REG - Thor Energy PLC - Quarterly Activities and Cash Flow Report
30/01/2024 07:00
For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240130:nRSd2677Ba&default-theme=true
RNS Number : 2677B Thor Energy PLC 30 January 2024
30 January 2024
Thor Energy PLC
("Thor" or the "Company")
Quarterly Activities and Cash Flow Report
September to December 2023
Highlights Outlook for next quarter (31 March 2024)
URANIUM & VANADIUM
Wedding Bell & Radium Mountain, Colorado, USA
Vanadium King, Utah, USA
· Completion of 23 RC drillholes, totalling 2,737m at Section 23, Rim Rock · Uranium and vanadium assay results from the Wedding Bell and Radium
and Groundhog, Wedding Bell Project Mountain drilling program
· High-grade uranium up to 6885ppm (0.69%) eU(3)O(8) intercepted. · Maiden drilling at Vanadium King Project
· Uranium spot price breaks through US$100/lb, 16-year high · Preparation for resource drilling at Groundhog, Rim Rock, and Wedding
Bell Projects
COPPER - RARE EARTH ELEMENTS (REE)
Alford East, SA, Australia
· Thor acquired 80% interest in the Alford East Copper Oxide Project (Figure · Completion of new constrained 3D ANT and mineralisation models
1) from Spencer Metals Pty Ltd
· Hydrogeology In-Situ Recovery ("ISR") assessment continuing
· Ambient Noise Tomography ("ANT") surveys completed in collaboration with
Fleet Space Technologies
· Preliminary 3D ANT model highlights low velocity zones representing deep
structural troughs hosting copper-REE-gold mineralisation
· 72.2% copper recoveries from hydrometallurgical Mini Column Tests (MCT's)
on drill samples from 21AED05
EnviroCopper ("ECL") (now via 26.4% equity holding)
· Andromeda Agreement to transfer ownership of EL5984 to ECL was finalised
· Alligator Energy invested an initial A$0.9m for 7.8% of ECL
Kapunda, SA, Australia
· Site Environmental Lixiviant trials ("SELT") underway
Alford West, SA, Australia · Copper-gold recoveries from lixiviant trials
· Modelling of geophysical data including ANT and seismic data
· Continuing to assess the amenability of Alford West for ISR
GOLD/NICKEL
Ragged Range, Pilbara region, WA Australia
· Seeking divestment or joint venture partner
Nicole Galloway Warland, Managing Director, Thor Energy Plc, commented:
"Finishing the year with consistent high-grade uranium results from our 2023
drilling program highlights the significant potential and exciting growth
opportunities of our Wedding Bell and Radium Mountain uranium projects. We are
now preparing for an exciting 2024 drilling program, including resource
drilling, and continuing brownfields exploration over our highly prospective
projects.
"Thor is encouraged by the growth opportunities in the uranium sector, with
the uranium spot price recently reaching a 16-year high, supported by strong
supply and demand fundamentals, climate change initiatives and the US
Government investing up to $500m to develop domestic supply of nuclear energy
from uranium. This reconfirms our strategic focus on energy metals and our
commitment to advancing our USA uranium projects.
"The successful completion of the hydrometallurgical mini-column tests;
returning favourable copper recoveries of up to 72.2% are above the standard
range of 60-70% for an ISR operation. These are considered an excellent
result, as Thor advances the ISR assessment of the Alford East Copper-REE-Gold
Project.
"The Company implemented Glyleach(TM) as a lixiviant during the ISR process to
help drive the Company's sustainable strategy. Glyleach(TM) is economical and
environmentally friendly compared to the traditional lixiviant of sulphuric
acid, helping Thor to develop a low-cost, low-environmental footprint ISR
copper operation.
"We are pleased with the ongoing relationship with Fleet Space Technologies.
Its assistance has enabled Thor to merge the ANT 3D model with Thor's 3D
geological model. The resultant 3D model highlighted low-velocity drill
targets, which potentially represent higher-grade copper-REE-Gold targets,
associated with deep structurally controlled troughs. We are working to
enhance our existing 3D model and we expect the completion of the updated
model to be completed in Q1 2024.
"Another significant step change in the Company was the multiple parties ECL
engaged with in Q4 2023 as Thor held a 30% interest in ECL before engagement
to dilute our holdings in ECL to 26.4%. ECL received an initial A$0.9m
investment from Alligator Energy, along with an agreement with Andromeda
Metals to acquire the Alford West EL 5984 tenement. Thor's investment into ECL
is looking promising with in-ground lixiviant trials now underway at Kapunda,
with copper recoveries to be reported in the next quarter.
"The Company is looking to divest from its Ragged Range project as it seeks to
execute its primary focus on the drilling programs at Wedding Bell, Radium
Mountain, and Vanadium King in 2024."
Photo 1: Downhole gamma logging at Section 23, Wedding Bell Project
URANIUM AND VANADIUM PROJECTS (USA)
Thor holds a 100% interest in two US companies with mineral claims in Colorado
and Utah, USA (Figure 1). The claims host uranium and vanadium mineralisation
in an area known as the Uravan Mineral Belt, which has a history of high-grade
uranium and vanadium production.
Within an economical transport distance is the only uranium and vanadium
processing facility in the region (Energy Fuels White Mesa Mill), which
enables a low-hurdle processing option for any production from these projects.
Details of the projects may be found on the Thor website
(https://thorenergyplc.com/projects/uranium-vanadium-projects-usa/) .
Figure 1: Uravan Mineral Belt showing project locations and nearby White Mesa
processing plant
Wedding Bell and Radium Mountain Project, Colorado:
Drilling commenced at Wedding Bell /Radium Mountain Projects on 18 October 23
(ASX/AIM: 18 October 2023). The RC drill program comprised 23 shallow
drillholes, totalling 2,737m. It was designed to target uranium and vanadium
mineralisation within the Salt Wash Sandstone Member (sandstone/mudstone) of
the Morrison Formation (Figure 2). This is the primary lithology for historic
uranium and vanadium production in the Uravan Mineral Belt.
