REG - Thor Mining PLC - Half-year Report
15/03/2022 12:30
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RNS Number : 8377E Thor Mining PLC 15 March 2022
15 March 2022
Thor Mining PLC
("Thor" or the "Company")
Half year report
The Directors of Thor Mining plc (AIM, ASX: THR) are pleased to announce the
Company's results for the six months ended 31 December 2021.
The Company's Half Year Report was also today lodged with the Australian Stock
Exchange ("ASX") as required under the listing rules of the ASX. A copy of
the Half Year Report will shortly be available on the Company's
website www.thormining.com (http://www.thormining.com/) .
Key Highlights
Gold, Lithium, Nickel, Copper-Gold (Ragged Range in the Pilbara region of
Western Australia)
· Maiden reverse circulation ("RC") drilling program at the
Sterling Prospect highlighted encouraging quartz veining and
sericite-pyrite-fuchsite alteration
Uranium & Vanadium (Colorado & Utah, USA)
· The Company received Bureau of Land Management (BLM) approvals
· Continued progress with the Colorado County approvals for an
initial drilling program over several of the Colorado claims
Tungsten-Molybdenum-Copper (Molyhil, NT, Australia)
· Completed diamond drilling to test a newly modelled magnetic
target, adjacent to the Molyhil deposit
· Drilling intercepted massive magnetite skarn with disseminated
scheelite, molybdenite, and chalcopyrite
Copper-Gold (SA, Australia)
Alford East
· Results from the Company's first phase of diamond drilling
highlighted broad high-grade copper-gold intercepts and identified key
structural and lithological constraints on mineralisation, suggesting
potential zones for extended zones of higher grade copper-gold along strike
and at depth
· The Company earned a 51% interest in Alford East by completing
the Stage 1 requirements by funding A$500,000 of expenditure and issued the
Stage 1 consideration of A$250,000 in fully paid Thor shares
· Initial favourable hydrometallurgical results demonstrate the
potential for the metal recovery of copper and gold using environmentally
friendly lixiviants
· New 3D geological framework completed to assist drill targeting
and hydrological studies.
Kapunda and Alford West
· EnviroCopper Ltd (ECL), the holder and operator of the Kapunda
and Alford West projects, in which Thor has 30% equity interest, continued to
advance the Kapunda project with push-pull hydrometallurgical test-work for
copper extraction for In Situ Recovery ("ISR") assessment
· Alford West activities have focused on desktop hydrogeological
studies in preparation for field pump tests
Pilot Mountain
· Pilot Mountain project in Nevada USA was divested in 2021 for
US$1.8 million
Nicole Galloway Warland, Managing Director of Thor Mining, commented:
"We are very pleased with the progress made across our project portfolio
during the six months ended 31 December 2021. Thor's business model focuses on
creating value through the advancement of our diverse asset base targeting
critical and battery minerals, positioning the Company well for future growth.
During the period, Thor completed simultaneous drilling programs at the Ragged
Range Project in the Pilbara region of Western Austrlalia and Molyhil in the
Northern Territory, and, having received Bureau of Land Management (BLM)
approvals at our Uranium & Vanadium Project in USA, has begun working
through the Colorado County approvals for an initial drilling program over
several of the Colorado claims.
At the Sterling Prospect, Ragged Range, our maiden RC drilling program
highlighted encouraging quartz veining and sericite-pyrite-fuchsite
alteration. Unfortunately, due to mechanical issues, not all targets at the
prospect were tested, so the remaining targets will be subject to follow up
testing in the program planned for 2022, alongside further exploration for
lithium prospectivity, which could enhance the fundamentals of the project. At
Molyhil, we are pleased to have announced that diamond drilling has reinforced
the newly discovered extension of scheelite-molybdenite-chalcopyrite
mineralisation, confirming the project as a new critical minerals discovery.
Further exploration drilling is expected at Molyhil in 2022.
We continue to be encouraged by the potential for the recovery of copper and
gold using environmentally friendly lixiviants at Alford East, where the first
phase of diamond drilling highlighted broad high-grade copper-gold intercepts
and identified key structural and lithological constraints on mineralisation,
suggesting potential zones for extended zones of higher copper-gold along
strike and at depth. A second phase of drilling is currently being designed
which will also assess ISR viability. During the period, EnviroCopper Ltd also
completed push-pull hydrometallurgical test-work at the Kapunda project and
Site Environment Lixiviant Testing (SELT) is anticipated in 2022 with the aim
of recovering copper in solution from the deposit.
"Commodity prices have performed well during the period and forecasts are
favourable that these conditions will continue further into 2022. With a
strong pipeline of news flow expected for the coming months, and project
milestones across the portfolio, we look forward to providing further updates
on our progress in due course."
This announcement is authorised for release to the market by the Board of
Directors.
For further information, please contact:
Thor Mining 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
Jessica Cave / Darshan Patel / Megan Liddell
SI Capital Limited (Joint Broker) Tel: +44 (0) 1483 413 500
Nick Emerson
Yellow Jersey (Financial PR) thor@yellowjerseypr.com
Sarah Hollins / Henry Wilkinson Tel: +44 (0) 20 3004 9512
Updates on the Company's activities are regularly posted on Thor's website
www.thormining.com (http://www.thormining.com/) , which includes a facility to
register to receive these updates by email, and on the Company's twitter page
@ThorMining.
About Thor Mining PLC
Thor Mining PLC (AIM, ASX: THR; OTCQB: THORF) is a diversified resource
company quoted on the AIM Market of the London Stock Exchange, ASX in
Australia and OTCQB Market in the United States.
The Company is advancing its diversified portfolio of precious, base, energy
and strategic metal projects across USA and Australia. Its focus is on
progressing its copper, gold, uranium and vanadium projects, while seeking
investment/JV opportunities to develop its tungsten assets.
Thor owns 100% of the Ragged Range Project, comprising 92 km(2) of exploration
licences with highly encouraging early-stage gold and nickel results in the
Pilbara region of Western Australia, for which initial drilling was carried
out in 2021
At Alford East in South Australia, Thor is earning an 80% interest in copper
deposits considered amenable to extraction via In Situ Recovery techniques
(ISR). In January 2021, Thor announced an Inferred Mineral Resource Estimate
of 177,000 tonnes contained copper & 71,000 oz
gold¹.
Thor also holds a 30% 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% interest in two private companies with mineral claims in the
US states of Colorado and Utah with historical high-grade uranium and vanadium
drilling and production results.
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.
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
Notes
(1) www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210127-maiden-copper.gold-estimate-alford-east-sa.pdf
(http://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210127-maiden-copper.gold-estimate-alford-east-sa.pdf)
(2) www.thormining.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.thormining.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)
www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210408-molyhil-mineral-resource-estimate-updated.pdf
(http://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210408-molyhil-mineral-resource-estimate-updated.pdf)
(5
)www.thormining.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)
MAR
This announcement contains inside information for the purposes of Article 7 of
the UK version of Regulation (EU) No 596/2014 which is part of UK law by
virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon
the publication of this announcement via a Regulatory Information Service,
this inside information is now considered to be in the public domain.
Thor Mining Plc
Half-year Report
For the six months ended
31 December 2021
HIGHLIGHTS
Gold, Lithium, Nickel, Copper-Gold
The Company focused its attention on the 13km trend of anomalous gold defined
by stream and soil sampling at the Sterling Prospect, Ragged Range in the
Pilbara region of Western Australia. A small maiden RC drilling program
highlighted encouraging quartz veining and sericite-pyrite-fuchsite
alteration, which will assist with vectoring in on the stream and soil gold
source. Drilling was co-funded by the Western Australian government for
A$160,000.
