30 January
2024
Thor Energy
PLC
("Thor"
or the "Company")
Quarterly Activities and Cash
Flow Report
September to December
2023
Highlights
|
Outlook for next quarter (31 March 2024)
|
URANIUM &
VANADIUM
Wedding Bell & Radium
Mountain, Colorado, USA
Vanadium King, Utah,
USA
· Completion
of 23 RC drillholes, totalling 2,737m at Section 23, Rim Rock and
Groundhog, Wedding Bell Project
· High-grade
uranium up to 6885ppm (0.69%)
eU3O8 intercepted.
· Uranium
spot price breaks through US$100/lb, 16-year high
|
· Uranium and vanadium assay results from the Wedding Bell and
Radium Mountain drilling program
· Maiden drilling at Vanadium King Project
· Preparation for resource drilling at Groundhog, Rim Rock, and
Wedding Bell Projects
|
COPPER - RARE EARTH ELEMENTS
(REE)
Alford East, SA,
Australia
· Thor
acquired 80% interest in the Alford East Copper Oxide Project
(Figure 1)
from Spencer Metals Pty Ltd
· Ambient
Noise Tomography ("ANT") surveys completed in collaboration with
Fleet Space Technologies
· Preliminary 3D ANT model highlights low velocity zones
representing deep structural troughs hosting copper-REE-gold
mineralisation
· 72.2%
copper recoveries from hydrometallurgical Mini Column Tests (MCT's)
on drill samples from 21AED05
EnviroCopper ("ECL") (now via
26.4% equity holding)
· Andromeda
Agreement to transfer ownership of EL5984 to ECL was
finalised
· Alligator
Energy invested an initial
A$0.9m for 7.8% of ECL
|
· Completion
of new constrained 3D ANT and mineralisation
models
· Hydrogeology In-Situ Recovery ("ISR") assessment
continuing
|
Kapunda, SA,
Australia
· Site
Environmental Lixiviant trials ("SELT") underway
Alford West, SA,
Australia
· Modelling
of geophysical data including ANT and seismic data
|
· Copper-gold recoveries from lixiviant trials
· Continuing to assess the amenability of Alford West for
ISR
|
GOLD/NICKEL
Ragged Range, Pilbara region,
WA Australia
· Seeking
divestment or joint venture partner
|
Nicole Galloway Warland, Managing Director, Thor Energy Plc,
commented:
"Finishing the year with consistent high-grade uranium results
from our 2023 drilling program highlights the significant potential
and exciting growth opportunities of our Wedding Bell and Radium
Mountain uranium projects. We are now preparing for an exciting
2024 drilling program, including resource drilling, and continuing
brownfields exploration over our highly prospective
projects.
"Thor is encouraged by the growth opportunities in the uranium
sector, with the uranium spot price recently reaching a 16-year
high, supported by strong supply and demand fundamentals, climate
change initiatives and the US Government investing up to $500m to
develop domestic supply of nuclear energy from uranium. This
reconfirms our strategic focus on energy metals and our commitment
to advancing our USA uranium projects.
"The successful completion of the hydrometallurgical
mini-column tests; returning favourable copper recoveries of up to
72.2% are above the standard range of 60-70% for an ISR operation.
These are considered an excellent result, as Thor advances the ISR
assessment of the Alford East Copper-REE-Gold
Project.
"The Company implemented GlyleachTM as a lixiviant
during the ISR process to help drive the Company's sustainable
strategy. GlyleachTM is economical and environmentally
friendly compared to the traditional lixiviant of sulphuric acid,
helping Thor to develop a low-cost, low-environmental footprint ISR
copper operation.
"We are pleased with the ongoing relationship with Fleet Space
Technologies. Its assistance has enabled Thor to merge the ANT 3D
model with Thor's 3D geological model. The resultant 3D model
highlighted low-velocity drill targets, which potentially represent
higher-grade copper-REE-Gold targets, associated with deep
structurally controlled troughs. We are working to enhance our
existing 3D model and we expect the completion of the updated model
to be completed in Q1 2024.
"Another significant step change in the Company was the
multiple parties ECL engaged with in Q4 2023 as Thor held a 30%
interest in ECL before engagement to dilute our holdings in ECL to
26.4%. ECL received an initial A$0.9m investment from Alligator
Energy, along with an agreement with Andromeda Metals to acquire
the Alford West EL 5984 tenement. Thor's investment into ECL is
looking promising with in-ground lixiviant trials now underway at
Kapunda, with copper recoveries to be reported in the next
quarter.
"The Company is looking to divest from its
Ragged Range project as it seeks to execute its primary focus on
the drilling programs at Wedding Bell, Radium Mountain, and
Vanadium King in 2024."
Photo 1: Downhole gamma logging at
Section 23, Wedding Bell Project
URANIUM AND VANADIUM PROJECTS
(USA)
Thor holds a 100% interest in two US
companies with mineral claims in Colorado and Utah, USA
(Figure 1). 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 an economical transport
distance is the only uranium and vanadium processing facility in
the region (Energy Fuels White Mesa Mill), which enables a
low-hurdle processing option for any production from these
projects.
Details of the projects may be found
on the
Thor website.
|
|
|
Figure 1: Uravan Mineral Belt showing
project locations and nearby White Mesa processing plant
|
Wedding Bell and Radium
Mountain Project, Colorado:
Drilling commenced at Wedding Bell
/Radium Mountain Projects on 18 October 23 (ASX/AIM: 18 October
2023). The RC drill program comprised 23 shallow drillholes,
totalling 2,737m. It was designed to target uranium and vanadium
mineralisation within the Salt Wash Sandstone Member
(sandstone/mudstone) of the Morrison Formation (Figure
2). This is the primary
lithology for historic uranium and vanadium production in the
Uravan Mineral Belt.
