NEWS RELEASE
NOT FOR
DISSEMINATION IN THE UNITED STATES OR FOR
DISTRIBUTION TO U.S. WIRE SERVICES
|
November 11,
2024
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TSXV/AIM: THX
|
THOR EXPLORATIONS ANNOUNCES THIRD
QUARTER 2024 FINANCIAL AND OPERATING RESULTS, FOR THE THREE MONTHS
ENDING SEPTEMBER 30, 2024
Thor Explorations
Ltd. (TSXV / AIM: THX) ("Thor Explorations", "Thor" or the
"Company") is pleased to provide an operational and financial
review for its Segilola Gold mine, located in
Nigeria ("Segilola"), and for the
Company's mineral exploration
properties located in Nigeria, Senegal and Cote D'Ivoire
for the three months to September 30, 2024 (the "Quarter",
the "Period" or "Q3").
The Company's
Unaudited Condensed Consolidated Financial Statements together with
the notes related thereto, as well as the Management's Discussion
and Analysis for the three months ended September 30, 2024 are
available on Thor Explorations' website at: https://thorexpl.com/investors/financials/.
All
figures are in US dollars ("US$") unless otherwise
stated.
Q3 2024 Financial
Highlights
· 18,167 ounces ("oz") of gold sold with an average gold price of US$2,328 per
oz.
· Cash
operating cost of US$585 per oz sold and all-in sustaining cost ("AISC") of
US$766 per oz
sold.
· Revenue of US$40.2 million (Q3 2023: US$36.6
million).
· EBITDA
of US$27.4 million (Q3 2023: US$10.5 million).
· Net
profit of US$17.5 million (Q3 2023: US$0.9 million).
· Senior
debt facility reduced to US$3.9 million as at September 30,
2024.
o This debt is scheduled to be
fully repaid by the end of Q4 2024
· Transitioned from a net debt position of US$2.7 million as at
June 30, 2024 to a net cash position of US$2.7 million
as at September 30, 2024.
Operational
Highlights
Segilola
Production
· Gold
("Au") Poured for the Period totalled 20,110oz.
o Mill feed grade was 3.22
grammes per tonne ("g/t") gold with recovery at 88.5%. The lower
recovery was due to a delayed change in mill liner during the
period.
o 201,958 tonnes ("t") of ore
were processed, an increase in productivity levels by 16% compared
to Q2, equivalent to a throughput rate of 2,195t per day, with no
significant downtime periods.
o The process plant achieved a
further reduction of the gold in circuit by 1,614oz of
Au.
· The
stockpile balance increased by 13% to 1,329,007t of ore at an
average grade of 0.94g/t as this was mined during shortfalls
resulting from events that occurred during the Quarter.
o The significant stockpile
available (more than one year of process plant supply) offers
flexibility and low risk for future process plant
production.
· Mining
rates were lower than Q2 2024 due to the previously reported
fly-rock incident. Improved controlled blasting practices are now
in place to avoid a recurrence.
· Severe
September weather period brought over 415 millimetres of rain in 12
days, surpassing in-pit pumping capacity and contingency plans
which delayed high-grade ore access to Q4 2024. The Company has
since increased pit pumping capacity.
Segilola
Exploration
· The
priority of the Company's exploration strategy is extending the
Segilola mine life through delineation of potential additional
underground resources at Segilola.
· An
initial 12 hole drilling programme continued during the period with
initial positive drill results received from the first two holes of
3.0 metres ("m") grading 11.24g/t Au from 294m and 1.5m grading
3.22g/t Au from 269m.
· In
addition to the Segilola Underground Drilling Programme, additional
geochemical sampling continued at near mine open pit
targets.
Douta
· RC
drilling activities were completed during the period. The programme
was focussed on increasing the percentage of oxide resources at the
Makosa East Prospect, which runs parallel to the main Makosa
mineralised trend and is additional to the current mineral
resource. Additional infill drilling was completed at the Makosa
North, Mansa and Maka prospects.
· Remaining Pre-Feasibility Study ("PFS") and Mineral Resource
Estimate update workstreams are being completed, with a target
completion in Q4 2024.
Cote
D'Ivoire
· During
the Quarter Thor expanded its operations into Cote d'Ivoire
following the signing of a binding agreement with Endeavour Mining
Corporation to acquire a 100% interest in the Guitry Gold Project
for US$100,000 in cash and a 2% Net Smelter Royalty.
