Toronto – April 19, 2021 – Almonty Industries Inc. (“Almonty”) (TSX: AII / OTCQX: ALMTF / Frankfurt: ALI.F) is pleased to announce it has closed 2 previously anticipated private placements and secured binding commitments from existing shareholders and insiders on a convertible debenture. The private placement was agreed prior to the recent appreciation of the share price with existing European shareholders and the company felt that it was appropriate to honor the price agreed from that time.
The pricing was for 2,000,000 shares at $0.85 and 308,333 shares at $0.90 for a grand total of CAD$1,579,358. The Company has also procured an additional CAD$8,010,642m of executed binding commitments from existing shareholders and insiders, linked to an unsecured 5% p.a convertible debenture with a $1.05 strike price. The binding funding trigger for this convert is 5 business days prior to the financial close of the KfW-IPEX CAD$75.1m loan which is now due to occur shortly.
The prospectus for the ASX Listing is nearing completion and will be submitted to the Australian Securities and Investment Commission and ASX around the same time as the Company‘s audited financials are filed and released shortly.
Almonty’s Chairman, President and CEO Lewis Black commented:
“I cannot state enough the importance to all shareholders that the financing of our Sangdong project had to be done in a way that ensured the maximum value upside was preserved for the benefit of all our shareholders both large and small.
Every one of the shareholders have played an essential part in seeing this happen. The longevity of our Sangdong project meant this financing had to be constructed in a way to ensure that all shareholders will be able to benefit from the enormous value contained in this longevity. From major shareholders like the Plansee group who have committed nearly US$40m to this financing and Deutsche Rohstoff who as an insider has stood shoulder to shoulder with the Almonty team to fight to preserve this current and future value for all shareholders with their constant participation to our smaller retail shareholders whose patience and commitment have now seen the value of their investments continue to increase and will do so for many years to come as the value that we have preserved is continually released.
What all our shareholders have achieved through their commitment is to have put the Sangdong project on the best possible footing for success. I will update the market next week on the first major phase construction that will be scheduled to commence shortly. I congratulate and thank each and every shareholder.”
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The principal business of Toronto, Canada-based Almonty Industries Inc. is the mining, processing and shipping of tungsten concentrate from its Los Santos Mine in western Spain and its Panasqueira mine in Portugal as well as the development of its Sangdong tungsten mine in Gangwon Province, South Korea and the development of the Valtreixal tin/tungsten project in north western Spain.
The Los Santos Mine was acquired by Almonty in September 2011 and is located approximately 50 kilometres from Salamanca in western Spain and produces tungsten concentrate. The Panasqueira mine, which has been in production since 1896, is located approximately 260 kilometres northeast of Lisbon, Portugal, was acquired in January 2016 and produces tungsten concentrate.
The Sangdong mine, which was historically one of the largest tungsten mines in the world and one of the few long-life, high-grade tungsten deposits outside of China, was acquired in September 2015 through the acquisition of a 100% interest in Woulfe Mining Corp.
Almonty owns 100% of the Valtreixal tin-tungsten project in north-western Spain.
Further information about Almonty’s activities may be found at www.almonty.com and under Almonty’s profile at www.sedar.com.
On behalf of global leading tungsten producer and developer, Almonty Industries Inc’s (“Almonty” or the “Company”) (ASX:AII / TSX: AII / OTCQX: ALMTF / Frankfurt: ALI.F), we are very pleased to provide an update on activities at the Company’s tungsten mines around the world.
The road and river diversion project continues at the Sangdong Mine site in Korea. Monthly meetings are now being conducted with local residents in order to provide updates on what is happening at the site, and to take any questions/comments they may have.
Almonty Industries Inc. is pleased to announce the appointment of Mark E Goodman to its Board of Directors. Founder of Stone Gold, Inc. Mark E. Goodman is a business person who has been at the head of nine different companies and currently occupies the position of Executive Chairman for Stone Gold Inc. and Chief Executive Officer of Bellotti Goodman Inc.
The release, publication or distribution of this announcement in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this announcement is released, published or distributed should inform themselves about and observe such restrictions.
Neither TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.
Disclaimer for Forward-Looking Statements
When used in this press release, the words “estimate”, “project”, “belief”, “anticipate”, “intend”, “expect”, “plan”, “predict”, “may” or “should” and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. These statements and information are based on management’s beliefs, estimates and opinions on the date that statements are made and reflect Almonty’s current expectations.
Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Almonty to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: the receipt of all required approvals, unanticipated costs and expenses, general market and industry conditions and perational risks, including large project risk and contractual factors, any specific risks relating to fluctuations in the price of ammonium para tungstate (“APT”) from which the sale price of Almonty’s tungsten concentrate is derived, actual results of mining and exploration activities, environmental, economic and political risks of the jurisdictions in which Almonty’s operations are located and changes in project parameters as plans continue to be refined, forecasts and assessments relating to Almonty’s business, credit and liquidity risks, hedging risk, competition in the mining industry, risks related to the market price of Almonty’s shares, the ability of Almonty to retain key management employees or procure the services of skilled and experienced personnel, risks related to claims and legal proceedings against Almonty and any of its operating mines, risks relating to unknown defects and impairments, risks related to the adequacy of internal control over financial reporting, risks related to governmental regulations, including environmental regulations, risks related to international operations of Almonty, risks relating to exploration, development and operations at Almonty’s tungsten mines, the ability of Almonty to obtain and maintain necessary permits, the ability of Almonty to comply with applicable laws, regulations and permitting requirements, lack of suitable infrastructure and employees to support Almonty’s mining operations, uncertainty in the accuracy of mineral reserves and mineral resources estimates, production estimates from Almonty’s mining operations, inability to replace and expand mineral reserves, uncertainties related to title and indigenous rights with respect to mineral properties owned directly or indirectly by Almonty, challenges related to global financial conditions, risks related to future sales or issuance of equity securities, differences in the interpretation or application of tax laws and regulations or accounting policies and rules of the TSX.
Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to, the receipt of all required final approvals, no unanticipated delays in the project financing, no material unanticipated costs and expenses, no material adverse change in general market and industry conditions and no unanticipated material operational risks, including large project risk and contractual factors, no material adverse change in the market price of APT, the continuing ability to fund or obtain funding for outstanding commitments, expectations regarding the resolution of legal and tax matters, no negative change to applicable laws, the ability to secure local contractors, employees and assistance as and when required and on reasonable terms, and such other assumptions and factors as are set out herein. Although Almonty has attempted to identify important factors that could cause actual results, level of activity, performance or achievements to differ materially from those contained in forward-looking statements, there may be other factors that cause results, level of activity, performance or achievements not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate and even if events or results described in the forward-looking statements are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, Almonty. Accordingly, readers should not place undue reliance on forward-looking statements and are cautioned that actual outcomes may vary.
Investors are cautioned against attributing undue certainty to forward-looking statements. Almonty cautions that the foregoing list of material factors is not exhaustive. When relying on Almonty’s forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events.
Almonty has also assumed that material factors will not cause any forward-looking statements and information to differ materially from actual results or events. However, the list of these factors is not exhaustive and is subject to change and there can be no assurance that such assumptions will reflect the actual outcome of such items or factors.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS PRESS RELEASE REPRESENTS THE EXPECTATIONS OF ALMONTY AS OF THE DATE OF THIS PRESS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD-LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE ALMONTY MAY ELECT TO DO SO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.