Molyhil - Grant of Mining Lea

RNS Number : 3994V

Thor Mining PLC

28 May 2008

 



THOR MINING PLC

MOLYHIL - GRANT OF MINING LEASES

Dated: 28 May 2008    

Thor Mining PLC (the 'Company' or 'Thor'), AIM, ASX: 'THR' the specialist metals company focused on advancing tungsten-molybdenum and uranium projects in the Northern Territory of Australia, today announces that the three mining leases required for the development of the Company's 100%-owned Molyhil Tungsten-Molybdenum Project in the Northern Territory of Australia ('Molyhil') have been granted.

The three granted mining leases, ML 23825, ML 24429 and ML 25721, cover a total area of 246ha. The initial focus of mining at Molyhil will centre on the eastern half of ML 23825, with the areas covered by both ML 24429 and ML 25721 required for infrastructure purposes.

The grant of the three mining leases marks a further key milestone in the approvals process for Molyhil, following the signing of a native title mining agreement with the area's traditional owners in October 2007. The final review of the Mine Management Plan ('MMP') by the Department of Primary Industries, Fishing and Mining ('DPIFM') in the Northern Territory has been completed and official approval is expected following the granting of the mining leases.

Earlier this year Thor signed an off-take agreement with CITIC Australia Commodity Trading Pty Ltd to take 100% of the Molybdenum and Tungsten concentrates to be produced at Molyhil. Molyhil will produce a total of 4.9 million pounds of molybdenum metal and 700,000mtu's of tungsten over an expected 5.7 year mine life. Both metals are experiencing record demand and prices.

Commenting on the announcement, Thor's Chief Executive Officer, Mr John A. Young, said: 'The granting of these mining leases by the DPIFM clears the way for the MMP to be approved, marking another important milestone for Molyhil which has been strongly supported by the DPIFM.'

Enquiries:

John Young	[phone]	Thor Mining PLC	Chief Executive Officer
John Simpson	0207 489 4500	Blomfield Corporate Finance Ltd	Nominated Adviser

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

 

 

MSCKGGZKGRVGRZM