The program successfully identified
shallow, uranium mineralisation (visual geological logging and
downhole gamma) in all holes drilled at Section 23, Rim Rock Mine
and Groundhog Mine (Table
1). Uranium mineralisation is
hosted within the reduced sandstone, close to the
oxidation/reduction contact, with vanadium mineralisation to be
determined by follow-up sample analysis of the anomalous
zones.
Significant uranium downhole gamma
results above 2000ppm (0.2%) eU3O8
include:
§ 23WBRA020
0.9m @ 6885ppm (0.69 %) eU3O8 from
82.66m
§ 23WBRA019
0.3m @ 3362ppm (0.34 %) eU3O8 from
90.22m
§ 23WBRA011
0.5m @ 3186ppm (0.32 %) eU3O8 from
76.2m
§ 23WBRA016
0.8m @ 1954ppm (0.20%) eU3O8 from
67.4m
Groundhog Mine area drilling comprising seven
drillholes (Figure
2 and Figure
3), was designed to test areas
along strike of historic mine workings predominately in the second
and third sandstone rim. 23WBRA020 returned the highest uranium
intercept of 0.69% eU3O8
within a grey-reduced sandstone (Figure
4). Further work is required on
correlating these results with historic mine workings and 2022
drilling, to delineate mineral resources.
Drilling at Rim Rock Mine area (seven drillholes)
has identified high-grade zones of up to 0.32% eU3O8 uranium
adjacent to, as well as along strike from the historic workings
(Figure 5 and Figure 6). Uranium mineralisation
appears here to be concentrated in the
third sandstone rim of the Salt Wash Sandstone, approximately 60m
below surface. Further work is required on correlating these
results with historic mine workings and 2022 drilling, to delineate
mineral resources.
Section 23 is an underexplored
area with no historic workings. Nine drillholes were designed to
test stratigraphic extensions to mineralisation in the Salt Wash
Sandstone, targeting the uranium mineralisation identified from the
first pass drilling program in 2022, as well as testing a portion
of the airborne radiometric anomalies (Figure
7). The initial data review has
identified uranium mineralisation in all four sandstone rims
(massive, laterally continuous, ledge-forming sandstone layers,
interbedded by thin siltstone and clay layers) within the Salt Wash
Sandstone Member, increasing the potential for multiple mineralised
zones in this area (Figure
2).
Samples from anomalous zones in each
drillhole are now at Australian Laboratory Services ("ALS") in
Canada for full geochemical analysis including uranium and vanadium
assays.
Figure 2: 2023 Drill Collars, Wedding
Bell, and Radium Mountain Project
Figure 3: Groundhog collar location
plan showing uranium grade distribution
Figure 4: 23WBRA020 Downhole gamma
log (left) with corresponding chip tray photographs
(right)
Figure 5: Rim Rock Mine Area Collar
location plan showing uranium grade distribution
Figure 6: 23WBRA011 Downhole gamma
log (left) with corresponding chip tray photographs
(right)
Figure
7: Section 23 Area Collar Location Plan with uranium grade
distribution
Table 1: Uranium Intercepts above
100ppm U3O8 (Downhole gamma- =
eU3O8)
(ASX/AIM Announcement 4 December
2023)
Prospect
|
Hole
ID
|
Interval (m) *
|
eU3O8 ppm
|
eU3O8 %
|
GT (m x
ppm)
|
Depth (m)
|
|
Section 23
|
23WBRA001
|
0.3
|
280
|
0.028
|
84
|
133
|
Section 23
|
23WBRA002
|
0.5
|
175
|
0.017
|
88
|
101.35
|
|
Section 23
|
23WBRA003
|
0.6
|
100
|
0.010
|
60
|
99.5
|
|
Section 23
|
23WBRA004
|
0.6
|
324
|
0.032
|
194
|
100.0
|
|
Section 23
|
23WBRA005
|
0.5
|
714
|
0.071
|
357
|
101.2
|
|
Section 23
|
23WBRA006
|
0.3
|
427
|
0.043
|
128
|
121.9
|
|
Section 23
|
23WBRA007
|
0.6
|
110
|
0.011
|
66
|
121.3
|
|
Section 23
|
And
|
0.3
|
485
|
0.049
|
146
|
122.6
|
|
Section 23
|
23WBRA008
|
Multiple Intercepts < 100ppm
|
|
Section 23
|
23WBRA009
|
0.9
|
578
|
0.059
|
520
|
124.3
|
|
Rim Rock
|
23WBRA010
|
Hole hit historic workings at Rim Rock
|
|
|
Rim
Rock
|
23WBRA011
|
0.5
|
3186
|
0.319
|
1593
|
76.2
|
|
Rim
Rock
|
23WBRA012
|
0.6
|
1708
|
0.172
|
1025
|
63.1
|
|
Rim
Rock
|
23WBRA013
|
0.3
|
1075
|
0.108
|
323
|
61.45
|
|
Rim Rock
|
23WBRA014
|
0.6
|
487
|
0.049
|
292
|
56.9
|
|
Rim Rock
|
And
|
0.6
|
450
|
0.045
|
270
|
57.0
|
|
Rim Rock
|
23WBRA015
|
1.2
|
268
|
0.027
|
322
|
58.55
|
|
Rim
Rock
|
23WBRA016
|
0.8
|
1954
|
0.2
|
1563
|
67.54
|
|
Groundhog
|
23WBRA017
|
0.8
|
687
|
0.07
|
550
|
89.18
|
|
Groundhog
|
23WBRA018
|
0.3
|
786
|
0.08
|
236
|
88.67
|
|
Groundhog
|
23WBRA019
|
0.3
|
3362
|
0.34
|
1009
|
90.22
|
|
Groundhog
|
23WBRA020
|
0.9
|
6885
|
0.69
|
6197
|
82.66
|
|
Groundhog
|
23WBRA021
|
0.6
|
308
|
0.03
|
185
|
85.53
|
|
Groundhog
|
23WBRA022
|
0.5
|
1553
|
0.16
|
777
|
85.22
|
|
Groundhog
|
23WBRA023
|
0.3
|
914
|
0.09
|
274
|
91.99
|
|
|
|
|
|
|
|
|
|
| |
Next Steps:
§ Anomalous
uranium and vanadium samples to be sent to ALS Canada (results
expected in February 2024), with review and assessment of the
results expected shortly thereafter
§ Detailed
mineralisation and geological interpretations combining the 2022
results
§ Preparation for 2024 resource - infill and extension -
drilling at Rim Rock and Groundhog mine areas, plus continuing
brownfield exploration drilling across tenure
COPPER - REE PROJECTS
(SA)
Thor holds direct and indirect
interest in over 400,000 tonnes of Inferred copper resources in
South Australia, via its 80% farm-in interest in Alford East
copper-gold Project and its 30% equity interest in EnviroCopper Ltd
in Kapunda and Alford West (Figure 8).
