Thor Energy Regulatory News (THR)

20 May 2021

THOR MINING PLC

South Australian Government Funding A$300,000

Alford East ISR Project, South Australia

The directors of Thor Mining Plc ("Thor") (AIM, ASX: THR, OTCQB: THORF) are pleased to announce the successful application of the Alford East Copper-Gold Project as part of Round 2 of the Accelerated Discovery Initiative (ADI).

Highlights:

§ Thor Mining awarded A$300,000 from the South Australia Government under the Accelerated Discovery Initiative (ADI)

§ Thor's Alford East Project was one of twenty-two projects to receive funding in Round 2 of the Initiative, as announcement by the Minister for Energy and Mining, Hon Dan van Holst Pellekaan MP on 20 May 2021

§ These funds will be applied to Proof-of-Concept work for In situ Recovery (ISR), including resource drilling, hydrometallurgical and environmental studies

§ Diamond drilling program to commence late May 2021.

Nicole Galloway Warland, Managing Director of Thor Mining, commented:

"This is a fabulous result for Thor and its shareholders as it validates the high-quality Alford East Project. The successful grant is a strong endorsement of the technical merits of the project by the South Australian Government.

The Alford East Project is an exciting opportunity for Thor shareholders at a time of record copper prices.

The $300,000 funding will significantly expediate our exploration and development program for the Alford East ISR Project, with diamond drilling commencing shortly with the objective to increase the resource size and commence hydrometallurgical studies.

We acknowledge and thank the Department of Energy and Mining (DEM) and the SA Government for this positive exploration initiative."

A copy of the Tenement and Prospect Location Plan may be view via the following link:

www.thormining.com/sites/thormining/media/maps/21-001-4-ae-mre---location.jpg 

The Accelerated Discovery initiative (ADI) aims to encourage innovation and collaboration to advance exploration activities in South Australia. It provides a Government contribution towards exploration activities, through supporting the potential discovery of new mineral and ground water resources, while delivering a number of other economic and social benefits to the State.

Successful applications for Round 2 of the initiative were announced by the Minister for Energy and Mining, Hon Dan van Holst Pellekaan MP on 20 May 2021. A total of almost A$4.5 million in new funding has been award to 22 companies, with Thor Mining granted A$300,000.

Full details on the Accelerated Discovery Initiative and successful applications can be found on the DEM website:

https://energymining.sa.gov.au/minerals/latest_updates/south_australias_exploration_initiative

Project Background

The Alford East Copper-Gold Project is located on EL6529, where Thor is earning up to 80% interest from unlisted Australian explorer Spencer Metals Pty Ltd, covering portions of EL6255 and EL6529 (THR:AIM 20 November 2020).

The Alford East Project covers the northern extension the Alford Copper Belt, located on the Yorke Peninsula SA. The Alford Copper Belt is a semi coherent zone of copper-gold oxide mineralization, within a structurally controlled north-south corridor consisting of deeply kaolinized and oxidized troughs within metamorphic units on the edge of the Tickera Granite Gawler Craton, SA.

Numerous companies since the early 1990's have explored the area for Iron Oxide Copper Gold (IOCG) style primary mineralisation, essentially ignoring the oxide mineralisation. Thor who acquired the ground in December 2020 (Earn-In/JV) are the first company to explore solely for the oxide copper-gold mineralisation.

Over 500 drillholes were drilled between 1982 and 2015 in the Project area, totalling over 40,585m. Based on this drillhole information Thor have completed an inferred Mineral Resource Estimate (MRE), which was announced on 26 January 2021:

§ 125.6Mt @ 0.14% Cu containing 177,000t of contained copper

§ 71, 500oz of contained gold

www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210127-maiden-copper.gold-estimate-alford-east-sa.pdf

This MRE demonstrates the initial size of the oxide copper-gold opportunity with the potential to grow the MRE along strike and at depth.

Thor are exploring and evaluating the copper-gold oxide mineralisation from a geological, environmental, hydrometallurgical and social license perspective, with a 'proof of concept' to develop using In Situ Recovery (ISR).

This ADI proposal to assess the size and ISR amenability of the Alford East copper-gold deposit, promotes new exploration thinking and innovation. The success of this ISR concept at Alford East project, has the potential to open-up numerous other oxide copper-gold deposits within the State - protecting the environment whilst creating new economic opportunities.

