Market Overview

Almonty Announces Positive $28,472,000 Annual EBITDA from Mining Operations before Non-Cash Impairment Charge (1) and the Filing of Its Audited Annual Financial Statements and MD&A for the Year Ended September 30, 2018


Almonty Industries Inc. ("Almonty" or the "Corporation")
(TSX:AII, OTCQX:ALMTF) today announced the filing of
its audited annual consolidated financial statements, management's
discussion & analysis and AIF for the year ended September 30, 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 and year
ended September 30, 2018 and 2017:

  Three Months   Three Months   Year   Year
Ended Ended Ended Ended
30-Sep-18 30-Sep-17 30-Sep-18 30-Sep-17
    $'000   $'000   $'000   $'000
Gross Revenue 14,629 10,809 65,171 39,018
Mine production costs 9,416 7,990 36,699 32,349
Impairment loss 15,604 - 15,604 -
Depreciation and amortization 4,681   1,875   11,155   6,400
Earnings (loss) from mining operations (15,072) 944 1,713 269
General and administrative costs 2,494 3,273 8,426 9,864
Non-cash compensation costs -   472   897   472
Earnings (loss) before the under noted items (17,566) (2,801) (7,610) (10,067)
Interest expense 467 497 2,459 2,436
(Gain) Loss on debt settlement - (3,015) - (3,015)
Foreign exchange (gain) loss (1,268) (1,124) (95) (1,368)
Tax provision   2,065   122   715   122
Net income (loss) for the period   (18,830)   719   (10,689)   (8,242)
Income (loss) per share basic   ($0.10)   $0.00   ($0.06)   ($0.07)
Income (loss) per share diluted   ($0.10)   $0.00   ($0.06)   ($0.07)
Dividends   -   -   -   -
Cash flows provided by (used in) operating activities 4,243 (3,411) 10,940 (2,888)
Cash flows provided by (used in) investing activities (31) (1,140) (6,023) (10,680)
Cash flows provided by (used in) financing activities   (2,757)   7,706   (540)   13,934

The following financial information is as at September 30, 2018, and
September 30, 2017:

  30-Sep-18   30-Sep-17
    $'000   $'000
Cash 8,721 4,473
Restricted cash 1,245 1,300
Total assets 147,302 160,151
Bank indebtedness - 9,447
Current portion of long-term debt 25,876 11,497
Long-term debt 24,455 33,162
Shareholders' equity 40,863 45,625


Outstanding shares (‘000) 181,442 169,752
Weighted average outstanding shares (‘000)
Basic 178,587 121,553
Fully diluted 178,587 121,553
Closing share price   0.81   0.63

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 427% in EBITDA from mining operations (before impairment
charges) when compared to 2017. The positive impact of the recent
improvement in the commodity price, which hit a 3 year high in
mid-calendar 2018 at approximately US$350 per MTU, continues to
positively impact revenue and earnings as prices have continually
increased since July 2017. My personal investment of $6.5 million into
Almonty's common shares during mid-2017 is a testament to my confidence
in Almonty's future and the continued improvement of its performance.
The Company's focus continues to be to strengthen its balance sheet and
to continue moving forward with the development of the Sangdong mine.
The recent conversion of large tranches of debt into equity, at
significant premiums to the underlying market price, has reduced the
Company's overall debt levels and we are continuing to focus on
maintaining the Company's gearing ratio to more normalized levels. The
Company is pleased with its overall stock performance of 129% growth in
the 2018 year and fully expects this trend to continue as the build out
of Sangdong continues. Mine development at Sangdong commenced in
November 2018 - Q1 2019 and continues on schedule with plant equipment
orders anticipated to be placed at the end of January 2019. We remain on
track for our previously stated timeframe. With our improved performance
and stronger balance sheet, combined with the expected financing and
construction of our Sangdong property, 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
and under Almonty's profile at

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


(1) 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.

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