Each of these projects is considered
by the Thor directors to have significant growth potential, and
each is being advanced towards development via low-cost,
environmentally friendly ISR techniques.
Figure 8:
Location Map
-Copper Projects (left) and Tenement Map (right) with Thor's Alford
East Project
Alford East Copper-Gold
Project
Figure 9: Alford East Inferred
Minerals Resource Domains (left) and 2021 Drill Collar Map
(right)
Thor Acquires 80% Interest in Alford East
During Q4 2023, Thor fulfilled its
Stage 2 expenditure obligations at the Alford East Copper-Gold-REE
Project. Completing Stage 2 of the earn-in, entitles Thor to
increase its interest from 51% to 80% in the copper oxide mineral
rights from Spencer Metals Pty Ltd ("Spencer").
Under the terms of the November 2020
Agreement, Thor was granted the right to explore for minerals on
the agreed portions of the exploration licences (EL6255 and
EL6529). The agreement enabled the conduct
of feasibility and development activities in respect thereto, and
via funding expenditure on these activities, earn an interest in
oxide minerals of up to 80% over two stages, which have now been
achieved as follows:
Stage 1: Thor triggered Stage 1
on 17 November 2021, earning 51% interest by funding AUD$500,000 of
expenditure. The Company issued the Stage 1 consideration of
AUD$250,000 in fully paid Thor shares, at the 5-day ASX VWAP on the
date immediately before allotment, together with two free attaching
options per share issued, exercisable at $0.03 within 5 years from
the date of issue (ASX/AIM: 17 November 2021). The exercise of
these Stage 1 options has since been amended to $0.30 under the
Company's share capital consolidation of 10:1 effective on 31
August 2023.
Stage 2: Thor has earned a
further 29% interest (80% in total) by funding an additional
AUD$750,000 of expenditure over a subsequent two years and for an
additional consideration of AUD$250,000 in fully paid Thor shares,
issued at the 5-day ASX VWAP on the date immediately before
allotment and two free attaching options per share issued,
exercisable at AUD$0.30 within 5 years from the date of issue
(Stage 2 expenditure).
Upon Thor completing the acquisition
of an 80% interest in the project, Spencer will hold a free carried
20% interest until the decision to mine.
Ambient Noise Tomography Survey
Two comprehensive ANT surveys were
executed at the Alford East Project, covering the northern portion
of the Mineral Resource Estimate Domains (Figure
9). The surveys were
designed to delineate the low-velocity,
weathered 'troughs' that are known to host the oxide copper-gold
and REE mineralisation within the Alford Copper Belt (Figure
8). The oxide copper-gold and
REE mineralisation within the Alford Copper Belt is associated with
rocks that are significantly less dense with lower seismic velocity
than the surrounding fresh units.
The surveys referred to as the East
and West field surveys used a total of 96 Fleet's space-enabled
geodes for each deployment. These surveys covered substantial
areas, encompassing 1.13 square kilometres in the Eastern Field and
1.81 square kilometres in the Western Field.
The Eastern Field survey commenced
on September 28 and concluded on October 5. Subsequently, the
geodes were seamlessly transitioned to the neighbouring Western
Field, where the survey operations began on October 6 and were
completed on October 17. In the Eastern Field, the inter-geode
spacing was 150 metres in both the easting and northing directions,
allowing for subsurface imaging down to a depth of 500 metres, with
an impressive resolution of approximately 30 metres. Conversely, in
the Western Field, the inter-geode spacing was 115 metres along the
easting direction and 130 metres along the northing direction,
providing the capability to image the subsurface down to a depth of
400 metres while maintaining a resolution of 36 metres.
The data collected from these two
surveys was subject to extensive processing, leading to the
development of a high-resolution 3D seismic velocity model of the
subsurface. This model has revealed key features, such as regions
with slower velocity within a high-velocity basement, inferring a
3D geometry of the interpreted variably weathered trough and a
sheared metasedimentary basement, which is expected to host
mineralisation (Figure
10).
