Thor Mining drilling in bid to extend life of Molyhil

Thor Mining announced a new drill campaign on Monday, which its board said is designed to confirm the close proximity of additional tungsten mineralisation within a six kilometre radius of the company's existing Molyhil tungsten deposit in the Northern Territory of Australia.

The AIM-traded firm said the 50-hole drill programme is designed to test bedrock through shallow alluvial cover, and was targeting magnetic anomalies with similar characteristics to Molyhil.

Its key objective is to find additional ore sources for the Molyhil project, thereby extending mine life and reducing costs, with the targets including the Solar Farm, Stock Yard, Think Big and Gap Track areas, all of which are located within six kilometres of Molyhil.

The low cost programme, estimated at less than AUD 0.1m, is expected to commence in late August, the board confirmed.

“Improvements in the APT price combined with renewed interest in the sector leads us to believe that now is the ideal time to test these exciting targets, as we move to the next phase of work at Molyhil with renewed vigour,” said Thor Mining executive chairman Mick Billing.

“The key objective is to extend the mine life of Molyhil, and hopefully increase the scale of operations to reduce unit production costs.

“Exploration of adjacent known deposits is a sound and cost effective exploration tactic and this initial test of these Molyhil lookalike targets will hopefully lead to a significant increase in the project's current known mining inventory,” Billing explained.