VANCOUVER, Feb. 5 /CNW/ - Tanzanian Royalty Exploration Corporation
announces that Mr. James E. Sinclair has agreed to provide C$1 million by way
of a private placement with the proceeds being applied to general working
Mr. Sinclair has agreed to purchase 167,196 common shares at a purchase
price of $5.981 per share for proceeds totaling $1,000,000. The price reflects
the greater of the weighted average trading price of the Company's shares for
the five consecutive trading days ended February 4, 2008 of $5.981 and the
closing price on February 4, 2008 of $5.80.
In addition, Tanzanian Royalty advises that Mr. James E. Sinclair is
proceeding with the fourth tranche of the private placement announced on
August 10, 2006 whereby Mr. Sinclair agreed to purchase common shares of the
Corporation representing an aggregate value of $3,000,000. Such shares are to
be purchased in 8 quarterly tranches of $375,000 each, commencing February 1,
2007. The fourth tranche of the Placement will consist of 61,871 common shares
of the Corporation having a purchase price of $6.061 per share for proceeds
totaling $375,000. The purchase price reflects the greater of the 5-day
weighted average trading price of the Company's shares for the quarterly
period ended January 31, 2008 of $6.061 and the closing price on January 31,
2008 of $5.93.
The placement common shares are subject to certain mandated hold periods
and the certificates representing such shares are legended accordingly. No
warrants, options or other rights have been issued or granted in connection
with these placements.
The private placements are 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
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
more information concerning these risks, uncertainties, and other factors.
For further information:
For further information: Investor Relations at 1-800-811-3855; Visit our