Tungsten recovery circuit

Thor Mining PLC
22 November 2006

                                THOR MINING PLC


           Tungsten recovery circuit secured for Molyhil development



Dated: 22 November 2006


Thor Mining PLC ('Thor') the specialist metals company currently focussed on
advancing tungsten-molybdenum and uranium projects in the Northern Territory of
Australia, today announced entering into an option agreement to purchase key
items of plant and equipment for the Molyhil Tungsten-Molybdenum Project 
('Molyhil').


Highlights


•  option agreement announced to purchase gravity plant and tables for
   the proposed Molyhil mine development;


•  final stage of the Molyhil definitive feasibility study underway, with
   financial modelling currently being completed.


As part of the current Definitive Feasibility Study ('DFS') on Molyhil, Thor has
finalised an option agreement with Interquip Pty Ltd, a supplier of mineral and
process equipment, for the purchase of a  spirals plant and tables, both
suitable for Molyhil.


The DFS is progressing well with the final results due to be announced later
this month. At this stage, the processing plant in the DFS has been based on the
purchase of new equipment. However, there are significant opportunities to
reduce the anticipated capital cost of the development through the use of
second-hand equipment.


The processing equipment subject to the option agreement is located in Western
Australia and is in good condition. The gravity circuit is a 35tph plant used to
recover a wet concentrate of tantalum which was commissioned in 2001 but has
been on care and maintenance since 2004. The spirals bank comprises 16 triple
start units.


There are five Wilfrey-type wet tables in the circuit, with all the mechanisms
and gearboxes in very good order, although some table tops will need
refurbishment. A further 11 reconditioned Wilfrey-type tables were also
available as part of the overall purchase price which are required to complete
the tungsten recovery circuit.


It is estimated that the replacement cost for this circuit is in the order of
AUD1 million. The purchase of this equipment will save around AUD750,000 on new
equipment costs.


Thor's Chief Executive Officer, Mr John A. Young, said: 'The ability to purchase
suitable second-hand equipment is an important step in the process of getting
Molyhil into production as soon as practically possible, while at the same time
reducing capital costs'.


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, the
Chief Executive Officer of Thor, 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 this RNS announcement 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         Nominated Adviser
                                       Finance Limited

Leesa Peters       020 7429 6600       Conduit PR Limited    Public Relations/UK
     or
Abigail Singleton  020 7429 6606

Nicolas Read       + 61(0)8 9388 1474  Jan Hope & Partners   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