http://www.tanzanianroyaltyexploration.com/s/ChairmansCorner.asp?ReportID=446600&_Type=Chairmans-Corner&_Title=Loaning-Shares-to-Opposition-Will-Only-Hurt-Yourself

March 09, 2011
Loaning Shares to Opposition Will Only Hurt Yourself
Author: Jim Sinclair

Dear Friends:

Many of you have received solicitations to borrow your debt free TRE shares. This request has come from brokers for a fund that had sold (shorted) over 6,000,000 shares - without the immediately ability to make delivery. At the same time another fund has purchased about 9,000,000 shares.

As your company's trading volume grows, some hedge funds play a short junior/long major OTC derivative without discrimination (other than volume) with respect to the situation they short.

You can review the accomplishments of TRE/TNX by checking out the web presentation of our Annual General Meeting, followed by the Question & Answer period, on our corporate website at: www.tanzanianroyalty.com.

There are FOUR specific things I would like to emphasize in this particular missive:

1/ First of all, I want to encourage you not to lend your shares to the opposition who is frankly being pressed to borrow. You will only hurt yourself by doing so.
2/ Next, I strongly recommend that you go to our corporate website to obtain an update on what your company has become.
3/ Everyone should be grateful to the Geier Fund for their confidence in our future prospects and their investment in us which is formidable to say the least!
4/ Although technical analysis can be read differently between analysts, I would like to call your attention to a 5 year Cup & Handle that has been building in our stock.

Respectfully,

Jim Sinclair