REG - Thor Mining PLC - US Uranium/V8anadium Project - Milestone Shares

Thor EnergyAnnouncement

04/11/2020 07:00

RNS Number : 2111E
  
Thor Mining PLC
  
04 November 2020
  
 

4 November 2020
 
THOR MINING PLC
US URANIUM / VANADIUM PROJECT
 FIRST PROJECT MILESTONE ACHIEVED AND ISSUE OF MILESTONE SHARES
 
The directors of Thor Mining Plc ("Thor" or the "Company") (AIM, ASX: THR) are pleased to advise that high grade assay results from field sampling of the Colorado prospects have exceeded the criteria for the first milestone share issue to the vendors of American Vanadium Pty Ltd (AVU). 
AVU holds interests in uranium and vanadium focussed projects in Colorado and Utah in the United States of America. The Company announced on 10 September 2020 completion of the acquisition of AVU:
www.thormining.com/sites/thormining/media/pdf/asx-announcements/20200910-us-uranium-and-vanadium-completion-of-acquisition.pdf.
Thor will now proceed with the issue of 18 million Ordinary Shares of 0.01p each, in full payment of the First Performance Payment, utilising available capacity under ASX Listing Rule 7.1.
Highlights:
·    Field sampling by Thor during due diligence period showed assay results of high grade uranium (up to 1.25% U3O8) and vanadium (up to 3.47% V2O5)
·    Criteria of 15 or more samples from three of more adits/shafts at Radium Mountain & Wedding Bell prospects returning grades >= 0.1% U3O8, or 1.0% V2O5, or equivalent, has been met.
Mick Billing, Executive Chairman of Thor Mining, commented: 
"We are very pleased with the high grade assays from the initial sampling program conducted in Colorado."
"Our next step with this project is likely to be a drilling program on a number of the Colorado targets, scheduled following the North American winter."
PROJECT PERFORMANCE PAYMENTS
The acquisition agreement for AVU, as previously announced, includes a series of performance payments, of:
·    First Performance - A$108,000 through the issue of 18,000,000 Ordinary Shares, on 15 or more samples from three of more adits/shafts at Radium Mountain & Wedding Bell prospects returning grades >= 0.1% U3O8, or 1.0% V2O5, or equivalent* within six months of execution of the Share Agreement - now met.
·    Second Performance  - A$252,000 through the issue of 42,000,000 Ordinary Shares on drilling ore grade intercepts from at least three holes from any deposits within the licences, at a product of grade and thickness of >= 0.4% U3O8, or equivalent*. For example, 4m @ 1,000ppm U3O8 or 1m @ 4,000ppm U3O8.
·    Third Performance - A$252,000 through the issue of 42,000,000 Ordinary Shares on reporting a mineral resource in either the inferred, indicated or measured category (reported in accordance with the JORC Code, 2012 Edition) of, or equivalent* to 5million tonnes @ >= 0.1% U3O8, or 1.0% V2O5, or equivalent*.
*    Uranium equivalent will be calculated taking into account, in addition to uranium, credits for vanadium making up part of the relevant polymetallic deposit that have a reasonable potential to be recovered and sold, according to a formula that will be used and published in accordance with clause 50 of the JORC Code.
 
Whilst not all samples detailed below are from adits or shafts as set out in the acquisition agreement, this proved impractical due to access restrictions to historical underground workings.  The parties have agreed that those collected are representative of the project area and that the conditions of the first performance payment have been met.
 
Table A: Sample Assay Results Meeting Agreed Criteria (extract from report of 21 July 2020)




