Market Overview

Almonty Achieves Positive EBITDA from Mining Operations of $7,318,000 and Net Income of $0.02 Per Share in Q2 of FY 2019

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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 and six months ended
March 31, 2019. Unless otherwise indicated, all currency amounts
contained in this news release are expressed in Canadian dollars.

The following financial information is for the three and six months
ended March 31, 2019 and 2018:

Three Months   Three Months   Six Months   Six Months
Ended Ended Ended Ended
31-Mar-19 31-Mar-18 31-Mar-19 31-Mar-18
      $'000   $'000   $'000   $'000
Gross Revenue 13,051 17,302 29,463 28,069
Mine production costs 5,733 9,698 14,578 17,512
Reversal of impairment loss - - (4,150) -
Depreciation and amortization 1,630   2,073   3,104   4,345
Earnings from mining operations 5,688 5,531 15,931 6,212
 
General and administrative costs 1,620   1,786   3,454   3,768
Non-cash compensation costs -   -   -   -
Earnings before the under noted items 4,068 3,745 12,477 2,444
 
Interest expense 654 615 1,302 1,232
(Gain) Loss on debt settlement - - (1,015) -
Foreign exchange (gain) loss (718) 82 693 315
Tax provision   168   (711)   276   (711)
Net income for the period 3,964   3,759   11,221   1,608
Income per share - basic $0.02   $0.02   $0.06   $0.01
Income per share - diluted $0.02   $0.02   $0.06   $0.01
Dividends     -   -   -   -
 
Cash flows provided by (used in) operating activities 3,890 2,770 5,520 677
Cash flows provided by (used in) investing activities (1,729) (2,077) (3,316) (3,434)
Cash flows provided by (used in) financing activities (1,950)   1,257   (1,564)   3,969
 

The following financial information is as at March 31, 2019, and
September 30, 2018:

31-Mar-19   30-Sep-18
      $'000   $'000
Cash 9,353 8,721
Restricted cash 1,262 1,245
Total assets 148,799 147,302
Long-term debt 49,689 50,331
Shareholders' equity 51,963 40,863
 

Other

Outstanding shares (‘000) 181,442 181,442
Weighted average outstanding shares (‘000)
Basic 181,442 178,587
Fully diluted 183,350 179,078
Closing share price   $0.80   $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 80.3% in EBITDA from mining operations when compared to
the same six-month period in 2018. The Company's outlook for the 2019
year is positive based on current pricing although we did see prices
soften compared to the same quarter in 2018 but prices have now
stabilized. As we have recently published on our website, work continues
at our 100%-owned Sangdong project. The pilot plant is assembled after
some changes we made to the layout and it will begin to produce
commercial grade finished concentrate by June 2019. There is currently
over 5,000 tons of fresh ore now on surface which is increasing as our
mine development continues. We have passed the 350m mark in our mine
development program underground and this continues to confirm the
conservatism of our block models. We continue to move forward toward the
closing of the previously announced financing for Sangdong. 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.

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