29th Jan 2016 10:37
LONDON (Alliance News) - Australian tungsten and gold miner Thor Mining PLC on Friday said it will be focused in the coming quarter on continuing talks to sell and finance its projects.
Thor said it completed the acquisition of the Spring Hill gold project in the Northern Territory in the quarter to the end of December.
In the current quarter to the end of March, Thor intends to complete the sale of an initial 60% interest in the Spring Hill project and will continue talks on securing project financing for the Molyhil tungsten-molybdenum project, which has been hit by depressed tungsten prices.
"Capital markets for junior resource companies remain extremely tight and we are therefore very pleased with the agreement to sell the Spring Hill project on terms which will considerably strengthen our financial position," said Executive Chairman Mick Billing.
"Thor is, at the core, a tungsten business, and while very low commodity prices make project finance for the Molyhil project challenging, the low capital and operating cost estimates stand Thor in good stead and the board are confident that finance will be secured in the medium term," he added.
Thor shares were down 12% to 0.0276 pence.
By Sam Unsted; [email protected]; @SamUAtAlliance
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