US Uranium/V8anadium Project - Milestone Shares

4 November 2020

THOR MINING PLC

US URANIUM / VANADIUM PROJECT

 FIRST PROJECT MILESTONE ACHIEVED AND ISSUE OF MILESTONE SHARES

The directors of Thor Mining Plc ("Thor" or the "Company") (AIM, ASX: THR) are pleased to advise that high grade assay results from field sampling of the Colorado prospects have exceeded the criteria for the first milestone share issue to the vendors of American Vanadium Pty Ltd (AVU).

AVU holds interests in uranium and vanadium focussed projects in Colorado and Utah in the United States of America. The Company announced on 10 September 2020 completion of the acquisition of AVU:

www.thormining.com/sites/thormining/media/pdf/asx-announcements/20200910-us-uranium-and-vanadium-completion-of-acquisition.pdf.

Thor will now proceed with the issue of 18 million Ordinary Shares of 0.01p each, in full payment of the First Performance Payment, utilising available capacity under ASX Listing Rule 7.1.

Highlights:

·    Field sampling by Thor during due diligence period showed assay results of high grade uranium (up to 1.25% U₃O₈) and vanadium (up to 3.47% V₂O₅)

·    Criteria of 15 or more samples from three of more adits/shafts at Radium Mountain & Wedding Bell prospects returning grades >= 0.1% U₃O₈, or 1.0% V₂O₅, or equivalent, has been met.

Mick Billing, Executive Chairman of Thor Mining, commented:

"We are very pleased with the high grade assays from the initial sampling program conducted in Colorado."

"Our next step with this project is likely to be a drilling program on a number of the Colorado targets, scheduled following the North American winter."

PROJECT PERFORMANCE PAYMENTS

The acquisition agreement for AVU, as previously announced, includes a series of performance payments, of:

·    First Performance - A$108,000 through the issue of 18,000,000 Ordinary Shares, on 15 or more samples from three of more adits/shafts at Radium Mountain & Wedding Bell prospects returning grades >= 0.1% U₃O₈, or 1.0% V₂O₅, or equivalent* within six months of execution of the Share Agreement - now met.

·    Second Performance  - A$252,000 through the issue of 42,000,000 Ordinary Shares on drilling ore grade intercepts from at least three holes from any deposits within the licences, at a product of grade and thickness of >= 0.4% U₃O_8, or equivalent*. For example, 4m @ 1,000ppm U₃O₈ or 1m @ 4,000ppm U₃O₈.

·    Third Performance - A$252,000 through the issue of 42,000,000 Ordinary Shares on reporting a mineral resource in either the inferred, indicated or measured category (reported in accordance with the JORC Code, 2012 Edition) of, or equivalent* to 5million tonnes @ >= 0.1% U₃O₈, or 1.0% V₂O₅, or equivalent*.

*    Uranium equivalent will be calculated taking into account, in addition to uranium, credits for vanadium making up part of the relevant polymetallic deposit that have a reasonable potential to be recovered and sold, according to a formula that will be used and published in accordance with clause 50 of the JORC Code.

Whilst not all samples detailed below are from adits or shafts as set out in the acquisition agreement, this proved impractical due to access restrictions to historical underground workings.  The parties have agreed that those collected are representative of the project area and that the conditions of the first performance payment have been met.

Table A: Sample Assay Results Meeting Agreed Criteria (extract from report of 21 July 2020)

SHARE ISSUE AND DEALINGS

The Company will shortly issue 18,000,000 Ordinary Shares to settle the First Performance payment.

Application will be made for admission to trading on the AIM Market of the London Stock Exchange ("AIM") for a total of 18,000,000 Ordinary Shares, which will rank pari passu with the Company's existing issued Ordinary Shares. Dealings on AIM are expected to commence at 8:00am on or around 10 November 2020 ("Admission").

TOTAL VOTING RIGHTS

For the purposes of the Financial Conduct Authority's Disclosure Guidance and Transparency Rules ("DTRs"), following Admission, Thor will have 1,512,704,800 Ordinary Shares in issue with voting rights attached. Thor holds no shares in treasury. This figure of 1,512,704,800 may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company, under the ASX Listing Rules or the DTRs.

The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

Enquiries:

Competent Persons Report

The information in this report that relates to exploration results is based on information compiled by Nicole Galloway Warland, who holds a BSc in 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.

About Thor Mining PLC

Thor Mining PLC (AIM, ASX: THR) is a resources company quoted on the AIM Market of the London Stock Exchange and on ASX in Australia. 

Thor holds 100% of the advanced Molyhil tungsten project in the Northern Territory of Australia, for which an updated feasibility study in August 2018¹ suggested attractive returns.

Adjacent Molyhil, at Bonya, Thor holds a 40% interest in deposits of tungsten, copper, and vanadium, including an Inferred resource for the Bonya copper deposit².

Thor is also acquiring up to 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 in South Australia recoverable by way of in situ recovery⁴. Thor also holds rights to earn a 75% interest in portion of the Alford West copper project also in South Australia, and is also considered amenable to recovery by way of in situ recovery⁵. 

Thor holds 100% of the Pilot Mountain tungsten project in Nevada USA which has a JORC 2012 Indicated and Inferred Resources Estimate³ on 2 of the 4 known deposits. The US Department of the Interior has confirmed that tungsten, the primary resource mineral at Pilot Mountain, has been included in the final list of Critical Minerals 2018.

At the 100% owned Ragged Range Project in the Pilbara region of Western Australia, Thor has exciting early stage results for which gold and nickel drilling is planned.

Thor holds mineral claims in  the US states of Colorado and Utah with historical high grade uranium and vanadium drilling and production results.

Notes

¹ Refer ASX and AIM announcement of 23 August 2018

² Refer ASX and AIM announcement of 26 November 2018

³ Refer AIM announcement of 13 December 2018 and ASX announcement of 14 December 2018

⁴ Refer AIM announcement of 10 February 2016 and ASX announcement of 12 February 2018

⁵ Refer ASX and AIM announcement of 15 August 2019