Toro raises $12.3m

Toro Energy is poised to further develop its flagship Wiluna uranium project after announcing on Monday it had successfully completed a $12.3 million capital raising. 

Spurred on by support from domestic and overseas investors, the rising uranium exploration company issued around 23 million fully-paid ordinary shares at 52 cents per share. 

Existing eligible shareholders will also have an opportunity to purchase new Toro shares at the same price, as part of a share purchase plan under which the company hopes to raise an additional $2 million. 

The successful capital raising comes on the back of Toro announcing on January 16 that it planned to extend its uranium vanadium processing operation at its Lake Maitland deposit, located 105 kilometres south-east of Wiluna. 

Proceeds from the $12.3 million capital raising will be put towards various drilling, sampling and exploration activities across the project's deposit sites. 

Toro executive chairman Richard Homsany told the market he was hopeful the company could benefit from uranium's global price rise, with spot uranium prices hitting more than $US100/pound last week.

"As global uranium markets continue to strengthen and public sentiment and government support align, Toro remains committed to developing the Wiluna uranium project to maximise its value," he said.

"With further work, Toro is confident its assets will emerge as attractive standalone mining projects and we very much look forward to the year ahead." 

Toro last traded at 50 cents per share, down 16 per cent, as of 3.55pm AEST.