TIDMTHR
Thor Mining PLC
08 March 2019
8 March 2019
THOR MINING PLC
Copper Project Q & A - March 2019
The Board of Thor Mining Plc ("Thor" or the "Company") (Aim,
ASX: THR) is pleased to release the following Q&A document
which reflects some of the questions received from shareholders
following the Company's recent announcements.
Q What impact does the establishment and listing of EnviroCopper
Limited have for the cash and funding requirements of Thor
Mining?
A The original cash commitment to be made by Thor for the
Kapunda project was A$1.8 million over three years of which the
Company has expended A$0.45 million to date.
The terms for the Memorandum of Understanding ("MOU") for the
establishment of EnviroCopper provide a total Thor funding
requirement (including the A$0.45 million spent) of A$0.6 million
to secure 25% of EnviroCopper, and a further A$0.4 million to
increase that equity to 30%.
The Company's cash commitments in respect of Kapunda have
therefore reduced significantly, despite now having exposure to a
significantly larger copper play.
Q What will the asset base of EnviroCopper look like, assuming this goes forward?
A EnviroCopper would initially have two exciting Insitu Recovery
("ISR") copper projects in South Australia.
-- Kapunda with 119,000 tonnes of contained copper metal within
an existing ISR amenable JORC compliant inferred resource and
funded through feasibility via Australian Government CRCP grant
funding (A$2.85 million); plus
-- Moonta with sufficient potential scale to become a medium
size long term copper producer and an ISR amenable exploration
target of between 428,000 and 728,000 tonnes of contained
copper.
More projects will potentially emerge, however that is for the
future. But the potential scalability of this ISR business model
should not be underestimated.
Q Copper production using ISR technology is not common. Are
there other examples?
A Excelsior Mining (https://excelsiormining.com/), with a market
capitalisation of C$250 million, have the Gunnison project in
Arizona USA as principle asset. The project is under construction,
fully financed, with the first production scheduled for the fourth
quarter of this calendar year.
For further information about ISR Technology, investors should
access the EnviroCopper website www.envirocopper.com.au .
Q This is relatively significant exposure to copper. What are
your views on the copper market in the medium term?
A This is significant exposure to the global copper market for
Thor, but at very low entry cost for the Company and its
shareholders.
The global copper market is very large, around 23 million tonnes
annually. Those who comment with authority all seem to be saying
that the market is now growing at a very rapid rate, driven by
electric vehicles (which use two to three times as much copper as
internal combustion vehicles), and improved living standards across
the globe as more and more people in communities, previously
acknowledged as third world, achieve capacity to acquire and run
the types of electric appliances and infrastructure, which all use
copper, and which most of us take for granted.
Undeniably investors are searching for high value scalable
copper opportunities and the Company believes the shareholders of
Thor have one through its interest in EnviroCopper.
Q Now the elephant in the room. Can you provide an update on
finance and off-take discussions for Molyhil?
A It would be easier for shareholders if we could provide more
detailed updates on progress. However, the nature of these
discussions are such that the Company has signed confidentiality
agreements and as a result there is little we are allowed to
say.
Our quietness publicly should not be confused with a lack of
progress, quite the contrary.
As announced last November, Thor has appointed Argent Partners
Limited as corporate advisors to assist with completion of off-take
and financing arrangements for Molyhil. Together with them, Thor is
engaging with a number of parties who have expressed interest on
four main fronts:
-- Joint Venture
-- Tungsten off-take, preferably with finance attached
-- Molybdenum off-take, preferably with finance attached
-- Standard project level debt arrangements.
The eventual outcome may be a mix of several of the above, and
Thor and its corporate advisors continue to work very hard to
achieve the best possible outcome for the Company and its
shareholders.
It is however the case that the first shareholders will hear
about real progress is when a transaction is announced by a formal
regulatory announcement. Indeed, there may be multiple
announcements depending on the type of deal structure the Company
adopts.
Enquiries:
Mick Billing +61 (8) 7324 1935 Thor Mining PLC Executive Chairman
Ray Ridge +61 (8) 7324 1935 Thor Mining PLC CFO/Company
Secretary
Colin Aaronson/ +44 (0) 207 383 Grant Thornton UK Nominated Adviser
Richard Tonthat/ 5100 LLP
Ben Roberts
Nick Emerson +44 (0) 1483 413 SI Capital Ltd Joint Broker
500
David Hignell +44 (0)20 3470 SP Angel Corporate Joint Broker
0470 Finance LLP
Tim Blythe/ Camilla +44 (0) 207 138 Blytheweigh Financial PR
Horsfall 3222
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, and on the Company's
twitter page @ThorMining.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
NRAUGUPCWUPBPPM
(END) Dow Jones Newswires
March 08, 2019 02:01 ET (07:01 GMT)
Thor Energy (LSE:THR)
Historical Stock Chart
From Apr 2024 to May 2024
Thor Energy (LSE:THR)
Historical Stock Chart
From May 2023 to May 2024