Name of the Project
Segilola gold project.

Location
Osun state, Nigeria.

Project Owner/s
Thor Explorations.

Project Description
The project comprises an openpit gold mine, based on a probable reserve of four-million tonnes grading 4.02 g/t gold.

It includes a new 715 000 t/y processing plant comprising a conventional crushing circuit, two-stage grinding, gravity, carbon-in-leach, elution, electrowinning and smelting to produce gold ore.

Production is estimated at 85 000 oz/y over a five year life-of-mine.

The full potential of an underground resource has yet to be realised and ongoing exploration is planned to upgrade the current inferred underground resource to indicated resources and to test the continuation of the shoots at depth.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The Segilola openpit has a net present value, at a 5% discount rate, of $310-million and an internal rate of return of 85% in the base case, with payback of one-year.

Capital Expenditure
$104.5-million.

Planned Start/End Date
Construction on the project started in March 2020 and first gold was poured in July 2021.

Latest Developments
Thor Explorations has set its full-year production guidance for 2022 at between 80 000 oz and 100 000 oz, following a ramp-up in production from the first quarter this year, as per the mine plan for its Segilola operation.

The company has managed to resolve some supply chain issues experienced in the third and fourth quarters of 2021, and commissioned a mine laboratory to optimise processing ability.

The Segilola process plant is running at design capacity, with 62 128 t of ore having been processed during December, at a head grade of 3.4 g/t gold. Overall plant recovery continues to improve, achieving a rate of 92% in December and targeting a recovery rate of 97%.

Gold output in December averaged just over 1 500 oz a week to reach the monthly total of 6 119 oz.

Meanwhile, near-mine exploration drilling has resumed following the commissioning of the lab. Thor will complete the remainder of a 4 000 m programme – of which 1 200 m has been drilled – in due course.

Thor has acquired more prospective ground within a 20 km radius of the Segilola project through joint venture agreements.

Key Contracts, Suppliers and Consultants
Norinco International (engineering, procurement and construction).

Contact Details for Project Information
Thor Explorations, tel +1 778 373 0102 or email info@thorexpl.com.