Sangdong Downstream Extension Project Progressing

Almonty Industries Inc. ("Almonty" or the "Company") (TSX: AII / ASX: AII / OTCQX: ALMTF / Frankfurt: ALI) is pleased to announce an update in relation to the proposed nano tungsten oxide downstream processing plant.

As announced on March 30, 2022, Almonty is investigating the construction of a vertically integrated nano tungsten oxide downstream processing plant (Sangdong Downstream Extension Project) to supply the South Korean battery anode and cathode manufacturing industry. As also announced, the funding for the Sangdong Downstream Extension Project is expected to be sourced from KfW IPEX-Bank (“KfW”), the Company's existing debt provider which has already executed a letter of intent (“LOI”) for up to US$50 million of additional funding for this purpose.

Almonty is pleased to announce that it is consulting with IAF Holding GmbH, a process engineering firm that specialises in the design and construction of specialist processing facilities, to design and construct the Sangdong Downstream Extension Project processing facility.

Almonty is also pleased to advise that it has determined that the Sangdong Downstream Extension Project processing facility should be located at the Seok Moon Industrial Complex in South Korea. This site has been selected due to its excellent existing infrastructure, i.e. access to sufficient water, electricity, communications and gas as well as existing environmental permitting.

In Q4 of this year, key board and staff members will visit the proposed location of the Sangdong Downstream Extension Project, along with KfW and its independent consultants, Hatch, to progress the LOI to more definitive agreements.

The Company looks forward to keeping shareholders informed as the Sangdong Downstream Extension Project progresses.

Lewis Black CEO comments:

“At site the underground mine development is still some 6 months ahead of schedule and our block model is proving to show we have taken an extremely conservative view. The deposit is clearly demonstrating to us why it is so revered within our industry. Equipment continues to arrive in country and the mills will begin assembly shortly and we are finalising with the EPC regarding the detailed engineering study for the surface plant to then commence construction on surface. We are still comfortably within budget despite the inflationary pressures and we have successfully navigated these pressures by anticipating them early last year. The upcoming visit by KFW and Hatch is to view our progress so far at site and to view the potential new site for the Tungsten oxide plant as we now accelerate that project.