The directors of Thor Mining Plc (“Thor” or the “Company”) (AIM, ASX: THR) are pleased to advise that high grade assay results from field sampling of the Colorado prospects have exceeded the criteria for the first milestone share issue to the vendors of American Vanadium Pty Ltd (AVU).
AVU holds interests in uranium and vanadium focussed projects in Colorado and Utah in the United States of America. The Company announced on 10 September 2020 completion of the acquisition of AVU:
Thor will now proceed with the issue of 18 million Ordinary Shares of 0.01p each, in full payment of the First Performance Payment, utilising available capacity under ASX Listing Rule 7.1.
· Field sampling by Thor during due diligence period showed assay results of high grade uranium (up to 1.25%U3O8) and vanadium (up to 3.47% V2O5)
· Criteria of 15 or more samples from three of more adits/shafts at Radium Mountain & Wedding Bell prospects returning grades >= 0.1% U3O8, or 1.0% V2O5, or equivalent, has been met.
Mick Billing, Executive Chairman of Thor Mining, commented:
“We are very pleased with the high grade assays from the initial sampling program conducted in Colorado.”
“Our next step with this project is likely to be a drilling program on a number of the Colorado targets, scheduled following the North American winter.”
PROJECT PERFORMANCE PAYMENTS
The acquisition agreement for AVU, as previously announced, includes a series of performance payments, of:
· First Performance – A$108,000 through the issue of 18,000,000 Ordinary Shares, on 15 or more samples from three of more adits/shafts at Radium Mountain & Wedding Bell prospects returning grades >= 0.1% U3O8, or 1.0% V2O5, or equivalent* within six months of execution of the Share Agreement – now met.
· Second Performance – A$252,000 through the issue of 42,000,000 Ordinary Shares on drilling ore grade intercepts from at least three holes from any deposits within the licences, at a product of grade and thickness of >= 0.4% U3O8, or equivalent*. For example, 4m @ 1,000ppm U3O8 or 1m @ 4,000ppm U3O8.
· Third Performance – A$252,000 through the issue of 42,000,000 Ordinary Shares on reporting a mineral resource in either the inferred, indicated or measured category (reported in accordance with the JORC Code, 2012 Edition) of, or equivalent* to 5million tonnes @ >= 0.1% U3O8, or 1.0% V2O5, or equivalent*.
* Uranium equivalent will be calculated taking into account, in addition to uranium, credits for vanadium making up part of the relevant polymetallic deposit that have a reasonable potential to be recovered and sold, according to a formula that will be used and published in accordance with clause 50 of the JORC Code.
Whilst not all samples detailed below are from adits or shafts as set out in the acquisition agreement, this proved impractical due to access restrictions to historical underground workings. The parties have agreed that those collected are representative of the project area and that the conditions of the first performance payment have been met.
Table A : Sample Assay Results Meeting Agreed Criteria (extract from report of 21 July 2020)
SHARE ISSUE AND DEALINGS
The Company will shortly issue 18,000,000 Ordinary Shares to settle the First Performance payment.
Application will be made for admission to trading on the AIM Market of the London Stock Exchange (“AIM”) for a total of 18,000,000 Ordinary Shares, which will rank pari passu with the Company’s existing issued Ordinary Shares. Dealings on AIM are expected to commence at 8:00am on or around 10 November 2020 (“Admission”).
TOTAL VOTING RIGHTS
For the purposes of the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules (“DTRs”), following Admission, Thor will have 1,512,704,800 Ordinary Shares in issue with voting rights attached. Thor holds no shares in treasury. This figure of 1,512,704,800 may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company, under the ASX Listing Rules or the DTRs.
The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
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