Almonty Industries Inc. · NASDAQ:ALM
Almonty Industries — Investor Presentation (February 2025)
54 slides from Almonty Industries's investor presentation, February 2025
Slide 1: Investor Presentation
TSX: AII / ASX: AII / OTCQX: ALMTF / Frankfurt: ALI.F INVESTOR PRESENTATION Opening The World‘s Largest Tungsten Mine & Redomiciling to the United States February 2025 INVESTOR PRESENTATION ADDRESS CONTACT US PREPARED BY ALMONTY INDUSTRIES INC. 100 KING STREET WEST SUITE 5700 +1 647 438-9766 PRESIDE
Slide 2: Disclaimer for Forward-Looking Statements
DISCLAIMER FOR FORWARD-LOOKING STATEMENTS When used in this investor presentation, 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 id
Slide 3: Agenda
I ALMONTY AT A GLANCE II MARKET III SANGDONG IV PANASQUEIRA AGENDA V CORPORATE VI APPENDIX
Slide 4: I Almonty at a Glance
+ ALMONTY I ALMONTY AT A GLANCE
Slide 5: Corporate Snapshot
CORPORATE SNAPSHOT ISSUED CAPITAL MARKET CAP 275.5m C$ 520.8m TSX SHARE PRICE TSX:AII in C$ Common Shares At C$ 1.89 on Feb 10th, 2025 2,50 CASH LONG-TERM DEBT 2,00 C$ 1.89 C$ 12.9m C$149.8m as at Sep 30, 2024 Includes loans to shareholders 1,50 PROJECT FINANCE TOTAL ORE RESERVES 1,00 US$ 75.1m 101m
Slide 6: Tungsten – Problematic Sources, One Solution: Sangdong Mine
TUNGSTEN – PROBLEMATIC SOURCES, ONE SOLUTION: SANGDONG MINE Tight Market With Geopolitical Tension THE ISSUE THE SOLUTION Global Tungsten Supply Shifts Amid U.S.-China Restrictions ALMONTY ➢ Starting January 1, 2027, the U.S. Department of Defense (“DoD”) will ban the mining, refining, and On the ve
Slide 7: Almonty's Global Presence
ALMONTY‘S GLOBAL PRESENCE Diversified and Experienced Operator in Conflict-free Regions 3 1 4 2 + Downstream In S. Korea, see slide 23 & 42 PRODUCING ASSET UNDER CONSTRUCTION DEVELOPMENT PROJECTS 1 2 3 4 PANASQUEIRA – PORTUGAL SANGDONG – SOUTH KOREA VALTREIXAL – SPAIN LOS SANTOS TAILINGS – SPAIN ACQ
Slide 8: Almonty's Success Built on 3 Main Pillars
ALMONTY‘S SUCCESS BUILT ON 3 MAIN PILLARS PRODUCTION – CONSTRUCTION – DEVELOPMENT PANASQUEIRA – PRODUCTION SANGDONG – CONSTRUCTION VALTREIXAL – DEVELOPMENT ➢ Worlds longest producing mine - 136 years of almost ➢ Valtreixal will potentially be Almonty’s third high quality uninterruptable exploitation
Slide 9: Reasons to Invest into Almonty
10 REASONS TO INVEST INTO ALMONTY Unique position in the tungsten market due to first-class projects & proven track record I BECOMING A U.S.-BASED TUNGSTEN PRODUCER VI 2 NEAR-TERM GROWTH STORIES Almonty announced redomiciling to the U.S. to align its structure with Low-risk extension at Panasqueira
Slide 10: Striding Forward in Ongoing Improvements – Updates & Outlook
STRIDING FORWARD IN ONGOING IMPROVEMENTS – UPDATES & OUTLOOK CHINA TO TIGHTEN EXPORT CURBS ON CRITICAL METALS 1 China's new export controls, effective Dec. 1, target critical metals like tungsten, vital for tech and defense, reinforcing its dominance over 80% of global tungsten supply. ALMONTY SIGNS
Slide 11: II Market
+ ALMONTY I] MARKET
Slide 12: Economic Importance: Tungsten Price in Highly Profitable Zone
TUNGSTEN PRICE IN HIGHLY PROFITABLE ZONE TUNGSTEN PRICE IN US$ PER MTU TIGHT MARKET WITH GEOPOLITICAL TENSION $350 ➢ South Korea, the largest per capita tungsten consumer worldwide, imports 94.7% of its tungsten $334 supply from China Highly Profitable Price Zone ➢ Rising dependence on China and Rus
