REG - Thor Mining PLC - Quarterly Activity Report October to December 2021

Thor EnergyAnnouncement

31/01/2022 07:00

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RNS Number : 0667A  Thor Mining PLC  31 January 2022

31 January 2022

 

 

Thor Mining PLC

 

Quarterly Activity Report

October to December 2021

 

 Highlights                                                                       Outlook for March Quarter 2022
 GOLD

 Ragged Range, Pilbara region, WA Australia
 · Maiden RC drilling program completed highlighting sericite-pyrite-fuchsite     ·  Airborne Magnetics Survey over eastern portion of tenure
 alteration system indicating proximity to gold source (AIM: THR 25 January

 2022)                                                                            · Follow up RC drilling program at Sterling Prospect

 · Lithium targets identified, and work program being designed                    · Regional mapping and stream sediment sampling targeting additional gold,
                                                                                  nickel and lithium targets

 COPPER

 Alford East, SA Australia

 · Hydrogeology results show favourable water characteristics and permeability    ·  Final assay results from diamond drilling program with improved 3D
 suitable for ISR production.                                                     geological model.

                                                                                  ·    Continue ISR assessment and development of the project

 Kapunda, SA Australia (via 30% equity holding in EnviroCopper Ltd)
 · In-situ recovery push pull trials commenced, including tracer and copper       ·  Copper-gold recoveries from lixiviant trials.
 recovery test work.

                                                                                ·  Scoping Study

 TUNGSTEN & MULTI COMMODITIES

 Molyhil, NT Australia

 · Successful diamond drilling program completed, confirming magnetic target      ·  Assay results from diamond drilling program.
 adjacent to deposit is mineralised magnetite skarn.

                                                                                · Modelling of data to be used for updated Mineral Resource Estimation.
 · 21MHDD002 intercepted over 45m of magnetite skarn with disseminated

 tungsten (W), molybdenum (Mo) and copper (Cu) mineralisation.                    ·  Review strategic plans fr Molyhil

 Pilot Mountain, USA

 · Thor have completed Sale Agreement with Power Metal Resources PLC (AIM:
 POW) to divest project for an agreed value of US1.8M

                                                                                  · Variation of Tail Benefit announced post period - with POW paying £50,000
                                                                                  cash and 4M freely tradable new ordinary shares of PMR of 0.1p at a deemed
                                                                                  issue price of 2.5p. (ASX: THR 25 January 22)

 URANIUM & VANADIUM USA
 · Permitting continuing for initial drill testing at Wedding Bells Project,      ·  Permitting outcomes.
 Colorado.

                                                                                  ·  Drilling preparations

CORPORATE & FINANCE

· Placement of A$2.75M to maintain exploration momentum to progress key
projects.

· Thor triggers Stage 1 of the earn-in to increase its interest to 51%
interest from Spencer Metals Pty Ltd over the Alford East Copper-Gold oxide
Project, South Australia.

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

"The December quarter saw Thor increase its on-ground exploration activities
with concurrent drilling programs at Ragged Range Gold Project, WA and Molyhil
Critical Minerals Project, NT, whilst advancing the drill permit process for
Wedding Bells Uranium Project, USA.

Although no significant gold was intercepted in the maiden RC program at the
Sterling Prospect, Ragged Range, this is only the start of our gold campaign
at Ragged Range, with some of the best ground yet to be tested. Elevated
pathfinder elements and broad zones of alteration are positive indicators that
we are in close proximity to the gold source.

Thor's recent geological review of the Ragged Range project, triggered by the
granting of E46/1393, has identified exciting lithium-caesium-tantalum targets
associated with the highly prospective Split Rock Supersuite.

We are currently designing our 2022 field program, with further drilling to
complete the original and test new targets identified at the Sterling
prospect, with geophysics, comprising airborne and ground surveys, and
geochemical sampling and mapping programs planned over our additional gold,
nickel and lithium target areas. The new lithium targets will be advanced as
soon as possible and have the potential for significant exploration
discoveries, while we continue drill testing further gold exploration targets
at the Sterling Prospect.

We are excited with the new discovery at our Molyhil critical metals project,
with drilling validating an interpreted mineralised magnetic target, developed
from 3D modelling - a new geological concept for the project. The extension of
this mineralisation, directly south of the deposit, in a previously untested
area, is pivotal to the overall Molyhil project.

Pump testing of our initial water bore at Alford East project has shown
favourable water characterisation and permeability for potential In Situ
copper-gold recovery.  This is positive news as we progress the project
towards ISR assessment and development; an environmentally, low carbon
emission alternative to conventional open cut and underground mining.

Permitting is progressing well at our Wedding Bell Uranium Project in the US
and we hope to update the market in the coming weeks, along with assay results
from our recently completed successful diamond drilling at the Molyhil
critical minerals project in the Northern Territory."