This newfound understanding of the subsurface will play a pivotal
role in guiding and optimising the upcoming drilling activities in
the Alford East Copper project.
The survey will compare and
integrate the subsurface ANT results with geological information
(surface geochemistry, drilling, and historic geophysics) that has
been compiled by Thor. The resultant 3D model will provide a
refined targeted strategy, focusing future drilling on areas with
potential high-grade oxide copper-gold and REE
mineralisation.
Figure 10: 3D model showing low velocity weathered
troughs hosting oxide copper mineralisation
Mini Column Leach
Testing (MCLT's)
Thor engaged Draslovka to undertake
a program of work to
evaluate Draslovka's GlyLeachTM process, focusing on
copper extraction from a 7.3m intersection selected from drillhole
21AED005 (Figure
9 and Table
2). This sample was selected as
representative of copper oxide mineralisation within Mineral
Resource Estimate Domain Area 5 (MRE 5) from Thor's 2021 drill
program (ASX/AIM: 26 April 2023).
GlyLeachTM is an
environmentally benign, hydrometallurgical process that can leach
copper, nickel, cobalt and zinc from oxide, mixed oxide and
supergene ores, and even primary sulphide ores. In the right
conditions, it can also leach gold.
Glycine is the simplest amino acid
and is available in bulk quantities. Its unique properties can
offer substantial advantages over conventional
lixiviants:
§ Environment/safety: Glycine is
non-toxic to humans as well as wildlife
§ Selectivity:
Glycine will solubilise copper, nickel, cobalt,
and zinc, while iron, manganese, silicates, and carbonates remain
in the solid phase
§ Alkalinity:
Leach conditions are at high pH, allowing simple
and inexpensive materials for construction
§ Mild
conditions: Leaching is typically at
ambient temperature, with no heating cost or pressure
vessels
§ Low
consumption: Glycine is non-volatile
(unlike cyanide, ammonia, and hydrochloric acid) and stable under
process conditions
§ Recycle:
Glycine is not chemically consumed in the overall
process. It is easily recovered and recycled, and process losses
can be minimised by good design
The metallurgical test work included
a copper sequential analysis, diagnostic Leach Tests (DLTs)
(ASX/AIM: 22 February 2022) and Mini Column Leach Tests (MCLT's) on
the sample provided (Figure
11). This test work determines
which copper species can be leached by different solutions. For
instance, sulphuric acid (used in copper leaching projects) will
easily leach most of the green and blue copper species; however, it
will take time to leach native copper, chalcocite, and covellite.
Copper sulphide species will eventually be taken into solution by
sulphuric acid, but the time frame is considered too long for
ISR-type operations.
Based on the copper sequential
analysis by ALS (Table
3), Drasloka anticipated the
GlyLeachTM
process is likely to leach all the cyanide soluble copper, a
portion (20-80%) of the acid soluble copper and minor amount
(<10%) of silicate locked copper, depending on the mineralogy
where 22% to 67% would be
expected to be leach from the supplied sample. Refer ASX/AIM Announcement 11
December 2023.
Figure 11: Draslovka Test work Flowsheet
Table
2: Head Grade - Gold (fire assay) and
Copper (4 acid digest)- 21AED005 20-27.3m
Table 3: Copper Sequential Analysis
Mini Column Leach Tests were
undertaken by Drasloka, designed to give a preliminary indication
of extractions for typical heap or ISR conditions at Alford East.
Small acrylic columns (ID: 45mm) were used to allow visual
observation of the sample charge as the leach solution percolates.
Each column is around 1m high and held 1.3kg per column of
agglomerated sample percolated at 10 L/m2/hr in close
circuit, where the PLS was sampled and then put through resin
before returning to feed tank.
Four MCLT's were carried out with
conditions given below:
§ Test
1: Agglomerated with 10.0 kg/t of
Normal Portland Cement ("NPC") and leached with GlyLeachTM using 36.78 g/L
of glycine in total, column was started with Gly:Cu molar ratio of
2:1
§ Test 2:
Agglomerated with 10.0 kg/t of NPC and leached
with GlyLeachTM
using 55.15 g/L of glycine in total, column was started with Gly:Cu
molar ratio of 3:1
§ Test 3:
Agglomerated with 10.0 kg/t of NPC and leached
with GlyLeachTM
using 55.15 g/L of glycine in total, column was started with Gly:Cu
molar ratio of 3:1, column was also heated to 40°C using heating
strips
§ Test 4:
Agglomerated with 10.0 kg/t of NPC and leached
with GlyLeachTM
using 55.15 g/L of glycine in total, column was started with Gly:Cu
molar ratio of 3:1 and converted to GlyCatTM after two weeks by
adding 1.92 g/L of cyanide
Overall, the highest copper
extraction was observed in column 2 at 72.2% copper recovery (Figure
12). Column 1 achieved 69.3%,
column 3 achieved 71.7% and column 4 achieved 66.8% based on the
residue analysis.
Referring to Figure 12, the best gold recovery was
achieved in column 4 at 25.0%, column 1 achieved 21.5%, column 2
achieved 20.5%, and column 3 achieved 22.7% gold extraction based
on residue analysis. Given the extraction had plateaued after 42
days, an additional 15% more glycine was added into the feed
solution of each test to see if this would increase copper
recovery, but the results indicated no further change. Column 3,
which was heated, showed no benefit over column 2 as it performed
under ambient temperature. It was found that adding cyanide (Test
4) improved the gold extraction by approximately 5%.
