REG - Thor Mining PLC - Quarterly Activites Report

Thor EnergyAnnouncement

29/04/2022 07:00

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RNS Number : 8459J  Thor Mining PLC  29 April 2022

29 April 2022

 

 

Thor Mining PLC

 

("Thor" or the "Company")

 

Quarterly Activites Report

 

 

 

 Highlights                                                                     Outlook for June Quarter 2022
 GOLD, LITHIUM, NICKEL

 Ragged Range, Pilbara region, WA Australia
 · Field programs recommenced following the opening of the WA border.           · Results from a Fixed Loop Electromagnetic Survey (FLEM) over the Krona

                                                                              Prospect, nickel gossan.
 · Lithium mapping and sampling program underway; testing potential

 lithium-caesium-tantalum (LCT) pegmatite targets associated with the Split     · Follow up RC drilling program for gold mineralisationn at the Sterling
 Rock Supersuite.                                                               Prospect.

                                                                                · Regional mapping and stream sediment sampling results, targeting additional
                                                                                gold and lithium pegmatites.

                                                                                · Airborne magnetics survey over the eastern portion of newly granted tenure.
 URANIUM & VANADIUM USA
 · Received permitting approval from San Miguel County for proposed drill       · Final authorisation for proposed drilling at Wedding Bell Project.
 testing at the Wedding Bell Project, Colorado.

                                                                              · Drilling preparations underway to test Groundhog, Rim Rock and Section 23
 · The uranium spot price is at an 11 year high, with geopolitical tensions,    at Wedding Bell Project, Colorado.
 strong demand, constrained supplies, and underinvestment continuing to drive

 the price up.
 COPPER

 Alford East, SA Australia

 · All assays now  received from Phase 1 diamond drilling program               ·  Continue In-Situ Recovery (ISR) assessment and development of the
 highlighting based high grade copper-gold zones                                project.

 · 3D geological model demonstrates lithological and structural controls on     ·  Phase 2 diamond drilling is being designed to target potential high-grade
 mineralisation, highlighting key areas to drill test potential high-grade      copper zones along strike.
 copper-gold intercepts.

 Kapunda, SA Australia (via 30% equity holding in EnviroCopper Ltd)
 · ISR push-pull trials underway, with tracer bromide component completed.      ·  Copper-gold recoveries from lixiviant trials and integration into Scoping
                                                                                Study.
 TUNGSTEN & MULTI COMMODITIES

 Molyhil, NT Australia

 ·  Successful diamond drilling program completed with all assay submitted      ·  Assay results from diamond drilling program.
 for analysis, confirming magnetic target adjacent to deposit is mineralised

 magnetite skarn.                                                               ·  Review strategic plans for Molyhil.

 

CORPORATE & FINANCE

 

· Agreement with Power Metal Resources Plc (AIM: POW) to a Variation of Tail
Benefit as part of the Sale Agreement of the Pilot Mountain Tungsten Project
in Nevada, USA.

 

Nicole Galloway Warland, Managing Director of Thor Mining, commented:

 

"The start of 2022 has seen positive progress made across Thor's projects.

"Our team is back on the ground for the 2022 field season at our 100% owned
Ragged Range Project, WA, with a mapping and sampling program currently
underway to test potential lithium-caesium-tantalum pegmatite targets
associated with the Split Rock Supersuite. Preparations are being finalised to
commence the second phase of RC drilling at the Sterling Gold Prospect, with a
ground based electromagnetic survey, designed to detect any conductive
anomalies at depth that may indicate the presence of nickel sulphide
mineralisation, scheduled for May 2022

"In the US, we were delighted to receive approval from San Miguel County for
the proposed drill testing at the Wedding Bell Project, Colorado during the
period. Preparations are now underway to test the project's priority areas,
Groundhog, Rim Rock and Section 23. Thor's Board notes the heightened demand
for uranium in the US as the country seeks to secure domestic supply in order
to replace its reliance on Russian imports.