 

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 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.

Details of the projects may be found on the Thor website via this link:
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.

 

Figure 1a) 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:

www.thormining.com/sites/thormining/media/maps/21-004-1a-ragged-range-soilupdate-202106.jpg
(http://www.thormining.com/sites/thormining/media/maps/21-004-1a-ragged-range-soilupdate-202106.jpg)
.

 

Lithium Prospectivity

With the recent granting of E46/1393 (Figure 1), 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 Wodgina lithium project is considered the largest hard
rock, spodumene deposit in the world (https://www.carbonart.com.au).

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 are
post tectonic (Sweetapple, M, 2017). These are mapped as highly fractionated,
biotite, quartz and K Feldspar rich, monzogranites (Figure 2).

Pegmatites are located within 10 km of cogenetic peraluminous granites and
leucogranites. The roof zones of large plutons are considered to be one of the
most favourable positions for lithium enrichment  (London, 2018
(http://www.dmp.wa.gov.au/msa/rare-element-pegmatite-886.aspx#toc_962) ).
Spatial zonation of pegmatites around a common granitic source which is a
fundamental starting point for exploration models (London, 2018
(http://www.dmp.wa.gov.au/msa/rare-element-pegmatite-886.aspx#toc_962) ).
Using this as a model, the Ragged Range area fits all these conditions.

Commercial lithium is found in the mineral spodumene LiAl(Si(2)O(6)) that can
grow into very large crystals within pegmatite bodies. It is normally
associated with minerals such as cassiterite (Sn), columbite-tantalite
(Nb-Ta), lepidolite (lithium rich mica), beryl (Be) and garnets. These
elements can be used as pathfinders in stream sediment sampling programs.

At the southern end of the Corunna Downs Batholith (Figure 2), a crescent
shaped post-tectonic granitic pluton is found (now termed the Mondana
Monzogranite part of the Split Rock Supersuite).  The Mondana Monzogranite is
porphyritic and is largely unfoliated. Small units of the Mondana Monzogranite
are mapped in the NE corner of E46/1262, E46/1340 and E46/1393 and three
target areas have been defined:

1)                 This NE corner of E46/1262 is potentially a
roof zone of the Mondana Monzogranite making it the most prospective area for
lithium in the tenements (Figure 1 and 4).

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). Figure 2 may be viewed via
following link:

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)
 

 

Sterling Prospect - Maiden RC Drilling

41 shallow (50-96m) RC drillholes totalling 2,155m were completed at the
Sterling Prospect (ASX: THR 25 January 2022). Drill holes were designed to
angle-overlap, orientated at -60 degrees toward the west, near perpendicular
to the structural controls of the dominant, faulted contact between the Euro
Basalt and the Dalton Suite ultramafics (Figure 3 and Figure 4).

3m composite samples returned no significant gold intercepts (max of 0.1g/t
Au), though intersections of strong broad zones of quartz veining, sericite,
silica alteration, sulphides and fuchsite, characteristic of gold
mineralisation in the Pilbara, are positive indicators of close proximity to
the gold source (Photo Plate 1). In many of the drill holes close to the fault
contact, sericite and silica alteration of the Euro Basalt is strong (Photo
Plate 2). This alteration style forms the distal alteration halo around many
gold deposits. Sulphide veining with chalcopyrite, pyrite and sphalerite was
observed in drill chips. Higher grade gold is associated with sulphide
mineralisation at Calidus Resources' Warrawoona Project.

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. Unfortunately, due to mechanical issues, not all
targets were tested. Full drilling details may be viewed via following link:

https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20220125-gold-exploration-update,-ragged-range-wa.pdf

 

Figure 3: Sterling Prospect showing drill collars overlying high-grade soil
anomalies; Sterling Central (a) and Sterling South (b), may be viewed via the
following link:

 

Figure
3a) https://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/21-008-2-ragged-range-stirlingcentraldrilling.jpg
(https://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/21-008-2-ragged-range-stirlingcentraldrilling.jpg)

 

Figure
3b) https://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/21-008-1-ragged-range-sterlingsouthdrilling.jpg
(https://www.thormining.com/sites/thormining/media/pdf/ASX-Announcements/20202021/21-008-1-ragged-range-sterlingsouthdrilling.jpg)

 

 

Next Steps

Thor is planning follow up drilling at 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 work program is planned:

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 stream sediment 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. Lithium is detectable on XRF and will fluoresce in UV light. Positive
samples can then be assayed for lithium and key pathfinder elements including
Ce, Rb, Sn, Ta and W

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.

 

A copy of the Tenement and Prospect Location Plan may be viewed via the
following link:

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)

 

ALFORD EAST COPPER-GOLD PROJECT - SA

The Alford East Copper-Gold Project is located on EL6529, where 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 4).  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.

