Investment accounts
Adult accounts
Child accounts
Choosing Fidelity
Choosing Fidelity
Why invest with us Current offers Fees and charges Open an account Transfer investments
Financial advice & support
Fidelity’s Services
Fidelity’s Services
Financial advice Retirement Wealth Management Investor Centre (London) Bereavement
Guidance and tools
Guidance and tools
Choosing investments Choosing accounts ISA calculator Retirement calculators
Share dealing
Choose your shares
Tools and information
Tools and information
Share prices and markets Chart and compare shares Stock market news Shareholder perks
Pensions & retirement
Pensions, tax & tools
Saving for retirement
Approaching / In retirement
Approaching / In retirement
Speak to a specialist Creating a retirement plan Taking tax-free cash Pension drawdown Annuities Investing in retirement Investment Pathways
Thor posts strong first half, lowers full-year production guidance
(Sharecast News) - Gold explorers and miner Thor Explorations reported a solid first-half performance on Friday, although it lowered its full-year production guidance. The AIM-traded firm said its revenue reached $53.8m in the second quarter, up from $41.3m a year earlier.
For the first half, revenue totalled $87.1m - a 7% increase from $81.7m in the same period last year.
The company sold 23,588 ounces of gold in the second quarter at an average price of $2,309 per ounce, maintaining a low cash operating cost of $585 per ounce and an all-in sustaining cost (AISC) of $802 per ounce.
Thor's profitability also saw a substantial rise, with second-quarter net profit at $27.5m, nearly doubling from $14.4m year-on-year.
First half net profit stood at $39.9m, compared to $17.4m a year earlier.
The company said it made progress in reducing its debt, paying down $7.9m on its senior debt facility, leaving a balance of $6.5m, expected to be fully repaid by year-end.
At the Segilola Gold Mine, Thor produced 21,742 ounces of gold in the second quarter, contributing to a total of 40,285 ounces for the first half.
The mine achieved a high mill feed grade of 3.42 grams per tonne and a recovery rate of 94.6%.
Its stockpile increased significantly, providing flexibility for future production.
Thor also completed a plant upgrade at Segilola, which improved operational efficiency, and initiated a 12,000-metre drilling program targeting potential underground gold resources.
The company said it planned to release initial drill results in September.
Thor also continued its exploration efforts across its properties.
In Nigeria, regional exploration, including stream sediment and soil sampling, yielded promising results.
Senegal meanwhile saw the acquisition of the Douta-West Licence, which would be integrated with its existing Douta Project.
Drilling at Douta and Douta-West progressed, with metallurgical testing underway.
Thor said it planned to update the Douta Project resource and complete a preliminary feasibility study by the fourth quarter.
The company revised its 2024 production guidance to 90,000 ounces of gold, with a lower AISC guidance of $900 to $1,000 per ounce.
It said it would continue its exploration programmes, and advance the Douta Project towards an updated resource estimate and preliminary feasibility study, while also pursuing new concessions and joint venture opportunities.
"We are pleased with the company's operational performance for the second quarter and first half of 2024, where our financial performance has continued to improve year-on-year and we once again made a material paydown of our senior debt facility," said president and chief executive officer Segun Lawson.
"With gold prices continuing to rise over the quarter, second quarter revenue has increased by 30% compared to 2023, generating a record net profit of $27.5m for the period - an impressive increase of 91% compared to the second quarter of 2023.
"The company has reduced its senior debt to $6.5m, which is scheduled to be fully repaid this financial year."
Lawson said the firm also made progress on its payables, making a $6.4m reduction in the period.
"Looking ahead to the rest of the year, we have reduced our production guidance to 90,000 ounces for 2024.
"This reduction comes following a fly rock incident in July and a corresponding prioritisation of the health and safety of our local community and employees as we mine in the southern areas of the pit."
At 1148 BST, shares in Thor Explorations were up 23% at 18.45p.
Reporting by Josh White for Sharecast.com.
Share this article
Related Sharecast Articles
Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.
Award-winning online share dealing
Search, compare and select from thousands of shares.
Expert insights into investing your money
Our team of experts explore the world of share dealing.
Policies and important information
Accessibility | Conflicts of interest statement | Consumer Duty Target Market | Consumer Duty Value Assessment Statement | Cookie policy | Diversity, Equity & Inclusion | Doing Business with Fidelity | Diversity, Equity & Inclusion Reports | Investing in Fidelity funds | Legal information | Modern slavery | Mutual respect policy | Privacy statement | Remuneration policy | Staying secure | Statutory and Regulatory disclosures | Whistleblowing policy
Please remember that past performance is not necessarily a guide to future performance, the performance of investments is not guaranteed, and the value of your investments can go down as well as up, so you may get back less than you invest. When investments have particular tax features, these will depend on your personal circumstances and tax rules may change in the future. This website does not contain any personal recommendations for a particular course of action, service or product. You should regularly review your investment objectives and choices and, if you are unsure whether an investment is suitable for you, you should contact an authorised financial adviser. Before opening an account, please read the ‘Doing Business with Fidelity’ document which incorporates our client terms. Prior to investing into a fund, please read the relevant key information document which contains important information about the fund.
This website is issued by Financial Administration Services Limited, which is authorised and regulated by the Financial Conduct Authority (FCA) (FCA Register number 122169) and registered in England and Wales under company number 1629709 whose registered address is Beech Gate, Millfield Lane, Lower Kingswood, Tadworth, Surrey, KT20 6RP.