Thor Explorations has reiterated its commitment to achieving its production target of 95,000 to 100,000 ounces of gold from the Segilola mine in Nigeria, despite experiencing a slower-than-anticipated start due to plant upgrades.
Segun Lawson, the company’s chief executive, expressed confidence in meeting this year’s production guidance, emphasizing a projected improvement in production levels throughout the remainder of the year. The target is set at an all-in sustaining cost (AISC) ranging from $1,100 to $1,200 per ounce.
Amidst a backdrop of spot gold prices exceeding US$2,300 per ounce and favorable market forecasts, Thor remains optimistic about its operational performance. 
During the first quarter of 2024, the Segilola mine produced 19,589 ounces of gold at an average grade of 2.85 grams per tonne (g/t). Notably, three additional carbon-in-leach (CIL) tanks were commissioned and upgraded in March to enhance processing capabilities.
Thor continues its drilling activities across all projects, including exploration efforts at the Douta and Douta West licenses in Senegal. An updated Mineral Resource Estimate and Pre-Feasibility Study (PFS) for the Douta project are anticipated in the second half of 2024.
Lawson acknowledged challenges faced in the initial months of 2024, attributing lower-than-expected production to processing plant upgrades. However, March witnessed a significant uptick in production, with over 8,200 ounces of gold produced, marking the commencement of gold drawdown from the circuit.
Thor remains committed to operational efficiency and debt management, exemplified by a substantial payment of US$8.2 million towards its outstanding senior debt facility. The company intends to fully repay the remaining balance of US$15 million by the end of the year.
Furthermore, Thor is initiating a drilling program at the Douta project in the current quarter, with a focus on prioritizing oxide resources, signaling its strategic commitment to maximizing asset value and exploration potential.
