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TORONTO – Almonty Industries Inc. (“Almonty” or the “Company“) (TSX:
AII / OTCQX: ALMTF / Frankfurt: 1MR) today announced the filing of its
unaudited interim condensed consolidated financial statements and
management’s discussion & analysis for the three months ended December
31, 2018. Unless otherwise indicated, all currency amounts contained in
this news release are expressed in Canadian dollars.
The following financial information is for the three months ended
December 31, 2018 and 2017:
| Three Months | Three Months | |||
| Ended | Ended | |||
| 31-Dec-18 | 31-Dec-17 | |||
| $’000 | $’000 | |||
| Gross Revenue | 16,412 | 10,767 | ||
| Mine production costs | 8,845 | 7,814 | ||
| Impairment recovery | (4,150) | – | ||
| Depreciation and amortization | 1,474 | 2,272 | ||
| Earnings (loss) from mining operations | 10,243 | 681 | ||
| General and administrative costs | 1,834 | 1,982 | ||
| Earnings (loss) before the under noted items | 8,409 | (1,301) | ||
| Interest expense | 648 | 617 | ||
| (Gain) Loss on debt settlement | (1,015) | – | ||
| Foreign exchange (gain) loss | 1,411 | 233 | ||
| Tax provision | 108 | – | ||
| Net income (loss) for the period | 7,257 | (2,151) | ||
| Income (loss) per share basic | $0.04 | ($0.01) | ||
| Income (loss) per share diluted | $0.04 | ($0.01) | ||
| Dividends | – | – | ||
| Cash flows provided by (used in) operating activities | 1,630 | (2,093) | ||
| Cash flows provided by (used in) investing activities | (1,587) | (1,357) | ||
| Cash flows provided by (used in) financing activities | 386 | 2,712 |
The following financial information is as at December 31, 2018, and
September 30, 2018:
| 31-Dec-18 | 30-Sep-18 | ||||
| $’000 | $’000 | ||||
| Cash | 9,457 | 8,721 | |||
| Restricted cash | 1,279 | 1,245 | |||
| Total assets | 149,865 | 147,302 | |||
| Long-term debt | 52,605 | 50,331 | |||
| Shareholders’ equity | 50,180 | 40,863 | |||
| Other | |||||
| Outstanding shares (‘000) | 181,442 | 181,442 | |||
| Weighted average outstanding shares (‘000) | |||||
| Basic | 181,442 | 178,587 | |||
| Fully diluted | 181,442 | 178,587 | |||
| Closing share price | 0.65 | 0.81 |
Lewis Black, Chief Executive Officer of Almonty commented, “These
results are continuing to reflect the go-forward cost structure and
production profile of Almonty. To highlight this, the Company has seen
an increase of 795% in EBITDA from mining operations (before impairment
charges or reversals) when compared to the same period in 2017. The
Company’s outlook for the 2018/2019 year is positive based on current
pricing and demand profiles of the market. As we have recently published
on our website, work continues at our 100% owned Sangdong project. The
pilot plant is being assembled after some changes we made to the layout
and it will begin to produce commercial grade finished concentrate by
April 2019. There is currently over 3,000 tons of fresh ore now on
surface which is increasing as our mine development continues. We have
passed the 250m mark in our mine development program underground and
this continues to confirm the conservatism of our block models. We are
now in late stage negotiation to finalise the equipment orders and the
earlier delivery dates for the plant equipment and we anticipate further
cost savings and financing terms from our suppliers to be more
favourable than previously anticipated. Our long relationship with these
suppliers at our other mines has enabled us to build a strong commercial
relationship and a preferred status in these dealings. We believe
Almonty is well placed to remain the dominant Western supplier of
tungsten concentrate.”
About Almonty
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 SEDAR profile at www.sedar.com.
Legal Notice
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.
Disclaimer for Forward-Looking Information
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 in this press release include, among others,
statements regarding Almonty’s future business plans and operations, the
Company’s outlook for the 2018/2019 year, the timeline for its Sangdong
mine to produce finished concentrate, the differences between the
Company’s block models and actual results, anticipated future cost
savings and future financing terms and supplier relations.
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. Such risks include, but are not limited to, the risks
discussed in the Company’s management discussion and analysis for the
three months ended December 31, 2018 and in its annual information form
for the year ended September 30, 2018.
Forward-looking statements are based on assumptions management believes
to be reasonable, including but not limited to, no material adverse
change in the market price of ammonium para tungstate (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, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION
AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE
LAWS.
Non-GAAP Financial Measures
This press release makes reference to certain non-GAAP financial
measures. These measures are not recognized measures under IFRS, do not
have a standardized meaning prescribed by IFRS and may not be comparable
to similar measures presented by other companies. Rather, these measures
are provided as additional information to complement IFRS financial
measures by providing further understanding of Almonty’s results of
operations from management’s perspective. Almonty’s definitions of
non-GAAP measures used in this press release may not be the same as the
definitions for such measures used by other companies in their
reporting. Non-GAAP measures have limitations as analytical tools and
should not be considered in isolation nor as a substitute for analysis
of Almonty’s financial information reported under IFRS. Almonty uses
non-GAAP financial measures, including “EBITDA”, to provide investors
with supplemental measures of its operating performance and to eliminate
items that have less bearing on operating performance or operating
conditions, and thus highlight trends in its core business that may not
otherwise be apparent when relying solely on IFRS financial measures.
