Thor Explorations : Announces Second Quarter 2021 Financial And Operating Results For The Three And Six Months Ended June 30, 2021

NEWS RELEASE

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR

DISTRIBUTION TO U.S. WIRE SERVICES

August 31, 2021

TSXV/AIM: THX

Vancouver, British Columbia

This Announcement contains inside information as defined in Article 7 of the Market Abuse Regulation No. 596/2014 ("MAR"). Upon the publication of this Announcement, this inside information is now considered to be in the public domain.

Thor Explorations Announces Second Quarter 2021 Financial And Operating Results For The Three And

Six Months Ended June 30, 2021

Thor Explorations Ltd. (TSXV / AIM: THX) ("Thor Explorations" or the "Company") is pleased to provide an operational and financial review for its mineral properties located in Nigeria, Senegal and Burkina Faso for the three and six months to 30 June 2021 ("Q2 2021") (altogether the "Period").

The Company's Condensed Consolidated Interim Financial Statements together with the notes related thereto, as well as the Management's Discussion and Analysis for the three and six months ended June 30, 2021, are available on Thor Explorations' website https://thorexpl.com/investors/financials/

Operational Highlights of the Period

• Operational milestones at the Company's Segilola Gold Project (the "Segilola Project" or the "Project") were achieved in this Period including the arrival and phased installation of the process plant equipment
• Process plant equipment, including the SAG and Ball Mills, was delivered to site and installation commenced
• Mining operations advanced in this Period, including site preparation, advanced work at the Tailings Management Facility and Water Storage Dam and the arrival of contract mining fleet to site
• 1,565,505 Lost Time Injury ("LTI") free shifts at the end of Q2 2021
• Protocols introduced to prevent the introduction of Covid-19 cases at site continue with no reported cases reported to date
• Recruitment for our technical team for survey, mine engineering and grade control were enhanced during the Period and the core of the process plant team are now in place
• Commenced trading on the AIM Market of the London Stock Exchange

Post Period Highlights

• First gold poured at the Segilola Mine on 30 July 2021
• Ramp up to commercial production remains on schedule for Q3 2021
• 72,000 tons of ore mined and stockpiled at Segilola
• The Segilola Project remains LTI free
• Completion of 4,000 metre Reverse Circulation drilling program at Segilola with results expected in Q4 2021

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• The Company received encouraging drill results from the Douta Project, Senegal, including the newly discovered Makosa Bridge prospect, where a continuous gold mineralisation over a strike length of ~7.5 kilometres was established between Makosa and Makosa Tail

Outlook

• The Company is now ramping up to Commercial Production and is on schedule for Q3 2021
• Segilola Mine FY 2021 production guidance adjusted to 30,000 to 35,000 ounces ("oz") reflecting First Gold Pour occurring in July 2021 as opposed to the initial target of June 2021

Segun Lawson, President & CEO, stated:

"This quarter was a particularly transformational period for the Company as it saw us getting closer to commercial commissioning of our 100% owned Segilola Gold Project in Nigeria, which has been in construction since February 2020. Since the end of Q2, we have achieved first gold pour, becoming Nigeria's first large scale gold mine, an immense accomplishment, and the culmination of years of dedication and hard work of the Thor team, especially during the challenging circumstances of the pandemic.

"The work doesn't stop there, as we press forward, onto commercial production and the eventual ramp up to a life of mine average annual production of approximately 90,000 oz of gold per year.

"Furthermore, the Company is aiming, from its own internally generated financial resources, to comprehensively explore its extensive licence holdings in the Segilola region. During this current quarter, we increased our exploration activities, focussing on generating high quality drilling targets, with the objective of adding open pit ounces to the Segilola Plant to supplement production and extend the Segilola mine life.

"Q2 2021 also marked the milestone of the Company dual listing our shares onto the AIM Market of the London Stock Exchange, to further raise the profile and status of the Company with the global investment community.

"We look forward to updating the market in the coming months with progress at Segilola, as well as the activity at our Douta Project in Senegal, where we recently reported outstanding drill results which demonstrated highly encouraging gold mineralisation."

Further details can be found on the Company's website: www.thorexpl.com

About Thor Explorations

Thor Explorations Ltd. is a mineral exploration company engaged in the acquisition, exploration and development of mineral properties located in Nigeria, Senegal and Burkina Faso. Thor Explorations holds a 100% interest in the Segilola Gold Project located in Osun State of Nigeria and has a 70% economic interest in the Douta Gold Project located in south-eastern Senegal. Thor Explorations trades on AIM and the TSX Venture Exchange under the symbol "THX".

THOR EXPLORATIONS LTD.

