.

    
    -------------------------------------------------------------------------
                           No. of
                   Shoot     RC   Length  Width Thickness   Grade
    Shear System   Name    holes    (m)    (m)     (m)      (g/t)   Comments
    -------------------------------------------------------------------------
    Luhwaika Main  Falcon     7   +/-850  10-20    1-2    2.59-8.83  Closed?
    -------------------------------------------------------------------------
    Luhwaika Main  Bateleur  16  +/-1300  10-20    1-3  1.99-101.25  Closed?
    -------------------------------------------------------------------------
    Luhwaika Main  Eagle      7      450  10-20    1-2    2.10-6.65  Closed
    -------------------------------------------------------------------------
    Luhwaika Main  Goshawk    4      650     10    1-2   7.14-35.70  Open to
                                                                      west
    -------------------------------------------------------------------------
    Luhwaika West  Flamingo   3      300     10      1    3.96-4.46  Closed?
    -------------------------------------------------------------------------
    Luhwaika West  Pelican    7    1000?  10-30    1-2   2.77-16.46  Open to
                                                                      west
    -------------------------------------------------------------------------
    Luhwaika West  Albatross  1  greater      ?      1        20.30  Open to
                                than 100                              west
    -------------------------------------------------------------------------

    The shoots are separated by lower grade (less than 2g/t) envelopes that
are between 10 and 30 metres wide along the plane of the shear zones. A
summary of the Phase 4 drill highlights is given below:

    -------------------------------------------------------------------------
                                    (*)Intercept  Gold
    Hole No      From (m)    To (m)      (m)       g/t   Including  Comments
    -------------------------------------------------------------------------
    Line 2150N
    -------------------------------------------------------------------------
    KG20RC-250      9         12          3       1.89     1m@   West Zone
                                                            4.66     in shoot
    -------------------------------------------------------------------------
    KG20RC-252     36         37          1       3.96              West Zone
                                                                     in shoot
    -------------------------------------------------------------------------
    KG20RC-256     69         72          3       0.74              West Zone
    -------------------------------------------------------------------------
    Line 2250N
    -------------------------------------------------------------------------
    KG20RC-262      2          4          2       3.09               gravels
    -------------------------------------------------------------------------
    KG20RC-263      2          5          3       1.24               gravels
    -------------------------------------------------------------------------
    KG20RC-264     77         78          1       0.51              Main Zone
    -------------------------------------------------------------------------
    KG20RC-265     13         16          3       1.81              Main Zone
    -------------------------------------------------------------------------
    KG20RC-266     25         30          5       0.75              Main Zone
    -------------------------------------------------------------------------
    KG20RC-267     38         39          1       1.86              Main Zone
    -------------------------------------------------------------------------
    KG20RC-268     48         50          2       7.14              Main Zone
                                                                     in
    -------------------------------------------------------------------------
    KG20RC-270      2          5          3       0.44               gravels
    -------------------------------------------------------------------------
                   72         76          4      11.32     2m@   Main Zone
                                                            18.03    in shoot
    -------------------------------------------------------------------------
    KG20RC-271     84         93          9      11.93     1m@   Main Zone
                                                           101.25    in shoot
    -------------------------------------------------------------------------
    KG20RC-272     96         98          2       1.82              Main Zone
    -------------------------------------------------------------------------
    KG20RC-273      5          6          1       2.90                 gravel
    -------------------------------------------------------------------------
    KG20RC-276      4          7          3       6.82                 gravel
    -------------------------------------------------------------------------
    Line 2450N
    -------------------------------------------------------------------------
    KG20RC-280     84         86          2      18.16     1m@   Main Zone
                                                            35.70    in shoot
    -------------------------------------------------------------------------
    KG20RC-283     38         40          2       1.27              West Zone
    -------------------------------------------------------------------------
    KG20RC-284     58         60          2      14.11     1m@   West Zone
                                                            27.75    in shoot
    -------------------------------------------------------------------------
    Line 2650N
    -------------------------------------------------------------------------
    KG20RC-296     20         21          1       6.12              Main Zone
                                                                     in shoot
    -------------------------------------------------------------------------
    KG20RC-297     27         28          1       5.43              Main Zone
                                                                     in shoot
    -------------------------------------------------------------------------
    KG20RC-298     37         39          2       5.00              Main Zone
                                                                     in shoot
    -------------------------------------------------------------------------
    KG20RC-310     68         69          1       8.16              Main Zone
                                                                     in shoot
    -------------------------------------------------------------------------
    KG20RC-311     79         81          2       1.21              Main Zone
    -------------------------------------------------------------------------
    Line 2850N
    -------------------------------------------------------------------------
    KG20RC-303     10         13          3       0.99                gravels
    -------------------------------------------------------------------------
    KG20RC-306     48         50          2       0.88              Main Zone
    -------------------------------------------------------------------------
    KG20RC-308     67         68          1       1.78              Main Zone
    -------------------------------------------------------------------------