The program successfully identified shallow, uranium mineralisation (visual
geological logging and downhole gamma) in all holes drilled at Section 23, Rim
Rock Mine and Groundhog Mine (Table 1). Uranium mineralisation is hosted
within the reduced sandstone, close to the oxidation/reduction contact, with
vanadium mineralisation to be determined by follow-up sample analysis of the
anomalous zones.
Significant uranium downhole gamma results above 2000ppm (0.2%) eU(3)O(8)
include:
§ 23WBRA020 0.9m @ 6885ppm (0.69 %) eU(3)O(8) from
82.66m
§ 23WBRA019 0.3m @ 3362ppm (0.34 %) eU(3)O(8) from
90.22m
§ 23WBRA011 0.5m @ 3186ppm (0.32 %) eU(3)O(8) from
76.2m
§ 23WBRA016 0.8m @ 1954ppm (0.20%) eU(3)O(8) from
67.4m
Groundhog Mine area drilling comprising seven drillholes (Figure 2 and Figure
3), was designed to test areas along strike of historic mine workings
predominately in the second and third sandstone rim. 23WBRA020 returned the
highest uranium intercept of 0.69% eU3O8 within a grey-reduced sandstone
(Figure 4). Further work is required on correlating these results with
historic mine workings and 2022 drilling, to delineate mineral resources.
Drilling at Rim Rock Mine area (seven drillholes) has identified high-grade
zones of up to 0.32% eU(3)O(8) uranium adjacent to, as well as along strike
from the historic workings (Figure 5 and Figure 6). Uranium mineralisation
appears here to be concentrated in the third sandstone rim of the Salt Wash
Sandstone, approximately 60m below surface. Further work is required on
correlating these results with historic mine workings and 2022 drilling, to
delineate mineral resources.
Section 23 is an underexplored area with no historic workings. Nine drillholes
were designed to test stratigraphic extensions to mineralisation in the Salt
Wash Sandstone, targeting the uranium mineralisation identified from the first
pass drilling program in 2022, as well as testing a portion of the airborne
radiometric anomalies (Figure 7). The initial data review has identified
uranium mineralisation in all four sandstone rims (massive, laterally
continuous, ledge-forming sandstone layers, interbedded by thin siltstone and
clay layers) within the Salt Wash Sandstone Member, increasing the potential
for multiple mineralised zones in this area (Figure 2).
Samples from anomalous zones in each drillhole are now at Australian
Laboratory Services ("ALS") in Canada for full geochemical analysis including
uranium and vanadium assays.
Figure 2: 2023 Drill Collars, Wedding Bell, and Radium Mountain Project
Figure 3: Groundhog collar location plan showing uranium grade distribution
Figure 4: 23WBRA020 Downhole gamma log (left) with corresponding chip tray
photographs (right)
Figure 5: Rim Rock Mine Area Collar location plan showing uranium grade
distribution
Figure 6: 23WBRA011 Downhole gamma log (left) with corresponding chip tray
photographs (right)
Figure 7: Section 23 Area Collar Location Plan with uranium grade distribution
Table 1: Uranium Intercepts above 100ppm U(3)O(8) (Downhole gamma- =
eU(3)O(8))
(ASX/AIM Announcement 4 December 2023)
Prospect Hole ID Interval (m) * eU(3)O(8) ppm eU(3)O(8) % GT (m x ppm) Depth (m)
Section 23 23WBRA001 0.3 280 0.028 84 133
Section 23 23WBRA002 0.5 175 0.017 88 101.35
Section 23 23WBRA003 0.6 100 0.010 60 99.5
Section 23 23WBRA004 0.6 324 0.032 194 100.0
Section 23 23WBRA005 0.5 714 0.071 357 101.2
Section 23 23WBRA006 0.3 427 0.043 128 121.9
Section 23 23WBRA007 0.6 110 0.011 66 121.3
Section 23 And 0.3 485 0.049 146 122.6
Section 23 23WBRA008 Multiple Intercepts < 100ppm
Section 23 23WBRA009 0.9 578 0.059 520 124.3
Rim Rock 23WBRA010 Hole hit historic workings at Rim Rock
Rim Rock 23WBRA011 0.5 3186 0.319 1593 76.2
Rim Rock 23WBRA012 0.6 1708 0.172 1025 63.1
Rim Rock 23WBRA013 0.3 1075 0.108 323 61.45
Rim Rock 23WBRA014 0.6 487 0.049 292 56.9
Rim Rock And 0.6 450 0.045 270 57.0
Rim Rock 23WBRA015 1.2 268 0.027 322 58.55
Rim Rock 23WBRA016 0.8 1954 0.2 1563 67.54
Groundhog 23WBRA017 0.8 687 0.07 550 89.18
Groundhog 23WBRA018 0.3 786 0.08 236 88.67
Groundhog 23WBRA019 0.3 3362 0.34 1009 90.22
Groundhog 23WBRA020 0.9 6885 0.69 6197 82.66
Groundhog 23WBRA021 0.6 308 0.03 185 85.53
Groundhog 23WBRA022 0.5 1553 0.16 777 85.22
Groundhog 23WBRA023 0.3 914 0.09 274 91.99
Next Steps:
§ Anomalous uranium and vanadium samples to be sent to ALS Canada (results
expected in February 2024), with review and assessment of the results expected
shortly thereafter
§ Detailed mineralisation and geological interpretations combining the 2022
results
§ Preparation for 2024 resource - infill and extension - drilling at Rim Rock
and Groundhog mine areas, plus continuing brownfield exploration drilling
across tenure
COPPER - REE PROJECTS (SA)
Thor holds direct and indirect interest in over 400,000 tonnes of Inferred
copper resources in South Australia, via its 80% farm-in interest in Alford
East copper-gold Project and its 30% equity interest in EnviroCopper Ltd in
Kapunda and Alford West (Figure 8).
Each of these projects is considered by the Thor directors to have significant
growth potential, and each is being advanced towards development via low-cost,
environmentally friendly ISR techniques.