Figure 4: A plan view showing the Alford East Project's eight mineralised
domains and an a drillhole location plan of AE-5, may be viewed via the
following link:

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

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)

 

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)

 

Hydrogeology

Pump testing for initial hydrogeological baseline work forming part of the
'proof of concept' for ISR, including water characteristics, porosity, and
permeability testing was completed, with results confirming positive water
parameters and permeability for potential ISR at Alford East Project (THR:ASX
18 October 2021).

21AED001 was developed into a 4-inchwater bore by GMP Drilling Pty Ltd with B
& T Lehmann Drilling Pty Ltd carry out the pump testing operation under
the direction and supervision of consultants, Groundwater Science (Figure
6).  Water samples were analysed by  Eurofins  Environment  Testing  in
Victoria,  with water  levels  and  hydraulic conductivity measurements
conducted by  Groundwater  Science. Groundwater sampling was undertaken in
accordance with EPA Guidelines (2019).

Figure 6: Cross section 6,256,360mN looking NNE showing 21AED001 (water bore)
may be viewed via the following link:

https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20202021/21aed001_waterbore.jpg
(https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20202021/21aed001_waterbore.jpg)

 

Key Findings:

§ The copper-gold mineralisation at the test site is saturated below the
water table.  The water table elevation is approximately 38m Australian
Height Datum (AHD). At the test site this equates to a depth to water of 12m
below ground surface. For ISR, the mineralised zone needs to be saturated for
lixiviant fluids to flow through.

§ Groundwater salinity within 20km of site reports in the range of 15,000
-55,000 milligrams per Litre total dissolved solids (mg/L TDS), with onsite
investigation reporting 19,000mg/L. This is classified as saline and precludes
agricultural or potable use. The beneficial use category of this high salinity
water as defined in the South Australian Environmental Agency (EPA)water
quality policy (2015) and the Australian and New Zealand Guidelines for Fresh
and Marine Water Quality ANZECC Guidelines (2020) for industrial use only, not
suitable for irrigation or livestock.

§ Ground water is alkaline with pH -8.1, this is ideal for the trial
lixiviant, glycine. Glycine is a naturally occurring amino acid, and an
environmentally friendly reagent in an alkaline carrier.

§ Groundwater is found within the weathered zone (saprolite)of the basement
rock, rather than in discrete fractures.

§ The rock hosting the copper and gold mineralisation is moderately
permeable.

§ Short term test pumping calculated an aquifer transmissivity (T) of 2 to 3
m2/day.  The resultant concomitant bulk hydraulic conductivity is
approximately 0.14 m/day. In an ISR setting, wells with 18m long screens can
be expected to yield around 0.5L/s. This assumes transmissivity values
consistent with results from recent test pumping. This is very positive for
ISR production.

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 In Situ Recovery (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 In-Situ
Recovery ("ISR") contained in the Kapunda deposit from Australian listed
company, Terramin Australia Limited ("Terramin" ASX: "TZN"), and rights to 75%
of the Alford West copper project comprising the northern portion of
exploration licence EL5984 held by Andromeda Metals Limited (ASX:ADN).

Information about EnviroCopper Limited and its projects can be found on the
EnviroCopper website:

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

 

KAPUNDA

EnviroCopper Ltd ("EnviroCopper" or "ECL"), has completed the installation of
test well arrays and has commenced in-situ recovery trials ("ISR"), including
tracer and push pull test work (Figure 7). 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:

1.         Hydraulic connectivity between wells

2.         Copper solubility and recovery

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

 

 

Figure 7: Photo of Push-Pull Tracer Trials Underway at Kapunda can be viewed
via the following link:

 

https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20202021/rn-_-pump-test_1.jpg
(https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20202021/rn-_-pump-test_1.jpg)

 

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.

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 via this link:
www.thormining.com/projects/us-uranium-and-vanadium
(http://www.thormining.com/projects/us-uranium-and-vanadium) .

Figure 8: Project location map may be viewed via the following link:

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 is currently working through the San Miguel County, Colorado permitting
processes, with Federal (BLM), environmental surveys completed. Community
consultation with public notification - signage placed at entry points to
drill sites (Figure 9).

 

 

Figure 9: Photo of Public Notice Signage for proposed drilling at Wedding
Bells Project may be viewed via the following link:

 

https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20202021/public-notice.jpg
(https://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20202021/public-notice.jpg)

 

 

TUNGSTEN PROJECTS

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

The Molyhil tungsten-molybdenum-copper deposit is 100% owned by Thor Mining
and is located 220 kilometres north-east of Alice Springs (320 km by road)
within the prospective polymetallic province of the Proterozoic Eastern Arunta
Block in the Northern Territory.

