Tanzanian Royalty Exploration (Our Business) From Website
Tanzanian Royalty Exploration (T.TNX, NYSE-AMEX.TRX) is a unique, publicly-traded, financial gold company whose business strategy is to develop production revenue from advanced-stage gold, base metals and diamond exploration projects in the Lake Victoria Goldfields of Tanzania.
Some of the Company’s projects are being developed for its own account while other properties are subject to third party royalty agreements whereby the Company has positioned itself to receive royalty income after a project achieves commercial production.
In December 2010, the Company acquired a 55% interest in the advanced-stage Buckreef Gold Mine Re-Development Project which could see commercial production in 2014. Two other projects, Kigosi and Lunguya, have potential to host surface gravel deposits with commercial gold potential. Buckreef is also known to host gold-bearing gravels of economic interest along with potentially economic tailings from previous underground mining operations. However, the economic viability of these gravel deposits will first need to be established with test plants employing gravity separation techniques that can be expanded for commercial purposes by adding on new production modules.
Tanzanian Royalty’s mineral assets are strategically located in the Lake Victoria Greenstone Belt of Tanzania – one of the most prolific gold producing regions in the world. Established producers in this belt rank within the lowest percentile globally in terms of cash production costs.
Our gold production development strategy and royalty agreements offer investors significant, low-risk leverage to gold prices, limited shareholder dilution, and the potential to have their shares valued at a premium in the marketplace.
The Company’s long history in Tanzania, the strategic location of its Lake Victoria properties, coupled with its strong in-house technical capability and capacity to identify and acquire high quality projects in a timely manner, distinguishes Tanzanian Royalty from its competitors. They also provide an asset base for the Company’s in-house development programs and royalty strategy to unfold.
One of the Company’s greatest strengths is its ability to select, acquire and value-add exploration projects for its own account and for mineral industry partners under royalty agreements. With that objective in mind, we develop geological models internally, find projects that fit these models, confirm the validity of the models on the ground and then acquire the necessary land position for further evaluation. Buckreef and Kigosi are examples of projects acquired for in-house development while the Company’s nickel assets in the Kabanga region and the Itetemia Gold Project near the Bulyanhulu Gold Mine in Tanzania are examples of royalty agreements.
For additional information regarding royalty agreements please click on the following link: Explanation of Royalties