The Wiluna uranium project is located in Western Australia, 30 km south of the town of Wiluna. The deposit is near-surface and calcrete-hosted allowing for a shallow strip excavation process with no blasting or drilling required. The maximum mining depth is expected to be 15 metres.
Toro Energy was the first company to obtain State and Federal environmental approvals for a Western Australian uranium project. The approvals received in 2013 included the Centipede and Lake Way deposits and the associated processing facility. Extensions to the State and Federal approvals to incorporate mining from the Millipede and Lake Maitland deposits have been approved.
Toro’s regional resource at Wiluna contains sufficient material to run the planned Wiluna mine for more than 20 years. An alkaline agitated leach technique has been proposed to process the ore and Toro has successfully completed a comprehensive metallurgical test work program including a trial mine and pilot plant.
Sandstorm’s royalty covers a portion of the Centipede and Millipede deposits, subject to production minimums prior to payability. A Measured and Indicated JORC Resource from 2012 estimates that Centipede and Millipede contain 21.7 million pounds of uranium oxide in 17 Mt of ore at a grade of 0.06% (0.02% cut-off).
Toro has initiated a study to consider additional costs associated with Lake Maitland, to a scoping level of confidence.
Toro is working to ensure that the Wiluna project is capable of being financed and brought into production when economic conditions justify its development. During the third quarter the Federal Government’s Minister for the Environment and Energy granted Wiluna environmental approval, subject to implementation conditions.
Toro announced during the second quarter that they have advanced Wiluna to the next stage of its Beneficiation and Process Design studies (“BPD Studies”). The results of the BPD Studies further confirm opportunities to reduce the capital and operating costs of the Wiluna processing facility that was used in the Scoping Study.