A copy of the Tenement and Prospect Location Plan may be viewed via the
following link:

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)

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. Both 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)

 

Diamond Drilling Program

During a 3D geological and geophysical modelling exercise completed in
March/April 2021, a potential extension to the known Molyhil
tungsten-molybdenum-copper mineralisation was defined by a large magnetic
target (Figure 11 and 12). 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, and confirmed the newly identified magnetic target, which
represents a massive magnetite skarn hosting disseminated
tungsten-molybdenum-copper mineralisation, located to the 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
(Photo 1 and Figure 13), 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 12). Drilling data is
now being compiled in order 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 11
and 12). 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, south of the South Offset fault.

Thor expects to receive assay results back in the first quarter of 2022.

The drilling program is 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). 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 finesse the 3D model prior to follow up
potential resource drilling.

 

Figure 11: 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 12: 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. Figure 12 may be viewed via the
following link:

 

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

 

Figure 13: 21MHDD002 (272.2 - 275.7m) - massive magnetite skarn with disseminated scheelite and molybdenite (metallic silver) mineralisation and bands of chalcopyrite (yellow) may be viewed via following link:
 

https://www.thormining.com/sites/thormining/media/maps/p1000228.jpg (https://www.thormining.com/sites/thormining/media/maps/p1000228.jpg)

 

https://www.thormining.com/sites/thormining/media/maps/p1000233.jpg (https://www.thormining.com/sites/thormining/media/maps/p1000233.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 14).  Thor in joint venture with
Arafura hold 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 14: showing Bonya and Jervois Projects may be viewed via the following
link:

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)

PILOT MOUNTAIN TUNGSTEN PROJECT - NEVADA USA (100% Thor)

Thor's Pilot Mountain Project, acquired in 2014, is located approximately
200km south of the city of Reno and 20km east of the town of Mina, located on
US Highway 95 (Figure 15).

Figure 15: project location may be viewed via following link:
https://www.thormining.com/sites/thormining/media/maps/pilotmap.jpg
(https://www.thormining.com/sites/thormining/media/maps/pilotmap.jpg)

 

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

The Pilot Mountain Project is comprised of four tungsten deposits: Desert
Scheelite, Gunmetal, Garnet and Good Hope.  All of these deposits are in
close proximity (~3km) to each other and have been subjected to small-scale
mining activities at various times during the 20th century.

During the December Quarter, Thor advised that Power Metal Resources Plc
("Power Metal") (AIM: POW) had exercised the option to acquire 100% interest
in Pilot Mountain Tungsten Project ("Pilot Mountain") in Nevada, USA for an
agreed value of US$1.8 million.

Additionally, Power Metals have confirmed the completion of their due
diligence and therefore the sale of Pilot Mountain was 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)

 

CORPORATE, FINANCE, and CASH MOVEMENTS

During the December Quarter, Mr Alastair Clayton was appointed as
Non-executive Director with immediate effect (ASX: THR 5 October 2021).
Alastair, who is based in London, has considerable experience with both ASX
and AIM listed companies. He is currently Executive Director at Artemis
Resources Limited (ASX: ARV).

Thor triggered Stage 1 of the earn-in to increase its interest to 51% interest
in the oxide mineral rights from Spencer Metals Pty Ltd over the Alford East
Copper-Gold Project, South Australia (ASX: THR 17 November 2021).

Thor completed a successful capital raise in December 2021 (ASX: THR 15
December 2021), raising gross proceeds of A$2.75m via the placing of
220,000,000 new ordinary shares ("Ordinary Shares") (the "Placing Shares") at
a price of A$0.0125 (1.25cents) per Ordinary Share (the "Placing").

All placees to receive two options for each three Placing Shares, to
subscribe for a further new Ordinary Share at

§ one option exercisable at A$0.015, expiring 12 months from issue,

§ one option at A$0.02, expiring 24 months from issue.

·    Net cash outflows from Operating and Investing activities for the
quarter of $1,436,000, with the majority of this being directly related to
exploration activities, especially drilling ($945,000).

·    Net cash inflow from Financing activities for the quarter $2,728,000.

·    Providing an ending cash balance of $2,936,000.

Cashflows for the quarter include related party payments of $86,000 to
Directors, comprising the Managing Director's salary, and Chair 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.

 

 

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

Thor holds 100% of the Pilot Mountain tungsten project in Nevada, USA which is
subject to a sale option agreement.(6)

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)
 

⁶ www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210901-pilot-mountain-project-us1.8m-sale-option.pdf
(http://www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210901-pilot-mountain-project-us1.8m-sale-option.pdf)

 

 

 

TENEMENT SCHEDULE

 

At 31 December 2021, 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%

 

 

 

 

At 31 December 2021, 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 December 2021, 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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