Uranium & Vanadium
The Company has Bureau of Land Management (BLM) approvals and is working
through the Colorado County approvals for an initial drilling program over
several of the Colorado claims.
Tungsten-Molybdenum-Copper
Diamond drilling to test a newly modelled magnetic target, adjacent to the
Molyhil deposit, was completed in December 2021. Drilling intercepted massive
magnetite skarn with disseminated scheelite, molybdenite, and chalcopyrite.
Drilling was co-funded by the Northern Territory government for A$110,000.
Pilot Mountain project, Nevada USA was divested in 2021 for an agreed value of
US$1.8 million.
Copper-Gold
The Company's first phase of diamond drilling highlighted broad high-grade
copper-gold intercepts and identified key structural and lithological
constraints on mineralisation, suggesting potential zones for extended zones
of higher copper-gold along strike and at depth. Initial favourable
hydrometallurgical results demonstrate the potential for the metal recovery of
copper and gold using environmentally friendly lixiviants. The Company
continues to progress the ISR assessment of the Alford East project. The
Company earned a 51% interest in Alford East by completing the Stage 1
requirements by funding A$500,000 of expenditure and issued the Stage 1
consideration of A$250,000 in fully paid Thor shares. The South Australian
government is co-funding these initial ISR assessment through a grant of
A$300,000.
Thor has 30% equity interest in EnviroCopper Ltd (ECL), the holder and
operator of the Kapunda and Alford West projects. ECL continued to advance the
Kapunda project with push-pull hydrometallurgical test-work for copper
extraction for ISR assessment.
OUTLOOK FOR 2022
Gold, Lithium, Nickel, Copper-Gold
Newly defined lithium targets identified in the highly prospective untested
area adjacent to the Split Rock Supersuite in the north of the Ragged Range
tenure. Ground truthing and potential drilling are planned.
RC drilling is scheduled over the Sterling gold prospect following encouraging
sulphides and alteration intercepted in maiden drillholes completed in 2021.
Uranium & Vanadium
The Company is working closely with Colorado County for drilling approvals,
for an initial drill program on several of the Colorado claims.
Tungsten-Molybdenum-Copper
Exploration drilling at Molyhil is anticipated in 2022 following the success
of the recent magnetic modelling at Molyhil.
Copper
The second phase of drilling at Alford East is being designed, including
continuing hydrogeological and hydrometallurgical studies, to assess the ISR
viability in contrast to conventional open cut or underground mining.
Kapunda Site Environment Lixiviant Testing (SELT) is anticipated following on
from the push-pull test work, aimed at recovering copper in solution from the
deposit.
REVIEW OF OPERATIONS
Commodity Prices (source: Argus Metals)
Commodity prices have all taken a run with favourable outlooks for 2022.
Lithium price has soared over the last six months, with lithium carbonates
prices ranging from US$11.92/kg to US$38.19/kg in the six-month reporting
period. The current price is around US$68.85/kg, forecast to increase
further with high global demand and projection of scarcity.
Uranium is on a steady upward trend with prices ranging from US$31.87/lb to
US$43.9/lb in the six-month period, as it moves into the green energy space.
The uranium futures is currently trading above US$50/lb with a very positive
global outlook for nuclear energy following the Russian invasion of Ukraine
and the impact of Russian sanctions.
Copper prices have continued to perform well over the six-month period in a
tight range between US$9,400/tonne and US$9,681/t. As copper usage surges
based on increase demand for electric vehicles, wind turbines and solar panels
and the possibility of supply disruption following the Russian invasive of
Ukraine a robust demand for copper is forecast with the current price at
US$10,220/t.
Due to the ongoing conflict between Russia and Ukraine, gold prices have
strengthened to around US$1,900/oz, with the price outlook remaining positive.
Tungsten and molybdenum prices over the last six months have been stable, with
tungsten sitting around US$274/mtu and molybdenum at US19.1/lb. The Molyhil
project remains very well positioned, with expected production costs of
US$90/mtu at the lower end of global production costs.
Copper Portfolio (South Australia)
Alford East
The Alford East Copper-Gold Project is located on EL6529, where Thor is
earning up to 80% interest (currently a 51% interest) from unlisted
Australian explorer Spencer Metals Pty Ltd, covering portions of EL6255 and
EL6529 (ASX: THR Announcement 23 November 2020). The Alford East Project
covers the northern extension of the Alford Copper Belt, located on the Yorke
Peninsula, SA. 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
drillhole information, Thor completed an inferred Mineral Resource Estimate
(MRE) (ASX: THR Announcement 27 January 2021):
· 125.6Mt @ 0.14% Cu containing 177,000t of contained copper
· 71,500oz of contained gold
www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210127-maiden-copper.gold-estimate-alford-east-sa.pdf
(http://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210127-maiden-copper.gold-estimate-alford-east-sa.pdf)
The first phase of drilling, completed by Thor in September 2021, comprised
nine diamond drillholes totalling 878m. This initial program focussed only on
the northern portion of the Alford East copper-gold deposit, around the AE-5
mineralised domains, with drilling targeting areas open at depth and along
strike.
Significant intercepts included (ASX: THR 21 February 2022):
· 21AED001 32.9m @ 0.4% Cu and 0.31g/t Au from 81.5m,
· 21AED002 59.9m @ 0.3% Cu from 21.9m,
· 21AED003 32.4m @ 0.2% Cu from 15m,
· 21AED004 55.9m @ 0.53% Cu from 7m, including 11.7m @ 1.0% Cu from
17.3m, including 5.7m @ 1.23% and 0.16g/t Au from 17.3, and
· 21AED005 72.7m @ 1.0% Cu and 0.19g/t Au from 6.3m, including 18.2m
@ 2.0% Cu and 0.34g/t Au from 15.8m.
Drill targeting, vectoring in on the hanging wall side of the north-south
trending controlling structure, now referred to as Netherleigh Park Fault,
intercepted zones of high-grade copper and gold grades resulted in a
significant grade uplift in comparison to the MRE.
Initial pump testing on 21AEDD001 which was developed into a water bore showed
favourable hydrogeological conditions for In-situ recovery. The ground water
Is classified as saline, precluding it from agriculture or potable use,
suitable for industrial use only.
Thor's objective is to identify an In-Situ Recovery pathway, ideally for both
the copper and gold mineralisation at the Alford East Project, that is
socially and environmentally friendly rather than using conventional acid
In-Situ Recovery (ISR). This has led to Thor engaging Mining Processing
Solutions (MPS), trialling their alkaline Glycine Leaching Technology (GLT),
branded as their GlyCat(TM) and GlyLeach(TM) processes, that have the
capability to selectively leach base and precious metals using glycine as the
principal, eco-friendly, reagent. Initial laboratory bottle roll testing from
samples in 21AED001 performed well, with GLT extracting up to 98.1% of the
gold and over 40% of the copper.
These activities, completed in 2021, were co-funded by the South Australian
Accelerated Discovery Grant (ADI) for A$300,000.
