Completion of initial drilling program and results

25 August 2021

THOR MINING PLC

Completion of initial drilling program with positive Copper and Gold results

Alford East Copper-Gold ISR Project, South Australia

The directors of Thor Mining Plc ("Thor") (AIM, ASX: THR, OTCQB: THORF) are pleased to advise copper and gold intercepts significantly above the Mineral Resource Estimate (MRE) cut-off grade, on completion of the initial diamond drilling program at the Alford East Copper-Gold Project, SA.

Project highlights:

§ Nine diamond drillholes totalling 878m are now complete; with assays from first two drillholes received.

§ Significant intercepts including:

      21AED001     32.9m @ 0.4% Cu and 0.31g/t Au from 81.5 m, and

                               5m @ 0.5% Cu and 1.02g/t Au from 102m

21AED002     59.9m @ 0.31% Cu from 21.9m

§ Positive correlation between assay results and preliminary pXRF readings for 21AED001 and 21AED002, gives Thor greater confidence in pXRF for future drill targeting (AIM: THR Announcement 2930 June 21).

§ Significant pXRF copper readings (to be confirmed by laboratory assays) including:

21AED005     73m @ 0.74% Cu from 6.3m (pXRF)

21AED004     50m @ 0.45% Cu from 6m (pXRF)

§ 21AED002, 21AED006 and 21AED007 were drilled up to 100m to the north of the MRE domain, with assays extending the known copper mineralisation along strike

§ Assays from the first two drillholes highlight grade uplift along the north-south trending controlling structure, validating the new geological model and structural controls on mineralisation.

§ A water bore was successfully completed for initial ISR pump testing and hydrometallurgical test work.

§ Remaining assays expected over the coming weeks.

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

"The new geological model and drill targeting is paying off. The uplift in copper and especially gold grade, adjacent to what appears to be a controlling structure is very exciting and beyond the Directors expectations, suggesting potential for an extended zone of higher-grade copper and gold along this structure. 

The intersections of copper mineralisation in three drillholes drilled up to 100m north of the AE-5 MRE, suggests a structural link to the AE-8 domain to the NE, and potentially significant upside to the Mineral Resource Estimate.

These initial copper and gold grades, wide intercepts and increased depth of weathering are all very encouraging for In-Situ Recovery, the innovative mining technique that has minimal impact on the surrounding environment in contrast to conventional open cut mining".

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

http://www.thormining.com/sites/thormining/media/maps/21-001-4-ae-mre-%E2%80%93-location.jpg

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 (ASX: THR Announcement 23 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.

Utilising historic drillhole information, Thor completed an inferred Mineral Resource Estimate (MRE) (ASX: THR Announcement 27 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

Based on the nature on the oxide mineralisation, the deposit is considered amenable to In Situ Recovery (ISR) techniques.

For further information on ISR please refer to Thor website via this link for an informative video:

https://www.youtube.com/watch?v=eG_1ZGD0WIw

Table A: Alford East Mineral Resource Estimate, with AR-5 extending towards AE-8 domains (previously Netherleigh Park) the focus of the current drilling program highlighted.

Note: MRE reported on Oxide material only, at a cut-off grade of 0.05% Copper which is consistent with the assumed In Situ Recovery technique.

A plan view showing the Alford East Project's eight mineralised domains, may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/maps/mre_ae_5-drilling.jpg

Alford East Diamond Drilling Program Update

Nine diamond drillholes totalling 878m are now complete, with assays received for the first two drillholes - 21AED001 and 21AED002.  This initial program for Thor, focussed only on the northern portion of the Alford East copper-gold deposit around the AE-5 mineralised domains, with drilling targeting areas open at depth and along strike. 