"At the Alford East copper-gold project, SA, Australia, we reported
encouraging results for copper and gold from our first phase of drilling. A
second phase of drilling, which will include hydrogeology and
hydrometallurgical studies, is now being designed. This program will target
further high-grade zones and aid our assessment of the project's ISR
potential.

"After a successful first quarter, Thor looks forward to updating the market
on progress made across its portfolio in 2022."

 

Photo Plate 1 may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/Maps/AOI-11_798246E_7587303N_b.JPG
(http://www.thormining.com/sites/thormining/media/Maps/AOI-11_798246E_7587303N_b.JPG)

 

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 drilling is planned in the
second half of 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.

 

RAGGED RANGE PROJECT

The Ragged Range Project, located in the prospective Eastern Pilbara Craton,
Western Australia (Figure 1) is 100% owned by Thor Mining - E46/1190,
E46/1262, E46/1355, E46/1340, plus the recently granted E46/1393 Figure 1.

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.

Further details of the projects may be found on the Thor website:
www.thormining.com/projects/ragged-range-pilbara-project
(http://www.thormining.com/projects/ragged-range-pilbara-project)

 

Figure 1: Ragged Range Project Location map (a) and Tenement Map (b) showing
priority targets.

 

a) a copy of the Ragged Range Project Map may be view via the following link:

www.thormining.com/sites/thormining/media/Maps/20-004-1a-ragged-range-location.jpg
(http://www.thormining.com/sites/thormining/media/Maps/20-004-1a-ragged-range-location.jpg)

 

Figure 1b) a copy of the Regional Sterling prospect may be viewed by the
following link:

http://www.thormining.com/sites/thormining/media/maps/prospects.jpg
(http://www.thormining.com/sites/thormining/media/maps/prospects.jpg)

 

Lithium Program

The Thor team are back on the ground following the reopening of the WA border,
mapping and sampling several lithium targets, including potential
lithium-caesium-tantalum ("LCT") pegmatites which have been identified within
the prospective 10km radius of the Split Rock Supersuite at Thor's Ragged
Range Project (Figure 1).

The Pilbara Craton is highly prospective for LCT enriched  pegmatites and
hosts two large and globally significant spodumene deposits at Wodgina
(Mineral Resources Ltd) and Pilgangoora (Pilbara Minerals). The Wodgina
lithium project is considered the largest hard rock, spodumene deposit in the
world (https://www.carbonart.com.au (https://www.carbonart.com.au) ) (Figure
2).

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) (Sweetapple,
M, 2017). Within Thor's tenure, the Mondana Monzogranite part of the Split
Rock Supersuite mapped in the northern portion of tenure is untested for
lithium potential (Figure 1).

Thor's exploration strategy is to ground-truth the 10km halo around the
Mondana Monzongranite, considered the most favourable position for the spatial
zonations of LCT enriched pegmatites.

The current field program, utilising Thor's radiometrics and aster data, has
highlighted several priority areas for mapping and sampling, including:

1)  The northeast corner of E46/1262 where small pegmatites and granitic
bodies have been identified. This is considered a potential roof zone of the
Mondana Monzogranite, making it the most prospective area for lithium enriched
pegmatites within the tenement package (Figure 1).

2)  The second target area is on E46/1393 where numerous structures cut the
older Euro Basalt, providing conduits for pegmatites emanating from the
adjacent Mondana Monzogranite (Figure 1).

3)  The third area of interest is a small enclave of greenstone at the
contact of the Mondana Monzogranite in E46/1340 (Figure 1).

 

Figure 2: Geological map of the units and terranes comprising the North
Pilbara Craton (adapted from Sweetapple and Collins, 2002 and Hickman, 2016),
highlighting the distribution of the Split Rock Supersuite (~2.85-2.83 Ga) and
pegmatite fields and groups of LCT (Li-Cs-Ta), NYF (Nb-Y>F) and mixed
(LCT-NYF) petrogenetic families of Cerny and Ercit (2005). Ragged Range tenure
is shown covering the southern portion of the Split Rock Supersuite and
Corunna Downs Batholith (after Sweetapple., 2017).