Segun Lawson

President & CEO

For further information please contact:

Thor Explorations Ltd

Email:[e-mail]

Canaccord Genuity (Nominated Adviser & Broker)

Henry Fitzgerald-O'Connor / James Asensio / Thomas Diehl

Tel: [phone]

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Hannam & Partners (Broker)

Andrew Chubb / Matt Hasson / Nilesh Patel / Franck Nganou

Tel: [phone]

Fig House Communications (Investor Relations)

Tel: [phone]

Email:[e-mail]

Blytheweigh (Financial PR)

Tim Blythe / Megan Ray / Rachael Brooks

Tel: [phone]

Segilola Project, Nigeria

Executive Summary

The Company continued to make excellent progress throughout the Q2 2021, with construction progressing well. Protocols introduced to prevent the introduction of Covid-19 cases at site continue with no reported cases reported to date. There was no time lost to injury during the Period and the Segilola Project continues to be LTI free, with 1,565,505 LTI free shifts being recorded by the end of the Period.

Process Plant equipment has now all been delivered to site and civils work at the Process Plant is nearing completion with concrete work remaining at the Crusher, Run of Mine ("ROM") pad and Gold Room. Significant progress at the Camp has been made with construction of the Mining Contractors camp now complete. Installation of Process Plant equipment is well underway, and work at the Tailings Management Facility and Water Storage Dam are advanced.

Mining operations are advancing with site preparation work well advanced and the contract mining fleet is now at site. The ROM pad is at design height, with ore being delivered to the stockpiles from July.

Health & Safety

Covid-19 restrictions which came into place at the end of the first quarter of 2020 continue with no cases of Covid- 19 recorded at site to the end of the Period. Temperature checks, Social Distancing and the wearing of masks have become a normal part of operating procedures. Health and Safety efforts during the second quarter focused on Contractor Management at Site with Site Health and Safety rules being further consolidated. Systems and Safe Operating Procedures continue to be developed to ensure compliance with safety rules and the Project is adopting ISO45001:2018 and intends to apply for accreditation in 2022. The Segilola Project remains LTI Free.

Staffing and Project Office

Staffing of the Segilola Project is ongoing with the core of the team in place. The engineering department is fully established with benefits in quality control being realized. The Human Resources Department is driving the establishment of HR policies and effective working practice across the Company. The Finance Department is being strengthened and financial controls and procedures augmented. The security team, already in place, continues to be developed further. Our technical team for survey, mine engineering and grade control were enhanced during Q2 2021 and the core of the Process Plant team are in place, with key positions now being filled. A team of Process Plant Operators and Maintenance Technicians is in place, with these teams participating in installation work at the process plant, as part of their training program. A Performance Management Process has been implemented and a training department established.

Community

Compensation payments to landowners and farmers is 99% complete. Over 250 Community Workers have benefited from employment at site and a number of community projects have been initiated.

Engineering, Procurement and Construction

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Construction work continued at the Process Plant, with civils work nearing completion with concrete work remaining at the Crusher, ROM and Gold Room. The installation of Process Plant equipment is well underway with the SAG and Ball Mills installed, while installation of the jaw crusher started, and leach tanks and ancillary equipment installation is almost complete. Significant progress at the Camp has been made, with most buildings now occupied including the Mining Contractors camp. Work at the Tailings Management Facility is advanced with the embankment at commissioning height. Project handover remains on target for the third quarter 2021. It is planned that the EPC contractor will remain on site into 2022 to assist the Company in fixing snags and providing operational guidance.

Mining Operations

Mining Operations are advancing with site preparation work mostly complete. The Mining Contract has started with the mining fleet arriving at site. Construction of the ROM Pad is advanced, with the ROM at design height and is now also being expanded to enable the establishment of the stockpiles.

Blasting operations have started. Grade control drilling is progressing well with many of the initial mining areas now having been drilled.

The Mine Laboratory has been constructed with power and services now required prior to commissioning. All the necessary mining permits are now in place.

A number of technical projects are being undertaken to facilitate mining operations. Dewatering holes and water monitoring holes have now been drilled. The dewatering system and fuller water management system has been designed with the order for pumps, pipes and ancillary equipment having been made. A study on the geochemical attributes of ore, waste and tailings is ongoing to enable informed decision making for waste management strategies and a review of blasting performance has commenced with a view to enhancing the control of dilution.

Management Systems

A number of operational and business management systems are being developed across the business. Various planning systems are in place and being further developed to aid our mining, geology and exploration teams. GCX is being used for Grade Control and Reconciliation purposes; we have selected Fusion for our Geological Database; Surpac, Minesched and Deswick are being used for Mine Planning and scheduling. A Gold accounting system has been developed in-house for production monitoring. For business systems, our Enterprise Resource Planning system (MS Dynamics) has been implemented which will be the key tool in measuring performance against KPIs. Across the business each department has developed an Operations Management Plan with a Balanced Scorecard system under development for full implementation by the fourth quarter of 2021.

