Toro Energy Limited announced that diamond drill hole TED54 has extended the massive nickel sulphide mineralisation of the Dimma Discovery in Western Australia towards the surface with an intersection of approximately 6.2m of massive and semi-massive Ni-sulphide mineralisation from 192.6m downhole, inclusive of 4.5m of continuous massive Ni- sulphide mineralisation from 194.3m downhole. Above the massive Ni-sulphide, TED54 also intersected 12m of blebby Ni-sulphide, with individual sulphide accumulations up to 4cm in diameter, from 159m downhole. The massive Ni-sulphide mineralisation at the Dimma discovery now extends some 112m down-dip (apparent) over three drill holes, TED53, TED41 and TED42, with the recent intersection being the shallowest so far at approximately 166m from the surface.

Nickel grades within the massive sulphide zones are similar to the discovery intersections with hand held portable XRF (hh-pXRF) analyses suggesting a range of between 1.9 and 3.1% Ni. The Dimma Nickel Discovery is one of four massive and semi-massive Ni-sulphide discoveries at the Company's 100% owned Dusty Nickel Project, located in the Yandal Greenstone Belt, some 50km east of the world class Mt Keith Nickel Deposit. The aim of diamond drill hole TED54 was to test for upward extension of the massive Ni-sulphide intersected in the two holes responsible for the Dimma Ni-sulphide discovery, TED41 and TED42.

The TED54 drill hole successfully proved that the massive Ni-sulphide at Dimma continues up-dip for at least 41m (apparent dip only) with an intersection of 6.2m of massive and semi-massive Ni-sulphide from 192.2m downhole, inclusive of 4.5m of continuous massive Ni-sulphide from 194.3m downhole. This now means that the massive Ni-sulphide mineralisation at Dimma extends unbroken by drilling over 112m of dip extension (apparent) through TED54, TED41 and TED42 (shallowest to deepest). However, a further 12m thick (downhole) zone of blebby Ni-sulphide, with individual accumulations of sulphide up to 4cm in diameter, was intersected above the massive Ni-sulphide from 159m downhole.

Although it would need to be confirmed with geochemical and petrological analysis, hh-pXRF analyses combined with Toro's experience at the Dusty Discovery suggest that between the blebby Ni-sulphide and massive and semi-massive Ni-sulphide is a zone of low grade disseminated Ni-sulphide with smaller patches of barren komatiite. Together, from the start of the blebby Ni-sulphide to the base of the massive Ni-sulphide, the zone of Ni-sulphide mineralisation is up to 39m thick downhole, all within the komatiite. Multiple spot analyses using hh-pXRF suggests local nickel concentrations within the massive and semi- massive Ni-sulphide of between 1.9 and 3.1% Ni.

The blebby Ni-sulphide was also identified by hh-pXRF with spot analyses on the individual sulphide accumulations. It is important to understand that `spot' analysis of drill core by hh-pXRF should only be used as a guide, it is not a substitute for bulk geochemical analysis of drill or rock samples. contains information on the results of testing the hh-pXRF method against certified reference material and has all relevant drill hole details.

The massive/semi-massive Ni-sulphide intersection in TED54 is located in the same stratigraphic position as the only other two completed drill holes at Dimma, the discovery hole TED41 and the confirmation hole TED42, at or near to the base of the Dusty Komatiite. This is the same stratigraphic position as all of the three other massive and semi-massive Ni-sulphide discoveries on the Dusty Nickel Project to date, Jumping Jack, Houli Dooley and Dusty.