Thor Explorations Ltd (CVE:THX) has been granted two new gold exploration licenses in Nigeria as the company continues to progress with its work in the West African country.
The two new licences, which were granted to Thor’s wholly-owned subsidiary Segilola Gold Ltd, total 178 square kilometres, just under 20 kilometres from the junior company’s Segilola gold project. The area covers significant sections of the structural trends that extend to the south of the high grade deposit, according to a statement from Thor.
The Vancouver-based company is seeing positive drill results at Segilola, an open pit mineral resource of around 441,000 ounces of gold at a grade averaging 4.5 grams per ton gold.
Recent drilling highlights include 7 metres at 5.1 g/t Au and 6.7 metres at 4.2 g/t Au.
READ: Thor Explorations secures additional financing commitment for Segilola project in Nigeria
The junior miner recently completed a definitive feasibility study for the Segilola project, indicating the site to be a high margin gold mine.
The open pit project has a pre-production capex of $87 million, a mine life of five years, with an average of 80,000 ounces generated over that period. The all-in sustaining cost over the life of mine is put at $662 per ounce.
"We are pleased to have already started to generate results that improve the already robust economics of the recently completed definitive feasibility study, with the infill drill result returning significantly higher than modelled,” said CEO Segun Lawson in a statement.
“We are also pleased to have acquired additional prospective ground in the region where we continue to identify new targets and build on our knowledge of Segilola. This is in line with our strategy in Nigeria.”
Thor recently secured a US$78 million financing package from the Africa Finance Corporation for the construction of the project.
In addition to Segilola, Thor holds a 70% interest in the Douta gold project in Senegal and a 49% interest in the Bongui and Legue gold permits located in Houndé greenstone belt, south west Burkina Faso.
Shares of Thor were trading at C$0.16 in Toronto at Tuesday’s close.
Contact Angela at angela@proactiveinvestors.com
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