TSX-V- and Aim-listed Thor Explorations, which owns and operates the Segolila mine, in Nigeria, has increased its gold production to 85 057 oz in the year ended December 31, compared with the 84 609 oz produced in the prior year.

The company’s output in the fourth quarter alone totalled 24 662 oz, with sales having amounted to 24 936 oz at an average realised price of $2 497/oz.

The miner generated revenue of about $62-million in the fourth quarter, which allowed it to fully repay a senior debt facility it had with the Africa Finance Corporation. The company now has no senior debt and has a net cash position.

The group’s ore stockpile has increased by 3 909 oz to 44 300 oz at an average grade of 0.94 g/t, including a higher-grade stockpile of 8 865 t grading 4.21 g/t – for 1 201 oz.

CEO and president Segun Lawson confirms the company’s mining and processing operations ran smoothly in the last quarter of the year following implementation of new blasting strategies and improved mine planning processes earlier in the year.

The company has set its production guidance for this year at between 85 000 oz and 95 000 oz of gold.

Lawson says the company is well positioned for strong operational and financial performances in the new year.

Meanwhile, the company anticipates publishing an updated mineral resource estimate and prefeasibility study (PFS) for the Douta project, in Senegal, during the first quarter of the year.

It is also progressing an underground drilling programme around the Segilola mine, scout drilling programmes on more identified targets in Nigeria and initial drilling on targets on the Guitry and Boundiali licences, in Côte d’Ivoire.

Lawson admits that the Douta PFS has taken longer than envisaged to finalise; however, he believes the additional time is justified by the benefit of enhanced levels of detail and accuracy of the work – which should allow quicker progression to a development decision in due course.

He also advises that the company continues to engage with the relevant Federal Ministries in Nigeria, including the Ministry of Solid Minerals Development, about previous allegations made against Thor Explorations by officials of the Osun state.

“We understand that the review conducted by the Federal Ministry of Mines has been completed and we await the public announcement of their findings. We anticipate that there will be no substantiation of any of the allegations made.

“We have, in the interim, taken the opportunity to review our corporate social responsibility programme with a view to extending the reach of our very successful local community development programmes, aiming to deliver wider positive development benefits,“ Lawson concludes.