TORONTO--(BUSINESS WIRE)--Almonty Industries Inc. (“Almonty”) (TSXV: AII) announces that it has closed its previously announced private placement to JP Morgan Asset Management (UK) Ltd of 5,000,000 common shares at a price of $0.54 per common share for gross proceeds to Almonty of $2,700,000 (the “Offering”).
All common shares issued pursuant to the Offering are subject to resale restrictions for a period of four months and a day until February 20, 2018 as prescribed by the TSX Venture Exchange and applicable securities laws.
Somers and Partners Pty Ltd and Canaccord Genuity Corp. acted as finders in connection with the Offering. In aggregate, Almonty paid a commission of equal to $108,000 being 4% of the gross proceeds raised on the financing.
Almonty also is pleased to announce that it intends to proceed with a further private placement of 1,300,000 common shares at a price of $0.54 per common share for gross proceeds to Almonty of up to $702,000 (the “Placement”).
Closing of the Placement is subject to the approval of the TSX Venture Exchange.
All securities issued pursuant to the Placement will be subject to resale restrictions for a period of four months and a day as prescribed by the TSX Venture Exchange and applicable securities laws.
The Placement will be a non-brokered private placement.
Almonty intends to use the net proceeds of the Offering and any from the Placement for the financing of their Korean Sangdong mine and for general working capital purposes. Almonty does not anticpate any further equity financings prior to the announcement of the completion of funding for development of the Korean Sangdong mine.
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 refurbishment of its Wolfram Camp Mine in north Queensland, Australia, 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 Wolfram Camp Mine was acquired by Almonty in September 2014 and is located approximately 130 kilometres west of Cairns in northern Queensland, Australia and has produced tungsten and molybdenum concentrate, although the Wolfram Camp Mine is not currently producing due to ongoing refurbishment of the processing plant. 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.
