Thor Mining PLC (AIM:THR, OTC:THORF, ASX:THR) has agreed to a farm-out deal for its Molyhil tungsten project and the sale of its adjacent Bonya tenement. both of which are in Northern Territory, Australia.
In a statement, Thor said the deal would allow it to focus on its US uranium assets and the multi-commodity Ragged Range project while retaining an interest in Molyhil.
ASX-listed Investigator Resources is the counterparty in the farm-out.
IVR can earn up to an 80% stake in Molyhil by spending A$8mln on exploration work at the site, while also acquiring Thor’s 40% stake in Bonya.
In addition, Thor will receive up to A$100,000 in cash and A$500,000 in IVR shares.
Nicole Galloway Warland, Thor’s managing director, said: "The agreement enables Thor to retain an equity interest in the prospective Molyhil tenements with reduced operational risk, benefitting from exploration upside on the tenements as well as receiving considerations in the form of cash and IVR shares.”