Quarterly Report

Thor Mining PLC
31 January 2008



                                 THOR MINING PLC

                        QUARTERLY REPORT - December 2007




31 January 2008

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 released its quarterly report for the
period to 31 December 2007.


MOLYHIL TUNGSTEN-MOLYBDENUM PROJECT ('Molyhil')

Development Highlights

• A revised 5.7 year financial model was completed during the quarter
  based on a number of assumptions including an upgraded processing rate of
  400,000 tpa;

• The pre capital expenditure ('CAPEX') project cash flow after tax and
  royalties totals AUS$116 million;

• Mining Management Plan for Molyhil has been submitted to Northern
  Territory mines department for approval;

• Negotiations have advanced for an off-take agreement with interested
  parties during the quarter. A number of meetings were held in China, Australia
  and London. Letters of intent and suggested terms and conditions have been
  received from a number or parties. No decision has been made at this stage 
  with further negotiations continuing; and

• Financing alternatives are now being considered.


Exploration Highlights

• Results from 58 rock chip samples confirm barite-fluorite potential of
  the Oorabra reef area north east of Molyhil.


URANIUM PROJECTS

  • Results received from Plenty Highway Project with no assays greater than
    150ppm U, although further drilling in this area is recommended.

  • Soil and rock sampling program completed at the Daicos prospect in the
    Harts ranges, results expected shortly.


MOLYHIL TUNGSTEN - MOLYBDENUM PROJECT

Molyhil development


Financial Model

The financial model has been updated, using revised input parameters, including
costs based on a processing throughput of 400,000 tonnes per annum, whereas
previous costs were based on 300,000 tonnes per annum. A number of assumptions
were used based on current industry available information, including current
prices of US $32 per lb of Molybdenum and US $240 per mtu of Tungsten, with
conservative industry discounts to the quoted prices of 15% and 28% for
concentrate sales respectively. The model uses an AUS$ to US$ exchange rate of
0.85.

The CAPEX now totals AUD$71 million, including working capital and equipment for
owner operator fleet, power and camp. This outright purchase of equipment has
the effect of reducing operating costs now estimated to be AUS$76 per tonne of
ore treated.

The new reserve indicates that a total of 4.9 million pounds of molybdenum metal
and 700,000 mtu's of tungsten can be recovered over the expected life of the
open pit with life of mine designed to be 5.7 years.

The operating cash flow of the project is estimated to be AUD$116 million, after
tax and royalties and before CAPEX. Therefore a net cash flow of AUD$45 million
is currently predicted. The model is sensitive to a number of input assumptions
which will no doubt change over time and therefore Thor and its Directors cannot
warrant the estimates as presented..


Basic Assumptions:

 • A constant Molybdenum price of US$32 per pound less 15% discount;

 • A constant Tungsten (APT) price of US$240 per mtu less 28% discount;

•  Taxation, Northern Territory Government royalties and Central Land Council
   royalties have been estimated;

•  An average AUD to USD exchange rate of AUD$1.00:USD$0.85

•  Salvage value of the plant and equipment is assumed to be sufficient to meet
   final closure obligations; and

•  100% equity finance.


Thor's consultants are continuing to work on the potential underground
extensions to the mine at the end of the expected 5.7 year open pit mine life.

Thor's engineering staff has continued to progress a number of matters during
the quarter. Emphasis continues to be placed on the identification and possible
acquisition of second hand plant which would further reduce the CAPEX of the
project.


Off-take Negotiations

During the last two quarters, Thor has focused on securing an off-take agreement
for Molyhil. Thor is trying to achieve not only an off-take but also assistance
in funding of the project either by an investment in Thor or possible JV of
Molyhil.

Presently negotiations have advanced significantly with two parties. Formal
terms and conditions are being negotiated so that a decision can be made prior
to financing being finalised.


Financing

Financing alternatives are now being considered with several parties.

Environmental and Notice of Intent ('NOI')

Keith Lindbeck and Associates ('KLA') have completed the Mining Management Plan
('MMP') and this has been submitted to the Northern Territory mines department.
This document and the granting of the mining leases are the final approvals
required.


Molyhil exploration

  Oorabra Reefs

A total of 58 rock chip samples (A105771-A105828) were collected during the
quarter from barite/fluorite veining east of Molyhil near Gap Bore.  Assay
results have confirmed significant barite mineralization with assays up to 9.37%
Ba returned, many others range between 3.5 to 4.5% Ba. Visually massive fluorite
was noted in most samples. Historically values range from 5.7% CaF2 to 85% CaF2
(Central Pacific Minerals). Further check assaying for other elements will need
to be carried out including F as CaF2 (fluorite or fluorspar).