· Earlier in 2024 the Company entered into an option agreement
with Goldridge Resources SARL to acquire an 80% interest in the
Boundiali Exploration permit, an early stage gold exploration
project located in north west Cote d'Ivoire.
Lithium
· Exploration activities during the quarter comprised of
geological mapping that focused on generating targets within
Newstar-owned exploration permits.
Environment, Social and Governance
.
· Q3
projects under the Community Development Agreements included
awarding 26 school scholarships, quarterly elderly palliative
deliveries, and initiating tenders for road and school
improvements.
· ESG
data, aligned with Global Reporting Initiative standards, is being
compiled for 2023-2024 and uploaded to the Onyen ESG system. This
will improve annual comparisons for energy, water, and waste
intensity per oz Au.
· One
Lost Time Injury (LTI) occurred due to a workshop incident, leading
to targeted training on hand injuries.
· In
Senegal, information is being compiled for the baseline of an EIA
for the Douta project and included consultations with local village
elders and government bodies to align with regional economic
development plans.
Outlook
· Production guidance of 85,000oz for 2024 with an AISC guidance
of US$$800 - US$900 per oz.
· Advance exploration programmes across the portfolio, including
near mine, underground and regional projects at Segilola, extension
and infill programmes at Douta, assessment of regional potential
targets in Nigeria and joint venture options on potential
targets.
· Continue to advance the Douta project towards an updated
Mineral Resource Estimate and PFS.
Segun Lawson,
President & CEO, stated:
"Firstly, it
is important to provide an update on the ongoing Osun State tax
dispute. The Minister of Mines in Nigeria commissioned a
fact-finding committee (the "Committee") to investigate the claims
made by the Osun State Government, with the findings to be reported
within seven days. The Committee provided Osun State with an
extension to submit evidence of its claims by 8th
November and the Company expects the Minister to disclose its
findings in the near future. We look forward to the findings of the
Committee and remain confident regarding our position on all the
allegations made by Osun State.
"We are
pleased to have profitably navigated through a challenging quarter,
during which a fly-rock incident and severe weather disruptions at
Segilola impeded operations. We produced just over 20,000 ounces
and sold 18,167 ounces of gold achieving an average gold price of
US$2,328 per ounce at a cash operating cost of US$585 per ounce
sold, and an AISC of US$766 per ounce sold. We have reduced our
senior debt facility to US$3.9 million, which is on track for full
repayment in Q4 and notably, we have transitioned from a net debt
position to a net cash position.
"On the
exploration front, we have had a positive start to our Segilola
Underground Exploration programme, which is ongoing with a planned
12-hole drilling programme. We look forward to receiving the
remaining results.
"At Douta, we
have now completed our fieldwork and received all the required
drilling results for an updated resource and PFS. We are at the
final stages of completing the remaining workstreams for the PFS
with completion targeted for Q4 2024.
"The Quarter
also marked our strategic entry into Cote d'Ivoire, with the
acquisition of the Guitry and Boundiali projects, which will
further diversify and strengthen our portfolio in West Africa as we
look to unlock value at these projects.
"We look
forward to completing the year with another profitable quarter
whilst delivering further value through exploration upside in
Nigeria and through advancing the Douta Project to its next
milestone."
About Thor
Explorations
Thor Explorations Ltd. is a mineral exploration
company engaged in the acquisition, exploration, development, and
production of mineral properties located in Nigeria, Senegal, and
Burkina Faso. Thor Explorations holds a 100% interest in the
Segilola Gold Project located in Osun State, Nigeria and has a 70%
economic interest in the Douta Gold Project located in
south-eastern Senegal. Thor Explorations trades on AIM and the TSX
Venture Exchange under the symbol "THX".
THOR EXPLORATIONS LTD.
Segun Lawson
President & CEO
For further
information please contact:
Thor Explorations Ltd
Email:
info@thorexpl.com
Canaccord Genuity (Nominated Adviser &
Broker)
Henry Fitzgerald-O'Connor / James Asensio /
Harry Rees
Tel: +44 (0) 20 7523
8000
Hannam & Partners (Broker)
Andrew Chubb / Matt Hasson / Jay Ashfield /
Franck Nganou
Tel: +44 (0) 20 7907 8500
BlytheRay (Financial
PR)
Tim Blythe / Megan Ray / Said
Izagaren
Tel: +44 207 138 3203
Yellow Jersey PR (Financial
PR)
Charles Goodwin / Shivantha
Thambirajah / Soraya Jackson
Tel: +44 (0) 20 3004
9512