Figure 8: Location Map -Copper Projects (left) and Tenement Map (right) with
Thor's Alford East Project
Alford East Copper-Gold Project
Figure 9: Alford East Inferred Minerals Resource Domains (left) and 2021 Drill
Collar Map (right)
Thor Acquires 80% Interest in Alford East
During Q4 2023, Thor fulfilled its Stage 2 expenditure obligations at the
Alford East Copper-Gold-REE Project. Completing Stage 2 of the earn-in,
entitles Thor to increase its interest from 51% to 80% in the copper oxide
mineral rights from Spencer Metals Pty Ltd ("Spencer").
Under the terms of the November 2020 Agreement, Thor was granted the right to
explore for minerals on the agreed portions of the exploration licences
(EL6255 and EL6529). The agreement enabled the conduct of feasibility and
development activities in respect thereto, and via funding expenditure on
these activities, earn an interest in oxide minerals of up to 80% over two
stages, which have now been achieved as follows:
Stage 1: Thor triggered Stage 1 on 17 November 2021, earning 51% interest by
funding AUD$500,000 of expenditure. The Company issued the Stage 1
consideration of AUD$250,000 in fully paid Thor shares, at the 5-day ASX VWAP
on the date immediately before allotment, together with two free attaching
options per share issued, exercisable at $0.03 within 5 years from the date of
issue (ASX/AIM: 17 November 2021). The exercise of these Stage 1 options has
since been amended to $0.30 under the Company's share capital consolidation of
10:1 effective on 31 August 2023.
Stage 2: Thor has earned a further 29% interest (80% in total) by funding an
additional AUD$750,000 of expenditure over a subsequent two years and for an
additional consideration of AUD$250,000 in fully paid Thor shares, issued at
the 5-day ASX VWAP on the date immediately before allotment and two free
attaching options per share issued, exercisable at AUD$0.30 within 5 years
from the date of issue (Stage 2 expenditure).
Upon Thor completing the acquisition of an 80% interest in the project,
Spencer will hold a free carried 20% interest until the decision to mine.
Ambient Noise Tomography Survey
Two comprehensive ANT surveys were executed at the Alford East Project,
covering the northern portion of the Mineral Resource Estimate Domains (Figure
9). The surveys were designed to delineate the low-velocity, weathered
'troughs' that are known to host the oxide copper-gold and REE mineralisation
within the Alford Copper Belt (Figure 8). The oxide copper-gold and REE
mineralisation within the Alford Copper Belt is associated with rocks that are
significantly less dense with lower seismic velocity than the surrounding
fresh units.
The surveys referred to as the East and West field surveys used a total of 96
Fleet's space-enabled geodes for each deployment. These surveys covered
substantial areas, encompassing 1.13 square kilometres in the Eastern Field
and 1.81 square kilometres in the Western Field.
The Eastern Field survey commenced on September 28 and concluded on October 5.
Subsequently, the geodes were seamlessly transitioned to the neighbouring
Western Field, where the survey operations began on October 6 and were
completed on October 17. In the Eastern Field, the inter-geode spacing was 150
metres in both the easting and northing directions, allowing for subsurface
imaging down to a depth of 500 metres, with an impressive resolution of
approximately 30 metres. Conversely, in the Western Field, the inter-geode
spacing was 115 metres along the easting direction and 130 metres along the
northing direction, providing the capability to image the subsurface down to a
depth of 400 metres while maintaining a resolution of 36 metres.
The data collected from these two surveys was subject to extensive processing,
leading to the development of a high-resolution 3D seismic velocity model of
the subsurface. This model has revealed key features, such as regions with
slower velocity within a high-velocity basement, inferring a 3D geometry of
the interpreted variably weathered trough and a sheared metasedimentary
basement, which is expected to host mineralisation (Figure 10). This newfound
understanding of the subsurface will play a pivotal role in guiding and
optimising the upcoming drilling activities in the Alford East Copper project.
The survey will compare and integrate the subsurface ANT results with
geological information (surface geochemistry, drilling, and historic
geophysics) that has been compiled by Thor. The resultant 3D model will
provide a refined targeted strategy, focusing future drilling on areas with
potential high-grade oxide copper-gold and REE mineralisation.
Figure 10: 3D model showing low velocity weathered troughs hosting oxide
copper mineralisation
Mini Column Leach Testing (MCLT's)
Thor engaged Draslovka to undertake a program of work to evaluate Draslovka's
GlyLeach(TM) process, focusing on copper extraction from a 7.3m intersection
selected from drillhole 21AED005 (Figure 9 and Table 2). This sample was
selected as representative of copper oxide mineralisation within Mineral
Resource Estimate Domain Area 5 (MRE 5) from Thor's 2021 drill program
(ASX/AIM: 26 April 2023).
GlyLeach(TM) is an environmentally benign, hydrometallurgical process that can
leach copper, nickel, cobalt and zinc from oxide, mixed oxide and supergene
ores, and even primary sulphide ores. In the right conditions, it can also
leach gold.
Glycine is the simplest amino acid and is available in bulk quantities. Its
unique properties can offer substantial advantages over conventional
lixiviants:
§ Environment/safety: Glycine is non-toxic to humans as well as wildlife
§ Selectivity: Glycine will solubilise copper, nickel, cobalt, and zinc,
while iron, manganese, silicates, and carbonates remain in the solid phase
§ Alkalinity: Leach conditions are at high pH, allowing simple and
inexpensive materials for construction
§ Mild conditions: Leaching is typically at ambient temperature, with no
heating cost or pressure vessels
§ Low consumption: Glycine is non-volatile (unlike cyanide, ammonia, and
hydrochloric acid) and stable under process conditions
§ Recycle: Glycine is not chemically consumed in the overall process. It is
easily recovered and recycled, and process losses can be minimised by good
design
The metallurgical test work included a copper sequential analysis, diagnostic
Leach Tests (DLTs) (ASX/AIM: 22 February 2022) and Mini Column Leach Tests
(MCLT's) on the sample provided (Figure 11). This test work determines which
copper species can be leached by different solutions. For instance, sulphuric
acid (used in copper leaching projects) will easily leach most of the green
and blue copper species; however, it will take time to leach native copper,
chalcocite, and covellite. Copper sulphide species will eventually be taken
into solution by sulphuric acid, but the time frame is considered too long for
ISR-type operations.