 

https://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/split-rock-supersuite.jpg
(https://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/split-rock-supersuite.jpg)

 

Next Steps

Following the current initial lithium mapping and sampling program, the
following activities are proposed at Ragged Range, targeting priority lithium,
nickel and gold targets:

·        Investigation of all small granitic and pegmatitic bodies in
the lithium target area. Samples are to be assayed for lithium and key
pathfinder elements including Ce, Rb, Sn, Ta and W.

·        Reconnaissance soil sampling and prospecting within the 10km
halo of the Mondana Monzogranite (E46/1262, E46/1190, E461393 and E46/1340)
(Figure 1).

·        A high-powered Fixed Loop Electromagnetics (FLEM) ground
geophysics survey is scheduled for early May over the nickel gossan located in
the western portion of tenure. The survey is designed to detect any conductive
anomalies at depth that may indicate the presence of nickel sulphide
mineralisation. The survey is anticipated to take one week to complete.

·        Continuation of RC drilling at Sterling prospect following up
on structurally controlled anomalous gold in streams and soils.

·        Airborne magnetic/radiometric survey to be flown over the
eastern portion of the tenure including E46/1340 and E46/1393.

 

URANIUM AND VANADIUM PROJECTS

 

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 (Figure 3).

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 projects may be found on the Thor website:
www.thormining.com/projects/us-uranium-and-vanadium
(http://www.thormining.com/projects/us-uranium-and-vanadium) .

 

Figure 3:  Location map showing projects, infrastructure and nearby White
Mesa processing plant.

https://www.thormining.com/sites/thormining/media/Maps/20-003-2-VKRMWB-Locn.jpg
(https://www.thormining.com/sites/thormining/media/Maps/20-003-2-VKRMWB-Locn.jpg)

 

Thor has systematically worked through the San Miguel County, Colorado
approvals process, with the Board of County Commissioners (BOCC) approving the
proposed Wedding Bell drilling program at a public hearing on 30 March 2022.

The proposed initial drilling program is designed to test the three Wedding
Bell prospects: Groundhog, Rim Rock and Section 23 (Figure 3). The Wedding
Bell Project lies within the Uravan Mineral Belt, considered highly
prospective for shallow 'Saltwash' type sandstone-hosted, high-grade
uranium-vanadium mineralisation (Figure 4).

Field sampling by Thor returned assay results of high-grade uranium, up to
1.25% (12,500ppm) U(3)O(8) and vanadium, up to 3.47% V(2)O(5) (THOR ASX, AIM:
21 July 2020).

 

Figure 4: Map of Colorado Wedding Bell Project showing priority areas -
Section 23, Groundhog and Rim Rock.

http://www.thormining.com/sites/thormining/media/maps/21-003-1-us-uranium.jpg
(http://www.thormining.com/sites/thormining/media/maps/21-003-1-us-uranium.jpg)

 

Next Steps:

·        Complete the sign off process with the Federal Bureau of Land
Management (BLM) and the Colorado Division of Reclamation Mining and Safety
(DRMS).

·        Finalise environmental management plan in line with approvals
for drilling and reclamation bond.

·        Complete drilling preparations, including engaging drilling
contractors.

·        Drilling is anticipated to commence mid-year.

 

Uranium Market

Spot uranium prices are trading near an 11-year high, the Directors believe
this is a result of geopolitical tension, strong demand, constrained supplies
and underinvestment.

Potential US sanctions on Russian uranium imports has resulted in an increased
importance on US domestic uranium supply.

The 'green wave' is impacting the uranium sector, with the US and now UK in
particular turning to nuclear energy in order to generate reliable, safe and
carbon free base load power.