Slide 13: Main Reasons for Growing Tungsten Demand
MAIN REASONS FOR GROWING TUNGSTEN DEMAND EV & HYBRID VEHICLE BOOM COULD BOOST TUNGSTEN ➢ Tungsten is an increasingly important component in the production of Hybrid batteries due to its ability to enhance their high energy density ➢ Development in the battery field is ongoing as performance, safety
Slide 14: Molybdenum's Vital Significance in Steel Production
MOLYBDENUM’S VITAL SIGNIFICANCE IN STEEL PRODUCTION TIGHT MARKET WITH GEOPOLITICAL TENSION MOLYBDENUM PRODUCTION SPLIT (2024e) ➢ Molybdenum, mainly a low-grade by-product, results from the insufficiency of high-grade projects Rest of World 9% ➢ Globally, there are very few stand-alone molybdenum min
Slide 15: III Sangdong
+ ALMONTY II] SANGDONG
Slide 16: Almonty's Trinity – Asset with Opportunities
ALMONTY’S TRINITY – 1 ASSET WITH 3 OPPORTUNITIES Almonty’s Trinity - SANGDONG 1➢ One of the largest and highest-grade tungsten deposits in the world 1 ➢ Construction well advanced, production start in 2025 Tungsten ➢ Offtake Agreement with unprecedented floor price guarantee of US$235/MTU Deposit ➢
Slide 17: Impressions (February 2025) – Construction Well Advanced
IMPRESSIONS (February 2025) – CONSTRUCTION WELL ADVANCES Building A: Crushing Tower Building B: Ore Shed Building D: Flotation Area Building C: Grinding Area (Ball & SAG Mill + Classifiers) 16
Slide 18: Impressions (February 2025) – Construction Progressing Well
IMPRESSIONS (February 2025) – CONSTRUCTION PROGESSING WELL February 2025 November 2024 17
Slide 19: Shovel Ready Project in a Supportive Tier 1 Jurisdiction
SHOVEL READY PROJECT IN A SUPPORTIVE TIER 1 JURISDICTION Low pre-production capex, great economics & long mine life ~US$ 120m C$ 72.0m Start-Up Capex*** Annual EBITDA @1.2m tons & $300/mtu $110/mtu 90+ years Cash costs per ton* Potential Mine Life ➢ Fully permitted, construction well advanced, expec
Slide 20: Project Financing & Offtake Agreement
PROJECT FINANCING & OFFTAKE AGREEMENT Reputable partners confirm high quality project 15-YEAR OFFTAKE AGREEMENT 70% OF CAPEX FINANCED THROUGH SENIOR PROJECT FINANCE LOAN GOVERNMENT GUARANTEE GUARANTEES ~US$580M REVENUE SIZE US$ 75.1m ➢ Global tungsten product major INTEREST 3-M LIBOR/SOFR + 2.3% ➢ L
Slide 21: Sangdong Massive Orebody with Outstanding Economics
SANGDONG MASSIVE OREBODY WITH OUTSTANDING ECONOMICS SIGNIFICANT RESERVE UPSIDE HIGHEST GRADE LOWEST COST HIGHEST RECOVERY Largest tungsten deposit in the world One of the highest grades in the world. Estimated lowest quartile production World-class recovery of 85% and by Inferred Resource based on O
Slide 22: Sangdong Project – Supplying the Western World for Decades
SANGDONG PROJECT – SUPPYING THE WESTERN WORLD FOR DECADES Key milestones ahead – nearing completion 2024 2025 2026 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 DRAWDOWN & GRACE PERIOD DEVELOPMENT FUND REPAYMENT PLANT CONSTRUCTION PHASE II EXPANSION IN 2026 COMPLETION & PLANT COMMISSIONING CONSTRUCTION 3-MONT
Slide 23: Downstream at a Glance
