Thor Mining Tests New Zone With Drilling Programme

LONDON (Alliance News) - Thor Mining PLC Monday said it had recommenced drilling at its Spring Hill gold project in Australia in a programme, expected to last for several weeks, testing mineralisation in a new zone identified in its last programme.

The latest programme involves drilling 2,000 metres to test mineralisation near the surface and potential extensions to the high-grade areas it has already discovered as well as other potential nearby targets.

A previous drilling programme at the site had confirmed considerable depth extensions to the known mineralisation below a zone called Hong Kong, but it also identified a potential new zone of mineralisation located between the Hong Kong and Western lodes. The new programme will test whether this potential new mineralisation extends to the near-surface.

"The operating cost of production identified in the study announced on 26 June 2013 of below AUSD1,100/ounce compares with a current gold price of around AUD1,450/ounce," Chairman Mick Billing said in a statement. "Any addition to the mining inventory that may come from this program has the potential to increase production at reduced unit cost."

It hopes to commence mining at Spring Hill within a year.

Thor Mining shares were down 1.1% at 0.3165 pence Monday morning.

By Steve McGrath; stevemcgrath@alliancenews.com; @SteveMcGrath1

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