Almonty defines “EBITDA from mining operations” as gross revenue less
mine production costs.
Almonty believes that securities analysts, investors and other
interested parties frequently use non-GAAP financial measures in the
evaluation of issuers. Almonty’s management also uses non-GAAP financial
measures in order to facilitate operating performance comparisons from
period to period.
View source version on businesswire.com: https://www.businesswire.com/news/home/20190214005812/en/
Lewis Black
Chairman, President and CEO
Telephone: +1 647
438-9766
Email: info@almonty.com
Almonty today announced the appointment of Guillaume Wiesenbach de Lamaziere, CFA as Chief Development Officer to spearhead key corporate development strategy and execution.
The Company has Achieved a Major Operational Milestone with First Ore Delivered to Central Staging Area, Marking a Key Step From Development into Full-Scale Tungsten Concentrate Production TORONTO - Almonty Industries Inc. ("Almonty" or the "Company") (NASDAQ: ALM)...
TORONTO - Almonty Industries Inc. ("Almonty" or the "Company") (NASDAQ: ALM) (TSX: AII) (ASX: AII) (Frankfurt: ALI1), a leading global producer of tungsten concentrate, announced today that the Company is voluntarily withdrawing its short form base shelf prospectus...
Almonty (NASDAQ: ALM) (TSX: AII) (ASX: AII) (FSE: ALI1) is a leading supplier of conflict free tungsten – a strategic metal critical to the defense and advanced technology sectors. As geopolitical tensions heighten, tungsten has become essential for armor, munitions, and electronics manufacturing. Almonty’s flagship Sangdong Tungsten Mine in South Korea, historically one of the world’s largest and highest-grade tungsten deposits, is expected to supply over 80% of global non-China tungsten production upon reaching full capacity, directly addressing critical supply vulnerabilities highlighted by recent U.S. defense procurement bans and export restrictions by China. With established operations in Portugal and additional projects in Spain, Almonty is strategically aligned to meet rapidly rising demand from Western allies committed to supply-chain security and defense readiness. To learn more, please visit almonty.com.
Legal Notice
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 the 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.
Cautionary Note Regarding Forward-Looking Information
This news release contains “forward-looking statements” and “forward-looking information” within the meaning of applicable securities laws.
All statements, other than statements of present or historical facts, are forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and assumptions and accordingly, actual results could differ materially from those expressed or implied in such statements. You are hence cautioned not to place undue reliance on forward-looking statements. Forward-looking statements are typically identified by words such as “plan”, “development”, “growth”, “continued”, “intentions”, “expectations”, “emerging”, “evolving”, “strategy”, “opportunities”, “anticipated”, “trends”, “potential”, “outlook”, “ability”, “additional”, “on track”, “prospects”, “viability”, “estimated”, “reaches”, “enhancing”, “strengthen”, “target”, “believes”, “next steps” or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements in this news release include, but are not limited to, statements concerning the completion of the Offering, the Company’s redomiciling initiatives, the Company’s position as a leading supplier of tungsten to the U.S. and its allies, the timing of any listing of the Common Shares on the Nasdaq, the continued listing of the Common Shares on the TSX and the ASX and trading on the Frankfurt Stock Exchange, and the use of proceeds of the Offering.
Forward-looking statements are based upon certain assumptions and other important factors that, if untrue, could cause actual results to be materially different from future results expressed or implied by such statements. There can be no assurance that forward-looking statements will prove to be accurate. Key assumptions upon which the Company’s forward-looking information is based include, without limitation, the absence of market conditions that could adversely impact the Offering or the intended listing of the Common Shares on the Nasdaq; the satisfaction of all listing requirements of the Nasdaq and continued listing requirements of the TSX and ASX; the achievement of any closing conditions to the Offering; and the absence of material adverse changes in the Company’s industry or the global economy including interest rates, inflationary pressures, supply chain disruptions, and commodity market volatility.
Forward-looking statements are also subject to risks and uncertainties facing the Company’s business, including, without limitation, the risks and uncertainties identified in the Registration Statement; risks relating to the Offering not being completed in a timely manner or at all, including due to unfavourable market or other conditions or factors; the possibility that the required approvals for or conditions to the Offering will not be received or satisfied on a timely basis or at all; changes in the anticipated timing for closing the Offering; business disruption during the pendency of or following the Offering; diversion of management time on Offering-related issues; the ability to retain members of Almonty’s management team; the impact of the Offering on relationships with customers, suppliers, employees and other business counterparties; risks related to the reaction of customers, shareholders and members of the public to the Offering; and other events that could adversely impact the completion of the Offering, including industry or economic conditions outside of Almonty’s control. Any of these risks could have a material adverse effect on the Company’s business, financial condition, results of operations and growth prospects. Readers should consider reviewing the detailed risk discussion in the Company’s Registration Statement, the most recent Annual Information Form and the amended Management Discussion and Analysis for the three months ended March 31, 2025 filed on SEDAR+, for a fuller understanding of the risks and uncertainties that affect the Company’s business and operations.
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, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME, WHETHER AS A RESULT OF NEW INFORMATION, FUTURE EVENTS OR OTHERWISE, EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.
For further information, please contact:
Lewis Black
Chairman, President and CEO
Telephone: +1 647-438-9766
Email: info@almonty.com