Based on a new geological model, approximately 10 diamond drill holes have
been designed to test potential high-grade zones along strike and at depth. In
addition, hydrogeological water bores and pump testing is in planning to
determine aquifer connectivity between holes, with an initial focus in the
northern area of the mineralisation. Concurrent to drilling,
hydrometallurgical work will continue to investigate and optimise both copper
and gold metal extraction using environmentally friendly lixiviants.
EnviroCopper Limited
Thor holds a 30% interest in Australian private company EnviroCopper Limited
(ECL). ECL is earning a 75% effective interest, in two stages, on rights over
metals which may be recovered via in-situ recovery ("ISR") contained in the
Kapunda deposit from Australian listed company Terramin Australia Limited
("Terramin", ASX: TZN), and up to 75% of the Alford West copper project,
comprising the northern portion of exploration licence EL5984, held by
Andromeda Metals Limited (ASX: ADN).
Kapunda Project
During the period, ECL completed the installation of test well arrays and
commenced ISR trials, including tracer and push-pull test work. These tests
are the final hydrometallurgical assessments before ECL commences Site
Environmental Lixiviant Trials (SELT). The purpose of lixiviant trials, or
'push-pull tests', is to assess the solubility of copper mineralisation, and
therefore copper recovery, using a specially designed solution called a
"lixiviant" under in-situ conditions. The trial is to be undertaken in two
stages. The first stage involves injecting and extracting a tracer solution
(Sodium Bromide - NaBr) from the same well to demonstrate hydraulic
connectivity between the observation and environmental monitor well network.
This is followed by injecting and extracting lixiviant from the same well to
test copper solubility from the mineralisation.
Key outcomes anticipated from lixiviant trials:
i) Hydraulic connectivity between wells
ii) Copper solubility and recovery
iii) Establish lixiviant and time parameters for design of the Site
Environmental Lixiviant Trials (SELT)
It is anticipated that ECL will move into the SELT test work with scoping
study released in the first half of 2022.
Ragged Range Gold, Lithium, Nickel, Copper-Gold Project (Pilbara, Western
Australia) (100% Thor)
Thor now holds a 100% interest in five granted tenements in the Pilbara region
of Western Australia, approximately 40km west of the township of Nullagine.
With the recent granting of E46/1393, Thor undertook a geological review of
the Ragged Range Project, highlighting the lithium prospectivity in addition
to gold, nickel and copper-gold. The Pilbara Craton is highly prospective for
lithium-caesium-tantalum enriched (LCT) pegmatites and hosts two large and
globally significant spodumene deposits at Wodgina (Mineral Resources Ltd) and
Pilgangoora (Pilbara Minerals). The lithium rich pegmatites in the Pilbara are
spatially and appear to be genetically related to the Split Rock Supersuite
(2.85 to 2.83Ma), which outcrops in the northern portion of the Ragged Range
tenure, with three priority targets identified ready for ground truthing in
2022.
During the reporting period, Thor completed 41 shallow (50-96m) RC drillholes
totalling 2,155m at the Sterling Prospect (ASX: THR 25 January 2022). This
maiden RC program was designed to test eight strong gold anomalies at Sterling
Central and Sterling South prospects, defined from soil and stream sediment
sampling programs. Drilling intercepted strong broad zones of quartz veining,
sericite, silica alteration, sulphides and fuchsite, characteristic of gold
mineralisation in the Pilbara; these are positive indicators of proximity to
the gold source. Unfortunately, due to mechanical issues, not all targets were
tested. Drilling was co-funded by the West Australian Geological Survey for
A$160,000. Full drilling details may be viewed via following link:
https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20220125-gold-explorationupdate,-ragged-range-wa.pdf
(https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20220125-gold-explorationupdate,-ragged-range-wa.pdf)
The program for 2022 includes follow up drilling at the Sterling prospect,
completing the planned program and targeting the fault contact in the area
between Sterling Central and Sterling South. In parallel to the gold
exploration activities at the Sterling Prospect, the following exploration
program is planned with particular focus on lithium:
1) Airborne magnetic/radiometric survey to be flown over the eastern
portion of the tenure including E46/1340 and E46/1393
2) Ground 'fixed loop' electromagnetics (FLEM) is scheduled over the
nickel gossan
3) Proposed lithium activities include:
a. A detailed review of all available high-resolution imagery and aster
data, to see if the presence of pegmatites can be visually detected
b. Reconnaissance rock sampling and prospecting along the contact of the
Mondana Monzogranite, Split Rock Supersuite (E46/1262, E46/1190, E461393 and
E46/1340), with detailed sampling
c. Investigation of all small granitic and pegmatitic bodies in the
target area
Uranium & Vanadium Projects (Colorado & Utah USA) (100% Thor)
Thor holds a 100% interest in two US companies with mineral claims in Colorado
and Utah, USA. 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 probable economic transport distance is a processing plant (Energy
Fuels White Mesa Mill) which may be a low hurdle processing option for any
production from these projects.
Details of the project may be found on the Thor website:
https://www.thormining.com/projects/us-uranium-and-vanadium
Thor has completed BLM environmental approvals and is now working through the
Colorado County approvals. Thor is hoping to be drilling by June quarter
2022.
Molyhil Tungsten/Molybdenum project (NT, Australia) (100% Thor)
The Molyhil project is located 220 km north-east of Alice Springs (320 km by
road).
A full background on the project is available on the Thor Mining website:
www.thormining.com/projects (http://www.thormining.com/projects) .
Three diamond drillholes (21MHDD001 - 21MHDD003) totalling 995.4m were
completed in December 2021, designed to test a newly identified large magnetic
target to the south of the known Molyhil tungsten-molybdenum-copper
mineralisation (ASX: THR 7 December 2021). Both 21MHDD002 and 21MHDD003
intercepted disseminated mineralisation, consisting of scheelite, molybdenite
and chalcopyrite within massive magnetite skarn. Drillhole 21MHDD002
intercepted over 45m of disseminated mineralisation, whilst 21MHDD003
intercepted two zones over 29m of disseminated mineralisation. It appears
21MHDD001 intersected the edges of the magnetite skarn drilling over the top
of the magnetite skarn lode, with negligible mineralisation. Initial
interpretation of data highlights a potential south-east plunging lode
extending southeast of the Southern lode with a possible offset (yet to be
determined).
Thor expects to receive assay results back in the first quarter of 2022, with
follow up drilling to be designed at Molyhil, as well as regional exploration
drilling targeting additional magnetic targets.
The drilling program was co-funded by the Geophysics and Drilling
Collaborations (GDC) program as part of the Resourcing the Territory
initiative, with Thor Mining granted A$110,000 (ASX: THR 4 June 2021).
Bonya (Tungsten, Copper, Vanadium) (40% Thor)
The Bonya project sits approximately 30 km east of Molyhil and holds tungsten
and copper resources which are expected to complement the Molyhil project.
Thor, in joint venture with Arafura, holds 40% equity interest in the
resources.
A full background on the project is available on the Thor Mining website:
www.thormining.com/projects (http://www.thormining.com/projects) .
Pilot Mountain Tungsten Project (Nevada, USA) (100% Thor)
During the reporting period, Thor divested the Pilot Mountain Tungsten Project
in Nevada, USA for an agreed value of US$1.8 million to Power Metal Resources
Plc ("Power Metal") (ASX: THR Announcement 1 September 2021).
Given the consideration was paid as a combination of cash and equity in Power
Metal, Thor currently maintains an indirect interest in the project through
it's holding of 44,118,920 shares in Power Metal, representing a holding of
3.0%, as well as 12.5 million warrants to subscribe for ordinary shares in
Power Metal, with an exercise price of 4p and expiry period of 3 years. The
Pilot Mountain project is located approximately 200 km south of the city of
Reno and 20 km east of the town of Mina located on US Highway 95.