Based on the copper sequential analysis by ALS (Table 3), Drasloka anticipated
the GlyLeach(TM) process is likely to leach all the cyanide soluble copper, a
portion (20-80%) of the acid soluble copper and minor amount (<10%) of
silicate locked copper, depending on the mineralogy where 22% to 67% would be
expected to be leach from the supplied sample. Refer ASX/AIM Announcement 11
December 2023.
Figure 11: Draslovka Test work Flowsheet
Table 2: Head Grade - Gold (fire assay) and Copper (4 acid digest)- 21AED005
20-27.3m
Table 3: Copper Sequential Analysis
Mini Column Leach Tests were undertaken by Drasloka, designed to give a
preliminary indication of extractions for typical heap or ISR conditions at
Alford East. Small acrylic columns (ID: 45mm) were used to allow visual
observation of the sample charge as the leach solution percolates. Each column
is around 1m high and held 1.3kg per column of agglomerated sample percolated
at 10 L/m(2)/hr in close circuit, where the PLS was sampled and then put
through resin before returning to feed tank.
Four MCLT's were carried out with conditions given below:
§ Test 1: Agglomerated with 10.0 kg/t of Normal Portland Cement ("NPC") and
leached with GlyLeach(TM) using 36.78 g/L of glycine in total, column was
started with Gly:Cu molar ratio of 2:1
§ Test 2: Agglomerated with 10.0 kg/t of NPC and leached with GlyLeach(TM)
using 55.15 g/L of glycine in total, column was started with Gly:Cu molar
ratio of 3:1
§ Test 3: Agglomerated with 10.0 kg/t of NPC and leached with GlyLeach(TM)
using 55.15 g/L of glycine in total, column was started with Gly:Cu molar
ratio of 3:1, column was also heated to 40°C using heating strips
§ Test 4: Agglomerated with 10.0 kg/t of NPC and leached with GlyLeach(TM)
using 55.15 g/L of glycine in total, column was started with Gly:Cu molar
ratio of 3:1 and converted to GlyCat(TM) after two weeks by adding 1.92 g/L of
cyanide
Overall, the highest copper extraction was observed in column 2 at 72.2%
copper recovery (Figure 12). Column 1 achieved 69.3%, column 3 achieved 71.7%
and column 4 achieved 66.8% based on the residue analysis.
Referring to Figure 12, the best gold recovery was achieved in column 4 at
25.0%, column 1 achieved 21.5%, column 2 achieved 20.5%, and column 3 achieved
22.7% gold extraction based on residue analysis. Given the extraction had
plateaued after 42 days, an additional 15% more glycine was added into the
feed solution of each test to see if this would increase copper recovery, but
the results indicated no further change. Column 3, which was heated, showed no
benefit over column 2 as it performed under ambient temperature. It was found
that adding cyanide (Test 4) improved the gold extraction by approximately 5%.
The test work demonstrates GlyLeach(TM) ability to recover copper with
excellent recoveries, up to 72.2%. The temperature had negligible impact and
whilst the addition of cyanide improved the gold extraction, it was considered
a marginal improvement. Under these leach conditions, it was determined that a
copper extraction of 72.2% is achievable. It is recommended that a larger
sample is tested to validate what extraction can be achieved at a coarser
crush or ISR environment.
Figure 12: THOM-02 Metal Extraction - Mini Columns Summary (A-1-Residual (R)
/Assayed Head (AH))
GlyLeach(TM) ability to recover copper with good recoveries, up to 72.2%,
supersedes the accepted range of 60-70% for ISR operations (Figure 13). Based
on CAPEX and OPEX costs, recovering metal in an ISR operation in comparison to
conventional mining (open cut or underground operation) enables lower metal
recoveries whilst maintaining equal or similar profit margins.
Figure 13: Comparison of ISR and Conventional Mining after Chris du Plessis,
AMIRA presentation 2014
Next Steps:
§ Modelling of ANT results incorporating Thor's 3D model and using artificial
intelligence to extrapolate controlling structures along the Alford Copper
Belt
§ Target generation from the final 3D Model
§ Drill preparations and drilling
§ REE samples to be submitted to ANSTO for recovery potential from kaolin
clays.
§ Pump testing and preparations for push/pull connectivity testing, followed
by Site Environmental Lixiviant Trial
Background:
The Alford East Copper-Gold Project is located on EL6529, where Thor has 80%
interest with unlisted Australian explorer Spencer Metals Pty Ltd, covering
portions EL6529 (ASX/AIM: 20 November 2020).
The Project covers the northern extension of the Alford Copper Belt, located
on the Yorke Peninsula, SA (Figure 8). The Alford Copper Belt is a
semi-coherent zone of copper-gold oxide mineralisation, within a structurally
controlled, north-south corridor consisting of deeply kaolinised and oxidised
troughs within metamorphic units on the edge of the Tickera Granite, Gawler
Craton, SA.
Utilising historic drill hole information, Thor completed an inferred Mineral
Resource Estimate (MRE) by JORC (2012) classification as at 22 January 2021
(Figure 9), reporting for oxide material only, at a cut-off grade of 0.05%
Copper which is consistent with the assumed ISR technique, (ASX/AIM: 27
January 2021), consisting of:
§ 125.6Mt @ 0.14% Cu containing 177,000t of contained copper
§ 71, 500oz of contained gold
Maiden Mineral Resources Estimate Release: (
(https://thorenergyplc.com/investor-updates/maiden-copper-gold-mineral-resource-estimate-alford-east-copper-gold-isr-project/)
27 January 2021)
KAPUNDA and ALFORD WEST COPPER PROJECTS
Thor now holds a 26.4% equity interest in private Australian company,
EnviroCopper Limited. In turn, ECL has agreed to earn, in two stages, up to
75% of the rights over metals which may be recovered via ISR contained in the
Kapunda deposit from Australian listed company, Terramin Australia Limited
("Terramin" ASX: "TZN"), and rights to 75% of the Alford West copper project
comprising the northern portion of exploration licence EL5984 held by
Andromeda Metals Limited (ASX: ADN).
