22nd Nov 2006 07:00
Thor Mining PLC22 November 2006 THOR MINING PLC Tungsten recovery circuit secured for Molyhil development Dated: 22 November 2006 Thor Mining PLC ("Thor") the specialist metals company currently focussed onadvancing tungsten-molybdenum and uranium projects in the Northern Territory ofAustralia, today announced entering into an option agreement to purchase keyitems of plant and equipment for the Molyhil Tungsten-Molybdenum Project ("Molyhil"). Highlights • option agreement announced to purchase gravity plant and tables for the proposed Molyhil mine development; • final stage of the Molyhil definitive feasibility study underway, with financial modelling currently being completed. As part of the current Definitive Feasibility Study ("DFS") on Molyhil, Thor hasfinalised an option agreement with Interquip Pty Ltd, a supplier of mineral andprocess equipment, for the purchase of a spirals plant and tables, bothsuitable for Molyhil. The DFS is progressing well with the final results due to be announced laterthis month. At this stage, the processing plant in the DFS has been based on thepurchase of new equipment. However, there are significant opportunities toreduce the anticipated capital cost of the development through the use ofsecond-hand equipment. The processing equipment subject to the option agreement is located in WesternAustralia and is in good condition. The gravity circuit is a 35tph plant used torecover a wet concentrate of tantalum which was commissioned in 2001 but hasbeen on care and maintenance since 2004. The spirals bank comprises 16 triplestart units. There are five Wilfrey-type wet tables in the circuit, with all the mechanismsand gearboxes in very good order, although some table tops will needrefurbishment. A further 11 reconditioned Wilfrey-type tables were alsoavailable as part of the overall purchase price which are required to completethe tungsten recovery circuit. It is estimated that the replacement cost for this circuit is in the order ofAUD1 million. The purchase of this equipment will save around AUD750,000 on newequipment costs. Thor's Chief Executive Officer, Mr John A. Young, said: "The ability to purchasesuitable second-hand equipment is an important step in the process of gettingMolyhil into production as soon as practically possible, while at the same timereducing capital costs". JORC Compliance The information in this report that relates to exploration results, mineralresources or ore reserves is based on information compiled by John Young, who isa Member of The Australasian Institute of Mining and Metallurgy. John Young, theChief Executive Officer of Thor, has sufficient experience which is relevant tothe style of mineralisation and type of deposit under consideration and to theactivity which he is undertaking to qualify as a Competent Person as defined inthe 2004 Edition of the "Australasian Code for Reporting of Exploration Results,Mineral Resources and Ore Reserves". John Young consents to the inclusion in this RNS announcement of the mattersbased on his information in the form and context in which it appears.) Enquiries: John Young + 61(0)419 954 020 Thor Mining PLC Chief Executive Officer John Simpson 020 7512 0191 ARM Corporate Nominated Adviser Finance Limited Leesa Peters 020 7429 6600 Conduit PR Limited Public Relations/UK orAbigail Singleton 020 7429 6606 Nicolas Read + 61(0)8 9388 1474 Jan Hope & Partners Public Relations/ Australia Updates on the Company's activities are regularly posted on Thor's websitewww.thormining.com, which includes a facility to register to receive theseupdates by email. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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