DOWNSTREAM AT A GLANCE Key Factors & Financial Summary PROJECT SUMMARY Phase I Tungsten Oxide (TO) Phase II (Dat a ar e av e r age s ov e r t he LOM )** (financed & in construction) plant Expected start of production 2025 2026/2027 2027/2028 WO3 production ~230,000 mtu ~460,000 mtu 4,000 tons p.a. c
Slide 24: Financial Outlook – Sangdong Tungsten
FINANCIAL OUTLOOK – SANGDONG TUNGSTEN Near-term production and short-term upside SANGDONG PHASE I + II Phase II – Doubling Production with Minimal Investment $150 ➢ Almonty has a rare and unique opportunity to organically expand its production capacity from approximately 640kt to 1.2 million tons wi
Slide 25: Sangdong's Silent Hero: The Molybdenum Story Unfolded
SANGDONG'S SILENT HERO: THE MOLYBDENUM STORY UNFOLDED ALMONTY KOREA MOLY ➢ Almonty Korea Moly (AKM) Project with its large molybdenite-quartz vein stockwork is located on Sangdong’s existing fully permitted, mining lease, about 190km southeast of Seoul ➢ Significant maiden molybdenum resource define
Slide 26: Significantly Higher Grades – Sangdong One of a Kind
SIGNIFICANTLY HIGHER GRADES – SANGDONG ONE IT‘S KIND Peer-Group Comparison of Resource/Reserves Grades (% Mo) HIGHEST GRADE GREAT SYNERGIES 0,30% 0,30% Sangdong Deep Moly has the highest Due to the approximaty to Sangdong grades of the peer group Tungsten, there are significant synergies to the Moly
Slide 27: Geological Overview: Understanding Sangdong's Molybdenum Deposits
GEOLOGICAL OVERVIEW: UNDERSTANDING SANGDONG'S MOLYBDENUM DEPOSITS DEPOSIT TYPE ➢ Tungsten Mineralization: Tabular skarn horizons within Myobong Slate, sourced from hydrothermal fluids beneath Sangdong Granite. ➢ Molybdenum Insights: Molybdenum presence in Jangsan quartzite, forming Sangdong Molybden
Slide 28: Strategic Asset: Unlocking the Value of Our Molybdenum Reserves
STRATEGIC ASSET: UNLOCKING THE VALUE OF OUR MOLYBDENUM RESERVES CURRENT STRENGTH ROADMAP TO SUCCESS STRATEGIC MOLY PROJECT: 6 REASONS TO BOOST OVERALL COMPANY WORTH 1.1 FULLY PERMITTED Orebody located in the same permitted area as Sangdong, ensures efficient development and regulatory compliance Sec
Slide 29: IV Panasqueira
+ ALMONTY IV PANASQUEIRA
Slide 30: Panasqueira – WO3 Production for More Than a Century
PANASQUEIRA – WO3 PRODUCTION FOR MORE THAN A CENTURY Proven track record in a first-class jurisdiction KEY FACTS DEPOSIT SUMMARY ➢ Located in Covilhã, Castelo Branco district, Portugal Tonnage WO3 Grades ➢ Worlds longest producing mine - 136 years of almost uninterruptable exploitation – still produ
Slide 31: Panasqueira – Getting to the Next Level
PANASQUEIRA – GETTING TO THE NEXT LEVEL Economic Model and Future Outlook PANASQUEIRA – GETTING TO THE NEXT LEVEL The actual resource map of L4 THE ➢ Although current production levels remain steady, seizing the opportunity to access L4 is crucial shows the veining system VISION for safeguarding aga
Slide 32: Panasqueira – Cleanest Output Material
PANASQUEIRA – CLEANEST OUTPUT MATERIAL Panasqueira Tungsten Mine Overview Historical Legacy (1886-Present) Excellent Output Quality Unique Orebody & Excellent Permits ➢ 136 years of Uninterrupted Exploitation ➢ Highest grade recovery with nearly 74% ➢ Operational Continuity – exploitation permit is
Slide 33: Panasqueira – Visit by the US Department of Commerce/DLA
