Thor Explorations Posts Record H1 Profit Despite Lower Gold Production

Thor Explorations Ltd has reported record half-year revenue, EBITDA and net profit, despite producing less gold than it did during the same period last year.

The difference was the gold price. Thor sold its Q2 production at an average of US$4,554 per ounce, helping the Segilola mine generate substantial profits and supporting an adjusted net cash position of US$218.6 million.

However, there are details investors should not overlook. Production declined year on year, Q2 all-in sustaining costs came in above the full-year guidance range, and Thor revised down the cash and adjusted net cash figures previously included in its operational update.

Here is what matters from the original company announcement.

Thor Explorations' key figures

Metric	Q2 2026	Q2 2025	H1 2026	H1 2025
Gold poured	19,153 oz	22,784 oz	39,409 oz	45,574 oz
Revenue	US$77.6 million	US$82.7 million	US$152.0 million	US$146.9 million
EBITDA	US$55.4 million	US$60.3 million	US$108.4 million	US$103.9 million
Net profit	US$48.7 million	US$51.6 million	US$95.5 million	US$86.1 million

Q2 revenue fell by approximately 6.2% year on year, while EBITDA declined by roughly 8.1% and net profit dropped by around 5.6%.

The half-year comparison was considerably stronger. H1 revenue increased by around 3.5%, EBITDA rose by approximately 4.3%, and net profit advanced by about 10.8%.

That is an impressive profit result given that H1 gold production fell by approximately 13.5%. It shows how strongly the realised gold price and lower production costs influenced the period.

Gold prices offset lower production

Thor sold 17,050 ounces during Q2 at an average price of US$4,554 per ounce. Its cash operating cost was US$760 per ounce sold, leaving a wide gap between the selling price and the direct cost of production.

All-in sustaining cost, or AISC, was US$1,262 per ounce sold. AISC is a broader measure that includes the ongoing expenditure required to maintain production, making it useful when judging a mine's underlying economics.

The Q2 figure was above Thor's unchanged full-year AISC guidance of US$1,000 to US$1,200 per ounce. Investors will therefore want to see whether costs fall during the second half.

Operationally, the processing plant appeared reliable. Thor processed 240,769 tonnes of ore with no significant downtime, achieved a recovery rate of 93.3%, and reduced gold held within the processing circuit by 583 ounces.

The average mill feed grade was 2.57 grammes of gold per tonne. Mine grade is important because higher-grade ore generally contains more gold for each tonne processed.

A large stockpile provides flexibility

Thor's stockpile increased by 8.09% to 58,431 contained ounces of gold at an average grade of 0.74 grammes per tonne.

Management says this represents approximately two years of processing plant supply. That should provide operational flexibility and reduce the risk that short-term mining disruption leaves the plant without enough material.

The trade-off is that the stockpiled material is lower grade than the ore processed during Q2. The eventual production and cost outcome will depend partly on the mix of ore fed into the plant.

Thor maintained its 2026 production guidance of 75,000 to 85,000 ounces. H1 output of 39,409 ounces represents roughly 52.5% of the bottom of that range and 46.4% of the top, leaving the guidance achievable based on the disclosed figures.

Cash reserves are strong, but the revision matters

Cash and cash equivalents stood at US$193.1 million at 30 June 2026, up from US$137.8 million at the end of 2025.

Adjusted net cash was US$218.6 million, including 6,367 ounces of gold bullion inventory valued at US$25.5 million. This gives Thor considerable capacity to fund exploration and development work from its own balance sheet.

The company also declared US$19.5 million of dividends during H1, of which US$19.0 million was paid. A further quarterly dividend of C$0.0125 per share was authorised in July for payment on 14 August 2026.

Still, shareholders should note that Thor had previously reported US$225.6 million for its cash balance, adjusted net cash position and bullion inventory. This has now been revised to US$193.1 million of cash and US$218.6 million of adjusted net cash.

Thor attributed the change to reconciliation work during its transition to a new financial consolidation system and said it did not affect reported operating performance. Even so, revisions to headline balance-sheet figures deserve attention because investors rely on accurate cash reporting.

The interim financial statements are unaudited and were not reviewed by the company's independent auditor.

Can Segilola's mine life be extended?

One of the biggest strategic questions is what happens beyond the current Segilola open-pit mine plan.

Thor completed 10,614 metres of diamond drilling across 37 holes during Q2. The programme is testing steeply plunging mineralised zones beneath the existing pit design, with drilling expected to continue until the end of 2026.

The company reported narrow mineralised zones below the final pit limits and has appointed a consultancy to conduct a high-level review of the potential for underground mining.

Thor is targeting an updated mineral resource estimate by year end. More drilling is required before the announcement provides a firm answer on whether an underground operation would be technically or economically viable.

Senegal and Côte d'Ivoire offer additional catalysts

In Senegal, Thor continued drilling at Douta, Douta-West and Boussankhoba. Work at Boussankhoba indicated continuity between the Sekhoto North and Massa Massa prospects, which the company believes form part of one mineralised system.

The next steps include an updated Douta resource estimate and optimised preliminary feasibility study. Thor is also in advanced discussions with Senegal's government over the Mining Convention, with completion expected during Q3 2026 alongside its objective of reaching a final investment decision.

In Côte d'Ivoire, drilling at Marahui intersected multiple narrow zones of gold mineralisation across approximately one kilometre of strike. Results from Guitry and Marahui are due during Q3 2026, while the company is aiming ultimately to establish a maiden resource from the country portfolio.

These projects provide growth options, but exploration results do not guarantee that commercially viable mines will be developed.

What investors should watch next

Thor's H1 numbers demonstrate the financial leverage available when a high realised gold price combines with controlled operating costs. Record half-year profit and a large adjusted net cash balance give the company room to invest, pay dividends and pursue development opportunities.

The main near-term points to monitor are whether Segilola meets its 75,000 to 85,000-ounce production guidance, whether AISC returns within the US$1,000 to US$1,200 range, and whether underground drilling supports a credible extension to the mine's life.

Progress on the Douta Mining Convention, an updated Senegal resource estimate and drilling results from Côte d'Ivoire could also shape the next phase of the investment case. The balance sheet is strong, but future value increasingly depends on turning exploration expenditure into longer-life, economically viable production.