Ready To Mine In Tanzania With Tanzanian Royalty
December is almost over and so is tax loss selling time. In Canada, tax loss selling last day is December 24. A lot of mining companies have been hit real hard which of course is really crappy if you are a long holder. However for those who are in cash and looking to bottom feed, the feeding is plentiful. One company that has been hit particulary hard is Tanzanian Royalty Exploration TNX. It baffles my mind that the stock went below a dollar but it did. The stock traded most of the 2014 year with a $2.30 average but only in the last few weeks have shorters and tax loss sellers pushed the price down. This past week it's stock hit a low of 64 cents even as the company put out news on their website showing high grade ore being piled on to the new heap leach pad at Buckreef.
Tanzanian Royalty is not just an exploraton company. The company hold vast tracts of greenstone belt land in Tanzania Africa in the Victoria Lake area. It has 3 main projects that are advanced projects. These projects are the the Buckreef, the Kigosi Project and the Itetemia Gold Project. There is a total of 6 projects that hold NI 43-101 compliancy reports.
The most advanced project is the Buckreef Project. This project is located in north-central Tanzania immediately to the south of Lake Victoria and 110km southwest of Mwanza. The project area comprises the dormant Buckreef Gold Mine and four prospects with known mineralization: Buckreef, Buziba, Tembo and Bingwa. At present the company is building a new heap leach pad at Buckreef and has already started to stock pile high grade ore.
The Kigosi Project is located within the Kigosi-Miyabi and Ushirombo greenstone belts in northwestern Tanzania. The Kigosi-Miyabi granite-greenstone belt hosts small-scale artisanal workings at Luhwaika and Igunda both of which sub-crop intermittently along a strike length of approximately 4.8 kilometres in the Kigosi Project Area. Tanzanian Royalty has been actively exploring Kigosi since November 2005 following the receipt of a permit from the Ministry of Wildlife and Nature Conservation. During this intervening period, the Company conducted extensive exploration in the form of soil geochemistry, geophysics, RAB, RC and diamond drilling throughout the property. Three main prospects, Luhwaika, Igunda and Msonga, have so far been identified within the confines of the Kigosi Project Area. These all exhibit significant potential for the delineation of economic gold mineralization in the near future.
The Itetemia Gold Project is located 90km southwest of Mwanza in northern Tanzania. The project covers Archaean-age rocks equivalent to those hosting the world class Bulyanhulu and Geita gold deposits in the Lake Victoria Goldfields of Tanzania. The project area borders Barrick Golds Bulyanhulu mine and the main water supply and power lines that service the mine cross the Itetemia project. Exploration began at Itetemia in the period 1992 to 1995 and was undertaken by the State Mining Corporation of Tanzania (Stamico) which held the area as part of a larger license they were exploring at the time. Following the signing of a joint venture with Stamico in 1995, Tanzanian Royalty undertook line cutting, mapping, soil sampling, and ground geophysics. In February 1997 the GHR prospect was discovered by artisanal miners and provided the focus for work by Tanzanian Royalty over the following years. Towards the end of 2007, 2,543m had been drilled in 22 RC holes, and 10,209m in 41 diamond core holes at GHR.
Samples tested ranged in grade from 0.87 g/t gold to over 4.0 g/t gold; however, most of the samples ranged from 3 to 4 g/t gold. A majority of the test work focused on determining the gold extraction from coarsely crushed material. The particle size distribution was shown to be very significant in determining the overall gold extraction from the mineralized material. A standard bottle roll test was carried out on the sample material. A composite sample, grading 3.67 g/t gold, was crushed and finely ground as feed for the test. Following the test, the residue assayed 0.06 g/t gold, yielding an overall gold recovery of 98%.
Tanzanian Royalty has 100 million shares, is well financed and should be pouring gold in early 2015. This will enable the company to finance it's own needs and further it's exploration program.
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