 

 

COPPER PROJECTS

 

Thor holds direct and indirect interests in over 400,000 tonnes of Inferred
copper resources in South Australia, via its 80% farm-in interest in the
Alford East copper project and its 30% interest in EnviroCopper Ltd.

Each of these projects are considered by Thor directors to have significant
growth potential, and each are being advanced towards development via low
cost, environmentally friendly In Situ Recovery ("ISR") techniques.

 

Figure 5: SA Copper projects location map

http://www.thormining.com/sites/thormining/media/maps/17-007-1b-kapunda-alford-location.jpg
(http://www.thormining.com/sites/thormining/media/maps/17-007-1b-kapunda-alford-location.jpg)

 

 

ALFORD EAST COPPER-GOLD PROJECT - SA

The Alford East Copper-Gold Project is located on EL6529. Here, Thor is
earning up to 80% interest from unlisted Australian explorer Spencer Metals
Pty Ltd, covering portions of EL6255 and EL6529 (THR:ASX 23 November 2020).

The Project covers the northern extension of the Alford Copper Belt, located
on the Yorke Peninsula, SA (Figure 5).  The Alford Copper Belt is a semi
coherent zone of copper-gold oxide mineralisation within a structurally
controlled, north-south corridor. This consists of deeply kaolinised and
oxidised troughs within metamorphic units on the edge of the Tickera Granite,
Gawler Craton, SA (Figure 6).

Utilising historic drill hole information, Thor completed an inferred Mineral
Resource Estimate (MRE), (THR:ASX 27 January 2021), consisting of:

§ 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)

 

Figure 6:  Alford East Project showing the eight mineralised domains (Plan
View) (left) and Tenement & Prospect Location Plan (right).

http://www.thormining.com/sites/thormining/media/maps/21-001-4-ae-mre-%E2%80%93-location.jpg
(http://www.thormining.com/sites/thormining/media/maps/21-001-4-ae-mre-%E2%80%93-location.jpg)

http://www.thormining.com/sites/thormining/media/Maps/mre_ae_5-drilling.jpg
(http://www.thormining.com/sites/thormining/media/Maps/mre_ae_5-drilling.jpg)

 

Alford East Diamond Drilling Program Update

The first phase of drilling comprised nine diamond drillholes totalling 878m,
with all assays now received for all drillholes.  This initial program for
Thor focussed only on the northern portion of the Alford East copper-gold
deposit, around the AE-5 mineralised domains (Figure 6 and 7), with drilling
targeting areas open at depth and along strike.

Significant intercepts including:
                                    21AED001                32.9m @ 0.4% Cu and 0.31g/t Au from 81.5m (ASX:THR 31.8.21),
                            21AED002                59.9m @ 0.3% Cu from 21.9m (ASX:THR 31.8.21),
                            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,
                            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 (ASX:THR 31.8.21),

 

 

Figure 7:  Alford East Project AE-5 domain showing drillhole location plan.

https://www.thormining.com/sites/thormining/media/Maps/ae-5-location-plan.jpg
(https://www.thormining.com/sites/thormining/media/Maps/ae-5-location-plan.jpg)

 

For ISR purposes, drilling was limited to the deeply weathered lithological
profile, testing the extent of the oxide zone and the depth boundary of the
Top of Fresh Rock (TOFR).   The copper-gold oxide mineralisation is hosted
within deeply kaolinised (clay) and metasomatic altered units on the contact
between the Olympic Domain Wallaroo Group metasediments and the Hiltaba Suite
Tickera Granite, Gawler Craton (Figure 6). Copper oxide mineralogy is
dominated by malachite and chalcocite.

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, resulting in
significant grade uplift in comparison to the MRE (Figure 7).

Drillholes 21AED001, 21AED003 and 21AED005 (Section A-A' 6,256,360mN) were
drilled through the central portion of AE-5 (Figures 7 and 8), designed to
validate the geological model and test areas open at depth.  The high-grade
copper and gold intercepts in 21AED001 opens the mineralisation up at depth,
whilst 21AED005 highlights the significant grade uplift along the Netherleigh
Park Fault.