The project is comprised of four tungsten deposits: Desert Scheelite,
Gunmetal, Garnet and Good Hope.
Capital Raisings
During the period, the Company's cash balances were augmented by two
placements. In August 2021, the Company raised £800,000 via the placing of
123,076,923 new ordinary shares of 0.01p each ("Ordinary Shares") at a price
of £0.0065 (0.65 pence) per Ordinary Share (approximately A$0.0123).
In December 2021, the Company raised gross proceeds of A$2.75m via the
placement of 220,000,000 Ordinary Shares at a price of A$0.0125 (1.25 cents)
per Ordinary Share. All placees received two options for each three Ordinary
Shares to subscribe for a further new Ordinary Share at i) one option
exercisable at A$0.015, expiring 12 months from issue, ii) one option at
A$0.02, expiring 24 months from issue.
The Board believes that these capital raisings put the Company in a strong
position to deliver on our 2022 drill programmes and project developments.
Board and Management Changes
During the period, Mick Billing resigned as Executive Chair, with Mark Potter
appointed Non-Executive Chair and Alastair Clayton joining the Board as
Non-executive Director. The Board would like to express appreciation and
gratitude to Mick Billing for his service lasting over 13 years.
Comprehensive Income
The comprehensive income statement records a comprehensive loss of £1,004,000
(2020: £512,000 loss) after taking into account unrealised exchange loss of
£221,000 (2020: £115,000 loss).
Nicole Galloway Warland
Managing Director
15 March 2022
Competent Person's statements
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 Mining 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.
The Company confirms that it is not aware of any new information or data that
materially affects the information included in the original market
announcements and, in the case of estimates of Mineral Resources or Ore
Reserves, that all material assumptions and technical parameters underpinning
the estimates in the relevant market announcement continue to apply and have
not materially changed. The Company confirms that the form and context in
which the Competent Person's findings are presented have not been materially
modified from the original market announcement.
Condensed Consolidated Statement of Comprehensive Income
For the 6 months ended 31 December 2021
Note £'000 £'000 £'000
6 months ended 6 months ended Year
31 December 2021 31 December 2020 ended
30 June
2021
Unaudited Unaudited Audited
Administrative expenses (58) (54) (94)
Corporate expenses (347) (331) (635)
Share-based payments expense 8 (245) (106) (126)
Realised gain/loss on financial assets (1) - (2)
Exploration expenses (26) (79) (81)
Write-off/impairment of exploration assets 3 - (15) (1,450)
Operating Loss (677) (585) (2,388)
Interest Paid (1) (1) (1)
Share of (loss)/profit of associate, accounted for using the equity method 6 (36) (72) 22
Fair value decrement on financial assets FVTPL (204) - -
Profit/(loss) on Sale of Investments 4 93 222 222
Sundry income 42 39 41
Loss before Taxation (783) (397) (2,104)
Taxation - - -
Loss for the period (783) (397) (2,104)
Other comprehensive income:
Items that may be subsequently reclassified to profit or loss:
Exchange differences on translating foreign operations (221) (115) (570)
Other comprehensive income for the period, net of income tax (221) (115) (570)
Loss for the year and total comprehensive loss attributable to the equity (1,004) (512) (2,674)
holders
Basic earnings per share 2 (0.05)p (0.03)p (0.14)p
Condensed Consolidated Statement of Financial Position
For the 6 months ended 31 December 2021
Note £'000 £'000 £'000
31 December 2021 31 December 2020 30 June
2021
Unaudited Unaudited Audited
ASSETS
Non-current assets
Intangible assets (deferred exploration costs) 3 11,359 12,459 10,120
Assets held for sale 4 - - 1,050
Financial assets 5 744 - -
Investments accounted for using the equity method 6 523 492 564
Deposits to support performance bonds 42 43 41
Right of use asset - 27 10
Plant and equipment 14 9 7
Total non-current assets 12,682 13,030 11,792
Current assets
Cash and cash equivalents 1,579 685 783
Trade receivables and other assets 124 70 60
Total current assets 1,703 755 843
Total assets 14,385 13,785 12,635
LIABILITIES
Current liabilities
Trade and other payables (206) (277) (306)
Employee annual leave provision (22) (1) (10)
Lease liability - (27) (10)
Total current liabilities (228) (305) (326)
Total non-current liabilities - - -
Total liabilities (228) (305) (326)
Net assets 14,157 13,480 12,309
Equity
Issued share capital 7 3,811 3,762 3,773
Share premium 26,576 23,485 24,379
Foreign exchange reserve 1,453 2,129 1,674
Merger reserve 405 405 405
Share based payments reserve 8 911 325 314
Retained earnings (18,999) (16,626) (18,236)
Total equity 14,157 13,480 12,309
Condensed Consolidated Statement of Change in Equity
For the 6 months ended 31 December 2021
£'000 £'000 £'000 £'000 £'000 £'000 £'000
Issued share capital Share premium Retained losses Foreign Currency Translation Reserve Merger Reserve Share Based Payment Reserve Total
Balance at 1 July 2020 3,733 22,288 (16,339) 2,244 405 275 12,606
Loss for the period - - (397) - - - (397)
Foreign currency translation reserve - - - (115) - - (115)
Total comprehensive loss for the period - - (397) (115) - - (512)
Transactions with owners in their capacity as owners
Shares issued 29 1,396 - - - - 1,425
Cost of shares issued - (199) - - - - (199)
Share options lapsed - - 110 - - (110) -
Share options issued - - - - - 160 160
At 31 December 2020 3,762 23,485 (16,626) 2,129 405 325 13,480
Balance at 1 July 2020 3,733 22,288 (16,339) 2,244 405 275 12,606
Loss for the period - - (2,104) - - - (2,104)
Foreign currency translation reserve - - - (570) - - (570)
Total comprehensive (loss) for the period - - (2,104) (570) - - (2,674)
Transactions with owners in their capacity as owners
Shares issued 40 2,337 - - - - 2,377
Cost of shares issued - (246) - - - - (246)
Share options exercised - - 207 - - (207) -
Share options issued - - - - 246 246
At 30 June 2021 3,773 24,379 (18,236) 1,674 405 314 12,309
Balance at 1 July 2021 3,773 24,379 (18,236) 1,674 405 314 12,309
Loss for the period - - (783) - - - (783)
Foreign currency translation reserve - - - (221) - - (221)
Total comprehensive loss for the period - - (783) (221) - - (1,004)
Transactions with owners in their capacity as owners
Shares issued 38 2,480 - - - - 2,518
Cost of shares issued - (283) - - - - (283)
Share options exercised - - 20 - - (20) -
Share options issued - - - - - 617 617
At 31 December 2021 3,811 26,576 (18,999) 1,453 405 911 14,157
Condensed Consolidated Statement of Cash Flow
For the 6 months ended 31 December 2021
£'000 £'000 £'000
6 months ended 6 months ended Year
31 December 2021 31 December 2020 ended
30 June
2021
Unaudited Unaudited Audited
Cash flows from operating activities
Operating loss (677) (585) (2,388)
Sundry income 33 39 41
(Increase)/decrease in trade and other receivables (47) (17) 4
Increase/(decrease) in trade and other payables 7 6 (9)
Increase/(decrease) in provisions 11 (53) (42)
Depreciation 11 19 38
Exploration expenditure written-off - 15 1,450
Share-based payments 245 106 126
Director fees settled by share issue - 23 23
Net cash outflow from operating activities (417) (447) (757)
Cash flows from investing activities
Interest paid (1) (1) (1)
Tenement Bond (1) - -
Investment in associated entity - (170) (170)
Purchase of property, plant & equipment (9) (6) (8)
Payments for exploration expenditure (1,124) (391) (706)
R&D Grants - 98 98
Proceeds from sale of assets 84 222 222
Net cash outflow from investing activities (1,051) (248) (565)
Cash flows from financing activities
Lease liability repayments (10) (16) (30)
Net issue of ordinary share capital 2,276 1,163 1,902
Net cash inflow from financing activities 2,266 1,147 1,872
Net decrease in cash and cash equivalents 798 452 550
Non-cash exchange changes (2) - -
Cash and cash equivalents at beginning of period 783 233 233
Cash and cash equivalents at end of period 1,579 685 783
Notes to the Half-year Report
For the 6 months ending 31 December 2021
1. PRINCIPAL ACCOUNTING POLICIES
(a) Presentation of Half-year results
The half-year results have not been audited but were the subject of an
independent review carried out by the Company's auditors, PKF Littlejohn
LLP. Their review confirmed that the figures were prepared using applicable
accounting policies and practices consistent with those adopted in the 2021
annual report and to be adopted in the 2022 annual report. The financial
information contained in this half-year report does not constitute statutory
accounts as defined by Section 435 of the Companies Act 2006.
