The Board of Thor Mining Plc (“Thor”) (AIM, ASX: THR) is pleased to announce that further to the announcements made on 28 March 2018 and 19 April 2018, ministerial approval has now been received for Thor’s acquisition of interests in the tungsten, copper, and vanadium hosted Bonya tenements adjacent to the Molyhil mine project in the Northern Territory of Australia.
· Thor acquiring 40% interest in exploration licence EL29701 which hosts 13 outcropping tungsten deposits from Rox Resources Limited (“Rox” ASX: RXL);
· Exploration licence also hosts Bonya copper deposit with exciting previous drilling results;
· Exploration licence also hosts Jervois vanadium/titanium deposit with high grade vanadium drilling results;
· Thor acquiring from Rox a 100% interest in exploration licence EL29599 considered prospective for copper mineralisation;
· Project area combined exploration target* of 3.0 – 4.9 million tonnes @ 0.3% – 0.5% WO₃;
· Total consideration of A$550,000 in Thor shares, subject to 90day trading restriction;
*Exploration Targets are conceptual in nature and there has been insufficient exploration to define a Mineral Resource under the JORC Code and it is uncertain if further exploration will result in the determination of a Mineral Resource.
Mick Billing, Executive Chairman, commented:
“This is outstanding news for the Molyhil development. The potential to increase both the scale and the life of the proposed Molyhil operation is very exciting. The proximity of the Bonya deposits to Molyhil should add significantly to the projected economic returns, dovetailing with our commercialisation strategy for Molyhil. In addition to robust levels of tungsten, it is encouraging that the assay results showed low levels of potential penalty elements and overall coarse grain mineralisation, potentially simplifying processing.”
“We plan to drill some of these deposits as soon clearance is achieved. Provided some of these known prospects mature, along with others which we expect to find and develop, it is more than likely that Molyhil production life and throughput volume should increase substantially.”
“The potential for small but high-grade copper deposits, including the Bonya copper deposit is also very attractive with the proposed processing plant at Molyhil also suitable for copper flotation”
“Jervois vanadium / titanium historical drilling programs have resulted in very high grade assays, and we plan to review this very exciting opportunity in the coming weeks. Global vanadium pricing has moved up aggressively over the past few weeks, with Argus Metals quoting the latest price for vanadium contained within ferro vanadium delivered Rotterdam at US$100,000/tonne at 20 September 2018.”
The Bonya Project location plan can be accessed via the Company’s website:
Agreement Structure and Commercial Terms
Under the terms of the agreement, Thor for consideration of A$550,000 in fully paid Thor shares, acquires;
· a 40% interest in Exploration Licence EL29701; and
· 100% interest in Exploration Licence EL29599.
The consideration shares are to be valued according to the average of the 5 day VWAP (volume weighted average price) on ASX for the 5 days preceding execution of the terms sheet and the 5 day VWAP for the 5 days preceding satisfaction of all conditions precedent to the sale. The issue of these securities is expected to be within existing approval levels under ASX listing rule LR7.1.
It is expected that these consideration shares will be issued within the next five working days.
A Joint Venture Agreement currently exists between Rox and Arafura Resources Limited (“Arafura”) (ASX:ARU). Thor and Arafura are working towards execution of a Deed of Assumption under which Thor agrees to be bound by the provision of that agreement.
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