The test work demonstrates
GlyLeachTM
ability to recover copper with excellent
recoveries, up to 72.2%. The temperature had negligible
impact and whilst the addition of cyanide improved the gold
extraction, it was considered a marginal improvement. Under these
leach conditions, it was determined that a copper extraction of
72.2% is achievable. It is recommended that a larger sample is
tested to validate what extraction can be achieved at a coarser
crush or ISR environment.
Figure 12: THOM-02 Metal Extraction - Mini Columns
Summary (A-1-Residual (R) /Assayed Head (AH))
GlyLeachTM ability
to recover copper with good recoveries, up to 72.2%, supersedes the
accepted range of 60-70% for ISR operations (Figure
13). Based on CAPEX and OPEX
costs, recovering metal in an ISR operation in comparison to
conventional mining (open cut or underground operation) enables
lower metal recoveries whilst maintaining equal or similar profit
margins.
Figure 13: Comparison of ISR and Conventional Mining
after Chris du Plessis, AMIRA
presentation 2014
Next Steps:
§ Modelling
of ANT results incorporating Thor's 3D model and using artificial
intelligence to extrapolate controlling structures along the Alford
Copper Belt
§ Target
generation from the final 3D Model
§ Drill
preparations and drilling
§ REE
samples to be submitted to ANSTO for recovery potential from kaolin
clays.
§ Pump
testing and preparations for push/pull connectivity testing,
followed by Site Environmental Lixiviant Trial
Background:
The Alford East Copper-Gold Project
is located on EL6529, where Thor has 80% interest with unlisted
Australian explorer Spencer Metals Pty Ltd, covering portions
EL6529 (ASX/AIM: 20 November 2020).
The Project covers the northern
extension of the Alford Copper Belt, located on the Yorke
Peninsula, SA (Figure
8). 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.
Utilising historic drill hole
information, Thor completed an inferred Mineral Resource Estimate
(MRE) by JORC
(2012)
classification as at 22 January 2021 (Figure 9), reporting for oxide
material only, at a cut-off grade of 0.05%
Copper which is consistent with the assumed
ISR technique, (ASX/AIM: 27 January
2021), consisting of:
§ 125.6Mt @
0.14% Cu containing 177,000t of contained copper
§ 71, 500oz
of contained gold
Maiden Mineral Resources Estimate Release: (27 January 2021)
KAPUNDA and ALFORD WEST
COPPER PROJECTS
Thor now holds a 26.4% equity
interest in private Australian
company, EnviroCopper
Limited. In turn, ECL has agreed 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 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:
EL5984
EnviroCopper Ltd and Andromeda
Metals Ltd ("Andromeda") signed an agreement in December 2023 to
acquire the Exploration Licence 5984 on the Yorke Peninsula which
covers the Alford West Project, (Figure
8). Thor currently a holds 30%
equity interest in ECL.
Agreement Highlights (AIM/ASX: 18
December 2023):
§ Consolidation of the Alford West Joint Venture ("JV") (In-Situ
Recovery JV) and other ISR amenable targets within Exploration
Licence 5984 with 100% of the ownership transferring to
ECL
§ Andromeda
is to receive 5% of the current ECL capitalisation (203,008
shares), plus A$50,000 in cash
§ Andromeda
will also receive deferred consideration as a 10% share of any
successful mining operations 'Royalty Tenement Operating Cashflow'
on the Alford West Project area (not exceeding A$15m) and Moonta
Project area (not exceeding A$15m)
§ Upon
successful completion of a Site Environmental Lixiviant Test
("SELT"), Andromeda will be issued a further 2.5% of ECL
capitalisation (101,504 shares)
§ Once a
mining lease is granted, Andromeda will receive a further cash
payment of A$150,000 with royalty payments from operating cash
flow
§ Thor held
a 30% equity in ECL, with the initial 5% payment to Andromeda
diluting Thor to 28.6%, before further dilution to 26.4% as
announced on (ASX/AIM:
25.01.24)
Strategic Investment
Alligator Energy Limited
("Alligator") in December 2023 made a strategic investment into
EnviroCopper Ltd to further develop ISR copper
projects.
Investment Highlights (AIM/ASX: 18
December 2023):
§ Alligator
will make an initial investment of A$0.9m for 7.8% of ECL, with the
exclusive option to make further staged strategic investments to
increase its ownership in ECL to 50.1%
§ ECL is
currently advancing ISR trials for environmentally sustainable
copper extraction at its flagship Kapunda copper project and has
similar plans at its Alford West copper project to help meet copper
demand for the green energy transition (Figure 8)
§ BHP Ltd
(previously OZ Minerals) continues to fund part of ECL's field
investigations, including a Site Environmental Lixiviant Trial
("SELT") of Copper ISR at Kapunda (AIM/ASX: 9 August
2022)
§ ISR has
been successfully (and economically) used to extract copper in
several projects both in Australia and the US. It offers distinct
economic advantages and environmental benefits over conventional
open pit/crush/heap leach for shallow oxide copper
projects
§ ECL's
experienced ISR team has undertaken significant research and
exploration funded under a Commonwealth Govt CRC-P grant of A$2.8m,
for R&D and approvals for test work into ISR of shallow
fractured rock aquifer hosted oxide copper deposits.
§ A
technical advisory committee will be formed, enabling Alligator to
assist ECL with its planned In-Situ trial work across all projects
and an ability to jointly apply any intellectual property ("IP")
that is developed.
Kapunda
The first phase of the Site
Environmental Lixiviant Trial ("SELT") is underway, involving
mixing a biodegradable solution called a "Lixiviant" with
groundwater for placement within the copper orebody. The
lixiviant will reside in-situ for a period while being sampled and
monitored (Photo
2), it will then be extracted,
and the site rehabilitated.
