Tanzanian Gold Corporation (NYSEAMERICAN:TRX) (CVE:TNX) is moving a bit higher in the pre market session on Wednesday.

Major Trigger:

Positive Updated Metallurgical Test Work at the Buckreef Gold Project

Key Highlights:

announced that it has received updated and highly favourable metallurgical test results from the sulphide component of the Buckreef Gold Mine (Buckreef Gold) mineral resource.

As previously disclosed, SGS Canada Inc. (SGS) was retained to complete initial metallurgical test work at their Lakefield, Ontario facility on the sulphide component of the mineral resource, this work is now complete. As part of the study, three diamond core samples taken from the fresh rock (‘sulphide’ mineral resource) of the Buckreef Gold deposit (see figure on the subsequent page) were submitted to SGS for the study.

SGS will now be commissioned to undertake the metallurgical variability phase for Buckreef Gold which will encompass the first 5-7 years of production from the sulphide operation at Buckreef Gold. SGS has reviewed the information in the press release.

 Key Quote:

Mr. Stephen Mullowney, CEO (TanGold) commented, “The final initial metallurgical report confirms and adds to the positive metallurgical findings disclosed in February. We were very pleased with the recommended straightforward flowsheet and the fact that the samples tested did not exhibit any preg-robbing or other refractory characteristics. The samples were also not acid generating, confirming our approach of dry stack tailings going forward, which is much more environmentally friendly versus wet tailings. We look forward to working with SGS on variability testing for the sulphide feasibility study.”

 Market Reaction

As of 8:22, TRX is trading at $0.5189, up 2.37%. So far more than 14K shares have exchanged hands.