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Toro Energy gamma probe results further extend Theseus Uranium Prospect

Toro Energy (ASX: TOE) has received promising results from gamma probe results which expand the Theseus Uranium prospect in Western Australia with the aerial extent now defined over an 8 square kilometre area.

Significantly, this aerial extent is larger than the combined footprint of comparable systems such as the various deposits of the Frome embayment in South Australia. The mineralisation trend remains open in all directions except to the northwest.

Potentiall economic tenor intersections with grade and thickness of greater than 1500 are continuing to be found.

Highlights include:

- 5.4 metres at 460 parts per million (ppm) uranium (eU3O8) [2464GT] from 107.93 metres in LP00194 using 100ppm eU3O8 cut off including 1.2m at 1145ppm eU3O8 from 109.5m using a 500ppm eU3O8 cut off;
- 1.6 metres at 982 ppm eU3O8 [1571GT] from 102.07m in LP00200 using 100ppm eU3O8 cut off including 1.1m @ 1316ppm eU3O8 from 102.3m using a 500ppm eU3O8 cut off.

The grade tenor at Theseus remains to be defined in detail.

Importantly, the mineralisation trend remains open in all directions except to the northwest.

Greg Hall, Toro managing director, said “the high grade gamma results from LP194 and LP200 are highly encouraging with greater than 1500GT results providing an early indication of potential economic grades of mineralisation in an in-situ recovery scenario.

"It is early days and we are yet to undertake flow tests or other key tests. However, the essential geological building blocks appear to be in place."

 The new gamma probe results for a further 12 holes, LP192 – LP203, are now available.

These include two holes returning results of economic interest (>1500GT, reported above), five returning mineralisation zones confirming the regional mineralised trend (>100ppm), four returning no significant intersection and one requiring re-drill due to completion issues.

A total of 31 aircore holes has now been drilled in the planned 60 hole program.

Over the past 10 days, the drill holes were spaced at a nominal 800m to 1.2 kilometres, designed to define the western and northern edges of the uranium mineralised system at Theseus.

This was essential, given the intersections in LP00194 of 5.36 metres at 460ppm eU3O8 [2464GT] and LP00191 of 9.06m @ 620ppm eU3O8 [5616GT] failed to close the mineralised system in this direction.

The aircore program will continue for another 2-3 weeks, moving this week to the yet to be drilled southern half of the prospect. A mud rotary drill rig has also been sourced and should be on site shortly.

The addition of a mud rotary drill rig for the program will accelerate drill production and allow important geological information to be collected.

This rig will drill intermediate holes between high grade intersections as well as assist in covering the full grid. Each mud rotary hole will be down-hole probed with a range of geophysical tools with results being used to build a detailed understanding of the prospect’s geology and mineralisation.

Aircore drilling will continue to test the discovery at 500 metres to 1 kilometre spacing to cover the original grid drill plan of 5km x 8km area.

On the most northern drill traverse, drill hole LP00200 was drilled as a twin of LP00199, when this hole was abandoned failing to intersect the basement.

The uranium intersection in LP00200 is nearly three times as high in grade as drill hole LP00199, indicating closer spaced drilling is essential to fully evaluate this prospect.

Toro has outlined the lithological and mineralogical association at Theseus saying that it is very similar to the 4 Mile and Beverley uranium deposits in South Australia which are currently being developed or are in production.

Both uranium deposits are amenable to In Situ Recovery (NYSEMKT:ISR) where slightly acidified water is pumped to depths of 150 metres through confined sand layers, extracting and transporting uranium to a surface processing plant.

Similarities can also be drawn to operating ISR mines in the US and Kazakhstan where uranium mineralisation is mined by ISR techniques.

The geological environment and the consistency of the mineralised zones at Theseus, albeit at an early stage, supports the possibility of ISR extraction methods as a potential development scenario - although the development scenarios and economics remain undefined at this time.