The results are anticipated to be
announced in Q1 2024.
GOLD/COPPER
PROJECT
Ragged Range Project (WA)
The Ragged Range Project, located in
the prospective Eastern Pilbara Craton, Western Australia is 100%
owned by Thor - E46/1190, E46/1262, E46/1355, E46/1340 and E46/1393
(Figure 14).
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.
Figure 14: Ragged Range Project Location map (left)
and Tenement Map (right) showing priority targets.
As Thor focuses on its Uranium and
Energy Metal projects, a divestment or joint venture partner is
being sought for the Ragged Range Project. This project has
potential for gold, copper-gold, lithium, and nickel. With the
change in focus of Thor Energy towards critical minerals in the
energy and green economy, this group of tenements is no longer
considered core in Thor's exploration portfolio.
TUNGSTEN PROJECT
MOLYHIL TUNGSTEN - MOLYBDENUM-COPPER PROJECT - NT (100%
Thor)
The Molyhil
tungsten-molybdenum-copper deposit is 100% owned by Thor 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 15).
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 (CaWO4) and
molybdenite (MoS2) mineralisation (Figure 12). Both the
outlines of the lodes and the banding within the lodes strike
approximately north and dip steeply to the east.
Thor executed A$8m Farm-in and
Funding Agreement with Investigator Resources Limited (ASX: IVR) to
accelerate exploration at the Molyhil Project on 24 November
2022 and the sale of Thor's interest in the
Bonya tenement (EL29701) (ASX/AIM: 24 November 2022).
A full background on the project is
available on the Thor
website.
|
Figure
15: Molyhil Project Location map
|
During the quarter, IVR carried out
a 12-hole drilling program at Molyhil Project to verify and update
the Mineral Resource Estimate; assays are anticipated in February
2024 (ASX/AIM: 9 November 2023).
Bonya JV- Jervois Vanadium Projects
(40% Thor)
The Bonya copper, tungsten and
vanadium deposits are located approximately 30km to the northeast
of Molyhil (Figure
16). Thor, in a joint venture
with Arafura, holds a 40% equity interest in the resources. Thor's
interest in the Bonya tenement EL29701 (copper and tungsten
deposit) is planned to be divested as part of the Farm-in and
Funding agreement with Investigator Resources Limited.
Figure 16: Molyhil Project location showing adjacent
Bonya tenements.
CORPORATE, FINANCE, AND CASH MOVEMENTS
For the Quarter, the Company had
total net cash outflows of $1,180,000, comprising:
·
Net cash outflows from Operating and Investing
activities for the quarter of $1,133,000 which included outflows of
$822,000 directly related to exploration activities.
·
Cash outflows from financing activities for the
quarter were $42,000, related to repayments of lease liabilities
and some costs associated with a capital raise undertaken in the
prior quarter.
·
Providing an ending cash balance of
$978,000.
Cashflows for the quarter include
payments of $88,000 to Directors, comprising the Managing
Director's salary, and Non-Executive Directors'
fees.
The Board of Thor Energy Plc has
approved this announcement and authorised its release.
Thor Energy PLC
|
|
Nicole Galloway Warland, Managing
Director
Ray Ridge, CFO & Company
Secretary
|
Tel: +61 (8) 7324 1935
Tel: +61 (8) 7324 1935
|
WH Ireland Limited (Nominated
Adviser and Joint Broker)
|
Tel: +44 (0) 207 220
1666
|
Antonio Bossi / Darshan Patel /
Isaac Hooper
|
|
SI Capital Limited (Joint
Broker)
|
Tel: +44 (0) 1483 413 500
|
Nick Emerson
|
|
Yellow Jersey (Financial
PR)
|
thor@yellowjerseypr.com
|
Sarah Hollins / Shivantha
Thambirajah / Bessie Elliot
|
Tel: +44 (0) 20 3004 9512
|
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 Energy 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 https://thorenergyplc.com
which includes a facility to register to receive
these updates by email, and on the Company's twitter page
@thorenergyplc
About Thor Energy Plc
The Company is focused on uranium
and energy metals that are crucial in the shift to a 'green' energy
economy. Thor has a number of highly prospective projects that give
shareholders exposure to uranium, nickel, copper, lithium and gold.
Our projects are located in Australia and the USA.
Thor holds 100% interest in three
uranium and vanadium projects (Wedding Bell, Radium Mountain and
Vanadium King) in the Uravan Belt Colorado and Utah, USA with
historical high-grade uranium and vanadium drilling and production
results.
At Alford East in South Australia,
Thor has earnt an 80% interest in oxide copper deposits considered
amenable to extraction via In-Situ Recovery techniques (ISR). In
January 2021, Thor announced an Inferred Mineral Resource
Estimate¹. Thor also holds a 26.4% 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% 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. Thor executed a $A8m Farm-in and Funding
Agreement with Investigator Resources Limited (ASX: IVR) to
accelerate exploration at the Molyhil Project on 24 November
2022.6
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's
interest in the Bonya tenement EL29701 is planned to be divested as
part of the Farm-in and Funding agreement with Investigator
Resources Limited.6
Thor owns 100% of the Ragged Range
Project, comprising 92 km2 of exploration licences with
highly encouraging early-stage gold, copper, lithium and nickel
results in the Pilbara region of Western Australia. Thor is now
looking for a JV partner or divestment of these group of
tenements.
