Summary
- UK-headquartered Thor Mining has paid the last tranche of A$185,000 in completion of the A$400,000 additional earn-in deal; with the payment, Thor has raised its stake in EnviroCopper to 30%.
- The additional investment in EnviroCopper signifies excellent value for the Company as well as its investors.
Thor Mining’s directors (ASX:THR) announced today that the Company has increased its equity interest in EnviroCopper Limited, a private Australian firm, to 30%. The Company has paid the last tranche of A$185k in completion of the A$400k additional earn-in deal.
Thor has given notice to EnviroCopper to use its right to boost its holding. With this, Thor would now be issued additional shares in EnviroCopper by 16 November 2020.
Significance of Investment
Thor highlights that the additional investment in EnviroCopper signifies excellent value for the Company as well as its investors. Through EnviroCopper, THR has a stake in resources totalling 233,000 tonnes of copper in situ. Besides, the Company has significant upside for copper and the possibility to extract gold.
Of late, gold and copper prices have been on the rise. The Company believes that once a COVID-19 vaccine is available, most probably by 2021, there could be signs of acceleration linked to economic recovery.
Further, EnviroCopper has planned field activities at Kapunda and Alford West in the upcoming few months.
Recent Developments of EnviroCopper Limited
EnviroCopper Limited has signed a deal to earn:
- Up to 75% of the rights over metals which may be retrieved via in situ recovery covered in the Kapunda deposit from Terramin Australia Limited.
- Rights to 75% of the Alford West copper project which include the northern part of exploration licence EL5984, held by Andromeda Metals Limited (ASX:ADN).
Some Important Facts
Kapunda Resource :
In 2018, the Australian Government Ministry for Science, Jobs and Innovation announced the provision of funds worth ~A$2.851 million as research grant for the Kapunda In-Situ Copper and Gold Recovery Trial. The funds would support a significant portion of the cost of the program that is planned to mid-2021. EnviroCopper has a 50% interest in Kapunda Resource and aims to proceed to 75% interest.
Alford West Copper Mineral Resource:
In Alford West Copper Mineral Resource, EnviroCopper has a 75% interest.
A Glance at Scheduled project Activities
In the upcoming three to six months, Thor anticipates a particularly active period of field activities by ECL on the below-mentioned projects and the results would be reported from:
Kapunda:
- There would be more borehole hydrogeological testing after the 2019 hydrogeological work.
- Site Environmental Lixiviant Test will start.
- Gold test drilling.
Alford West:
- At this site, EnviroCopper will have initial borehole hydrogeological testing which would measure flow & connectivity characteristics within the deposit.
Stock Information: At AEDT 4:17 PM, THR shares were trading at A$0.021, down 4.546%. Thor has a market cap of A$33.27 million.
