HIGHLIGHTS
· Molyhil Tungsten and Molybdenum Project (Australia): Completion of an upgraded Definitive Feasibility Study (DFS) demonstrated; a low capital investment, and operating costs in the lowest quartile, driving attractive returns and a very early return on capital.
· Completion of the acquisition of an interest in the nearby Bonya tenements with 13 outcropping tungsten deposits, plus the small Bonya copper resource, providing significant potential to extend the profitable life of the proposed Molyhil operation.
· Pilot Mountain Tungsten Project (USA): Scoping Study released in September 2018, indicates potential for a profitable 12-year mine life, while a revised mineral resource estimate boosted tungsten resources, and included zinc for the first time.
· Kapunda Copper (Australia): Substantial CRCP research grant for the Australian Commonwealth Government, along with demonstration of project proof of concept.
REVIEW OF OPERATIONS
COMMODITY PRICES
Tungsten pricing fell by approximately 20% early in the half year, then settled at between US$260/mtu and US$270/mtu. Despite this reduction the Molyhil project remains very well positioned with expected production costs of US$90/mtu, in the first quartile of global production costs. Molybdenum pricing has maintained the gains made in early 2018, and continues to sit in the US$11/lb to US$12/lb range.
Molyhil Tungsten/Molybdenum project (NT, Australia) (100% Thor)
The Molyhil project is located 220 kilometres north-east of Alice Springs (320km by road).
In August 2018, Thor announced an updated definitive feasibility study DFS for its wholly-owned Molyhil tungsten project, with robust outcomes.
A full background on the project is available on the Thor Mining website www.thormining.com/projects .
Table A. Molyhil DFS Key Features (announced 23 August 2018)
http://www.thormining.com/-/thor/lib/docs/asx%20releases/20180823%20ASX%20Molyhil%20DFS.pdf
Bonya (Tungsten, Copper, Vanadium)
Thor completed the acquisition of an interest in the Bonya licence area close to Molyhil during the period. An initial drilling program is expected to commence March 2019.
During the period, the Company announced a maiden resource estimate for the Bonya copper deposit of 230,000 tonnes, grading 2.0% Copper (Cu), containing 4,600 tonnes of copper.
Full RNS Update Link Here http://share-talk.co.uk/announcements/rns/thor-mining-plc/half-year-report/201902281231274194R