Notes
1 https://thorenergyplc.com/investor-updates/maiden-copper-gold-mineral-resource-estimate-alford-east-copper-gold-isr-project/
2
www.thorenergyplc.com/sites/thormining/media/pdf/asx-announcements/20172018/20180222-clarification-kapunda-copper-resource-estimate.pdf
³
www.thorenergyplc.com/sites/thormining/media/aim-report/20190815-initial-copper-resource-estimate---moonta-project---rns---london-stock-exchange.pdf
4 https://thorenergyplc.com/investor-updates/molyhil-project-mineral-resource-estimate-updated/
5
www.thorenergyplc.com/sites/thormining/media/pdf/asx-announcements/20200129-mineral-resource-estimates---bonya-tungsten--copper.pdf
6
https://thorenergyplc.com/wp-content/uploads/2022/11/20221124-8M-Farm-in-Funding-Agreement.pdf
TENEMENT SCHEDULE
At 31
December 2023, the consolidated entity
holds an interest in the following Australian tenements:
Project
|
Tenement
|
Area
kms2
|
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%
|
Alford East
|
EL6529
|
315.1
|
|
Hale Energy Pty Ltd
|
80%
|
On 31 December 2023,
the consolidated entity holds 100% interest in the uranium and vanadium projects in USA
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%
|
Appendix 5B
Mining exploration entity or oil
and gas exploration entity
quarterly cash flow report
Name of entity
|
THOR ENERGY PLC
|
ABN
|
|
Quarter ended ("current
quarter")
|
121 117 673
|
|
31 DECEMBER 2023
|
Consolidated statement of cash
flows
|
Current quarter
$A'000
|
Year to
date
(6 months)
$A'000
|
1.
|
Cash flows from operating
activities
|
|
|
1.1
|
Receipts from customers
|
1.2
|
Payments for
|
|
|
|
(a)
exploration & evaluation
|
|
(b)
development
|
|
|
|
(c)
production
|
|
|
|
(d) staff
costs
|
(33)
|
(80)
|
|
(e) administration
and corporate costs
|
(354)
|
(563)
|
1.3
|
Dividends received (see
note 3)
|
|
|
1.4
|
Interest received
|
11
|
27
|
1.5
|
Interest and other costs of finance
paid
|
(4)
|
(6)
|
1.6
|
Income taxes paid
|
|
|
1.7
|
Government grants and tax
incentives
|
|
|
1.8
|
Other
|
6
|
9
|
1.9
|
Net
cash from / (used in) operating activities
|
(374)
|
(613)
|
|
2.
|
Cash flows from investing activities
|
|
|
2.1
|
Payments to acquire or
for:
|
|
(a)
entities
|
|
(b)
tenements
|
|
|
|
(c)
property, plant and equipment
|
|
|
|
(d) exploration
& evaluation
|
(882)
|
(1,565)
|
|
(e) equity
accounted investments
|
|
|
|
(f) other
non-current assets (bonds)
|
-
|
(29)
|
2.2
|
Proceeds from the disposal
of:
|
|
|
|
(a)
entities
|
|
(b) tenements
(bond refunds)
|
36
|
36
|
|
(c)
property, plant and equipment
|
|
|
|
(d)
investments
|
-
|
229
|
|
(e) other
non-current assets
|
|
|
2.3
|
Cash flows from loans to other
entities
|
|
|
2.4
|
Dividends received (see
note 3)
|
|
|
2.5
|
Other (Government grants)
|
87
|
87
|
2.6
|
Net
cash from / (used in) investing activities
|
(759)
|
(1,242)
|
|
3.
|
Cash flows from financing activities
|
-
|
1,250
|
3.1
|
Proceeds from issues of equity
securities (excluding convertible debt securities)
|
3.2
|
Proceeds from issue of convertible
debt securities
|
|
|
3.3
|
Proceeds from exercise of
options
|
|
|
3.4
|
Transaction costs related to issues
of equity securities or convertible debt securities
|
(30)
|
(97)
|
3.5
|
Proceeds from borrowings
|
|
|
3.6
|
Repayment of borrowings (lease
liability)
|
(12)
|
(23)
|
3.7
|
Transaction costs related to loans
and borrowings
|
|
|
3.8
|
Dividends paid
|
|
|
3.9
|
Other (funds received in advance of
a placement)
|
|
|
3.10
|
Net
cash from / (used in) financing activities
|
(42)
|
1,130
|
|
4.
|
Net
increase / (decrease) in cash and cash equivalents for the
period
|
|
|
4.1
|
Cash and cash equivalents at
beginning of period
|
2,158
|
1,711
|
4.2
|
Net cash from / (used in) operating
activities (item 1.9 above)
|
(374)
|
(613)
|
4.3
|
Net cash from / (used in) investing
activities (item 2.6 above)
|
(759)
|
(1,242)
|
4.4
|
Net cash from / (used in) financing
activities (item 3.10 above)
|
(42)
|
1,130
|
4.5
|
Effect of movement in exchange rates
on cash held
|
(5)
|
(8)
|
4.6
|
Cash and cash equivalents at end of period
|
978
|
978
|
|
|
|
|
5.
|
Reconciliation of cash and cash
equivalents at the end of the quarter
(as shown in the consolidated statement of cash flows) to the
related items in the accounts
|
Current quarter
$A'000
|
Previous quarter
$A'000
|
5.1
|
Bank balances
|
978
|
2,158
|
5.2
|
Call deposits
|
|
|
5.3
|
Bank overdrafts
|
|
|
5.4
|
Other (provide details)
|
|
|
5.5
|
Cash and cash equivalents at end of quarter (should equal
item 4.6 above)
|
978
|
2,158
|
6.
|
Payments to related parties of the
entity and their associates
|
Current quarter
$A'000
|
6.1
|
Aggregate amount of payments to
related parties and their associates included in
item 1
|
88
|
6.2
|
Aggregate amount of payments to
related parties and their associates included in
item 2
|
|
Note: if any amounts are shown in items 6.1 or 6.2, your
quarterly activity report must include a description of, and an
explanation for, such payments.