The half-year report has been prepared under the historical cost convention.
The Directors acknowledge their responsibility for the half-year report and
confirm that, to the best of their knowledge, the interim consolidated
financial statements for the six months ended 31 December 2021 have been
prepared in accordance with International Financial Reporting Standards,
including IAS 34 "Interim Financial Statements", and complies with the
requirements for companies with securities admitted to trading on the AIM
Market of the London Stock Exchange. This half-year report does not include
all the notes of the type normally included in an annual financial report.
Accordingly, this report should be read in conjunction with the annual report
for the year ended 30 June 2021.
The Directors are of the opinion that on-going evaluations of the Company's
interests indicate that preparation of the accounts on a going concern basis
is appropriate. Refer Note 11 for further information.
(b) Basis of consolidation
The consolidated financial statements comprise the financial statements of
Thor Mining PLC and its controlled entities. The financial statements of
controlled entities are included in the consolidated financial statements from
the date control commences until the date control ceases. All inter-company
balances and transactions have been eliminated in full.
The financial statements of subsidiaries are prepared for the same reporting
period as the parent Company, using consistent accounting policies.
(c) Investments in Associates
Investments in associate companies are recognised in the financial statements
by applying the equity method of accounting. The equity method of accounting
recognises the Group's share of post-acquisition reserves of its associates.
Where there has been a change recognised directly in an associate's equity,
the Group recognises its share of any changes and discloses this in the
statement of profit of loss and other comprehensive income. The reporting
dates of the associates and the Group are identical and the associates
accounting policies conform to those used by the Group for like transactions
and events in similar circumstances.
(d) Risks and uncertainties
The Board continuously assesses and monitors the key risks of the business.
The key risks that could affect the Company's medium term performance and the
factors that mitigate those risks have not substantially changed from those
set out in the Company's 2021 Annual Report and Financial Statements. The key
financial risks are liquidity risk, credit risk, interest rate risk and fair
value estimation.
(e) Critical accounting estimates
The preparation of condensed interim financial statements requires management
to make estimates and assumptions that affect the reported amounts of assets
and liabilities at the end of the reporting period. Significant items subject
to such estimates are set out in the Company's 2021 Annual Report and
Financial Statements. The nature and amounts of such estimates have not
changed significantly during the interim period.
Notes to the Half-year Report
For the 6 months ending 31 December 2021
2. EARNINGS PER SHARE
No diluted earnings per share is presented for the six months ended 31
December 2021 as the effect on the exercise of share options would be to
decrease the loss per share.
£'000 £'000 £'000
6 months ended 6 months ended Year
31 December 2021 31 December 2020 ended
30 June
2021
Unaudited Unaudited Audited
Loss for the period (783) (397) (2,104)
Weighted average number of Ordinary shares in issue 1,724,133,775 1,388,190,687 1,497,215,458
Loss per share - basic
(0.05)p (0.03)p (0.14)p
3. DEFERRED EXPLORATION COSTS
£'000 £'000 £'000
31 December 2021 31 December 2020 30 June
2021
Cost Unaudited Unaudited Audited
At commencement 10,120 12,252 12,252
Net additions 989 187 612
Acquired through acquisition 330 157 310
Exchange gain/(loss) (80) (122) (554)
Write off exploration tenements for year - (15) (1,450)
Transfers to held for sale assets (note 4) - - (1,050)
At period end 11,359 12,459 10,120
Impairment
At commencement - - -
Exchange loss - - -
Impairment for period - - -
At period end - - -
Net book value at period end 11,359 12,459 10,120
Notes to the Half-year Report
For the 6 months ending 31 December 2021
3. DEFERRED EXPLORATION COSTS (continued)
Acquired through acquisition
In the half year period ending 31 December 2021, Thor paid consideration of
£330,000 for completion of the Stage 1 earn-in under the binding term sheet
for Thor to acquire an interest in the oxide mineral rights from Spencer
Metals Pty Ltd (Spencer) over the Alford East copper-gold project, located on
the Yorke Peninsula, South Australia. Under the term sheet, Thor is to acquire
an interest of 80% directly in the project, over two stages:
Stage 1: Thor has earned a 51% interest by funding A$500,000 expenditure over
the 2 years to 11 November 2022, with the £330,000 consideration comprising:
· £128,000 fair value of 15,625,000 Thor Ordinary Shares issued on
26 November 2021. The fair value was based on the closing price of Thor
Ordinary Shares of £0.0082 (0.82 pence) on the AIM market of the London Stock
Exchange on 10 November 2021 (being the day prior to shareholder approval of
the issuance of the Ordinary Shares); and
· £202,000 fair value of 31,250,000 unlisted options to acquire
Thor Ordinary Shares at an exercise price of A$0.03 (3 cents) at any time
through to the expiry date of 25 November 2026. The fair value was estimated
using a Black Scholes model (refer Note 8).
Stage 2: Thor may earn a further 29% interest (80% in total) by funding an
additional A$750,000 of expenditure over a subsequent 2 years to 11 November
2024 and for additional consideration of A$250,000 in fully paid Thor shares,
issued at the 5 day ASX VWAP on the date immediately prior to allotment and
two free attaching options per share issued, exercisable at a$0.03 within
years from the date of issue (stage 2 expenditure). If Thor does not proceed
with the Stage 2 earn-in, then its interest in the project is relinquished.
Upon Thor completing the acquisition of an 80% interest in the project,
Spencer will hold a free carried 20% interest in the project, until a decision
to mine.
The parties have agreed to use reasonable commercial endeavours to negotiate
and execute a formal Joint Venture agreement for the development and operation
of a mine and associated facilities within 60 days from the end of Stage 2.