21AED004 (Section B-B' 6,235,440mN) was drilled along strike to the north
21AED005, a continuation of higher copper grades along fault (Figure 7 and 9).

21AED002, 21AED006 and 21AED007 (Section C-C' 6,235,600mN) were all drilled to
the north of the AE-5 MRE domain, with assay results extending the known
copper mineralisation along strike towards AE-8 (Figure 2, 3 and 6).

Multi-element analysis of the assay results highlights two distinct
higher-grade zones of copper-gold mineralisation within a broader mineralised
envelope. The lower of the two has a distinct IOCG geochemical signature:
elevated Cu, Au, Mo, Co, Se, Bi & REE (Figure 6 log plot).  This
potentially reflects sulphide oxidation of primary mineralisation; whilst the
upper zone has a more amorphous distribution typical of a supergene
mineralised system.

 

Figure 8: Cross section 6,256,360mN looking NNE, showing 21AED001, 21AED003
and 21AED005. Copper assays shown as cylinder down hole trace.

 

http://www.thormining.com/sites/thormining/media/Maps/xs-6256360mn..jpg
(http://www.thormining.com/sites/thormining/media/Maps/xs-6256360mn..jpg)

 

Figure 9: Cross section 6,256,440mN looking NNE, showing 21AED004, with copper
assays shown as cylinder downhole trace.

http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/2022.02.17-section-b-6256440mn-incl-21aed004-final-assays.jpg
(http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/2022.02.17-section-b-6256440mn-incl-21aed004-final-assays.jpg)

 

Figure 10: Cross section 6,256,600mN showing 21AED002 and 21AED007, with
copper assays shown as cylinder downhole trace.

http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/2022.02.17-section-c-6256600mn-incl-21aed002-and-21aed007-final-assays.jpg
(http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/2022.02.17-section-c-6256600mn-incl-21aed002-and-21aed007-final-assays.jpg)

 

Figure 11: Multi-element log plot for 21AED001 showing two distinct higher
grade copper zones with the lower gold rich zone reflecting IOGC geochemical
signature.  Also showing metallurgical samples

 

http://www.thormining.com/sites/thormining/media/Maps/21aed001_log-plot.jpg
(http://www.thormining.com/sites/thormining/media/Maps/21aed001_log-plot.jpg)
 

 

New Alford East Geological Model

Based on the recent diamond drilling, a new robust 3D geological model was
generated using a combination of weathering, lithology, assay and structural
data from logging, and regional geology, structural and geophysics (magnetics
and gravity) data (Figure 7).

 Key geological outcomes:

·   The highest grade oxide mineralisation seems to occur where a fault has
facilitated a more deeply weathered profile.

·   Some faults appear to have had minor vertical offset on them
post-development of the weathering profile (for example, the north-east
trending Netherleigh Park Fault, central to the project area).

·   Mineralisation shows a preference to be hosted in  metasediments.

·   A Sulphidic-Magnetic-Shale (SMS) stratigraphic-alteration unit, appears
as a marker unit in the regional and more local magnetics images, as well as
in the regional 3D magnetics and gravity inversions.

·   The SMS unit was modelled using the above information, showing an
overall synformal shape with AE3 sitting in the core or trough of overlying
metasediments formed by the synform.

·   Most supergene mineralisation appears to occur in the hanging wall of
the SMS, whilst the weathered primary mineralisation (such as in the deeper
sections of AE8 and AE5) seems to be associated with major faults, such as the
central Netherleigh Park Fault.

 

Figure 12: 3D Geological Model - showing the major faults in black, cover in
translucent brown, weathered rock in translucent green, fresh rock in
translucent yellow, sulphidic-magnetic-shale (SMS), and the resource domains
in green (labelled).

http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/ae_basement-geology.jpg
(http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/ae_basement-geology.jpg)
 

 

Hydrometallurgy

 

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 both
socially and environmentally friendly, rather than using conventional acid
in-situ recovery (ISR).