Information about EnviroCopper Limited and its projects can be found on the
EnviroCopper website (http://www.envirocopper.com.au/) :
EL5984
EnviroCopper Ltd and Andromeda Metals Ltd ("Andromeda") signed an agreement in
December 2023 to acquire the Exploration Licence 5984 on the Yorke Peninsula
which covers the Alford West Project, (Figure 8). Thor currently a holds 30%
equity interest in ECL.
Agreement Highlights (AIM/ASX: 18 December 2023):
§ Consolidation of the Alford West Joint Venture ("JV") (In-Situ Recovery JV)
and other ISR amenable targets within Exploration Licence 5984 with 100% of
the ownership transferring to ECL
§ Andromeda is to receive 5% of the current ECL capitalisation (203,008
shares), plus A$50,000 in cash
§ Andromeda will also receive deferred consideration as a 10% share of any
successful mining operations 'Royalty Tenement Operating Cashflow' on the
Alford West Project area (not exceeding A$15m) and Moonta Project area (not
exceeding A$15m)
§ Upon successful completion of a Site Environmental Lixiviant Test ("SELT"),
Andromeda will be issued a further 2.5% of ECL capitalisation (101,504 shares)
§ Once a mining lease is granted, Andromeda will receive a further cash
payment of A$150,000 with royalty payments from operating cash flow
§ Thor held a 30% equity in ECL, with the initial 5% payment to Andromeda
diluting Thor to 28.6%, before further dilution to 26.4% as announced on
(ASX/AIM: 25.01.24
(https://www.londonstockexchange.com/news-article/THR/alligator-completes-initial-investment-in-ecl/16303390)
)
Strategic Investment
Alligator Energy Limited ("Alligator") in December 2023 made a strategic
investment into EnviroCopper Ltd to further develop ISR copper projects.
Investment Highlights (AIM/ASX: 18 December 2023):
§ Alligator will make an initial investment of A$0.9m for 7.8% of ECL, with
the exclusive option to make further staged strategic investments to increase
its ownership in ECL to 50.1%
§ ECL is currently advancing ISR trials for environmentally sustainable
copper extraction at its flagship Kapunda copper project and has similar plans
at its Alford West copper project to help meet copper demand for the green
energy transition (Figure 8)
§ BHP Ltd (previously OZ Minerals) continues to fund part of ECL's field
investigations, including a Site Environmental Lixiviant Trial ("SELT") of
Copper ISR at Kapunda (AIM/ASX: 9 August 2022)
§ ISR has been successfully (and economically) used to extract copper in
several projects both in Australia and the US. It offers distinct economic
advantages and environmental benefits over conventional open pit/crush/heap
leach for shallow oxide copper projects
§ ECL's experienced ISR team has undertaken significant research and
exploration funded under a Commonwealth Govt CRC-P grant of A$2.8m, for
R&D and approvals for test work into ISR of shallow fractured rock aquifer
hosted oxide copper deposits.
§ A technical advisory committee will be formed, enabling Alligator to assist
ECL with its planned In-Situ trial work across all projects and an ability to
jointly apply any intellectual property ("IP") that is developed.
Kapunda
The first phase of the Site Environmental Lixiviant Trial ("SELT") is
underway, involving mixing a biodegradable solution called a "Lixiviant" with
groundwater for placement within the copper orebody. The lixiviant will
reside in-situ for a period while being sampled and monitored (Photo 2), it
will then be extracted, and the site rehabilitated.
The results are anticipated to be announced in Q1 2024.
GOLD/COPPER PROJECT
Ragged Range Project (WA)
The Ragged Range Project, located in the prospective Eastern Pilbara Craton,
Western Australia is 100% owned by Thor - E46/1190, E46/1262, E46/1355,
E46/1340 and E46/1393 (Figure 14).
Since the acquisition, Thor has conducted several programs of stream sediment
and soil sampling to delineate drill targets. Thor has also flown an airborne
magnetics survey over the tenement area to better define the structural
features of the area.
Figure 14: Ragged Range Project Location map (left) and Tenement Map (right)
showing priority targets.
As Thor focuses on its Uranium and Energy Metal projects, a divestment or
joint venture partner is being sought for the Ragged Range Project. This
project has potential for gold, copper-gold, lithium, and nickel. With the
change in focus of Thor Energy towards critical minerals in the energy and
green economy, this group of tenements is no longer considered core in Thor's
exploration portfolio.
TUNGSTEN PROJECT
MOLYHIL TUNGSTEN - MOLYBDENUM-COPPER PROJECT - NT (100% Thor)
The Molyhil tungsten-molybdenum-copper deposit is 100% owned by Thor and is Figure 15: Molyhil Project Location map
located 220km north-east of Alice Springs (320km by road) within the
prospective polymetallic province of the Proterozoic Eastern Arunta Block in
the Northern Territory (Figure 15).
The deposit consists of two adjacent outcropping iron-rich skarn bodies, the
northern 'Yacht Club' lode and the 'Southern' lode. Both lodes are marginal to
a granite intrusion; both lodes contain scheelite (CaWO(4)) and molybdenite
(MoS(2)) mineralisation (Figure 12). Both the outlines of the lodes and the
banding within the lodes strike approximately north and dip steeply to the
east.
Thor executed A$8m Farm-in and Funding Agreement with Investigator Resources
Limited (ASX: IVR) to accelerate exploration at the Molyhil Project on 24
November 2022 and the sale of Thor's interest in the Bonya tenement (EL29701)
(ASX/AIM: 24 November 2022).
A full background on the project is available on the Thor website
(https://thorenergyplc.com/projects/molyhil-tungsten-project/) .