Notes to the Half-year Report
For the 6 months ending 31 December 2021
4. HELD FOR SALE ASSET
£'000 £'000 £'000
31 December 2021 31 December 2020 30 June
2021
Unaudited Unaudited Audited
Opening balance 1,050 - 1,050
Asset divested (1,050) - -
- - 1,050
On 31 August 2021, Thor Mining Plc announced the execution of an Option
Agreement with AIM listed Power Metal Resources Plc (AIM: POW) ("Power
Metal"), for the divestment of Thor's Pilot Mountain Tungsten Project in
Nevada in line with their focus on core copper and gold projects. Accordingly,
the carrying value of the investment at 30 June 2021 was reclassified in the
Statement of Financial Position from 'Intangible assets - deferred exploration
costs; to 'Held for sale assets'. Thor received an exclusivity fee of
500,000 Power Metal Ordinary Shares with an estimated fair value of £9,750.
The divestment was successfully completed on 29 October 2021 with
consideration of £1,022,000 received by Thor, comprising:
· £84,000 in cash (being US$115,000 at the exchange rate on 29
October 2021 of 0.7304); and
· £938,000 fair value of 48,118,920 Ordinary Shares in Power
Metal. The fair value was determined by the closing price of £0.0195 for
Power Metal Ordinary Shares on the London Stock Exchange on 31 August 2021
(being the day prior to execution of the Option Agreement).
The consideration of £1,022,000, resulted in a loss of (£28,000) compared to
the book value of £1,050,000. The loss was recognised as a (£121,000) loss
through Other Comprehensive Income as a reversal of the foreign currency
translation reserve and a £93,000 gain through the Profit or Loss.
In addition, Power Metal granted Thor 12.5 million unlisted warrants to
subscribe for Power Metal Ordinary Shares with an exercise price of £0.04 (4
pence) per Ordinary Share at any time through to the expiry date of 29 October
2024, subject to an acceleration clause if the Power Metal Ordinary Share
price is above £0.10 (10 pence) for five consecutive days. Any warrants
exercised by 29 October 2022 receive replacement warrants with an exercise
price at £0.08 (8 pence) for a further 3 years to the expiry date.
As part of the divestment Thor was also entitled to receive a milestone
payment of US$500,000, payable in Power Metal Ordinary Shares, if Golden Metal
publishes a JORC or 43-101 compliant resource at Pilot Mountain increasing the
existing declared levels by 25% across the total indicated and inferred
categories, within two years. Subsequent to the half year period ended 31
December 2021, Thor agreed to relinquish this milestone entitlement in return
for £50,000 in cash and 4,000,000 Ordinary Shares in Power Metal with an
estimated fair value of £57,200 based on the closing price of Power Metal
Ordinary Shares on the London Stock Exchange of £0.0143 (1.43 pence) on 21
January 2022 (being the last trading day prior to execution of the variation
agreement).
Notes to the Half-year Report
For the 6 months ending 31 December 2021
5. FINANCIAL ASSETS
£'000 £'000 £'000
31 December 2021 31 December 2020 30 June
2021
Unaudited Unaudited Audited
Investment in Power Metal Resources Plc 744 - -
744 - -
The investment balance at 31 December 2021, comprises 48,618,920 Power Metal
Ordinary shares being the 50,000 Ordinary Shares received as part of the
exclusivity fee under the Option Agreement and 48,118,920 Ordinary Shares
received upon completion of the divestment on 29 October 2021.
The 48,618,920 POW shares were initially recognised at £948,000 being valued
at the closing price of £0.0195 for Power Metal Ordinary Shares on the London
Stock Exchange on 31 August 2021 (being the day prior to execution of the
Option Agreement).
The shares were then revalued to fair value at 31 December 2021 of £744,000,
based on the closing price of £0.0153 for Power Metal Ordinary Shares on that
date. The revaluation decrement of (£204,000) was recognised as a fair
value adjustment through the Company's Profit or Loss (FVTPL), on the basis
that Thor does not consider the Ordinary Shares held as a strategic
investment.
48,118,920 of the Ordinary Shares are subject to a voluntary escrow, with 25%
becoming tradeable at each of the following dates: 30 April 2022, 30 June
2022, 30 September 2022 and 30 December 2022.
6. INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD £'000 £'000 £'000
31 December 2021 31 December 2020 30 June 2021
Unaudited Unaudited Audited
A reconciliation of the carrying amount of the investments in the company is
set out below:
EnviroCopper Limited
Conversion of loan to equity 391 391 391
Additional investment 170 170 170
Initial cost of investment 561 561 561
Cumulative share of (loss)/profit of associate, accounted for using the equity (14) (72) 22
method
Share of foreign currency translation reserve (24) 3 (19)
523 492 564
ECL is a copper development company which 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, in South Australia, recoverable by way of in
situ recovery (ISR) and holds rights to earn a 75% interest in a portion of
the Moonta Copper Project, also in South Australia, that is considered
amenable to recovery by the way of in-situ recovery.
Notes to the Half-year Report
For the 6 months ending 31 December 2021
6. INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD
(continued)
On 30 July 2020, Thor announced the conversion of its $700,000 (£391,000)
convertible loan to a 25% interest in ECL and exercised its right to nominate
a Board representative. Accordingly, the investment is being accounted for
using the equity method from the date of loan conversion to equity.
On the 11 November 2020, the Company increased its ownership interest to 30%
through the payment of A$300,000 (£170,000).
The tables below provide summarised consolidated financial information for
EnviroCopper Limited and its wholly owned subsidiaries Environmental Copper
Recovery SA Pty Ltd and Environmental Metals Recovery Pty Ltd. The information
disclosed reflects the amounts presented in the financial statements of the
relevant associate and not Thor's share of those amounts. They have been
amended to reflect adjustments made by Thor when using the equity method,
including modifications for differences in accounting policies.
Summarised financial information for EnviroCopper Ltd
£'000 £'000 £'000
31 December 2021 31 December 2020 30 June 2021
Unaudited Unaudited Unaudited
Summarised balance sheet:
Current Assets
Cash and cash equivalents 43 10 648
Other current assets 119 62 14
Provision for income tax 132 772 129
Total current assets 295 844 791
Non-current Assets
Plant & Equipment 44 10 22
Total non-current assets 44 10 22
Total assets 339 854 813
Current Liabilities
Trade payables - -
Other current liabilities 118 - 472
Total current liabilities - 472
Non-current Liabilities
Other non-current liabilities 17 - -
Total non-current liabilities 17 - -
Total Liabilities 135 - 472
Net Assets
204 854 341
Notes to the Half-year Report
For the 6 months ending 31 December 2021
6. INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD (continued)
Summarised statement of comprehensive income:
£'000 £'000 £'000
31 December 2021 31 December 2020 30 June 2021
Unaudited Unaudited Unaudited
Total Income 616 44 666
Less Expenses (734) (319) (595)
Net Profit (118) (275) (71)
7. SHARE CAPITAL £'000 £'000 £'000
31 December 2021 31 December 2020 30 June 2021
Unaudited Unaudited Audited
Issued fully paid (Nominal Value)
982,870,766 'Deferred Shares' of £0.0029 each 2,850 2,850 2,850
7,928,958,483 'A Deferred Shares' of £0.000096 each 761 761 761
Ordinary shares of £0.0001 each 200 151 162
3,811 3,762 3,773
Number Number Number
31 December 2021 31 December 2020 30 June 2021
Unaudited Unaudited Audited
Movement in share capital
Ordinary Shares of 0.01 pence
At commencement 1,625,719,488 1,224,996,863 1,224,996,863
Shares issued for cash(1) 343,076,923 231,583,333 319,818,629
Warrants exercised(2) 11,800,000 11,566,667 12,566,667
Shares issued to Directors in lieu of cash payment for Directors fees - 5,821,663 5,821,663
Shares issued to service providers(3) 7,200,000 - 8,015,666
Shares issued for acquisition(4) 15,625,000 42,000,000 54,500,000
At period end 2,003,421,411 1,515,968,526 1,625,719,488
( )
