Thor Energy Share News (THR)

LONDON (Alliance News) - Thor Mining PLC, an Australian mineral and development company, on Friday said it's in talks aiming to bring forward the payment of the remaining money due to the company after agreeing to sell its Spring Hill gold project.

In February 2016, Thor executed an agreement to sell the Spring Hill project to private company PC Gold Pty Ltd, subject to due diligence and financing, for AUD2.0 million in cash for a 60% interest and 100% management control; and AUD1.5 million in cash within 12 months for the remaining 40%. Additional royalties to Thor based on gold production and sale price were agreed.

Executive Chairman Mick Billing said the company is "very pleased" that its core tungsten projects are now free of debt, though capital is still "very tight" as two-thirds of the net proceeds were applied to discharge those loans.

"We are in active discussion with a number of parties aiming to agree terms to bring forward the payment of the residual Spring Hill consideration of AUD1.5 million," Billing said.

He said the improvement in the price of tungsten price is a welcome development, particularly as the company looks to advance financing for its Molyhil tungsten project.

The project development cost for Molyhil is estimated at AUD64 million, or USD45 million at current exchange rates.

Shares in Thor Mining were down 3.0% at 0.0260 pence Friday.

By Samuel Agini; samagini@alliancenews.com; @samuelagini

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