During the quarter, IVR carried out a 12-hole drilling program at Molyhil
Project to verify and update the Mineral Resource Estimate; assays are
anticipated in February 2024 (ASX/AIM: 9 November 2023).
Bonya JV- Jervois Vanadium Projects (40% Thor)
The Bonya copper, tungsten and vanadium deposits are located approximately
30km to the northeast of Molyhil (Figure 16). Thor, in a joint venture with
Arafura, holds a 40% equity interest in the resources. Thor's interest in the
Bonya tenement EL29701 (copper and tungsten deposit) is planned to be divested
as part of the Farm-in and Funding agreement with Investigator Resources
Limited.
Figure 16: Molyhil Project location showing adjacent Bonya tenements.
CORPORATE, FINANCE, AND CASH MOVEMENTS
For the Quarter, the Company had total net cash outflows of $1,180,000,
comprising:
· Net cash outflows from Operating and Investing activities for the
quarter of $1,133,000 which included outflows of $822,000 directly related to
exploration activities.
· Cash outflows from financing activities for the quarter were $42,000,
related to repayments of lease liabilities and some costs associated with a
capital raise undertaken in the prior quarter.
· Providing an ending cash balance of $978,000.
Cashflows for the quarter include payments of $88,000 to Directors, comprising
the Managing Director's salary, and Non-Executive Directors' fees.
The Board of Thor Energy Plc has approved this announcement and authorised its
release.
Thor Energy PLC
Nicole Galloway Warland, Managing Director Tel: +61 (8) 7324 1935
Ray Ridge, CFO & Company Secretary Tel: +61 (8) 7324 1935
WH Ireland Limited (Nominated Adviser and Joint Broker) Tel: +44 (0) 207 220 1666
Antonio Bossi / Darshan Patel / Isaac Hooper
SI Capital Limited (Joint Broker) Tel: +44 (0) 1483 413 500
Nick Emerson
Yellow Jersey (Financial PR) thor@yellowjerseypr.com
Sarah Hollins / Shivantha Thambirajah / Bessie Elliot Tel: +44 (0) 20 3004 9512
Competent Person's Report
The information in this report that relates to exploration results is based on
information compiled by Nicole Galloway Warland, who holds a BSc Applied
geology (HONS) and who is a Member of The Australian Institute of
Geoscientists. Ms Galloway Warland is an employee of Thor Energy PLC. She has
sufficient experience which is relevant to the style of mineralisation and
type of deposit under consideration and to the activity which she is
undertaking to qualify as a Competent Person as defined in the 2012 Edition of
the 'Australasian Code for Reporting of Exploration Results, Mineral Resources
and Ore Reserves'. Nicole Galloway Warland consents to the inclusion in the
report of the matters based on her information in the form and context in
which it appears.
Updates on the Company's activities are regularly posted on Thor's website
https://thorenergyplc.com (https://thorenergyplc.com) which includes a
facility to register to receive these updates by email, and on the Company's
twitter page @thorenergyplc
About Thor Energy Plc
The Company is focused on uranium and energy metals that are crucial in the
shift to a 'green' energy economy. Thor has a number of highly prospective
projects that give shareholders exposure to uranium, nickel, copper, lithium
and gold. Our projects are located in Australia and the USA.
Thor holds 100% interest in three uranium and vanadium projects (Wedding Bell,
Radium Mountain and Vanadium King) in the Uravan Belt Colorado and Utah, USA
with historical high-grade uranium and vanadium drilling and production
results.
At Alford East in South Australia, Thor has earnt an 80% interest in oxide
copper deposits considered amenable to extraction via In-Situ Recovery
techniques (ISR). In January 2021, Thor announced an Inferred Mineral Resource
Estimate¹. Thor also holds a 26.4% interest in Australian copper development
company EnviroCopper Limited, which in turn holds rights to earn up to a 75%
interest in the mineral rights and claims over the resource on the portion of
the historic Kapunda copper mine and the Alford West copper project, both
situated in South Australia, and both considered amenable to recovery by way
of ISR.²³
Thor holds 100% of the advanced Molyhil tungsten project, including measured,
indicated and inferred resources⁴, in the Northern Territory of Australia,
which was awarded Major Project Status by the Northern Territory government in
July 2020. Thor executed a $A8m Farm-in and Funding Agreement with
Investigator Resources Limited (ASX: IVR) to accelerate exploration at the
Molyhil Project on 24 November 2022.(6)
Adjacent to Molyhil, at Bonya, Thor holds a 40% interest in deposits of
tungsten, copper, and vanadium, including Inferred resource estimates for the
Bonya copper deposit, and the White Violet and Samarkand tungsten deposits.⁵
Thor's interest in the Bonya tenement EL29701 is planned to be divested as
part of the Farm-in and Funding agreement with Investigator Resources
Limited.(6)
Thor owns 100% of the Ragged Range Project, comprising 92 km(2) of exploration
licences with highly encouraging early-stage gold, copper, lithium and nickel
results in the Pilbara region of Western Australia. Thor is now looking for a
JV partner or divestment of these group of tenements.