PANASQUEIRA – VISIT BY THE US DEPARTMENT OF COMMERCE/DLA Impressions of the visit by the US Department of Commerce on September 29, 2023 ➢ Delegation of the US Department of Commerce visited the Panasqueira mine in Portugal ➢ General discussions regarding the planned L4 extension ➢ Open dialog about
Slide 34: Panasqueira – Mining Facilities
PANASQUEIRA – MINING FACILITIES Existing Infrastructure & Equipment will be used for the L4-Extension ➢ Panasqueira mine has extensive mining, processing and environmental infrastructures ➢ Plays an important role in the regional economy, as the local community depends almost entirely on the mine fo
Slide 35: Panasqueira Tungsten-Tin Mine
PANASQUEIRA TUNGSTEN-TIN MINE 34
Slide 36: V Corporate
+ ALMONTY V CORPORATE
Slide 37: Almonty Group Resource Summary
ALMONTY GROUP RESOURCE SUMMARY Classification Deposit Tonnage (kt) Grade (%) Contained metal Sangdong 7,896 kt 0.45% ~36 kt TOTAL RESERVES Panasqueira 1,951 kt 0.20% ~4 kt (proven & probable) Los Santos 3,767 kt 0.19% ~7 kt Valtreixal 2,549 kt 0.34% ~9 kt Total 16,163 kt 0.3% ~56 kt Sangdong 8,029 k
Slide 38: Valtreixal – Another Valuable Tungsten Source Within Europe
VALTREIXAL – ANOTHER VALUABLE TUNGSTEN SOURCE WITHIN EUROPE Almonty’s well-located high-potential development target KEY FACTS Tonnage DEPOSIT SUMMARY ➢ Located in northwestern Spain, 250km from the Los Santos Mine WO3-equivalent Grades 15.4Mt ➢ Almonty acquired the project from SIEMCALSA, the same
Slide 39: Sangdong ESG
SANGDONG ESG Equator principles and beyond. Assessment of environmental and social risks of major projects based on 10 principles, including regular 1 monitoring by independent third parties and intensive dialogues with the local population and their organizations Almonty has agreed to develop the S
Slide 40: www.almonty.com
WWW.ALMONTY.COM INVESTOR PRESENTATION ADDRESS CONTACT US PREPARED BY ALMONTY INDUSTRIES INC: 100 KING STREET WEST SUITE 5700 +1 647 438-9766 PRESIDENT & CEO: LEWIS BLACK TORONTO, ON CANADA info@almonty.com M5X 1C7 39
Slide 41: VI Appendix
+ ALMONTY Vi APPENDIX
Slide 42: Appendix 1 – Board of Directors and Officers
APPENDIX 1 – BOARD OF DIRECTORS AND OFFICERS Director Experience ➢ Currently a Partner of Almonty Partners LLC, a privately-held company specializing in tungsten mining investments and has over 16 years of experience in the tungsten mining industry Lewis Black ➢ Formerly Chairman and CEO of Primary
Slide 43: Appendix 2 – Downstream Extension
APPENDIX 2 – DOWNSTREAM EXTENSION Almonty’s plans to participate in the battery anode & cathode manufacturing industry SOUTH KOREA & KEY DEMAND DIRECTIONS ALMONTY’S CURRENT PRODUCTION CHAIN 5 Reasons for the importance of Tungsten Oxide PROCESSING 65% WO3 SUPPLY TO 1. South Korea is the largest per
Slide 44: Appendix 3 – Growing Market with Risk of Tightening
APPENDIX 3 – GROWING MARKET WITH RISK OF TIGHTENING TUNGSTEN SUPPLY GAP * Anticipated demand is forecasted to rise at a Compound Annual Growth Supply Rate (CAGR) averaging 3.45%. Certain projections indicate a more robust 130 Demand growth rate of 7-8% per annum. However, despite the expected alignm
Slide 45: Appendix 4 – Current Trends & News
