Thor Energy’s Cash Boost from Molyhil Sale Raises Questions on Future Project Funding
Thor Energy has received an initial A$2.25 million payment from the sale of its Molyhil project interest, with further payments set to boost its cash reserves and fund expansion in hydrogen and copper assets.
- Initial A$2.25 million cash payment received from Molyhil sale
- Three deferred payments totaling A$3.94 million due by 2028
- Total sale proceeds to Thor expected to reach A$6.56 million
- Sale proceeds to strengthen funding for hydrogen and helium projects
- Termination of royalty deed and satisfaction of all sale conditions
Molyhil Sale Completion Marks a Milestone for Thor Energy
Thor Energy has announced receipt of the first cash completion payment of A$2.25 million from the sale of its 75% stake in the Molyhil FRAM Joint Venture to Tivan Limited. This payment follows the satisfaction of all conditions precedent, signalling a key step in the divestment process of the Northern Territory tungsten, molybdenum, and copper project.
The transaction, initially outlined in September 2025, includes three further annual deferred payments of A$1.3125 million each, scheduled between September 2026 and September 2028. These payments may be settled in cash, shares, or a combination thereof at Tivan’s discretion, bringing the total expected proceeds to A$6.56 million for Thor.
Strategic Impact on Thor’s Portfolio
Chairman Alastair Clayton highlighted the significance of the cash inflow, noting it provides a non-dilutive boost to Thor’s balance sheet. The strengthened cash position is set to accelerate development of Thor’s core HY-Range natural hydrogen and helium project in South Australia, a sector gaining momentum amid the global clean energy transition.
Additionally, the sale proceeds will support advancement of Thor’s Alford East copper-gold portfolio, which the company has chosen to retain. A forthcoming announcement is expected to detail Thor’s metals strategy, signalling a renewed focus on copper assets alongside its energy metals and critical minerals interests.
Transaction Details and Broader Context
The sale agreement also includes termination of an existing royalty deed, simplifying future operations for the new owner, Tivan Limited. Tivan, an ASX-listed critical minerals company, is expanding its footprint in the Northern Territory and Western Australia, complementing its Speewah fluorite and other projects.
Thor’s subsidiary, Molyhil Mining Proprietary Limited, holds the majority interest in the FRAM JV, with Investigator Resources Limited retaining 25%. The smooth completion of this transaction reflects well on all parties and underscores Thor’s strategic pivot towards hydrogen, helium, and copper exploration.
With the initial payment now received, market participants will be watching how Thor deploys these funds to advance its growth projects and how Tivan manages the deferred payment options, which could influence Thor’s future shareholding and cash flow.
Bottom Line?
Thor’s Molyhil sale cash injection sets the stage for accelerated growth in hydrogen and copper sectors.
Questions in the middle?
- Will Tivan opt to pay deferred amounts in cash or shares, and how will that affect Thor’s equity?
- What specific plans will Thor unveil in its upcoming metals strategy announcement?
- How will the strengthened cash position influence the timeline and scale of Thor’s hydrogen and helium projects?