The amount at item 6.1 above
represents fees paid to Non-Executive Directors, and remuneration
paid to the Managing Director.
|
7.
|
Financing facilities
Note: the term
"facility' includes all forms of financing arrangements available
to the entity.
Add notes as necessary for an
understanding of the sources of finance available to the
entity.
|
Total facility amount at quarter
end
$A'000
|
Amount drawn at quarter end
$A'000
|
7.1
|
Loan facilities
|
|
|
7.2
|
Credit standby
arrangements
|
|
|
7.3
|
Other (please specify)
|
|
|
7.4
|
Total financing facilities
|
|
|
|
|
|
7.5
|
Unused financing facilities available at quarter
end
|
|
7.6
|
Include in the box below a
description of each facility above, including the lender, interest
rate, maturity date and whether it is secured or unsecured. If any
additional financing facilities have been entered into or are
proposed to be entered into after quarter end, include a note
providing details of those facilities as well.
|
|
8.
|
Estimated cash available for future
operating activities
|
$A'000
|
8.1
|
Net cash from / (used in) operating
activities (item 1.9)
|
(374)
|
8.2
|
(Payments for exploration & evaluation classified as investing
activities) (item 2.1(d))
|
(882)
|
8.3
|
Total relevant outgoings
(item 8.1 + item 8.2)
|
(1,256)
|
8.4
|
Cash and cash equivalents at quarter
end (item 4.6)
|
978
|
8.5
|
Unused finance facilities available
at quarter end (item 7.5)
|
-
|
8.6
|
Total available funding
(item 8.4 + item 8.5)
|
978
|
|
|
|
8.7
|
Estimated quarters of funding available (item 8.6 divided
by item 8.3)
|
0.8
|
Note: if the entity has reported positive relevant outgoings
(ie a net cash inflow) in item 8.3, answer item 8.7 as
"N/A". Otherwise, a figure for the estimated quarters of funding
available must be included in item 8.7.
|
8.8
|
If item 8.7 is less than
2 quarters, please provide answers to the following
questions:
|
|
8.8.1 Does the entity
expect that it will continue to have the current level of net
operating cash flows for the time being and, if not, why
not?
|
|
Answer: No. The current
quarter included $0.9m for exploration expenditure which is
expected to be less in the next quarter. The majority of this
quarterly expenditure is discretionary and is subject to available
funding.
|
|
8.8.2 Has the entity taken
any steps, or does it propose to take any steps, to raise further
cash to fund its operations and, if so, what are those steps and
how likely does it believe that they will be successful?
|
|
Answer: As at 31 December 2023, the
Company holds cash of $1.0m together. The Company regularly
monitors cashflow needs against available cash and seeks to raise
capital through equity placements as and when needed. The
Company has a history of successful capital raising.
|
|
8.8.3 Does the entity
expect to be able to continue its operations and to meet its
business objectives and, if so, on what basis?
|
|
Answer: Yes, on the basis of
available cash of $1.0m, reduced spending commitments in the coming
quarter, together with capital raising alternatives (refer
8.8.2).
|
|
Note: where item 8.7 is less than 2 quarters, all of
questions 8.8.1, 8.8.2 and 8.8.3 above must be
answered.
|
Compliance statement
1 This
statement has been prepared in accordance with accounting standards
and policies which comply with Listing Rule 19.11A.
2 This
statement gives a true and fair view of the matters
disclosed.
Date:
30 January
2024...........................................................
Authorised
by: the
Board....................................................................
(Name of body or officer authorising
release - see note 4)
Notes
1.
This quarterly cash flow report and the accompanying activity
report provide a basis for informing the market about the entity's
activities for the past quarter, how they have been financed and
the effect this has had on its cash position. An entity that wishes
to disclose additional information over and above the minimum
required under the Listing Rules is encouraged to do so.
2.
If this quarterly cash flow report has been prepared in accordance
with Australian Accounting Standards, the definitions in, and
provisions of, AASB 6:
Exploration for and Evaluation of Mineral Resources and
AASB 107: Statement of Cash
Flows apply to this report. If this quarterly cash flow
report has been prepared in accordance with other accounting
standards agreed by ASX pursuant to Listing Rule 19.11A, the
corresponding equivalent standards apply to this report.
3.
Dividends received may be classified either as cash flows from
operating activities or cash flows from investing activities,
depending on the accounting policy of the entity.
4.
If this report has been authorised for release to the market by
your board of directors, you can insert here: "By the board". If it
has been authorised for release to the market by a committee of
your board of directors, you can insert here: "By the [name of board committee - eg Audit and Risk Committee]". If it
has been authorised for release to the market by a disclosure
committee, you can insert here: "By the Disclosure
Committee".
5.
If this report has been authorised for release to the market by
your board of directors and you wish to hold yourself out as
complying with recommendation 4.2 of the ASX Corporate
Governance Council's Corporate
Governance Principles and Recommendations, the board should
have received a declaration from its CEO and CFO that, in their
opinion, the financial records of the entity have been properly
maintained, that this report complies with the appropriate
accounting standards and gives a true and fair view of the cash
flows of the entity, and that their opinion has been formed on the
basis of a sound system of risk management and internal control
which is operating effectively.