APPENDIX 4 – CURRENT TRENDS & NEWS RESOURCE NATIONALISM LIKELY TO INCREASE ➢ The Mining & Metals sector is experiencing a surge in nationalism, potentially driving increased sales and production within individual nations, as indicated by the latest SHIFTING Resource Increase sentiment survey by Whit
Slide 46: Appendix 5 – Current Trends & News
APPENDIX 5 – CURRENT TRENDS & NEWS TUNGSTEN’S INCREASING ROLE IN THE BATTERY & EV/HYBRID MARKET “According to the researchers at N1 Technologies, as the next-generation battery, they had added tungsten and carbon multi-layered nanotubes while working on anodes. This will recharging the NanoBolt lith
Slide 47: Appendix 6 – Tungsten – A Key Element for Future Technologies (I/III)
APPENDIX 6 – TUNGSTEN – A KEY ELEMENT FOR FUTURE TECHNOLOGIES (I/III) THERMONUCLEAR ENERGY – MATERIAL WITH EXCELLENT HEAT CONDUCTIVITY AND MELTING POINT NEEDED ➢ Necessary Material: Tests confirm that an alloy of 90%tungsten, 7 % nickel and 3% iron brings the best performance. As this (or similar) a
Slide 48: Appendix 7 – Tungsten – A Key Element for Future Technologies (II/III)
APPENDIX 7 – TUNGSTEN – A KEY ELEMENT FOR FUTURE TECHNOLOGIES (II/III) TUNGSTEN WIRE – EFFICIENT & STRONG MATERIAL FOR PHOTOVOLTAIK APPLICATION ➢ Tungsten wires superior strength and efficiency are driving its replacement of traditional materials in diamond wire cutting, enhancing solar cell product
Slide 49: Appendix 8 – Tungsten – A Key Element for Future Technologies (III/III)
APPENDIX 8 – TUNGSTEN – A KEY ELEMENT FOR FUTURE TECHNOLOGIES (III/III) ENHANCING HYDROGEN FUEL CELL DURABILITY VIA TUNGSTEN OXIDE COATING ➢ Tungsten Oxide Coating: POSTECH researchers developed a WO3 coating for hydrogen fuel cell electrodes, improving durability and reducing catalyst degradation ➢
Slide 50: Appendix 9 – Tungsten Uses I/II – Industries & High-Tech World
APPENDIX 9 – TUNGSTEN USES I/II – INDUSTRIES & HIGH-TECH WORLD SAW TEETH FOR PLATE FOR STONE HAMMER BLADES OF A CIRCULAR SEMICONDUCTORS AUTOMOTIVE MARKET DRILL SAW 65G 400G FILM PROJECTOR CASING FOR LAMP LUXURY WATCH INSERTS FOR AIRCRAFT BALLISTIC EQUIPMENT 35G 750G 74 4f145d46s2 W TUNGSTEN 183.84 P
Slide 51: Appendix 10 – Tungsten Uses II/II – Military Applications
APPENDIX 10 – TUNGSTEN USES II/II – MILITARY APPLICATIONS OF TUNGSTEN TUNGSTEN IN MILITARY USE ➢ High Melting Point: Tungsten's melting point of 3,442°C is the highest of any element, making it ideal for creating materials that can withstand high temperatures without deformation ➢ Hardness: Tungsten
Slide 52: Appendix 11 – Defined as Conflict Material – Lack of Transparency
APPENDIX 11 – DEFINED AS CONFLICT MATERIAL – LACK OF TRANSPARENCY CONFLICT MATERIAL “3TG” Tin (Sn) Tantalum (Ta) Tungsten (W) Gold (Au) BACKGROUND AND CURRENT SITUATION NON-TRANSPARENT SUPPLY & STRONGLY CHINA DOMINATED ➢ The SEC has implemented regulations to address the ➢ While the US & Europe have
Slide 53: Appendix 12 – Construction in Ore
APPENDIX 12 – CONSTRUCTION IN ORE Mineralization very close to the surface allows for immediate start of production 52
Slide 54: www.almonty.com
WWW.ALMONTY.COM INVESTOR PRESENTATION ADDRESS CONTACT US PREPARED BY ALMONTY INDUSTRIES INC: 100 KING STREET WEST SUITE 5700 +1 647 438-9766 PRESIDENT & CEO: LEWIS BLACK TORONTO, ON CANADA info@almonty.com M5X 1C7
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