Thor Explorations - West African Gold Producer Positioned for More Growth

• Thor Explorations is a West African gold producer with gold projects in Nigeria and Senegal, producing 98,000 ounces last year.
• In Nigeria, their flagship project produced 43,000 ounces in the first half of the year. The company aims to extend the mine life and is investing in exploration around the existing infrastructure.
• In Senegal, they have recently updated their resources to 1.78 million ounces of gold and have undertaken a 15,000-meter drill program to hopefully break the 2 million ounce mark.
• Thor has a portfolio of early-stage lithium grounds in Nigeria and has seen encouraging initial drill results. They have created a separate vehicle for the lithium project, aiming to explore its potential without diluting core shareholders.
• Differences between operations in Nigeria and Senegal highlight Senegal's recent history in gold mining, while Nigeria presents unique challenges due to its long neglect of the mining sector.

About Thor Explorations

Thor Explorations (TSXV, AIM: THX) is a Canadian mineral exploration and development company focused on acquiring, exploring, and advancing gold projects in Nigeria, Senegal, and Burkina Faso.

The company's flagship asset is the Segilola Gold Project located in Osun State, Nigeria, in which Thor holds a 100% interest. Mining and gold production commenced at Segilola in 2021, establishing Thor as a gold producer.

Thor also holds a 70% interest in the Douta Gold Project in south-eastern Senegal. This project represents a key exploration asset with significant potential to add to the company's resource base.

With its successful start-up of the Segilola mine and strong portfolio of early-stage gold projects, Thor Explorations is well positioned to drive organic growth through discovery and development in West Africa's most prospective gold mining jurisdictions.

Interview with President & CEO, Segun Lawson

Operating Asset Driving Near-Term Cash Flow

Thor's flagship asset is the Segilola open pit gold mine, located in Osun State, Nigeria. Having commenced production in 2021, Segilola is Thor's first operating mine, producing 43,000 ounces of gold in the first half of 2023. Full year 2023 production guidance is 85,000 ounces, revised down from 100,000 ounces due to higher-than-expected strip ratios in H1 2022.

With mining now transitioning to higher grade, lower strip ratio zones, Thor Explorations is positioning Segilola to deliver improving production and cash flow through the remainder of its initial 12-year mine life. Exploration efforts are also underway to potentially expand resources and extend mine life beyond 12 years.

Advancing Large-Scale Development Project

Thor Explorations' most significant growth asset is the Douta Gold Project, located in southeastern Senegal. With total gold resources of 1.78 million ounces, Douta offers scale potential in a mining-friendly jurisdiction with an established track record.

Thor Exploration has been focused on a 15,000 meter infill and step-out drilling program at Douta, aimed at converting inferred resources to indicated status and expanding resources. Results to date have been positive, with highlights including 23g/t gold over 8 meters and 4.5g/t over 24 meters.

Thor is working towards completing a feasibility study for Douta in 2023. Development capital expenditure is estimated at $125-150 million, which would see Douta become Thor's second operating mine and increase total company production to over 200,000 ounces per year.

Exploring District-Scale Lithium Potential

Leveraging its first-mover advantage and relationships in Nigeria, Thor Explorations has acquired an extensive portfolio of prospective lithium pegmatite targets. Through a separate corporate entity, Thor is conducting an initial exploration focused on confirming lithium grades and continuity.

Results have been highly encouraging, with rock chips grading 5-9% Li2O and drill intercepts including 11 meters at 2.6% Li2O and 9 meters at 2.4% Li2O. With over a dozen pegmatite targets identified and strong early results, Thor's lithium portfolio offers substantial blue-sky potential.

Thor plans to drill an initial 5,000 meters to determine the next steps, which could include joint ventures, project-level spin-outs, or further exploration and resource delineation. Upside from the lithium portfolio provides Thor shareholders with significant optionality on top of the core gold business.

Experienced Management Team

Thor Explorations is led by President and CEO Segun Lawson, who has over 15 years of experience in the mining and metals sector. The board includes leading mining executives and financiers, and the wider management team comprises experienced mine builders and operators with track records of success across Africa.

With in-country expertise and strong government relations, Thor's team is well-positioned to navigate operating challenges and leverage expanding opportunities in Nigeria and Senegal.

Funded for Growth

Near-term priorities are to ramp up exploration at Segilola, advance development activities at Douta, and conduct initial lithium exploration. The company expects to remain funded for these activities based on operating cash flows from Segilola and existing balance sheet capacity.

Thor may look to complete additional financings or joint ventures in future to accelerate growth initiatives across its portfolio. With gold production underway and major catalysts on the horizon, Thor offers an attractive leveraged play on the upside potential of its West African projects.

The Investment Thesis

Established gold producer with cash flow ‍

Thor already has an operating mine generating cash flow. This de-risks the investment relative to an early exploration play. Cash flows can support growth initiatives and provide downside protection.‍

Significant production growth potential

With the Douta project in Senegal expected to add over 100koz per year, Thor could more than double total production over the next few years as this asset is advanced. This production growth translates to stronger financial performance.‍

Exploration upside in core gold assets ‍

There is strong potential to expand resources and mine life at both the producing Segilola mine and the Douta development project through ongoing exploration. Additional discoveries and extensions could substantially increase the value of these assets.

Free option on lithium portfolio ‍

The early-stage lithium exploration provides shareholders with high-growth optionality for free. Strong initial drill results validate the lithium potential, providing an upside that is not yet reflected in Thor's valuation.

Strong backing from mining leaders ‍

The board, management, and investor base includes major mining companies and leaders, signalling confidence in Thor's assets and team. This expertise and connections can support value creation.

Attractive entry valuation

Thor is trading at a modest valuation relative to peers, especially considering its production profile and growth pipeline. Upside potential appears undervalued at current levels.

Thor Explorations offers an attractive mix of de-risked cash-flowing gold production, high-growth development assets, exploration upside, and lithium optionality - all at an undemanding valuation. For investors seeking leveraged gold exposure and resource growth, Thor ticks many boxes.