Thor Mining : 07/07/2017 Strategic Update

7 July 2017

Company Announcements Office, ASX Securities Limited, 20, Bridge Street, Sydney, N.S.W. 2000 STRATEGIC OUTLOOK UPDATE

The Board of Thor Mining Plc ("Thor" or the "Company") (AIM, ASX: THR), is pleased to provide an update on the Company's outlook and strategic priorities for the second half of 2017.

Review of First Half 2017:

During the first half of the calendar year, Thor made significant advances both operationally and financially. Key highlights from the first half include:

• Pilot Mountain tungsten drilling - a successful drilling program completed in early March delivered a 55% increase in the resource inventory;

• Dundas gold drilling - drilling program has been completed, with assays due shortly;

• Spring Hill gold sale completion - A$1.5million received in February, significantly strengthening the Company's balance sheet, and a royalty stream is expected from the Spring Hill project in the medium term.

• New Projects - June announcement of entry in a Lithium exploration company with projects in Arizona and New Mexico, USA.

  Outlook and Strategic Priorities for Second Half 2017:

  The second half of the calendar year is expected to be equally eventful with an exciting new drill program scheduled for Pilot Mountain, and the potential acquisition of the residual 75% of US Lithium Pty Limited. Key highlights include:

• Pilot Mountain, Tungsten - drill program scheduled for early August to test the Good Hope deposit, and also some deeper drilling at Desert Scheelite;

• Dundas, Gold - drill assays expected shortly with follow up work dependent upon assay outcomes;

• Big Sandy, Lithium - following the completion of due diligence, should Thor exercise its option to acquire the residual 75% of US Lithium Pty Limited, as is expected, an exploration program will be developed;

• New projects - the Company continues to assess a range of opportunities with a particular focus on copper projects, and we hope to be in a position to advise investors of developments shortly.

Mr Mick Billing, Executive Chairman of Thor: "We are very pleased to have delivered on all forecasted activities for the first half of the year, and the second half, which, following the completion of the conditional placing, will be fully funded, looks equally exciting.

"The Pilot Mountain drilling program at Good Hope and Desert Scheelite, to commence in August, demonstrates our strong belief that Pilot Mountain will become a very significant multi commodity deposit. THOR MINING PLC

Registered Numbers: United Kingdom 05 276 414

Australia 121 117 673

Registered Office: 58 Galway Avenue

MARLESTON, SA, 5035

Australia

Ph: [phone]

Fx: [phone]

Email:[e-mail]

Website: www.thormining.com

Twitter

@ThorMining

Enquiries: Mick Billing

Executive Chairman Thor Mining PLC

[phone]

Nominated Advisor Colin Aaronson Grant Thornton

[phone]

AIM & ASX Listings: Shares: THR

Directors: Michael Billing David Thomas Gervaise Heddle Paul Johnson

Alastair Middleton

Key Projects:

• Tungsten

  Molyhil NT

  Pilot Mountain USA

  "The new exploration licence adjacent Molyhil could deliver additional mineralisation to add critical mass to Molyhil and we look forward to developing exploration plans for this.

  "Our business development efforts have led us to a very attractive lithium opportunity. We continue with a particular focus on several attractive copper deposits and we look to providing advice on these assessments at the first appropriate opportunity"

  Pilot Mountain Tungsten 2017 Program

  • Two diamond drill holes at Desert Scheelite, aimed at extending the 5.7% copper ("Cu") equivalent at depth

  • Up to four RC drill holes at the Good Hope deposit to follow up on historical high grade intersections including 36.5 m @ 0.4% WO₃, 0.25% Cu, and 0.47% Zn.

  • Depending upon outcomes of this next program, further drilling will be scheduled.

Thor's Pilot Mountain Project is located approximately 200 kilometres ("km") south of the city of Reno and 20km east of the town of Mina located on US Highway 95.

The Pilot Mountain Project comprises four tungsten deposits: Desert Scheelite, Gunmetal, Garnet and Good Hope. All are in close proximity (~three kms) to each other and have been subjected to small-scale mining activities at various times during the 20th century. Union Carbide acquired the project in 1978, for US$7.0 million (estimated at US$26million - US$40million in 2017 dollars), and conducted detailed exploration and feasibility activities until, following a global downturn in the tungsten industry in the 1980s, they suspended further work.

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Figure 1: Desert Scheelite drill intersections viewed in long section looking northwards.