Social & Environment

Construction of infrastructure (further development of the tailings storage dam ("TSF"), process plant the pollution control pond, progress on completing accommodation at camp, offices and recreation/canteen blocks, site security wall and security checkpoints) as well as commencement of mining in the Phase 1 pit were the key drivers of Environment and Social activities in Q2 2021. The relocation of the emulsion and detonator stores and access road near the TSF triggered further land and asset surveys and compensation payments. Evaluating new exploration licences has involved the Community Development and Stakeholder Team in meeting with community leaders in new jurisdictions to sensitise them on exploration activities.

Operational readiness has been the focus of environment and social management plans, standards operating procedures and on-site training during Q2 2021. The operational phase activities included community training on blasting procedures (siren system, erection of blasting notices in the three host communities and a step-up in security posts on the Iperindo Road passing through the site). Process /operations and focussed management plans for handling Cyanide and Hazardous Chemicals and Reagents have been completed prior to delivery of chemicals to site. Specialist PPE required for Cyanide and Chemicals was procured in Nigeria and delivered to site. A Community Health, Safety and Security Plan was completed to comply with IFC Performance Standard for Environment and Social Sustainability (IFC PS) 4.

The final mop up surveys for land, assets and spatial data continued in Q2 2021 for the eastern and northern edge of the mine site. Together with additional land requirements for the detonator and emulsion stores and an additional truck parking area the Q2 2021 compensation budget for the Project has increased to N1,407,500,000 ($3.13 million) but remains in line with the overall compensation budget for the Project. This provides compensation for

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216 landowners and 1019 asset owners (May 2021). A Nigerian consultancy firm has been appointed to aid the Company in the selection, analysis and preparation of business plans for Livelihood Restoration Programmes for project affected persons - those who lost land and /or assets within the mine footprint. These programmes are required under IFC PS 5 - Involuntary Resettlement.

Social listening continues (monitoring Segilola Resources Operating Limited ("SROL") and Thor mentions in Nigerian media) across electronic, TV and printed media and findings are shared with key departments in SROL. Most media coverage has been positive. A public relations company has been appointed to aid SROL in being more proactive in all media forms in Nigeria.

Progress on a range of Health, Safety, Social and Environment (HSSE) management plans occurred with emphasis on requirements for lenders (AFC) set out in their Environment and Social Action Plan (ESAP) 2. HSSE Plans, policies, procedures and protocols delivered to lenders' Environment and Social advisors in Q2 2021 in line with ESAP2 included:

New:

• Community Health Safety and Security Plan;
• Monitoring Procedure;
• Hazardous Chemicals and Reagents Management Plan;
• Cyanide Management Plan; and
• Cyanide Emergency Response Plan

Updates to:

• Environmental and Social Management System;
• Biodiversity Management Plan (incorporating findings from the annual Dry Season Ecology Survey);
• Aspects and Impacts Register - for hydrogeology, geochemical waste, and water and salt balances; and
• Training pack on IFC PS 1 to 8 - for of new HSSE team members (6)

Environment and social management inputs into Project Management Plans and Technical Operations Manuals:

• Tailings Storage Facility;
• Waste Rock Management; and
• Blasting Procedures.

Most documents submitted in Q2 2021 have been reviewed and closed out by lenders' (African Finance Corporation) Environment and Social Advisors - others will be reviewed following the site visit of July 2021. Monthly environment baseline surveys (summarized in quarterly reports to the Federal Ministry of Environment) were in line with emissions standards.

Upcoming focus for HSSE management (for Q3 2021) relates to HSSE inputs required for additional operations management plans and procedures for the Process Plant, Site Security and updates to the Stakeholder Engagement Plan and Emergency Response and Evacuation Plan. SROLSafe will also continue to be updated with Standard Operating Procedures prepared for cyanide and hazardous chemical and reagents use and storage as well as further inputs into Mining Procedures.

Community benefits via Community Development Agreements ("CDAs") signed (in 2017-18) with the three host communities (in 2017-18) around the Project footprint included SROL continuing to deliver agreed benefits including a women's training initiative program, grading of local roads and maintenance of community boreholes. Local employment commitments outlined in the CDAs were also met with 15 to 18% of employment on site from the three host communities (averaging around 100 local employees for 650 employees at the mine site).

Corporate Social Responsibility ("CSR") programs progressed in Q2 2021 included construction of local markets, improvements to the Iperindo Road (replacing road and fixing potholes), replacing degraded wooden with steel electricity pylons; and training of community members in applying for jobs/preparing a CV.

Nigerian Exploration Licences

The high grade Segilola Gold Deposit is located on the major regional shear zone that extends for several hundred kilometres through the gold-bearing Ilesha schist belt (structural corridor) of Nigeria. Thor's exploration tenure currently comprises nine explorations licences. Together with the mining lease over the Segilola Gold Deposit,

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