Almonty Industries Inc. (“Almonty” or the “Company”) (TSX: AII /
ASX: AII / OTCQX: ALMTF / Frankfurt: ALI) is pleased to announce
that the Company has received firm commitments to raise gross
proceeds of C$500,000, US$733,333 and A$550,000 via the issuance of
3,333,333 Placement Units and 1,078,433 million Placement Chess
Depository Interests Units (“CDIs”) at C$0.45 per Placement
Unit, US$0.33 per Placement Unit and A0.51 per CDI Unit
(“Placement”).
Each Placement Unit participant will be issued one warrant for
every common share issued (“Warrants”) and one free unlisted
option for every one CDI issued (“Options), exercisable at
C$0.60, US$0.45 and A$0.69, respectively, with an expiry date of 36
months from the date of closing.
Lewis Black, the Company’s CEO will be investing C$500,000 and
Dan D’Amato, a director of the Company, will be investing
US$366,666.63 towards the Placement Units to be issued.
Proceeds from the Placement will be applied towards general
working capital and offer costs.
The Placement Units and Placement CDI’s issued will rank equally
with existing CDI’s and Common Shares on issue.
Lewis Black, CEO of the Company, and Daniel D’Amato, a Director
of the Company, will be subscribing for Units in the Private
Placement. As such, the issuance of Units to insiders pursuant to
the Private Placement is considered a related party transaction
within the meaning of Multilateral Instrument 61-101 – Protection
of Minority Security Holders in Special Transactions (“MI 61-101”).
As such, the Company will rely on exemptions from the formal
valuation and minority shareholder approval requirements provided
under sections 5.5(a) and 5.7(a) of MI 61-101 on the basis that
participation in the Private Placement by insiders will not exceed
25% of the fair market value of the Company’s market
capitalization.
The closing of the Placement is subject to receipt of all
necessary regulatory approvals, including the acceptance by the TSX
and ASX.
RM Corporate Finance Pty Ltd acted as Lead Manager to the
Placement and will be paid a total fee of 6% of the gross proceeds
raised from the Placement CDIs.
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 northwestern
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.
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.
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 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: 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, the ability of Almonty to obtain adequate
financing, the ability of Almonty to complete permitting,
construction, development and expansion, 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 and acceptance of the TSX of the listing of Almonty shares on
the TSX.
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.
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version on businesswire.com: https://www.businesswire.com/news/home/20231006348452/en/
Lewis Black Chairman, President and CEO +1 647 438-9766
info@almonty.com
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