Ann: Major Uranium Grade Increase at Wiluna Proje, page-2

re: Ann: Major Uranium Grade Increase at Wilu... MAJOR INCREASE IN TOTAL GRADE OF
FLAGSHIP W.A. URANIUM PROJECT
• 31% increase in uranium resource grade
• Significant improvement in project economics expected
Further to the recent ASX release on the Centipede Deposit, Toro
Energy Limited (“Toro”, ASX code “TOE”) is pleased to report that the
Lake Way uranium resource has had a similar significant resource grade
increase. Centipede and Lake Way are 100% Toro-owned deposits
located 12km apart that together make up the Wiluna Uranium Project
in Western Australia.
New grade estimates for Lake Way show a 34% improvement in the
deposit’s grade to 543 parts per million (ppm) U3O8 from the previous
estimate of 404 ppm released in May last year.
Combined with the Centipede upgrade announced recently, this has
now indicated an overall 31% rise in the average grade of the total
Wiluna Uranium Project along with 2% higher metal content.
Wiluna’s new total resource has increased to 20.21 million tonnes @
548ppm (0.055%) U3O8 for 11,070 tonnes (24.4 million pounds) of
contained uranium oxide compared to the previously reported
resource of 25.83 million tonnes @ 419ppm U3O8 for 10,835 tonnes
(23.89 million pounds), both at 200ppm cut-off grade.
This resource now includes for the first time a portion of Measured
resource (Table 1, below) where detailed drilling of 25m grid spaced
holes over an area 200m square was undertaken, which greatly
increases Toro’s confidence in the continuity of mineralisation.
With the project’s across-the-board increase in uranium grade
estimates, the tonnage of ore requiring processing for the same
production output will substantially decrease. This is expected to
result in a significant improvement in the economics of the
Wiluna Project, as outlined in the Pre-feasibility study announced last
September and highlighted in the Optimisation Study targets (Table 2).
Toro believes the Company is well on the way to achieving its outlined
targets, with the full impact of this to be calculated as part of the
Optimisation Study Report in the third quarter 2009.
ASX Release
12 June 2009


Very nice.