 

This has led to Thor engaging Mining Processing Solutions (MPS) in 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.

 

A preliminary 'discovery' metallurgical test program has been carried out to
determine the amenability of the Alford East mineralisation to metal recovery
using GLT. The test work has involved two rounds of Diagnostic Leach Tests
(DLTs), and one round of Bottle Roll Tests (BRTs) (Figure 8) on the two
samples from 21AED001 (Table D). The two zones are highlighted in Figure 6.
Ground water collected from Alford East was used in the laboratory test work
to ensure water characteristics, especially pH, were tailored to Project
conditions.

Table D: Samples selected for testing - Fire and 4 acid digest assay results

 

 Hole ID   Sample         Assay ID     Cu (ppm)  Au (ppm)
 21AED001  AE Upper Zone  THOM-01-002  1,080     0.02
 21AED001  AE Lower Zone  THOM-01-001  4,920     1.10
 21AED001  Combined       THOM-01-003  2,950     0.51

 

Figure 13: Overview of test work

http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/initial-test-work.jpg
(http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/initial-test-work.jpg)

 

Initial Findings:

·     Based on copper sequential analysis (identifies leachable copper
mineralogy) -   15% of the copper from the upper zone and up to 50% from the
lower zone should be theoretically leachable with GLT.

·     Based on the gold diagnostic leach assays, extraction from the
lower zone of up to 73.4% should be theoretically leachable with Glycine
Leaching Technology (GLT). The upper zone had negligible gold.

·     Diagnostic Leach Test - designed to be initial comparison tests to
ascertain the response to a range of conditions including a baseline
cyanidation test.

·     Bottle Roll tests (6):

·   The composite sample performed very well with GLT, extracting 98.1% of
the gold and over 40% of the copper.

·   Lower zone using GLT extracted 78.3% of the gold and 33.5% of the
copper, whilst the lower zone using cyanide extracted 64.1% Au and 48.2% of
the copper.

·   The alkaline Glycine Leaching Technology (GLT) has slower leaching
dynamics than cyanidation, so if given more time higher extractions would be
expected.

 

Next Steps:

Based on the new geological model, approximately 10 diamond drill holes have
been designed to test potential high-grade zones (Figure 12):

§ Along strike and up-dip of deeply weathered zones.

§ Targeting controlling key structures including the Netherleigh Park Fault
at depth especially where there are large gaps in existing data.

§ Targeting intersection of SMS and Liaway offset Fault.

§ Targeting intersection of Netherleigh Park Fault and Liaway Fault.

§ Targeting subordinate splays off Netherleigh Park Fault where there is
evidence of a deep weathering trough.

In addition, hydrogeological water bores and pump testing are being planned to
determine aquifer connectivity between holes, with an initial focus on 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.

 

Figure 14: Phase two proposed drillholes, targeting potential higher-grade
zones open at depth and along strike

http://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/phase-2-drilling-proposal.jpg

This work is co-funded by the SA Government Accelerated Discovery Grant (ADI)
of A$300,000.

In conjunction with the technical assessment, Thor will continue ongoing
stakeholder and community engagement, and regulatory activities.

Based on the nature of the oxide mineralisation, the deposit is considered
amenable to ISR techniques.  For further information on ISR, please refer to
Thor's website via this link for an informative video:
www.youtube.com/watch?v=eG_1ZGD0WIw
(http://www.youtube.com/watch?v=eG_1ZGD0WIw)

 

KAPUNDA and ALFORD WEST COPPER PROJECTS - SA

Thor holds a 30% equity interest in private Australian company EnviroCopper
Limited ("ECL").  In turn, ECL has entered into an agreement 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 the 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:

www.envirocopper.com.au (http://www.envirocopper.com.au/)

 

KAPUNDA

EnviroCopper Ltd ("EnviroCopper" or "ECL") has completed the installation of
test well arrays whilst commencing in-situ recovery trials ("ISR"), including
tracer and push-pull test work (Figure 5). 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:

·    Hydraulic connectivity between wells

·    Copper solubility and recovery

·    Establish lixiviant and time parameters for design of the Site
Environmental Lixiviant Trials (SELT).