(1) Comprises two separate placements. The first in August 2021, being the
issue of 123,076,923 Ordinary Shares at £0.0065 (0.65 pence), together with
one free unlisted warrant for every two Ordinary Shares subscribed,
exercisable at £0.013 (1.3 pence) expiring 17 August 2023. The second in
December 2021, being the issue of 220,000,000 Ordinary Shares at A$0.0125
(1.25 cents), together with two free listed options for every three Ordinary
Shares subscribed, one option exercisable at A$0.015 (1.5 cents) expiring 20
December 2022, and the other option exercisable at A$0.02 (2.0 cents) expiring
20 December 2023.
Notes to the Half-year Report
For the 6 months ending 31 December 2021
7. SHARE CAPITAL (continued)
(2) Comprises 8,000,000 Ordinary shares issued 17 September 2021 following the
exercise of options at a price of A$0.0095 (0.95 cents), and 3,800,000
Ordinary shares issued 23 December 2021 following the exercise of options at a
price of A$0.01 (1.0 cent).
(3) Ordinary Shares issued on 22 December 2021 to PAC Partners as part payment
of commission as broker to the December 2021 placement.
(4) Ordinary shares issued 26 November 2021 as part consideration for the
acquisition of a 51% direct interest in the oxide mineral rights over the
Alford East copper-gold project, located on the Yorke Peninsula, South
Australia. Refer Note 3.
£'000 £'000 £'000
31 December 2021 31 December 2020 30 June 2021
Nominal Value Unaudited Unaudited Audited
At commencement 3,773 3,733 3,733
Issued for cash 34 23 32
Warrants exercised 1 1 1
Shares issued to Directors in lieu of cash payment for Directors fees - 1 1
Issued to service providers 1 - 1
Issued for acquisition 2 4 5
At period end 3,811 3,762 3,773
Notes to the Half-year Report
For the 6 months ending 31 December 2021
8. SHARE BASED PAYMENTS RESERVE
Options are valued at an estimate of the cost of the services provided. Where
the fair value of the services provided cannot be estimated, the value
unlisted options granted are calculated using the Black-Scholes model taking
into account the terms and conditions upon which the options are granted.
£'000 £'000
31 December 2021 30 June 2021
Unaudited Audited
Opening balance at 1 July 314 275
36,000,000 options issued £0.00656 236 -
31,250,000 options issued £0.00646 202 -
22,000,000 listed options issued @ £0.00466 103 -
22,000,000 listed options issued @ £0.00306 67 -
Exercised 3,8000,000 options @ £0.00156 (6) -
Exercised 8,000,000 options @ £0.001720 (14) -
5,000,000 options to a service provider @ £0.003620 (1) 9 9
Exercised 9,450,000 options @ £0.0013 - (12)
Lapsed 10,000,000 @ £0.0098 - (98)
Lapsed 5,000,000 @ £0.0034 - (17)
Lapsed 15,000,000 @ £0.0053 - (80)
Issued 24,000,000 to Directors @ £0.0017 - 41
Issued 7,500,000 ESOP @ £0.0051 - 38
Issued 4,000,000 to service provider @ £0.0066 - 27
Issued 2,433,526 to service a provider @ £0.0045 - 11
Issued 5,647,058 to a service provider @ £0.0058 - 32
Issued 35,000,000 to a service provider @ £0.0016 - 55
Issued 8,333,000 for tenements acquired @ £0.0039 - 33
Closing balance 911 314
(1) In June 2021, 6,000,000 options were issued to a service provider. The
options vested at 1,000,000 per month. The fair value of the options was
being expensed over their vesting periods. 1,000,000 of the options were
relinquished prior to vesting.
Notes to the Half-year Report
For the 6 months ending 31 December 2021
8. SHARE BASED PAYMENTS RESERVE (continued)
The following table lists the inputs used for the calculation of share options
granted as Share Based Payments during the half year ended 31 December 2021.
36,000,000 issued to Directors on 22 November 2021
Dividend yield 0.00%
Underlying Security spot price £0.0087
Exercise price £0.0130
Standard deviation of returns 126%
Risk free rate 0.87%
Expiration period 4yrs
Black Scholes valuation per option £0.00656
Fair value expensed as a share-based payment*
31,250,000 issued for acquisition 26 November 2021
Dividend yield 0.00%
Underlying Security spot price A$0.015
Exercise price A$0.030
Standard deviation of returns 126%
Risk free rate 1.44%
Expiration period 5yrs
Black Scholes valuation per option £0.00646
Fair value capitalised as part of the cost of acquisition (refer Note 3)
22,000,000 issued to a service provider on 20 December 2021
Dividend yield 0.00%
Underlying Security spot price A$0.015
Exercise price A$0.02
Standard deviation of returns 126%
Risk free rate 0.53%
Expiration period 2yrs
Black Scholes valuation per option £0.00466
Fair Value recognised as part of the cost of the capital raising.
22,000,000 issued to a service provider on 20 December 2021
Dividend yield 0.00%
Underlying Security spot price A$0.015
Exercise price A$0.015
Standard deviation of returns 98%
Risk free rate 0.53%
Expiration period 1yr
Black Scholes valuation per option £0.00306
Fair Value recognised as part of the cost of the capital raising.
Notes to the Half-year Report
For the 6 months ending 31 December 2021
8. SHARE BASED PAYMENTS RESERVE (continued)
* The total value of options expensed as share-based payments during the half
year ended 31 December 2021 is £245,000 comprising £236,000 for the options
issued to the Directors and £9,000 for expensing the remaining value of the
5,000,000 options issued to a service provider in the year ended 30 June 2021
(being expensed over their vesting period).
9. TURNOVER AND SEGMENTAL ANALYSIS - GROUP
Operating segments are reported in a manner consistent with the internal
reporting provided to the chief operating decision-maker. The chief operating
decision-maker, who is responsible for allocating resources and assessing
performance of the operating segments, has been identified as the Board of
Directors that makes strategic decisions.
The Group's operations are located Australia and the United States of America,
with the head office located in the United Kingdom. The main tangible assets
of the Group, cash and cash equivalents, are held in the United States of
America and Australia. The Board ensures that adequate amounts are transferred
internally to allow all companies to carry out their operational on a timely
basis.
The Directors are of the opinion that the Group is engaged in a single segment
of business being the exploration for commodities. The Group currently has two
geographical reportable segments - United States of America and Australia.