Notes
(1)
https://thorenergyplc.com/investor-updates/maiden-copper-gold-mineral-resource-estimate-alford-east-copper-gold-isr-project/
(2)
www.thorenergyplc.com/sites/thormining/media/pdf/asx-announcements/20172018/20180222-clarification-kapunda-copper-resource-estimate.pdf
(http://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20172018/20180222-clarification-kapunda-copper-resource-estimate.pdf)
³
www.thorenergyplc.com/sites/thormining/media/aim-report/20190815-initial-copper-resource-estimate---moonta-project---rns---london-stock-exchange.pdf
(http://www.thormining.com/sites/thormining/media/aim-report/20190815-initial-copper-resource-estimate---moonta-project---rns---london-stock-exchange.pdf)
(4)
https://thorenergyplc.com/investor-updates/molyhil-project-mineral-resource-estimate-updated/
(5)
www.thorenergyplc.com/sites/thormining/media/pdf/asx-announcements/20200129-mineral-resource-estimates---bonya-tungsten--copper.pdf
(http://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20200129-mineral-resource-estimates---bonya-tungsten--copper.pdf)
(6)
https://thorenergyplc.com/wp-content/uploads/2022/11/20221124-8M-Farm-in-Funding-Agreement.pdf
(https://thorenergyplc.com/wp-content/uploads/2022/11/20221124-8M-Farm-in-Funding-Agreement.pdf)
TENEMENT SCHEDULE
At 31 December 2023, the consolidated entity holds an interest in the
following Australian tenements:
Project Tenement Area kms(2) Area ha. Holders Company Interest
Molyhil EL22349 228.10 Molyhil Mining Pty Ltd 100%
Molyhil EL31130 9.51 Molyhil Mining Pty Ltd 100%
Molyhil ML23825 95.92 Molyhil Mining Pty Ltd 100%
Molyhil ML24429 91.12 Molyhil Mining Pty Ltd 100%
Molyhil ML25721 56.2 Molyhil Mining Pty Ltd 100%
Molyhil AA29732 38.6 Molyhil Mining Pty Ltd 100%
Molyhil MLS77 16.18 Molyhil Mining Pty Ltd 100%
Molyhil MLS78 16.18 Molyhil Mining Pty Ltd 100%
Molyhil MLS79 8.09 Molyhil Mining Pty Ltd 100%
Molyhil MLS80 16.18 Molyhil Mining Pty Ltd 100%
Molyhil MLS81 16.18 Molyhil Mining Pty Ltd 100%
Molyhil MLS82 8.09 Molyhil Mining Pty Ltd 100%
Molyhil MLS83 16.18 Molyhil Mining Pty Ltd 100%
Molyhil MLS84 16.18 Molyhil Mining Pty Ltd 100%
Molyhil MLS85 16.18 Molyhil Mining Pty Ltd 100%
Molyhil MLS86 8.05 Molyhil Mining Pty Ltd 100%
Bonya EL29701 204.5 Molyhil Mining Pty Ltd 40%
Bonya EL32167 74.54 Molyhil Mining Pty Ltd 40%
Panorama E46/1190 35.03 Pilbara Goldfields Pty Ltd 100%
Ragged Range E46/1262 57.3 Pilbara Goldfields Pty Ltd 100%
Corunna Downs E46/1340 48 Pilbara Goldfields Pty Ltd 100%
Bonney Downs E46/1355 38 Pilbara Goldfields Pty Ltd 100%
Hamersley Range E46/1393 11 Pilbara Goldfields Pty Ltd 100%
Alford East EL6529 315.1 Hale Energy Pty Ltd 80%
On 31 December 2023, the consolidated entity holds 100% interest in the
uranium and vanadium projects in USA States of Colorado and Utah as follows:
Claim Group Serial Number Claim Name Area Holders Company Interest
Vanadium King (Utah) UMC445103 to UMC445202 VK-001 to VK-100 100 blocks (2,066 acres) Cisco Minerals Inc 100%
Radium Mountain (Colorado) CMC292259 to CMC292357 Radium-001 to Radium-099 99 blocks (2,045 acres) Standard Minerals Inc 100%
Groundhog (Colorado) CMC292159 to CMC292258 Groundhog-001 to Groundhog-100 100 blocks (2,066 acres) Standard Minerals Inc 100%
Appendix 5B
Mining exploration entity or oil and gas exploration entity
quarterly cash flow report
Name of entity
THOR ENERGY PLC
ABN Quarter ended ("current quarter")
121 117 673 31 DECEMBER 2023
Consolidated statement of cash flows Current quarter Year to date
$A'000
(6 months)
$A'000
1. Cash flows from operating activities
1.1 Receipts from customers
1.2 Payments for
(a) exploration & evaluation
(b) development
(c) production
(d) staff costs (33) (80)
(e) administration and corporate costs (354) (563)
1.3 Dividends received (see note 3)
1.4 Interest received 11 27
1.5 Interest and other costs of finance paid (4) (6)
1.6 Income taxes paid
1.7 Government grants and tax incentives
1.8 Other 6 9
1.9 Net cash from / (used in) operating activities (374) (613)
2. Cash flows from investing activities
2.1 Payments to acquire or for:
(a) entities
(b) tenements
(c) property, plant and equipment
(d) exploration & evaluation (882) (1,565)
(e) equity accounted investments
(f) other non-current assets (bonds) - (29)
2.2 Proceeds from the disposal of:
(a) entities
(b) tenements (bond refunds) 36 36
(c) property, plant and equipment
(d) investments - 229
(e) other non-current assets
2.3 Cash flows from loans to other entities
2.4 Dividends received (see note 3)
2.5 Other (Government grants) 87 87
2.6 Net cash from / (used in) investing activities (759) (1,242)
3. Cash flows from financing activities - 1,250
3.1 Proceeds from issues of equity securities (excluding convertible debt
securities)
3.2 Proceeds from issue of convertible debt securities
3.3 Proceeds from exercise of options
3.4 Transaction costs related to issues of equity securities or convertible debt (30) (97)
securities
3.5 Proceeds from borrowings
3.6 Repayment of borrowings (lease liability) (12) (23)
3.7 Transaction costs related to loans and borrowings
3.8 Dividends paid
3.9 Other (funds received in advance of a placement)
3.10 Net cash from / (used in) financing activities (42) 1,130
4. Net increase / (decrease) in cash and cash equivalents for the period
4.1 Cash and cash equivalents at beginning of period 2,158 1,711
4.2 Net cash from / (used in) operating activities (item 1.9 above) (374) (613)
4.3 Net cash from / (used in) investing activities (item 2.6 above) (759) (1,242)
4.4 Net cash from / (used in) financing activities (item 3.10 above) (42) 1,130
4.5 Effect of movement in exchange rates on cash held (5) (8)
4.6 Cash and cash equivalents at end of period 978 978
5. Reconciliation of cash and cash equivalents Current quarter Previous quarter
at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts
$A'000
$A'000
5.1 Bank balances 978 2,158
5.2 Call deposits
5.3 Bank overdrafts
5.4 Other (provide details)
5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above) 978 2,158
6. Payments to related parties of the entity and their associates Current quarter
$A'000
6.1 Aggregate amount of payments to related parties and their associates included 88
in item 1
6.2 Aggregate amount of payments to related parties and their associates included
in item 2
Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity
report must include a description of, and an explanation for, such payments.
