AMN - NIGERIA: EPC contract for Segilola Gold Project

Thor Explorations Ltd has signed a Memorandum of Understanding with NORINCO International Cooperation Ltd to enter into an EPC contract for the Segilola Gold Project in Nigeria. The contract is on a comprehensive lump sum turnkey basis and involves building the required plant and associated infrastructure.

The scope of the EPC turnkey contract covers the design, engineering, procurement, site preparation, construction, commissioning, performance testing and hand-over of the project and its associated infrastructure.

Thor is undertaking a definitive feasibility study (DFS) which will be compiled in accordance with the guidelines set out in Canadian NI 43-101.

The DFS is being prepared through the collaboration of a number of specialist consulting firms including Roscoe Postle Associates Inc, GR Engineering Services Limited, NORINCO International, Auralia Mining Consulting and Knight Piesold Consulting.

Thor expects to complete the DFS in Q4 2018, which will be supported by the EPC turnkey contract. The final terms of the EPC Contract are to be negotiated following the completion of the DFS.

Thor's president and CEO Segun Lawson said, “We have been working with NORINCO International for the past year and there is an excellent level of cooperation and understanding between Thor and NORINCO International.

"NORINCO International have provided a competitive EPC proposal priced on the preliminary feasibility study design, which provides confidence that the project can be delivered on time and on budget by a well-established EPC contractor.

"The MOU offers a clear path to Thor achieving gold production at Segilola in 2020.”

NORINCO is an incorporated company affiliated to China North Industries Corporation. The company is listed on the Shenzhen Stock Exchange with a market capitalisation of US$930 million.

NORINCO International has built projects in multiple industrial sectors in Asia, Africa and Europe. Its experience in Africa and globally uniquely qualifies it to support and successfully implement the Segilola Gold Project in Nigeria.

Thor Explorations is a Canadian mineral exploration company engaged in the acquisition, exploration and development of mineral properties in Nigeria, Senegal and Burkina Faso.

Thor holds a 100% interest in the Segilola project in Osun State of Nigeria and a 70% interest in the Douta Gold Project in south-eastern Senegal.

It also holds a 49% interest in the Bongui and Legue gold permits in the Houndé greenstone belt, southwest Burkina Faso.

www.thorexpl.com