Thor’s Sale of FRAM JV Signals Shift Away from Tungsten to Hydrogen Focus

Strategic Asset Sale to Strengthen Balance Sheet

Thor Energy plc has taken a decisive step to sharpen its corporate focus by signing a term sheet to sell its 75% interest in the FRAM Joint Venture (JV) to fellow ASX-listed company Tivan Limited for a total consideration of A$8.75 million. The FRAM JV, which holds tungsten, molybdenum, and copper tenements in the Northern Territory, is considered a non-core asset for Thor, whose strategic priority lies in advancing its natural hydrogen and helium projects.

The sale proceeds will flow primarily through Thor’s subsidiary Molyhil Mining Limited, which holds the majority stake in the JV. The payment structure includes a non-refundable deposit, a cash completion payment targeted for December 2025, and three annual deferred payments. Notably, Tivan has the option to satisfy 50% of deferred payments in shares, introducing a potential equity component to the transaction.

Accelerating Core Project Development

Chairman Alastair Clayton highlighted the strategic rationale behind the deal, noting that unlocking the full potential of the Molyhil Project requires sector-specific expertise and a robust balance sheet; attributes that Tivan brings to the table. For Thor shareholders, the monetisation translates into a significant cash inflow over the next year and beyond, which will be deployed to accelerate exploration activities at the HY-Range project in South Australia, a flagship initiative focused on natural hydrogen and helium.

This transaction complements recent divestments by Thor, including sales related to uranium assets, collectively enhancing the company’s financial flexibility. By reducing reliance on equity dilution, Thor aims to preserve shareholder value while advancing its clean energy resource ambitions.

Conditions and Next Steps

The completion of the sale remains subject to several conditions precedent, including regulatory approvals, ministerial consents, and notification to Indigenous land councils. The parties have set an indicative target to finalise the transaction by December 2025, though these milestones carry inherent timing risks.

Thor has expressed intent to collaborate closely with Tivan and the minority JV partner Investigator Resources Limited to ensure a smooth transition. Meanwhile, Tivan stands to benefit from synergies with its adjacent Sandover Project, potentially enhancing operational efficiencies in the Northern Territory.

Market Implications and Outlook

This deal marks a clear pivot for Thor Energy, signaling a streamlined portfolio focused on emerging energy metals and clean energy resources. Investors will be watching closely to see how the strengthened balance sheet translates into accelerated exploration results at HY-Range, which could position Thor as a notable player in the natural hydrogen and helium sectors.

As the market digests this transaction, the interplay between asset monetisation and strategic reinvestment will be critical to Thor’s medium-term valuation and growth trajectory.