Thor Explorations – Rescheduled Debt Agreement Allows For Larger Exploration Focus This Year And Potential Accretive Acquisitions
Segun Lawson, President and CEO of Thor Explorations (TSX.V:THX – US:THXPF), reviews the expanded optionality and potential for enhanced growth initiatives from the recently amended and restated terms of its senior debt facility held with Africa Finance Corporation. The removal of many restrictive debt covenants, now releases the Company from restrictions regarding acquisitions, distribution of dividends and certain indebtedness covenants, as well as allowing more capital to be put towards aggressive exploration and expansion at both the Segilola and Douta projects.
We discussed the organic growth potential with the on-going exploration around Segilola mine in Nigeria, at depth under the current pit shell, and along strike at a number of nearby targets in search of nearby satellite pits. In addition, there is also the inorganic growth that could come from acquiring nearby projects, or partnering on other development projects in Nigeria and abroad in West Africa.
We also outlined the new 40,000 meter drill program at the Douta development Project in Senegal, on the back of the recently completed 26,000 meters drill program from 2022. The Company is continuing to expand the resources at the Makosa ore body, which now has grown to a 7km strike length, and also incorporates the Makosa Tail area. The exploration strategy is to keep doing step-out drilling and infill drilling at the Makosa deposit, as well as expansion drilling around 3 key new mineralized satellite discoveries at the Mansa, Maka, and Sambara targets. There are still drill assays pending for the 3 satellite deposits that will be reporting early this year, and the 2022 drill results will then be put into an expanded resource estimate update in the first half of 2023. The next milestone after that will be to wrap some economics around the Douta project in a Preliminary Economic Assessment for the market to evaluate by year’s end.
*In full disclosure, Shad is a shareholder of Thor Explorations.