Mining Reserve Update

Thor Mining PLC
30 October 2007

THOR MINING PLC



                         MOLYHIL MINING RESERVE UPDATE


Dated: 30th October 2007



Thor Mining PLC ('the Company' or 'Thor'), AIM, ASX: 'THR' the specialist metals
company focused on advancing tungsten-molybdenum and uranium projects in the
Northern Territory of Australia, today announces an updated JORC compliant
reserve estimate for its 100%-owned Molyhil Tungsten-Molybdenum Project in the
Northern Territory of Australia ('Molyhil') and results of the recently
commissioned review of the capital cost estimate for Molyhil.


HIGHLIGHTS


•   98% increase in overall JORC compliant reserve to 2.15 million tonnes.

•   Proposed processing rate increased to 400,000 tonnes per annum.

•   Life of mine to extend to over 5 years.

•   Capital expenditure review completed indicating a 400,000tpa operation
    can be developed for approximately AUS$63.3 million, including additional 
    owner costs, this has resulted in substantially lower estimated annual 
    operating costs.



Reserve Update


A revised resource of 3.73 million tonnes at 0.51% combined tungsten (WO3) and
molybdenum (MoS2) was announced in August of this year. The new reserve is based
on only the measured and indicated categories of that revised resource which
totalled 2.93 million tonnes at combined grade of 0.59%


The ore reserve estimate has been established through a series of mine
optimisations and mine designs. A two-staged pit design has been recommended;
initial pit optimisation studies provided 1,384,589t of ore grading 0.21% MoS2
and 0.61% WO3 in stage 1. Incorporating stage 1 the final pit would total
2,214,658mt of ore grading 0.21% MoS2 and 0.47% WO3. Stripping ratio for the
final stage is 7.5:1.


The two pits that have been designed from optimised shells are based on
assumptions that include a processing rate of 400,000 tonnes per annum and
current molybdenum and tungsten prices discounted by 12% and 20% respectively.


Mining is planned to be undertaken by conventional truck and shovel operations.
Open pit designs have been completed in two stages, the initial pit of 3.7 years
and subsequently the pit continues for a further 1.9 years.


Of the measured and indicated categories approximately 73% converted to reserve,
which now totals:


                 Tonnes               Grade WO3                Grade MoS2
Proven           530,000                 1.00%                     0.25%
Probable       1,610,000                 0.30%                     0.20%
Total          2,140,000                 0.47%                     0.21%



The reserve does not include any portion of the inferred resource which totals
770,000 tonnes.

The mining reserve contains a total of 4.8 million pounds of molybdenum metal
and 700,000 mtu's of tungsten which will be produced over the expected life of
the open pit with life of mine designed to be 5.6 years.


Engineering Review

Due to the time lapsed sine the DFS, Thor requested GR Engineering ('GRE') to
conduct a review of the capital expenditure requirements for the Molyhil
Project.

GRE's estimated capital cost for the Molyhil process plant at 400,000 tpa,
excluding owner operator plant and equipment, but including an allowance for
contingency, EPCM and Owner's costs is circa AUS$49.6 million. The additional
operational plant and equipment is estimated to increase the capital expenditure
to approximately AUS$63.3 million. This additional capital spend includes;


•   The outright purchase of the mining equipment;
•   The outright purchase of the power generation plant;
•   The purchase of the village and infrastructure buildings;
•   The purchase of process plant and equipment; and
•   Escalation of costs from DFS to early 2008 award rates.


The increased capital costs have a significant positive impact on the ongoing
operational costs, which are currently estimated at AUS$78 per tonne compared to
the DFS rate of AUS$94 per tonne.

Open pit designs have been completed in two stages, the initial pit of 3.7 years
maximises the short term cash flow and, the subsequent pit continues for a
further 1.9 years at current commodity prices.

Commenting on the updated resource estimate, Thor's Chief Executive Officer, Mr
John A. Young, said:

'The new reserve is a significant advancement and has enabled us to progress our
offtake negotiations and this next milestone in the development of Molyhil is
our focus over the next month. Utilising the new reserve we expect the updated
financial model to be released shortly'.


JORC Compliance

The information in this report that relates to exploration results, mineral
resources or ore reserves is based on information compiled by John Young, who is
a Member of The Australasian Institute of Mining and Metallurgy. John Young is a
director of Thor Mining PLC.  John Young has sufficient experience which is
relevant to the style of mineralisation and type of deposit under consideration
and to the activity which he is undertaking to qualify as a Competent Person as
defined in the 2004 Edition of the 'Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves'.  John Young consents
to the inclusion in the report of the matters based on his information in the
form and context in which it appears.




Enquiries:

John Young        + 61 (0) 419 954 020    Thor Mining PLC               Chief Executive Officer

John Simpson      020 7512 0191           ARM Corporate Finance Ltd     Nominated Adviser


Leesa Peters      020 7429 6600           Conduit PR Limited            Public Relations
       or
Jos Simson        020 7429 6603


Nicholas Read     + 61 (0) 8 9388 1474    Read Corporate                Public Relations
                                                                        -Australia




Updates on the Company's activities are regularly posted on Thor's website
www.thormining.com, which includes a facility to register to receive these
updates by email.




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