Original-Research: Almonty Industries Inc.

Original-Research: Almonty Industries Inc. - from Sphene Capital GmbH

12.06.2025 / 12:39 CET/CEST
Dissemination of a Research, transmitted by EQS News - a service of EQS
Group.
The issuer is solely responsible for the content of this research. The
result of this research does not constitute investment advice or an
invitation to conclude certain stock exchange transactions.

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Classification of Sphene Capital GmbH to Almonty Industries Inc.

     Company Name:                Almonty Industries Inc.
     ISIN:                        CA0203981034

     Reason for the research:     Update Report
     Recommendation:              Buy
     from:                        12.06.2025
     Target price:                CAD 5.40 (unchanged)
     Target price on sight of:    36 months
     Last rating change:          -
     Analyst:                     Peter Thilo Hasler, CEFA

Almonty Recognized by U.S. Congress for Critical Mineral Role

Almonty's recognition by the U.S. Congress is, in our view, an important
endorsement with far-reaching implications. Strategically, it enhances the
company's value proposition as a secure and transparent tungsten supplier.
Financially, it may unlock new funding avenues and customer segments.
Operationally and reputationally, the company now occupies a more
prominent-and scrutinized-position within the broader geopolitical contest
over critical raw materials. Nevertheless, these opportunities are
accompanied by non-trivial risks. From regulatory obligations to
geopolitical exposure, Almonty will need to navigate a complex environment
that extends beyond traditional mining industry dynamics. The key to success
will be balancing commercial flexibility with strategic alignment-a
challenge faced by many resource companies operating at the intersection of
industry and international politics. We confirm our Buy rating, and our
two-stage Discounted Cash Flow (DCF) target price of CAD 5.40 per share,
which captures both current and future producing assets-Sangdong (tungsten
and molybdenum), Panasqueira, and Los Santos-as well as the discounted value
of the Valtreixal development project.

The U.S. House Select Committee on Strategic Competition with China recently
emphasized Almonty's strategic importance for securing critical mineral
supply chains, particularly highlighting the company's Sangdong mine in
South Korea-expected to become the largest non-Chinese tungsten production
site. Additionally, the Committee welcomed Almonty's plans to redomicile to
the United States, which would make it the only U.S.-based commercial
producer of tungsten concentrates. This recognition underscores Almonty's
potential contribution to U.S. national security interests, especially in
the defence sector, as tungsten is classified by the U.S. Geological Survey
as a critical mineral essential for aerospace, munitions, and
high-performance technologies, given its high-density and heat-resistant
properties. In addition, the Committee signalled interest in ongoing
engagement, including possible integration into the National Defence
Stockpile and collaboration with U.S. defence contractors.



You can download the research here: http://www.more-ir.de/d/32844.pdf

Contact for questions:
Peter Thilo Hasler, CEFA
+49 (152) 31764553
peter-thilo.hasler@sphene-capital.de

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2154396 12.06.2025 CET/CEST