Toro Energy Limited (ASX:TOE) Signs Letter of Intent with OZ Minerals (ASX:OZL) for the Termination of the Mt Woods Uranium Tenements Access Agreement

Sydney, Nov 18, 2011 AEST (ABN Newswire) - Toro Energy Limited (ASX:TOE) announce the execution of a Letter of Intent with OZ Minerals Ltd (ASX:OZL) for the termination of Toro's Tenements Access Agreement over EL4025, EL4132, EL4283, EL4390, referred to as the Mt Woods Project located in South Australia.

The Tenement Access Agreement granted Toro the right to explore and, under certain conditions, mine economic uranium discoveries. It also entitled Toro access to all exploration data and information collected by OZL on the tenements.

OZ Minerals has conducted major exploration programs at Mt Woods and, despite extensive drilling campaigns, no potentially economic uranium results have been reported from the Mt Woods Project. A review of the exploration data, by Toro, provides no indication or encouragement that additional exploration activity would improve the prospects for significant uranium discoveries on the Mt Woods group of tenements.

As part of Toro's ongoing prioritisation of exploration targets, especially since the exciting Theseus uranium discovery, the Toro Board has resolved to accept a $3.75m cash offer from OZ Minerals as consideration for the termination of the Tenement Access Agreement and related Novation Deed.

An Independent Expert has been engaged by Toro to review the Mt Woods transaction and the Toro Board will take their findings into account when calling a General Meeting for the purposes of seeking shareholder approval of the transaction as required under ASX Listing Rule 10.1.

Contact

Greg Hall Toro Energy Limited Tel: +61-8-8132-5600 Email: info@toroenergy.com.au http://www.toroenergy.com.au