Drillhole assay results are reported in Table B and C (Appendices), with significant copper and gold intercepts including:

§ 21AED001:                108.2m @ 0.17% Cu and 0.1g/t Au from 6.2m, including

                                            25.3m @ 0.11% Cu from 6.2m

                                            32.9m @ 0.4% Cu and 0.31g/t Au from 81.5 m, and

                                            5m @ 0.5% Cu and 1.02g/t Au from 102m

§ 21AED002:                 59.9m @ 0.31% Cu from 21.9m, including

Note for In Situ Recovery Thor is targeting broad copper-gold oxide intervals above the MRE cut-off grade of 0.05% copper. 

An Alford East AE-5 Drillhole location plan may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/maps/ae-5-location-plan.jpg

An inhouse Vanta Series C portable X-ray fluorescent (pXRF) analyser was used in the field to take copper readings every 0.5m down each of the holes (gold not measured by pXRF).  Preliminary pXRF copper results as reported for 21AED001 and 21AED002 (AIM: THR Announcement 29 June 2021), are almost identical to the assay results, with the assays results slightly higher over some intervals (Table C).  This positive correlation gives the Directors of Thor greater confidence with the pXRF readings for future drill targeting.

Preliminary significant pXRF copper readings for all drillholes include:

21AED001     33m @0.4% Cu from 81.5 (previously reported)

21AED002     55.5m @ 0.28% Cu from 28m (previously reported)

21AED003     26m @ 0.1% Cu from 15m

21AED004     50m @ 0.45% Cu from 6m

21AED005     73m @ 0.74% Cu from 6.3m

21AED006     16.5m @ 0.06% Cu from 44.5m

21AED007     29m @ 0.12% Cu from 20.5m

21AED008     5m @ 0.09% Cu from 36.5

21AED009     NSI - No Significant Intersection above 500ppm Copper

Important notice: The pXRF copper readings are indicative only with samples being submitted to laboratory for analytical analysis including gold assay. The Directors believe that with adequate sample preparation the pXRF analyser will yield high-quality analytical data. However, there can be no guarantee that this method provides accurate results similar to those from the laboratory analysis.

Table D: Assay verses pXRF Comparison (pXRF readings and intervals as per THR: AIM Announcement 29 June 2021)

For ISR purposes, drilling was limited to the deeply weathered lithological profile, testing the extent of the oxide zone and the depth boundary of the Top of Fresh Rock (TOFR).   The copper-gold oxide mineralisation is hosted within deeply kaolinised (clay) and metasomatic altered units on the contact between the Olympic Domain Wallaroo Group metasediments and the Hiltaba Suite Tickera Granite, Gawler Craton. Copper oxide mineralogy is dominated by malachite and chalcocite.

Photo Plates for 21AED001 may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/maps/photo-21aed001.jpg

Photo Plates for 21AED002 may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/maps/photo-21aed002.jpg

Drill targeting based on a new geological model has allowed Thor to vector in on key controlling mineralised structures and more importantly zones of higher copper and gold grades.  Assay results from both 21AED001 and 21AED002 highlight grade uplift on the hanging wall side of the north-south trending controlling structure, validating the new geological model and structural controls on mineralisation.

Drillholes 21AED001, 21AED003 and 21AED005 (Section A-A' 6,256,360mN), were drilled through the central portion of AE_5 (Figure 4), designed to validate the geological model and test areas, open at depth.  The high-grade copper and gold intercepts in 21AED001, significantly above the MRE cut-off, opens the mineralisation up at depth, with 21AED005 pXRF copper readings highlighting the grade uplift along the controlling north-south structure.

A Cross section showing 21AED001, 21AED003 and 21AED005 may be viewed via the following link:

http://cms.thormining.com/sites/thormining/media/Maps/2021.08.23-ae5-section-6256360mn-incl-21aed001-assays-and-xrf---assays-shown-as-bar-graph.jpg

21AED004 (Section B-B' 6,235,440mN) was drilled along strike to the north 21AED005, with pXRF reading validating geological model and higher copper grades along controlling structure (Figure 2, 3 and 5).

A Cross section showing 21AED004 may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/maps/21aed004.jpg

21AED002, AED006 and 21AED007 (Section C-C' 6,235,600mN) were all drilled to the north of the AE-5 MRE domain, with assay results extending the known copper mineralisation along strike towards AE-8.