A number of semi continuous quartz barite - fluorite reefs occur in the Jinka
granite. In 1972 Central Pacific Minerals identified an inferred resource of
250,000 short tonnes at 37% CaF2, this resource is excised from the Molyhil
tenement EL23825.

The area in general needs to be reassessed in light of the likely Molyhil mine
development nearby and infrastructure being readily available approximately 10km
to the west.

The area in general seems to be under explored and has potential for REE's,
barite, fluorite, gold, silver and base metals. Given the recent price increases
of Barite and Fluorite and the proximity to infrastructure at Molyhil the area
is worthy of further investigation.

Potential for tin/tantalum mineralization in pegmatites has also been
identified. One specimen contained 360ppm Li, as well as anomalous Niobium (Nb).


URANIUM EXPLORATION

  Bundey River Project

An airborne EM survey will be flown by Geoforce using the latest generation of
SkyTEM equipment. A line spacing of 500m is adequate on the eastern side of the
tenement for a first pass reconnaissance survey given the large area of the
tenement that requires coverage.

Montana GIS have been contracted to model the data as soon as it becomes
available.


Plenty Highway Project

A program of reconnaissance air core drilling was completed at the Plenty
Highway Uranium Project in the Northern Territory last quarter. A total of 16
aircore holes (07PHAC001-016) were drilled for 1,582 m. Drilling to date has
completed wide spaced reconnaissance aircore holes on two north-south lines and
one east-west traverse along a fence line track.

A number of the holes did not reach bedrock due to the intersection of deep clay
horizons which exceeded the capabilities of the drill rig.

The HoistEM data appears to have correctly defined the extent and approximate
depth of the palaeo-channels in the area. Drilling has identified a thin sandy
layer covering up to 10m of calcrete while below this thick horizons of
calcareous clay have been identified with thin units of gypsum and calcrete
being common. Anomalous scintillometer readings have been restricted to units of
quartz sand below the clays.

The most prospective area appears to be between holes 07PHAC010 and 012,
although results from this area rarely exceeded 5ppm U, a 8 m thick sandy
horizon was identified as a prospective zone. Further analysis of the EM survey
is required to develop new drilling targets in this area.


Harts Range Project

The Harts Range project area lies on the eastern margin of the Entia Dome. The
Entia Gneiss forms the core of the Entia Dome, which is located on the western
part of the Exploration License area.

In October, a mapping and soil sampling program was carried out over the Diacos
prospect on tenements EL24736 and EL24734, two of the tenements within the Harts
Range Uranium Project which is located approximately 200km east-northeast of
Alice Springs in the Arunta Province of the Northern Territory. The project
includes five other tenements, EL24827, EL24735, EL24765 and A24766.

The main objective of the sampling program was to follow up on previous
anomalous rock chips taken earlier this year at Daicos and Haddock prospects in
order to identify drilling targets in difficult terrain.  A total of 99 rock
chip samples were collected.

The Indiana prospect is thought to have potential for large tonnage low grade
uranium mineralization. Further field investigations of the area have indicated
more pegmatite veining than previously thought and significant broad highly
anomalous scintillometer readings from both pegmatite and highly altered country
rock associated with the roof margins of the eastern side of the Huckitta
(Entia) Dome intrusive.


Daicos Prospect

Last quarter reconnaissance rock chip samples taken on pegmatite veins mapped at
the Daicos prospect area returned a best assay of 19.37% U from highly
radioactive samples with visible uraninite and columbite. The rock samples were
taken along a number of contact zones associated with an exposed pegmatite vein
system covering an area of 300m by 400m.

A total of 374 -80 mesh soil samples were collected over a 100m x 50m panel
covering the Daicos prospect area during October.  A further 24 additional rock
chip samples were collected from veining in the area. No results have been
received as yet.

Suitable access has now been found via a scrub bashed track within 200m of the
main Indiana prospect area saving considerable time and effort.

15 vegetation samples (A105756-A105770) over the Daicos area were collected
during December as part of a joint exercise with Genalysis to further develop
analytical techniques for determining REE element concentrations in plant
species over known mineralisation.  Results of this sampling are still
outstanding.


Other projects

During the quarter exploration was held up at Hatches Creek, as the Central Land
Council was unable to organise a final clearance meeting with traditional
owners.

No work was completed this quarter at the Hatches Creek, Curtis Pound and Hale
River Projects.


CORPORATE

All resolutions placed before shareholders at Thor's Annual General Meeting were
passed.


The quarter closed with $4.2m in cash.

During the quarter Thor's NOMAD changed its name from ARM Corporate Finance to
Blomfield Corporate Finance limited as announced on 1 November 2007.


Tenements

No changes during the quarter


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        Blomfield Corporate  Nominated Adviser
                                         Finance Ltd

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.


                      This information is provided by RNS
            The company news service from the London Stock Exchange