A drill program in 2012 at Desert Scheelite facilitated the estimate and publication of a resource estimate for that deposit, shown in Table1. Importantly, the final hole of the program intersected 17.5 metres @ 1.80%

Copper (Cu) plus 2.2% Zinc (Zn) and 32 g/t Silver (Ag), along with 13.5metres of 0.89% tungsten trioxide (WO₃). At current commodity prices (US$2.66/lb Cu, US$1.26/lb Zn, US$16.80/oz Ag, and US$220/mtu WO₃) this delivers an equivalent copper grade of 5.7%.

Good Hope comprises a small inlier (window) of mineralised skarn exposed within an area overlain by younger volcanic rock. The area has been worked to some extent with small scale exploratory shafts, plus trenches & adits but little systematic exploration of basement below the volcanic cover is apparent. Exposed mineralisation in the exploration trenches and the vertical extent of mineralisation in RDH-2 (highlighted in bold Figure. 2) indicate Good Hope mineralisation is likely to be steeply dipping and similar to the Desert Scheelite deposit rather than the flat lying mineralisation to the west.

Figure 2: Cross section through the Good Hope prospect showing RGH-02 intersection. No assays exist for GH-05 in the historic database.

Table 1: Pilot Mountain Resource Summary 2017 (JORC 2012) - 100% owned by Thor Mining Plc. Announced May21 2017

Resource			WO3		Ag		Cu
MT			Grade %	Contained metal (t)	Grade g/t	Contained metal (t)	Grade %	Contained metal (t)
Garnet	Indicated	-	-
Inferred	1.83	0.36	6,590
Sub Total	1.83	0.36	6,590
Desert Scheelite	Indicated	8.41	0.27	22,700	21.3	179	0.14	11,800
Inferred	1.49	0.23	3,430	9.07	13	0.17	2,500
Sub Total	9.90	0.26	26,130	19.39	192	0.14	14,300
Summary	Indicated	8.41	0.27	22,690
Inferred	3.32	0.30	10,020
Pilot Mountain Total		11.73	0.28	32,720

Note: All figures are rounded to reflect appropriate levels of confidence. Apparent differences may occur due to rounding.

In addition to the Resource Estimate, Exploration Targets (summarised in Table 2) have been determined. Even partial success in the conversion of these targets will add significantly to the project value.

Table 2: Summary of Pilot Mountain exploration targets

Tonnage (Mt)	%WO3	Comment
Tier 1 Exploration Targets*	6.0 - 10.5	0.3 - 0.5	Based on historic drill intersections
Tier 2 Exploration Targets*	3.5 - 9.1	0.2 - 0.4	Based on favourable geology and proximity to known mineralisation.
Total Exploration Target*	9.5 - 19.6	0.2 - 0.5	Combined Tier 1 & 2

Tier 1 Exploration Targets* at Pilot Mountain are based on 1970s drilling undertaken by Union Carbide Corporationand total 6.0 to 10.5 Mt at 0.2 to 0.4% WO3(Table2).

*Exploration Targets are conceptual in nature and there has been insufficient exploration to define a Mineral Resource under the JORC Code and it is uncertain if further exploration will result in the determination of a Mineral Resource.

Dundas Gold 2017 Program

• A 50 hole air core drilling program was completed on the identified gold targets during June 2017.

• Depending upon assay outcomes, follow up drilling will be scheduled later in 2017.

The Dundas gold project is located approximately 100km east-south-east of Norseman in Western Australia. The project is in close proximity to the sealed arterial Eyre Highway, providing all-weather access to the project area. It is also approximately 250km south of the major regional mining centre of Kalgoorlie.

Molyhil Tungsten 2017 Program

• The Company will continue ongoing cost and resource optimisation activities in order that at the first available opportunity we can access development funding to bring Molyhil into production.

• The recently acquired exploration licence adjacent Molyhil is likely to provide the near term focus to add additional critical mass to this project.

The 100% owned Molyhil tungsten project is located 220km north-east of Alice Springs (320km by road) within the prospective polymetallic province of the Proterozoic Eastern Arunta Block in the Northern Territory.

In January 2015, Thor announced an updated feasibility study for its wholly-owned Molyhil tungsten project, with robust outcomes.

The project development cost for Molyhil is estimated at A$64 million, or US$48 million at current exchange rates. Of this, approximately US$10 million is for equipment, for which equipment or leasing finance could be secured, thus reducing the project finance requirement to below US$40 million.

Molyhil has a forecast 12 month construction schedule from development commencement to first production.