A Cross section showing follow up drillholes adjacent to 21AED002 and 21AED006 may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/maps/2021.08.23-ae5-section-6256600mn-incl-21aed002-assays-and-xrf---assays-shown-as-bar-graph.jpg

Multi-element analysis of the assay results from both 21AED001 and 21AED002, highlights two distinct higher-grade zones of copper-gold mineralisation within a broader mineralised envelope.  The lower of the two has a distinct IOCG geochemical signature - elevated Cu, Au, Mo, Co, Se, Bi & REE (Figure 7 & 8 log plots).  This potentially reflects sulphide oxidation of primary mineralisation; whilst the upper zone reflects supergene weathered mineralisation. Once all assays are received a detailed geochemical analyses and modelling of the zones will be completed.

A Log Plot for 21AED001 showing IOCG signature may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/maps/21aed001_log-plot.jpg

A Log Plot for 21AED002 showing IOCG signature may be viewed via the following link:

http://www.thormining.com/sites/thormining/media/maps/21aed002_log-plot.jpg

Remaining drill core is currently being prepared for sample submission to the laboratory, with all assay results anticipated in approximately 4 weeks.

In conjunction with the diamond drilling program a water bore was successfully developed for pump testing.  This is part of the initial hydrogeological baseline work forming part of the 'proof of concept' for ISR, including water characteristics, porosity, and permeability testing. Subsequently preliminary metallurgical studies on potential lixiviants for copper and gold recovery will commence using ground water samples.

- Ends  -

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

Competent Persons Report

The information in this report that relates to Exploration Results and the Estimation and Reporting of the Alford East Mineral Resource Estimation is based on information compiled by Nicole Galloway Warland, who holds a BSc Applied geology (HONS) and who is a Member of The Australian Institute of Geoscientists. Ms Galloway Warland is an employee of Thor Mining PLC. She has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which she is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Nicole Galloway Warland consents to the inclusion in the report of the matters based on her information in the form and context in which it appears.

Forward Looking Statements

This document may contain certain forward-looking statements. Forward-looking statements include, but are not limited to, statements concerning Thor Mining PLC current expectations, estimates and projections about the industry in which Thor operates, and beliefs and assumptions regarding Thor's future performance. When used in this document, words such as "anticipate", "could", "plan", "estimate", "expects", "seeks", "intends", "may", "potential", "should", and similar expressions are forward-looking statements. Although Thor believes that its expectations reflected in these forward-looking statements are reasonable, such statements are subject to known and unknown risks, uncertainties and other factors, some of which are beyond the control of Thor and no assurance can be given that actual results will be consistent with these forward-looking statements

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 In Situ 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 

Table B: Drill Collar Locations

Table C: Summary of Drillhole Assays

Notes to Table B and C

1.   An accurate dip and strike and the controls on mineralisation are only interpreted and the true width of mineralisation is unknown at this time.

2.   In Diamond (Diam drilling), individual samples were collected at geological intervals with no individual sample smaller than 0.1m and none larger than 1.5m.

3.   All samples are analysed using a 50g fire assay with ICP-MS (inductively coupled plasma - mass spectrometry) finish gold analysis (0.01ppm detection limit) and Aqua Regia Multi-Element with ICP-MS finish (1ppm Cu detection limit) by Bureau Veritas, Adelaide South Australia.

4.   Intersections are generally calculated over >1m intervals >0.05% Cu (500ppm) using weight averaging technique. Some internal dilution is included in 21AED001 full oxide profile <10m below 0.05% Cu for geological ISR modelling continuity.

5.   g/t (grams per tonne), ppm (parts per million), NSI = no significant intercept above 0.01ppm Au

6.   Drill type; Diam = Diamond, HQ = Diamond Core diameter

7.   Coordinates are in GDA94, MGA Z53 using DGPS position

1   JORC Code, 2012 Edition - Table 1 report template

1.1         Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results