 

 

TUNGSTEN PROJECTS

MOLYHIL TUNGSTEN / MOLYBDENUM PROJECT - NT (100% Thor)

The Molyhil tungsten-molybdenum-copper deposit is 100% owned by Thor Mining
and is 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 14).

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 10). Both of the outlines of the lodes and the
banding within the lodes strike approximately north and dip steeply to the
east.

 

A full background on the project is available on the Thor Mining website:
www.thormining.com/projects (http://www.thormining.com/projects) .

Figure 15: Molyhil Project Location map

https://www.thormining.com/sites/thormining/media/Maps/12-002-1b-molyhil-location.jpg
(https://www.thormining.com/sites/thormining/media/Maps/12-002-1b-molyhil-location.jpg)

 

Diamond Drilling Program

During a 3D geological and geophysical modelling exercise completed over March
and April 2021, a potential extension to the known Molyhil
tungsten-molybdenum-copper mineralisation was defined by a large magnetic
target (Figures 16 and 17). It was noted that previous drilling in this area
had not tested the newly identified magnetic body.

Three diamond drillholes (21MHDD001 - 21MHDD003), totalling 995.4m, were
successfully tested. This confirmed the newly identified magnetic target,
representing a significant magnetite skarn hosting disseminated
tungsten-molybdenum-copper mineralisation south of the Molyhil Critical
Minerals Project (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
(Figure 16), 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) (Figure 16). Drilling data is now being
compiled to revise the 3D model.

Previous 3D geological modelling of the Molyhil deposit identified two
prominent structures - the Yacht Club fault and South Offset fault (Figure 15
and 16). Based on the geological timing of these faults, they appear to have
had a significant impact on mineralisation, such as offsetting the Yacht Club
mineralisation from the Southern Lode, hence creating targets for potential
extensions. Modelling of the South Offset Fault, relative to the magnetics,
strongly implies an offset of the now confirmed magnetite skarn, host to the
tungsten-molybdenum-copper mineralisation, and south of the South Offset
fault.

The drilling program is co-funded by the Geophysics and Drilling
Collaborations (GDC) program as part of their 'Resourcing the Territory'
initiative, with Thor Mining granted A$110,000 (ASX: THR 4 June 2021). Full
details can be found on the NTGS website:
www.resourcingtheterritory.nt.gov.au/about/gdc
(http://www.resourcingtheterritory.nt.gov.au/about/gdc) .

The newly discovered extension of the tungsten-molybdenum-chalcopyrite
mineralisation to the south of the Molyhil deposit has validated the
successful 3D modelling of the geology, magnetics and mineralisation. The
newly acquired data will be used to enhance the 3D model prior to follow up
potential resource drilling.

 

Figure 16: Plan view, looking down at the conceptual pit shell (brown), with
the 0.3% WO(3) isosurface in blue, 0.15% Mo isosurface in silver, and modelled
3D magnetics in transparent red. The yellow dashed line shows the location of
the long section (Figure 3). 21MHDD001 and 21MHDD002 completed with DD Hole C
underway.

https://www.thormining.com/sites/thormining/media/maps/plan-view_dec21.jpg
(https://www.thormining.com/sites/thormining/media/maps/plan-view_dec21.jpg)

 

Figure 17: Long section of the Molyhil project looking west-northwest,
showing two drilled holes and a third planned hole. Drilled holes, 21MHDD001
and 21MHDD002, were targeted into the magnetic anomaly where it appears offset
at depth by faulting. The next planned hole, DD Hole C, is planned to
intersect the geological plunge of the mineralised intercept in 21MHDD002. The
conceptual pit shell is shown in brown, 0.3% WO(3) isosurface in blue, 0.15%
Mo isosurface in silver, and modelled 3D magnetics in red (0.175 SI), and as a
transparent red envelope (0.15 SI) and a conceptual shape representing the
down-plunge mineralised zone in yellow.

