LOCATION AND ACCESS

Early exploration on Theseus Uranium Project (“Theseus”) in Western Australia has produced exceptional results, and as such further work is to be advanced in order to assess Theseus as potentially Toro’s second development project.

Theseus was discovered by Toro during a grassroots regional air core drilling program by the Company in 2009 when initial results highlighted the potential for sandstone hosted uranium mineralisation. Drilling in 2011 has confirmed the presence of significant uranium mineralisation which is potentially amenable to insitue leach recovery (“ISR”).

Figure 1:  Location of Theseus Project tenements.  
 

EXPLORATION TARGET

In late 2011, Toro identified an exploration target range of 20 to 40 million tonnes @ approximately 400 to 500 ppm for 22 million lbs to 44 million lbs U3O8# at the Theseus Project. Toro commenced an extensive drilling program in May 2012 with the objective of establishing an interim resource. The following are example intersections:

LP029: 2.76m @ 610ppm eU3O8 incl.1.44m @ 899ppm eU3O8 (2009 result)

LP177: 4.84m @ 829ppm eU3O8 incl.1.56m @ 2010ppm eU3O8 (GT 0.31%)

LM52: 3.44m @ 1321ppm eU3O8 incl. 1.34m @ 3070ppm eU3O8 (GT 0.41%)

LM60: 3.74m @ 1724ppm eU3O8 incl. 2.62m @ 2321ppm eU3O8 (GT 0.61%)  

#CAUTIONARY STATEMENT: The Exploration Target Range is conceptual in nature and there has been insufficient exploration completed to define this material as a Mineral Resource. There is no certainty that the further work referred to herein will result in the determination of a Mineral Resource. .

POTENTIAL ISR

The uranium mineralisation is in oxidised/reduced palaeosands between 100 -120 metres below the surface. The deposit is geologically similar to the Frome Embayment which hosts the Beverley and Four Mile uranium deposits.

Early Metallurgical test work (bottle roll method) has indicated that the uranium is leachable with extraction rates in excess of 95%. Most of the extraction occurs in the first two hours of leaching. The tests indicate a very low consumption of acid.

Figure 3:  Theseus Cross Section

 

FURTHER POTENTIAL

A total of 130 vertical mud rotary and air core holes have drilled and down hole gamma logged at the project to date and almost 50% of the holes (64 of 130) report a gamma, assay or PFN result greater than 0.5m @ 100ppm U3O8.

Deposit is open to the South, East and West and there are other positive regional drill results to be followed up. The 2012 drilling campaign will investigate these areas.