Thor Explorations Ltd (CVE:THX) released an initial set of drill results from its Segilola gold project in Nigeria, which is set to start production in 2021.
The new results include intersections of 5.1 meters grading at 6.8 grams per ton (g/t) gold and 6 metres at 5.4 g/t gold.
Additional intersections revealed 13 metres grading at 4.9 g/t gold and 9.1 metres at 4.6 g/t gold.
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In a statement, Thor called the new results “very encouraging” as they have largely shown higher grades than what was estimated in Segilola’s definitive feasibility study (DFS) and give the company more confidence that it can achieve its production targets.
“This in an excellent start to this year’s drilling,” Thor CEO Segun Lawson told shareholders in a statement.
“These results are in the Stage 1 pit design and provide additional confidence for the key first three months of production. Management has always had confidence in the DFS resource model and this first set of drilling results confirm this.”
Segilola, located in Osun State, has a 25-year mining licence with a NI-43 101 open pit probable reserve standing at 405,000 ounces of gold grading an average 4.2 g/t. The higher confidence indicated resource is 469,000 ounces at 4.7 g/t of gold.
In addition to the drill results, Vancouver-based Thor also updated investors on its exploration plan in Nigeria for the current quarter. The firm contracted Century Mining Co Ltd (CMC) to undertake a 5,000 metre reverse circulation drill program to test satellite targets and do an additional 2,000 metres of diamond drilling.
Thor is currently raising up to C$13.55 million to fund exploration at Segilola. The program is expected to start at the end of July.
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