Toro Energy plans strategic integration to elevate Lake Maitland uranium project
Toro Energy (ASX: TOE) says its ongoing “extension study” for the proposed Lake Maitland uranium-vanadium operation in Western Australia continues to identify significant potential at a time when global uranium prices are soaring.
The new study follows up on the promise identified in a previous scoping study and has identified meaningful upside through the inclusion of its nearby uranium resources at Lake Way and Centipede-Millipede.
The study is being undertaken by mining engineers at SRK Consulting Australasia.
SRK and metallurgical and processing engineers at Strategic Metallurgy prepared the scoping study for Lake Maitland that highlighted the project’s potential to deliver robust financial returns.
Extended project life
Notably, the Lake Maitland scoping study did not include any mineral resources from Toro’s other wholly-owned uranium deposits located in the broader Wiluna uranium project in its proposed production schedule.
New assessments suggest that adding reserves to the Centipede-Millipede and Lake Way deposits could lead to increases in the mine life, total production and revenue, adding considerable value to the entire project.
A future updated scoping study for the entire Wiluna uranium project is expected to incorporate all of the Centipede-Millipede and Lake Way data in addition to Lake Maitland.
Executive chair Richard Homsany said that, alongside the extension study, Toro is also continuing pilot plant design work for the project located approximately 105 km south-east of the Wiluna township and 730 km north-east of Perth.
“We are pleased that strengthening uranium market conditions continue as we develop and seek to maximise the value of the Wiluna uranium project, especially our evaluation of extending our Lake Maitland uranium-vanadium processing operation to include materials from our nearby 100%-owned uranium deposits, Centipede-Millipede and Lake Way,” Mr Homsany said.
“The uranium resources at Lake Way and Centipede-Millipede are strategically located and considerable and need to be thoroughly evaluated for viability,” he added.
“The inclusion of additional material into the Lake Maitland uranium vanadium processing operation has the strong potential to add significant value to the Wiluna uranium project.”
Production schedule boost
Mr Homsany said Toro is aiming to boost the production schedule at Lake Maitland and to assess the potential to extend the project’s processing of high-grade uranium resource well beyond the 7th year of production.
“Global uranium markets continue to strengthen and fundamentals remain strong,” said Mr Homsany.
“Toro’s current and planned development activities at Wiluna will significantly build upon the excellent Lake Maitland scoping study outcomes.”
“Toro remains committed to developing the Wiluna uranium project to maximise its value when both government policy and uranium markets align,” he added.