    (*)The above intersections are estimated to be very close to true
    thicknesses with all the drill inclinations being -60 degrees and the dip
    of the reef being -22 degrees. All holes are drilled perpendicular to the
    assumed strike of the reef(s).
    

    The fifth phase of drilling has commenced at Kigosi with the Company
continuing to drill out the two main reefs to the northwest and southeast. In
anticipation of the rainy season, the Company is currently drilling areas that
will likely not be accessible for much longer.
    In addition, the road network into Kigosi has been upgraded to facilitate
access into areas that are scheduled to be drilled during the rainy season.
Critical supplies for this Phase 5 program are on site and the Company intends
to bring in a track-mounted diamond drill to augment the aggressive drill
program at Kigosi which is entering a critical phase.
    The next phase of drilling will therefore concentrate on the Luhwaika
Main and West Shears to the northwest. Two lines will also be drilled in the
southeast of the system where IP and previous drilling suggest that the two
shear systems are merging to form one system. A further 2,500 metres of
drilling is planned during this next phase, all of which should be completed
in the 2007 drill season.

    Analysis

    Fire assay with flame AAS finish was conducted by SGS Laboratories in
Mwanza. Duplicates and Standards were inserted in the sample stream
approximately every 20 samples. The duplicates have a correlation coefficient
of 66.7%, which is accounted for by the large nugget effect within the
sampling. 15% of the standards from SGS fall outside the acceptable 3rd
standard deviation. Because of this, 95% of the high gold samples were sent to
Humac as a check. The Humac fire assay results gave a 94.5% correlation with
the SGS results, and this is considered acceptable. The figures used in this
press release are the average grades taken for between one and three
duplicates run by the labs on each analysis.

    Qualified Person

    The technical information contained in this document has been reviewed
and approved by John Deane, President, Tanzanian Royalty Exploration
Corporation Limited, a qualified person as defined by NI 43-101. He has an
M.Sc. from the University of Cape Town (1993) and is a registered scientist
with SACNASP (Reg. No.400005/05).

    Respectfully Submitted,

    "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 U.S. Investors - The United States Securities and
Exchange Commission permits U.S. 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 U.S. registered companies from including in their
filings with the SEC. U.S. 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.

    Certain information presented in this release may constitute
"forward-looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995. Such forward-looking statements are based on
numerous assumptions, and involve known and unknown risks, uncertainties and
other factors, including risks inherent in mineral exploration and
development, which may cause the actual results, performance, or achievements
of the Company to be materially different from any projected future results,
performance, or achievements expressed or implied by such forward-looking
statements. Investors are referred to our description of the risk factors
affecting the Company, as contained in our Form 20-F, File No. 0-50634, for a
more information concerning these risks, uncertainties, and other factors.





For further information:

For further information: Investor Relations at 1-800-811-3855; Visit our
website: www.TanzanianRoyaltyExploration.com

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TANZANIAN ROYALTY EXPLORATION CORPORATION

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