Tanzanian Royalty Announces New Gold Discovery on License Held Under Option by MDN Northern Mining

Vancouver, Canada (ots/PRNewswire) - The Company is delighted to
announce that one of its royalty partners, MDN Northern Mining, has
discovered a brand new gold occurrence on a prospecting license held
under option from Tanzanian Royalty Exploration in the Tulawaka
region of Tanzania.

"This is the third discovery in this region by MDN which is a
testament to their skills as explorers and project operators," said
Jim Sinclair, Chairman and CEO of Tanzanian Royalty Exploration.

"We are delighted to have MDN as royalty partners and look forward
to them achieving the same success on our licenses as they did at
the nearby Tulawaka Mine."

The Isozibi discovery is located about 17 kilometres northwest of
the Tulawaka Gold Mine (Barrick 70%/MDN 30%) process plant. At the
present time it is known to extend for approximately 1.0 kilometre
along strike and across a width of 0.9 kilometres.

This previously unknown gold occurrence is associated with
fracture zones in iron formations, a particularly attractive
environment for the emplacement of gold deposits.

The discovery was tested by seven drill fences comprising 26 drill
holes for a total of 2,582 metres. All holes were sited to ensure a
complete overlap of specific targets. Drill fences were spaced
approximately 200 metres apart and the holes were angled at 60
degrees from the horizontal to an average depth of 70 metres in
areas of gentle relief, and 140 metres on the hill slopes.

A reverse circulation (RC) drill rig was utilized for the drill
program which precludes the accurate determination of true width and
orientation of the mineralized intersections.

The most significant drill intersections from this initial drill
program are listed in the following table:

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Hole number Interval (m) Length (m) Gold (g/t)
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ZBRC-01 46-47 1.0 1.01
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ZBRC-03 03-04 1.0 2.97
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ZBRC-05 21-22 1.0 1.87
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ZBRC-16 47-49 2.0 1.02
-------------------------------------------------------------------------
ZBRC-16 73-75 2.0 4.40
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ZBRC-18 47-48 1.0 1.75
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ZBRC-26 16-17 1.0 3.25
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23-25 2.0 1.46
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29-30 1.0 3.55
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According to MDN Mining, "This new occurrence is being included in
the follow-up drilling program planned to further investigate the
gold mineralization discovered in other locations close to Tulawaka
last year."

Analysis

Samples from this program were prepared and analyzed by Humac
Laboratories in Tanzania. Duplicates, commercial standards and blanks
were inserted into the sample stream and all were reported within
acceptable limits.

Qualified Person

The drilling program was carried out under the direction of
Geologist Brian Lloyd and supervised by Carlos Bertoni, P.Geo., a
Qualified Person under NI 43-101.

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.

Trading Symbols:

TSX: TNX

AMEX: TRE

ots Originaltext: Tanzanian Royalty Exploration Corporation
Im Internet recherchierbar: http://www.presseportal.de

Contact:
For further information: please contact Investor Relations at
+1-800-811-3855. Visit our website:
www.TanzanianRoyaltyExploration.com; To request a free copy of this
organization's annual report, please go to http://www.newswire.ca and
click on Tools for Investors.