Aim- and TSX-listed Thor Explorations reported a solid third quarter despite the challenging operating conditions experienced at the Segilola gold mine, in Nigeria, as a result of exceptionally heavy rainfall during the period, CEO and president Segun Lawson says in an interim update for the quarter.

“Our team has demonstrated considerable resilience in navigating these challenges, delivering gold production of 15 515 oz and gold sales of 19 000 oz, generating revenues of approximately $81.7-million.”

The full-year production guidance range has been revised to 70 000 oz to 72 000 oz from the 75 000 oz to 85 000 oz previously guided, owing to severe rainfalls experienced at Segilola in late August and the consequential effect on mining operations.

Thor released “encouraging” high-grade drilling results from underneath the Segilola Pit from its ongoing deeper exploration drilling programme during the quarter.

“Exploration continues to be an important driver of our growth strategy, and I am particularly encouraged by the progress achieved across our portfolio during the quarter. In Senegal, our drilling programmes at Douta and the surrounding licences have continued to deliver encouraging results, including extensions to known mineralisation and the identification of additional oxide opportunities, reinforcing our confidence in the project's longer-term potential,” Lawson highlights.

In Côte d’Ivoire, Thor made good progress at Guitry and Marahui.

“In particular, we were pleased to release an encouraging set of maiden drilling results which show high-grade mineralisation at a significant strike length, opening up an exciting and material exploration opportunity for the company,” Lawson avers.

Thor also continued to make significant progress towards the development of the Douta project, which represents the next major phase of the company’s growth and its ambition to become a multi-asset, multi-jurisdictional gold producer.

“We are working closely and constructively with the government of Senegal towards finalising the Douta Mining Convention, which represents the final outstanding milestone ahead of our final investment decision. We remain confident in the strategic and economic merits of Douta and look forward to concluding this important process, allowing us to move forward with the development of Thor’s next gold mine,” Lawson explains.

Thor ended the quarter with a cash balance of $224.6-million and gold bullion inventory of 2 825 oz for an adjusted net cash position of $236.4-million, and maintains its current quarterly dividend of C$0.0125 a share.