Prospect


Sample #


Easting


Northing


Sample Type


% U3O8


% V2O5


Comments




Ground Hog


WR-001


687927


4223836


Outcrop


0.52


1.63


chip sample from outcrop




Rim Rock


WR-003


687660


4225839


Adit wall


0.89


1.68


chip sample from outcrop




Rim Rock


WR-004


687660


4225839


Grab


1.00


1.165


ore spillage




Wedding Bell


WR-005


687333


4224766


Grab


0.44


0.339


dump sample




Wedding Bell


WR-006


687202


4224797


Grab


0.24


0.602


loose sample from historic test pit




Lark Mines


WR-009


691031


4226911


Dump


0.24


0.219


dump sample




Lark Mines


WR-010


690763


4226921


Dump


1.17


1.70


dump sample




Lark Mines


WR-011


690468


4226608


Dump


0.39


1.099


dump sample




Diana Mine


WR-012


690142


4225830


Dump


1.11


2.08


dump sample




Babe Ruth


WR-014


689732


4225603


Dump


0.34


2.35


dump sample




unnamed


WR-015


688347


4225808


Grab


0.91


0.542


ore spillage




Rim Rock


WR-016


687627


4225392


Dump


1.25


0.867


dump sample




Jack Knife


WR-020


687081


4223998


Pit Wall 


0.68


3.47


chip sample




Ground Hog


WR-002


688030


4223849


Outcrop


0.09


0.998


chip sample from outcrop




Big Bull


WR-007


692453


4226633


Dump


0.10


0.667


dump sample




Babe Ruth


WR-013


689730


4225628


Outcrop


0.01


0.931


chip sample from outcrop




Rim Rock


WR-017


687660


4225839


Adit wall


0.14


1.90


chip sample from Vanadium rich wall exposure




Rim Rock


WR-018


687731


4225668


Outcrop


0.05


2.14


chip sample from Vanadium rich wall exposure




Jack Knife


WR-019


687108


4224016


Pit Wall


0.02


1.077


chip sample from Vanadium rich wall exposure




Ground Hog


WR-021


687921


4223833


Outcrop


0.09


0.454


chip sample from Vanadium rich wall exposure




 
SHARE ISSUE AND DEALINGS
The Company will shortly issue 18,000,000 Ordinary Shares to settle the First Performance payment.
Application will be made for admission to trading on the AIM Market of the London Stock Exchange ("AIM") for a total of 18,000,000 Ordinary Shares, which will rank pari passu with the Company's existing issued Ordinary Shares. Dealings on AIM are expected to commence at 8:00am on or around 10 November 2020 ("Admission").
TOTAL VOTING RIGHTS
For the purposes of the Financial Conduct Authority's Disclosure Guidance and Transparency Rules ("DTRs"), following Admission, Thor will have 1,512,704,800 Ordinary Shares in issue with voting rights attached. Thor holds no shares in treasury. This figure of 1,512,704,800 may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company, under the ASX Listing Rules or the DTRs.
 
The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
 
Enquiries:








Mick Billing


+61 (8) 7324 1935


Thor Mining PLC


Executive Chairman




Ray Ridge


+61 (8) 7324 1935


Thor Mining PLC


CFO/Company Secretary




Samantha Harrison/Niall McDonald


+44 (0) 207 383 5100


Grant Thornton UK LLP 


Nominated Adviser




Nick Emerson
 


+44 (0) 1483 413 500


SI Capital Ltd


Broker




 


 


 


 




Competent Persons Report
The information in this report that relates to exploration results is based on information compiled by Nicole Galloway Warland, who holds a BSc in 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.
 
About Thor Mining PLC
Thor Mining PLC (AIM, ASX: THR) is a resources company quoted on the AIM Market of the London Stock Exchange and on ASX in Australia. 
Thor holds 100% of the advanced Molyhil tungsten project in the Northern Territory of Australia, for which an updated feasibility study in August 2018¹ suggested attractive returns.
Adjacent Molyhil, at Bonya, Thor holds a 40% interest in deposits of tungsten, copper, and vanadium, including an Inferred resource for the Bonya copper deposit².
Thor is also acquiring up to 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 in South Australia recoverable by way of in situ recovery⁴. Thor also holds rights to earn a 75% interest in portion of the Alford West copper project also in South Australia, and is also considered amenable to recovery by way of in situ recovery⁵. 
Thor holds 100% of the Pilot Mountain tungsten project in Nevada USA which has a JORC 2012 Indicated and Inferred Resources Estimate³ on 2 of the 4 known deposits. The US Department of the Interior has confirmed that tungsten, the primary resource mineral at Pilot Mountain, has been included in the final list of Critical Minerals 2018.
At the 100% owned Ragged Range Project in the Pilbara region of Western Australia, Thor has exciting early stage results for which gold and nickel drilling is planned.
Thor holds mineral claims in  the US states of Colorado and Utah with historical high grade uranium and vanadium drilling and production results.
Notes
¹ Refer ASX and AIM announcement of 23 August 2018
² Refer ASX and AIM announcement of 26 November 2018
³ Refer AIM announcement of 13 December 2018 and ASX announcement of 14 December 2018
⁴ Refer AIM announcement of 10 February 2016 and ASX announcement of 12 February 2018
⁵ Refer ASX and AIM announcement of 15 August 2019

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