June Quarterly report

RNS Number : 1056L

Thor Mining PLC

27 July 2011

 

THOR MINING PLC

QUARTERLY ACTIVITIES REPORT

PERIOD ENDING 30 JUNE 2011

Dated: 27 July 2011

The Directors of Thor Mining PLC ("Thor" or the "Company") (AIM, ASX: THR) the Australian gold, tungsten and molybdenum explorer and developer, today lodged its June 2011 quarterly report with the Australian Securities Exchange (ASX) as required by the listing rules of ASX.

QUARTERLY REPORT APRIL TO JUNE 2011

Highlights	Outlook for September 2011 Quarter
TUNGSTEN & MOLYBDENUM Molyhil NT ·     Tungsten price continued its strong increase, currently at US$460/mtu ·     Molybdenum price slightly weaker at US$15/lb ·     Feasibility study update commissioned.	·     Drill program to test deeper extensions of the Molyhil deposit, and to add further confidence to resource estimate. ·     Project feasibility study review
GOLD Spring Hill NT ·     Shareholder approval for the staged acquisition of the 274,000oz Spring Hill Gold project. ·     Preparation for drilling.	·     Drilling to confirm and extend open pittable resource ·     Evaluation of potential for profitable production. ·     Preparation for drilling Deep ("Callie model") targets
Dundas WA ·     Continued geochemical (calcrete) sampling.	·     Further geochemical (calcrete) sampling. ·     Preparation for follow up air core and RC drilling

MOLYHIL TUNGSTEN-MOLYBDENUM PROJECT (NT) (100% THOR) ("MOLYHIL")

The selling price of Tungsten APT has increased strongly to US$460/mtu (briefly touching US$500/mtu), while the price of Molybdenum Roasted Concentrates has declined slightly to around US$15.00/lb.

In the light of the improved tungsten price, Thor has commissioned an update to the 2007 definitive feasibility study, focussing on all aspects of the project.  It is expected that the results of this study will be available around October 2011.

September Quarter activity schedule

A two stage reverse circulation and diamond drilling program has been designed to extend the known resource and to enhance resource confidence. The first stage of the program will comprise 6 to 8 reverse circulation holes (depending upon results) which will target potential southern extensions to the known lodes.

The second stage will comprise a series of six diamond drill holes designed to improve the confidence of earlier drilling and as a result enhance the confidence in the overall resource model.

In addition, the feasibility study work will continue throughout the quarter.

GOLD EXPLORATION

SPRING HILL PROJECT - NT (THR acquiring earn-in rights to up to 80% equity)

During the quarter the Company secured shareholder approval for the staged acquisition of up to 80% of the Spring Hill gold project.  All statutory approvals for the initial 25% acquisition have been received.

September Quarter Exploration schedule

Preparations have commenced for a diamond drilling program to confirm and extend the known mineralisation which may be extracted via open pit mining, as drilling to date has not extended below 150 metres (100 metres in some parts).  The drilling program will also provide sufficient sample for further metallurgical test work.  It is expected that this drilling program will commence during August.

In addition we have commenced preparations for a deeper drilling program to test for a much larger scale "Callie style" deposit.  This drilling is expected to commence in the December quarter.

DUNDAS PROJECT - WA (60% THR)

Further rounds of geochemical (calcrete) sampling to identify drill targets continued.

A total of 681 samples were collected in EL63/1102 and 26 collected in EL63/1101

A detailed flora and fauna study was carried out in EL63/872 and EL 63/1102 covering the Algron, Bifrost, and Asgard prospects, the next preferred drill locations.

September Quarter Exploration schedule

Calcrete (geochemical) sampling will continue to provide broad reconnaissance information along with some infill work around previously identified areas on anomalism.

In addition a RAB/Air Core drilling program is being scheduled to test the Algron and Bifrost prospects.  It is expected that this program will commence during September or October.

CORPORATE AND FINANCE

A general meeting of shareholders held on 18^th May 2011 in London, secured shareholder approval for the staged acquisition of equity in the Spring Hill Gold Project, and also to ratify recent capital raisings.

During June the company's largest shareholder, Western Desert Resources Limited, distributed 40 million Thor CDI's in specie to its shareholders.

During the quarter Mr Richard Bradey joined Thor Mining PLC as Exploration Manager.

Competent Persons Statement

The information in this report that relates to exploration results is based on information compiled by Richard Bradey, who is a Member of The Australasian Institute of Mining and Metallurgy.  Mr Bradey is an employee of Thor Mining PLC.  He has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'.  Richard Bradey consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Enquiries:

Mick Billing	[phone]	Thor Mining PLC	Executive Chairman
Allan Burchard	[phone]	Thor Mining PLC	CFO/Company Secretary
John Simpson	[phone]	Daniel Stewart & Co. plc	Nominated Adviser
Nick Emerson/ Renato Rufus	[phone]	Simple Investments	Broker
Alex Walters	[phone]	Cadogan PR	Financial PR

Updates on the Company's activities are regularly posted on Thor's website www.thormining.com, which includes a facility to register to receive these updates by email.

 

END

 

 

MSCBSGDRBGDBGBL