9th Jan 2006 07:00
Thor Mining PLC09 January 2006 THOR MINING PLC Exploration Update Dated: 9 January 2006 Thor Mining PLC ("Thor") the mineral exploration and development companyfocussed on advancing tungsten and molybdenum projects in the Northern Territoryof Australia announces exploration results and additional development activitiesat its portfolio of tungsten and molybdenum projects in the Northern Territoryof Australia. Highlights • Consistent high grades reported at Molyhil Project in the Northern Territory; • JORC resource due January 2006 • Molyhil Project pre-feasibility study continuing. • Thring Creek mining tenement now granted; • Further exploration at Thring Creek and Hatches Creek scheduled for first quarter 2006 Molyhil Tungsten - Molybdenum Project (the "Molyhil Project") The Molyhil Project, which is located 220km north east of Alice Springs withinthe prospective polymetallic province of the Proterozoic Eastern Arunta Block ofthe Northern Territory in Australia. The Molyhil Project currently has an indicated resource of 1,530,000 tonnes at0.32% WO3 and 0.19% MoS2 (combined grade 0.51%) and an inferred resource of500,000 tonnes at 0.25% WO3 and 0.15% MoS2 (combined grade 0.40%). Thor has concluded a programme of underground bulk sampling at the MolyhilProject to evaluate the true head grade; and mineralogical characteristics ofthe deposit. The exploration programme included the sinking of three shafts and cross cuts atthe base of each shaft to extract bulk samples form the ore body. The samplesfrom all cross-cuts have now been assayed at Australian Laboratory Services inPerth and results include: Mineralised Skarn Results Width (m) WO3 % MoS2% Combined % Northern Shaft 26.1 0.85 0.39 1.24Central Shaft 34.0 0.38 0.26 0.64Southern Shaft 20.0 0.38 0.51 0.89Arithmetic Average - 0.54 0.39 0.92 The Directors believe that the results obtained from cross-cuts are significantand confirm their view that current JORC resource estimate understates the truehead grade of the deposit. The results will now be used to update the JORC resource at Molyhil. Thisprocess is expected to take two to three weeks. The Company is now collating all results and expediting the pre-feasibilitystudy on the Molyhil Project which is in progress. Metallurgical test work is progressing on the northern shaft composite, andcomposites have been prepared for both the central and southern shafts. The testwork programme is expected to be totally completed in March 2006. Preliminary mine designs and planning will commence once the resource modellingis complete as part of the JORC resource referred to above. It is also planned to complete a scoping study in March prior to the completionof the full pre-feasibility study. All sections of the scoping study have nowbeen resourced and are in progress. The Directors of Thor have met with the traditional land owners andrepresentatives of the Central Land Council to keep them updated on siteactivities. Once the bulk sampling program is completed the site will berehabilitated. Thring Creek Project The Thring Creek Project is located approximately 24km east of the MolyhilProject. An Exploration Agreement with the Central Land Council has been executed and thetitle to the ground has now been formally granted. The recent ground magnetic survey outlined two target areas in which drilltargets have been identified. A 25-hole drill programme has been planned with 12holes for 1200m of drilling in the northern target and 13 holes for 1300m ofdrilling in the southern target. Drilling is planned for the first quarter in2006. Hatches Creek Project The interpretation of the data from low level airborne photographic and lowlevel magnetic surveys outlined eight targets, over which a 15 hole, 1500mdrilling programme is proposed. A field trip is planned to verify targetdefinition before the Company finalises the 2006 exploration plan for theproject. JORC Compliance The information in this report that relates to exploration results, mineralresources or ore reserves is based on information compiled by Neil Biddle, whois a Member of The Australasian Institute of Mining and Metallurgy. Neil Biddleis a consultant to Thor. Neil Biddle has sufficient experience which is relevantto the style of mineralisation and type of deposit under consideration and tothe activity which he is undertaking to qualify as a Competent Person as definedin the 2004 Edition of the 'Australasian Code for Reporting of ExplorationResults, Mineral Resources and Ore Reserves'. Neil Biddle consents to the inclusion in this press release of the matters basedon his information in the form and context in which it appears. Enquiries: John W Barr +61 418 912 885 Thor Mining PLC Executive Chairman John Simpson 020 7512 0191 ARM Corporate Finance Ltd Nominated Adviser Abigail Singleton 020 7429 6666 Conduit PR Public Relations Updates on the Company's activities are regularly posted on Thor's website,which includes a facility to register to receive these updates by email. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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