TORO Energy Limited - Increases regional Wiluna uranium resource 25% with acquisition of 70% of Nowthanna deposit in WA
TORO INCREASES REGIONAL WILUNA URANIUM RESOURCE 25% WITH ACQUISITION OF 70% OF NOWTHANNA DEPOSIT IN WA
The Directors of Toro Energy Ltd ("Toro", ASX code, "TOE") are pleased to announce the execution of a non-binding term sheet with a group of vendors led by Impact Minerals Ltd and including CITIC Nickel Pty Ltd, Talbot Group Investments Pty Ltd, Spar Resources Pty Ltd, John Rowntree and Teddy Pty Ltd (Collectively, "the vendors", for the purchase of two exploration tenements, E51/1072 and E51/1075, (" the Nowthanna Tenements") 50km south of Meekatharra and about 150km west of Toro's Wiluna Uranium Project in Western Australia.
Highlights
- Toro Energy Ltd ("Toro") has signed a non-binding term sheet to acquire from a group of vendors two exploration tenements covering approximately 70% of the Nowthanna uranium deposit near Meekathara in Western Australia. Purchase price is A1.3 million in cash and 10 million Toro shares
- On a 100% basis, the Nowthanna deposit has Inferred Resources prepared in accordance with the JORC code of 10.37Mt @ 446ppm U3O8 for 4,600t (10.1Mlb) of contained U3O8 at a 200ppm cut-off grade.
- Toro is acquiring two of the three tenements that cover this deposit. These tenements encapsulate approximately 70% of the resource, or net to Toro of 7.39 Mt @ 450ppm U3O8 for 3,350t (7.4 Mlb) of contained U3O8 at a 200ppm cut-off grade, equating to an approximate purchase price of $0.28 per lb at current Toro share price.
- This represents a 25% increase to 37.10 Mt @ 464ppm U3O8 for 17,220t (38.0 Mlb) of contained U3O8 at a 200ppm cut-off grade in Toro's regional uranium prospective Wiluna footprint. Toro is currently undertaking a full update to its Wiluna Project and regional resources, expected to be completed in August.
- This acquisition follows similar transactions by Toro in the past 12 months that secured uranium tenements in WA from U308 Limited, MPI Nickel Pty Ltd (a subsidiary of Norilsk Nickel Australia Pty Ltd, transaction in process) and the Minerals and Metals Group - and all of which host either uranium resources or defined uranium mineralisation.
The information in this statement relates to Mineral Resources at the Nowthanna deposit is based on information compiled by Ian Glacken who is a Member of the Australasian Institute of Mining and Metallurgy. Ian Glacken is a full-time employee of Optiro, and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Glacken consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.
For further information please refer to the attached Toro ASX Announcement.