https://www.thormining.com/sites/thormining/media/maps/x-section_dec21.jpg
(https://www.thormining.com/sites/thormining/media/maps/x-section_dec21.jpg)

 

Bonya (Tungsten, Copper) and Jervois Vanadium Projects (40% Thor)

The Bonya tungsten, copper and vanadium deposits are located approximately
30km to the north-east of Molyhil (Figure 18).  Thor, in joint venture with
Arafura, holds a 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) .

 

Figure 17: Molyhil Project location showing adjacent Bonya tenement

https://www.thormining.com/sites/thormining/media/Maps/15-001-1d-bonya-resources.jpg
(https://www.thormining.com/sites/thormining/media/Maps/15-001-1d-bonya-resources.jpg)

 

 

CORPORATE, FINANCE, and CASH MOVEMENTS

Agreement with Power Metal Resources Plc (AIM: POW) for a Variation of the
Tail Benefit as part of the Sale Agreement of the Pilot Mountain Tungsten
Project in Nevada, USA, which resulted in an immediate cash payment of
£50,000 to Thor and ordinary shares in POW to the value of £100,000. The
sale of Pilot Mountain completed on 24 January 2022.

For all terms of the Sale Agreement can be viewed via announcement link:

https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20220125-pilot-mountain-tail-benefit-variation-and-sale-completion.pdf
(https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20220125-pilot-mountain-tail-benefit-variation-and-sale-completion.pdf)
 

Net cash outflows from Operating and Investing activities for the quarter of
$194,000 included inflows of $310,000 related to the sale of the Pilot
Mountain Project, sale of 4.5 million Power Metal Resources Plc (POW) shares,
and government grants.  Of the remaining $504,000 net cash outflows, $241,000
directly related to exploration activities.

Net cash inflow from Financing activities for the quarter $109,000, relating
to the exercise of options held by the Company's broker PAS Partners.

Providing an ending cash balance of $2,780,000.

Thor continues to hold 48,118,920 POW Shares which are released from a trading
restriction at the rate of 25% each quarter, with the first release on 30
April 2022.  The market value of the POW shares currently held is £794,000
(approximately $1,393,000) based on the closing price of the POW Shares as
traded on the London Stock Exchange on 27 April 2022

Cashflows for the quarter include related party payments of $98,000 to
Directors, comprising the Managing Director's salary, and Non-Executive
Directors' fees.

 

 

Yours faithfully,

 

THOR MINING PLC

Nicole Galloway Warland

Managing Director

 

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 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.

 

 

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.

 

 

TENEMENT SCHEDULE

 

At 31 March 2022, 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%

 

 

 

At 31 March 2022, the consolidated entity holds an interest in the following
tenements in the US State of Nevada:

 Claim Group  Prospect           Claim Name          Area                                 Holders            Company Interest
 Platoro      Desert Scheelite   NT #55 - 64         45 blocks (611ha or 1,510 acres)                        100%
              Garnet             NT #9 - 18

                                                     Pilot Metals Inc
              Gunmetal           NT #19 - 22, 6, 7
              Good Hope          NT #1 - 5, 41 - 54
 BFM 1        Black Fire Claims  BFM1 - BFM109       109 blocks (1,481ha or 3,660 acres)  BFM Resources Inc  100%
 BFM 2        Des Scheel East    BFM109 - BFM131     22blocks (299ha or 739Acre)          BFM Resources Inc  100%
 Dunham Mill  Dunham Mill        MS1 - MS4           4 blocks                             BFM Resources Inc  100%

 

On 31 March 2022, the consolidated entity holds 100% interest in a Uranium and
Vanadium projects in US 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%

 

 

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