Thor Explorations Ltd (TSX-V:THX, AIM:THX, OTC:THXPF) has posted revenue of US$24.8 million in its first quarter as the gold miner achieved commercial output at its Segilola asset in Nigeria.
In the three months to end-March 31, 2021, the firm milled 221,920 tonnes of ore and sold 16,658 ounces of gold at all-in sustaining costs (AISC) of US$799 per ounce. It also sold 922 ounces of silver.
The net profit came in at US$200,473 compared to a net loss of US$67,365 in 1Q 2021.
"The company's performance in 1Q 2022 provides a solid foundation for the rest of the year," said Segun Lawson, the CEO in a statement.
"Segilola is now running efficiently and the company continues to be on track to achieve its guidance of 80,000 to 100,000 ounces of gold this year within our AISC guidance of US$850-US$950 per ounce."
READ: Thor Explorations says Segilola Gold Mine in Nigeria continued operating at a steady state in March 2022
Thor said it also aims in 2022 to advance its Douta project to preliminary feasibility study (PFS) stage.
Other highlights of the quarter were that the firm cancelled US$1.35 million of its Senior Facility with Africa Finance Corporation (AFC), which it did not draw down and made its first scheduled debt repayment on March 31, 2022, to AFC of US$2.53 million consisting of principal and interest as part of its senior secured facility.
It ended the quarter with gold dore inventory of 6,626 ounces and had cash of around US$6.27 million.
Post-period-end and now that the company has moved to commercial production, it said James Philip, the vice-president (VP) of corporate development since 2016, has been named as chief operating officer (COO)
Thor also announced the appointment of Chris Omo-Osagie (previously deputy chief finance officer) as acting chief financial officer (CFO), succeeding Ben Hodges who has resigned. Omo-Osagie will report directly to the CEO and is not joining the board. Hodges will remain a consultant over the next three months to ensure a smooth transition, it added.
Lawson in the statement, thanked Hodges for his "contributions since joining the company over the last six years, seeing the company grow from an exploration company to a gold producer".
"We are also proud of our Environmental, Social and Governance efforts in and around the local communities. We are particularly proud to share our inaugural sustainability report, which will be published later in the year. In particular, we are proud of our International Women's Day celebrations, where the theme was women in STEM, we continue to address the gender chasm in male-dominated STEM careers," added the company boss.
Thor Explorations focused on mineral properties in Nigeria, Senegal and Burkina Faso. It holds a 100% interest in the Segilola gold project in Osun State, Nigeria and has a 70% economic interest in the Douta Gold Project in south-eastern Senegal.
Contact the author at giles@proactiveinvestors.com