The amount at item 6.1 above represents fees paid to Non-Executive Directors,
and remuneration paid to the Managing Director.
7. Financing facilities Total facility amount at quarter end Amount drawn at quarter end
Note: the term "facility' includes all forms of financing arrangements available to the entity.
$A'000
$A'000
Add notes as necessary for an understanding of the sources of finance available to the entity.
7.1 Loan facilities
7.2 Credit standby arrangements
7.3 Other (please specify)
7.4 Total financing facilities
7.5 Unused financing facilities available at quarter end
7.6 Include in the box below a description of each facility above, including the
lender, interest rate, maturity date and whether it is secured or unsecured.
If any additional financing facilities have been entered into or are proposed
to be entered into after quarter end, include a note providing details of
those facilities as well.
8. Estimated cash available for future operating activities $A'000
8.1 Net cash from / (used in) operating activities (item 1.9) (374)
8.2 (Payments for exploration & evaluation classified as investing activities) (882)
(item 2.1(d))
8.3 Total relevant outgoings (item 8.1 + item 8.2) (1,256)
8.4 Cash and cash equivalents at quarter end (item 4.6) 978
8.5 Unused finance facilities available at quarter end (item 7.5) -
8.6 Total available funding (item 8.4 + item 8.5) 978
8.7 Estimated quarters of funding available (item 8.6 divided by item 8.3) 0.8
No
te
:
if
th
e
en
ti
ty
ha
s
re
po
rt
ed
po
si
ti
ve
re
le
va
nt
ou
tg
oi
ng
s
(i
e
a
ne
t
ca
sh
in
fl
ow
)
in
it
em
8
.3
,
an
sw
er
it
em
8
.7
as
"N
/A
".
Ot
he
rw
is
e,
a
fi
gu
re
fo
r
th
e
es
ti
ma
te
d
qu
ar
te
rs
of
fu
nd
in
g
av
ai
la
bl
e
mu
st
be
in
cl
ud
ed
in
it
em
8.
7.
8.8 If item 8.7 is less than 2 quarters, please provide answers to the following
questions:
8.8.1 Does the entity expect that it will continue to have the
current level of net operating cash flows for the time being and, if not, why
not?
Answer: No. The current quarter included $0.9m for exploration expenditure
which is expected to be less in the next quarter. The majority of this
quarterly expenditure is discretionary and is subject to available funding.
8.8.2 Has the entity taken any steps, or does it propose to take
any steps, to raise further cash to fund its operations and, if so, what are
those steps and how likely does it believe that they will be successful?
Answer: As at 31 December 2023, the Company holds cash of $1.0m together.
The Company regularly monitors cashflow needs against available cash and seeks
to raise capital through equity placements as and when needed. The Company
has a history of successful capital raising.
8.8.3 Does the entity expect to be able to continue its operations
and to meet its business objectives and, if so, on what basis?
Answer: Yes, on the basis of available cash of $1.0m, reduced spending
commitments in the coming quarter, together with capital raising alternatives
(refer 8.8.2).
Note: where item 8.7 is less than 2 quarters, all of questions 8.8.1, 8.8.2
and 8.8.3 above must be answered.
Compliance statement
1 This statement has been prepared in accordance with
accounting standards and policies which comply with Listing Rule 19.11A.
2 This statement gives a true and fair view of the matters
disclosed.
Date: 30 January
2024...........................................................
Authorised by: the
Board....................................................................
(Name of body or officer authorising release - see note 4)
Notes
1. This quarterly cash flow report and the
accompanying activity report provide a basis for informing the market about
the entity's activities for the past quarter, how they have been financed and
the effect this has had on its cash position. An entity that wishes to
disclose additional information over and above the minimum required under the
Listing Rules is encouraged to do so.
2. If this quarterly cash flow report has been
prepared in accordance with Australian Accounting Standards, the definitions
in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral
Resources and AASB 107: Statement of Cash Flows apply to this report. If this
quarterly cash flow report has been prepared in accordance with other
accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the
corresponding equivalent standards apply to this report.
3. Dividends received may be classified either as
cash flows from operating activities or cash flows from investing activities,
depending on the accounting policy of the entity.
4. If this report has been authorised for release
to the market by your board of directors, you can insert here: "By the board".
If it has been authorised for release to the market by a committee of your
board of directors, you can insert here: "By the [name of board committee - eg
Audit and Risk Committee]". If it has been authorised for release to the
market by a disclosure committee, you can insert here: "By the Disclosure
Committee".
5. If this report has been authorised for release
to the market by your board of directors and you wish to hold yourself out as
complying with recommendation 4.2 of the ASX Corporate Governance Council's
Corporate Governance Principles and Recommendations, the board should have
received a declaration from its CEO and CFO that, in their opinion, the
financial records of the entity have been properly maintained, that this
report complies with the appropriate accounting standards and gives a true and
fair view of the cash flows of the entity, and that their opinion has been
formed on the basis of a sound system of risk management and internal control
which is operating effectively.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END UPDBLGDBDXDDGSCRecent news on Thor Energy
See all newsREG - Thor Energy PLC - Completion of Stage 1 Earn-In Commitment - Molyhil
AnnouncementREG - Thor Energy PLC - 3D Model Shows Alford East Copper Mineralisation
AnnouncementREG - Thor Energy PLC - Half-year Report
AnnouncementREG - Thor Energy PLC - High Grade Uranium and Vanadium Assays Results
AnnouncementREG - Thor Energy PLC - Quarterly Activities and Cash Flow Report
Announcement