RE: Pilot Mountain PFS7 Sep 2018 09:50
Scoping Study Highlights
· Desert Scheelite operational life of 12 years with open pit mining over 11 years and one additional year to complete processing;
· Total Desert Scheelite forecast open pit production of 7.5 million tonnes;
· Annual throughput of 650,000 tonnes from the Desert Scheelite open pit, producing scheelite concentrates and copper silver concentrates, plus zinc silver concentrates;
· Preliminary analysis also suggests some potential for economic mining and processing from the higher grade Garnet deposit (inferred resource), supplementing production from Desert Scheelite;
· Pre-tax profit expectations from initial open pit operations ranging from US$125m base case from Desert Scheelite, up to US$317m, which includes improved Scheelite recovery, reduced mining costs at greater throughput volumes and the potential inclusion of Garnet mine production;
· Study outcomes support a decision to commence a more detailed Pre-Feasibility Study to progress the project along the development pathway; and
· No current primary tungsten production in USA where tungsten is classified as a "Critical Mineral"
Mick Billing, Executive Chairman of Thor Mining, commented:
"I am delighted to release the results of the Scoping Study for the Pilot Mountain project showing potential for at least a medium term life on one, and potentially two, of the four tungsten deposits at 100% owned Pilot Mountain."
"Closed circuit metallurgical testwork on Desert Scheelite ore has commenced which will, hopefully, upgrade the results of open circuit work previously conducted, which achieved 72% recovery of scheelite and saleable quality concentrates. The impact of any improvement is outlined below in this report."
"The Pilot Mountain project hosts four known deposits, and it is anticipated that each of these has potential to contribute further as we continue to explore their potential."
"With no US domestic production, and tungsten classified by the US Department of the Interior as a Critical Mineral, our objective is to re-start Unites States commercial mining and tungsten concentrate production after a significant break."
"We look forward to providing regular updates on this project as material developments occur."