Next Step - Exploration and Development Activities

Potential to grow the Alford East copper-gold Mineral Resource Estimate remains along strike and at depth. Historic aircore and reverse circulation drilling within the project area stopped within the mineralised oxide copper-gold zones with only limited deeper diamond holes continuing through the oxide copper mineralization. A 2,000m diamond drilling program is scheduled to commence late May, designed to follow up on the depth extent of the oxide mineralisation, adjacent to these mineralised diamond holes. In addition, drill holes will be placed along strike of the eight identified mineralised zones to confirm strike extent and continuity of the mineralization.

An image showing the eight identified mineralised domains at Alford East may be view via the following link:

www.thormining.com/sites/thormining/media/maps/21-001-1-ae-mre---plan-view.jpg 

During the drilling program groundwater analysis and core samples will be collected for hydrometallurgical studies. The hydrometallurgical work will be undertaken by Mining Process Solutions (MPS).

In conjunction with the technical assessment Thor will continue ongoing stakeholder and community engagement, and regulatory activities.

The information contained within this announcement is deemed to constitute inside information as stipulated under the UK Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

- Ends -

For further information on the Company, please visit www.thormining.com or contact the following: 

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.

About Thor Mining PLC

Thor Mining PLC (AIM, ASX: THR; OTCQB: THORF) is a diversified resource company quoted on the AIM Market of the London Stock Exchange, ASX in Australia and OTCQB Market in the United States.

The Company is advancing its diversified portfolio of precious, base, energy and strategic metal projects across USA and Australia. Its focus is on progressing its copper, gold, uranium and vanadium projects, while seeking investment/JV opportunities to develop its tungsten assets.

Thor owns 100% of the Ragged Range Project, comprising 92 km2 of exploration licences with highly encouraging early stage gold and nickel results in the Pilbara region of Western Australia, for which drilling is planned in the first half of 2021.

At Alford East in South Australia, Thor is earning an 80% interest in copper deposits considered amenable to extraction via Insitu Recovery techniques (ISR). In January 2021, Thor announced an Inferred Mineral Resource Estimate of 177,000 tonnes contained copper & 71,000 oz gold¹.

Thor also holds a 30% interest in Australian copper development company EnviroCopper Limited, which in turn holds rights to earn up to a 75% interest in the mineral rights and claims over the resource on the portion of the historic Kapunda copper mine and the Alford West copper project, both situated in South Australia and both considered amenable to recovery by way of ISR.²³

Thor holds 100% interest in two private companies with mineral claims in the US states of Colorado and Utah with historical high-grade uranium and vanadium drilling and production results.

Thor holds 100% of the advanced Molyhil tungsten project, including indicated and inferred resources⁴, in the Northern Territory of Australia, which was awarded Major Project Status by the Northern Territory government in July 2020.

Adjacent to Molyhil, at Bonya, Thor holds a 40% interest in deposits of tungsten, copper, and vanadium, including Inferred resource estimates for the Bonya copper deposit, and the White Violet and Samarkand tungsten deposits.⁵

Thor holds 100% of the Pilot Mountain tungsten project in Nevada, USA which has a JORC 2012 Indicated and Inferred Resources Estimate on 2 of the 4 known deposits.⁶

Notes

1 www.thormining.com/sites/thormining/media/pdf/asx-announcements/20210127-maiden-copper.gold-estimate-alford-east-sa.pdf 

2 www.thormining.com/sites/thormining/media/pdf/asx-announcements/20172018/20180222-clarification-kapunda-copper-resource-estimate.pdf  

³ www.thormining.com/sites/thormining/media/aim-report/20190815-initial-copper-resource-estimate---moonta-project---rns---london-stock-exchange.pdf

 4 www.thormining.com/sites/thormining/media/pdf/asx-announcements/20191011-molyhil-mineral-resource-estimate-enhanced.pdf 

5 www.thormining.com/sites/thormining/media/pdf/asx-announcements/20200129-mineral-resource-estimates---bonya-tungsten--copper.pdf

⁶ www.thormining.com/sites/thormining/media/pdf/asx-announcements/20162017/20170522-tungsten-resource-increase.pdf 

www.thormining.com/sites/thormining/media/pdf/asx-announcements/20182019/20181214-pilot-mountain-resource-update.pdf