£'000 £'000 £'000 £'000
Half Year ended 31/12/2021 Head office/ Unallocated Australia United States Consolidated
Operating Expenditure (399) (248) (30) (677)
Non-Operational items (70) (36) - (106)
Loss from Ordinary Activities before Income Tax (469) (284) (30) (783)
Income Tax Benefit/(Expense) - - - -
Retained (loss) (469) (284) (30) (783)
As at 31/12/2021 Head office/ Unallocated Australia United States Consolidated
Assets and Liabilities
Segment assets - 11,933 218 12,151
Corporate assets 2,234 - - 2,234
Total Assets 2,234 11,933 218 14,385
Segment liabilities - (202) - (202)
Corporate liabilities (26) - - (26)
Total Liabilities (26) (202) - (228)
Net Assets 2,208 11,731 218 14,157
Notes to the Half-year Report
For the 6 months ending 31 December 2021
9. TURNOVER AND SEGMENTAL ANALYSIS - GROUP (continued)
£'000 £'000 £'000 £'000
Half Year ended 31/12/2020 Head office/ Unallocated Australia United States Consolidated
Total Segment Expenditure (257) (179) - (436)
Non-operational items 39 - - 39
Loss from Ordinary Activities before Income Tax (218) (179) - (397)
Income Tax Benefit/(Expense) - - - -
Retained (loss) (218) (179) - (397)
As at 31/12/2020 Head office/ Unallocated Australia United States Consolidated
Assets and Liabilities
Segment assets - 10,656 2,432 13,088
Corporate assets 697 - - 697
Total Assets 697 10,656 2,432 13,785
Segment liabilities - (217) - (217)
Corporate liabilities (88) - - (88)
Total Liabilities (88) (217) - (305)
Net Assets 609 10,439 2,432 13,480
£'000 £'000 £'000 £'000
10. POST BALANCE SHEET EVENTS
As part of the divestment of the Pilot Mountain project, Thor was also
entitled to receive a milestone payment of US$500,000, payable in Power Metal
Ordinary Shares, if Golden Metal publishes a JORC or 43-101 compliant resource
at Pilot Mountain increasing the existing declared levels by 25% across the
total indicated and inferred categories, within two years. Subsequent to the
half year period ended 31 December 2021, Thor agreed to relinquish this
milestone entitlement in return for £50,000 in cash and 4,000,000 Ordinary
Shares in Power Metal with an estimated fair value of £57,200 based on the
closing price of Power Metal Ordinary Shares on the London Stock Exchange of
£0.0143 (1.43 pence) on 21 January 2022 (being the last trading day prior to
execution of the variation agreement). Refer RNS Announcement dated 23
January 2022 (ASX Announcement 24 January 2022). For further details in
relation to the divestment of the Pilot Mountain project, refer Note 4.
Other than the above there were no other material events arising subsequent to
31 December 2021 to the date of this report which may significantly affect the
operations of the Group, the results of those operations and the state of
affairs of the Group in the future.
Notes to the Half-year Report
For the 6 months ending 31 December 2021
11. GOING CONCERN BASIS OF ACCOUNTING
The financial report has been prepared on the going concern basis of
accounting.
The Group incurred a net loss after tax from continuing operations of
£783,000 for the half year ended 31 December 2021, and net cash outflows of
£1,468,000 from operating and investing activities. The Group is reliant upon
completion of asset sales or a capital raising to fund continued operations
and the provision of working capital.
In this regard, the Company notes a cash balance of £1,579,000 as at 31
December 2021.
If additional capital is not obtained, the going concern basis of accounting
may not be appropriate, with the result that the Group may have to realise its
assets and extinguish its liabilities, other than in the ordinary course of
business and at amounts different from those stated in the financial report.
No allowance for such circumstances has been made in the financial report.
DIRECTORS, SECRETARY AND ADVISERS
Directors Mark Potter (Non-executive Chairman)
Nicole Galloway Warland (Managing Director)
Mark McGeough (Non-executive Director)
Alastair Clayton (Non-executive Director) - appointed 4 October 2021
Michael Billing (Executive Chairman) - retired 3 September 2021
In UK In Australia
Registered Office and Directors' business address Salisbury House 58 Galway Avenue
London Wall Marleston, South Australia
London, EC2M 5PS Australia 5033
United Kingdom
Company Secretaries Stephen Frank Ronaldson Ray Ridge
Website www.thormining.com (http://www.thormining.com) www.thormining.com (http://www.thormining.com)
Nominated Adviser to WH Ireland Limited
the Company 24 Martine Lane
London,
EC4R 0DR
Auditors to the Company PKF Littlejohn LLP
1 Westferry Circus
Canary Wharf
London, E14 4HD
Solicitors to the Company Druces LLP
Salisbury House
London Wall
London, EC2M 5PS
United Kingdom
Registrars Computershare Investor Services Plc Computershare Investor Services Pty Ltd
The Pavilions Level 5, 115 St Grenfell St
Bridgewater Road Adelaide, South Australia 5000
Bristol BS99 6ZY
United Kingdom
REPORT ON REVIEW OF INTERIM FINANCIAL INFORMAITON
INDEPENDENT REVIEW REPORT TO THOR MINING PLC
Introduction
We have been engaged by the Company to review the condensed set of financial
statements in the half-yearly financial report for the six months ended 31
December 2021 which comprises the consolidated income statement, consolidated
balance sheet, consolidated statement of changes in equity, consolidated cash
flow statement and related notes. We have read the other information
contained in the half-yearly financial report and considered whether it
contains any apparent misstatements or material inconsistencies with the
information in the condensed set of financial statements.
Directors' responsibilities
The half-yearly financial report is the responsibility of, and has been
approved by, the Directors. The Directors are responsible for preparing the
half-yearly financial report in accordance with the AIM Market of London Stock
Exchange Rules for Issuers.
The annual financial statements of the Group are prepared in accordance with
UK adopted International Accounting Standards. The condensed set of financial
statements included in this half-yearly financial report has been prepared in
accordance with International Accounting Standard 34, "Interim Financial
Reporting", as adopted by the UK.
Our responsibility
Our responsibility is to express to the Group a conclusion on the condensed
set of financial statements in the half-yearly financial report based on our
review.
This report, including the conclusion, is made solely to the Group for the
purpose of the AIM Market of London Stock Exchange Rules for Issuers. We do
not, in producing this report, accept or assume responsibility to anyone,
other than the Group, for our work, for this report, or for the conclusion we
have formed. This report may not be provided to third parties without our
prior written consent.
Scope of review
We conducted our review in accordance with International Standard on Review
Engagements (UK and Ireland) 2410 "Review of Interim Financial Information
Performed by the Independent Auditor of the Entity", issued by the Auditing
Practices Board for use in the United Kingdom. A review of interim financial
information consists of making enquiries, primarily of persons responsible for
financial and accounting matters, and applying analytical and other review
procedures. A review is substantially less in scope than an audit conducted
in accordance with International Standards on Auditing (UK), and consequently
does not enable us to obtain assurance that we would become aware of all
significant matters that might be identified in an audit. Accordingly, we do
not express an audit opinion.
Conclusion
Based on our review, nothing has come to our attention that causes us to
believe that the condensed set of financial statements in the half-yearly
financial report for the six months ended 31 December 2021 is not prepared, in
all material respects, in accordance with International Accounting Standard 34
as adopted by the UK and the AIM Market of London Stock Exchange Rules for
Issuers.
Use of our report
This report is made solely to the company's directors, as a body, in
accordance with the terms of our engagement letter. Our review has been
undertaken so that we may state to the company's directors those matters we
have agreed to state to them in a reviewer's report and for no other purpose.
To the fullest extent permitted by law, we do not accept or assume
responsibility to anyone other than the company and the company's directors as
a body for our work, for this report or the conclusion we have formed.
PKF Littlejohn LLP
15 Westferry Circus
Canary Wharf
London
E14 4HD
15 March 2022
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