Clas­si­fi­ca­ti­on of GBC AG to Al­mon­ty In­dus­tries Inc.

An­cho­ring the West’s Cri­ti­cal Mi­ne­ral Sup­p­ly Chain

Al­mon­ty In­dus­tries Inc. pres­ents a com­pel­ling in­vest­ment case as a ver­ti­cal­ly in­te­gra­ted sup­pli­er of tungs­ten and mo­lyb­denum, stra­te­gi­cal­ly po­si­tio­ned to be­co­me a do­mi­nant non-Chi­ne­se source of cri­ti­cal mi­ne­rals. An­cho­red by its flag­ship Sang­dong Mine in South Korea—poised to be­co­me one of the lar­gest tungs­ten mi­nes out­side of Chi­na, Al­mon­ty is en­te­ring a trans­for­ma­tio­nal growth pha­se that ali­gns with glo­bal im­pe­ra­ti­ves to se­cu­re re­si­li­ent and geo­po­li­ti­cal­ly ali­gned sup­p­ly chains.

Fol­lo­wing ye­ars of di­sci­pli­ned ca­pi­tal de­ploy­ment and stra­te­gic as­set ac­qui­si­ti­on, the com­pa­ny is ad­van­cing into pro­duc­tion with a cle­ar­ly de­fi­ned, mul­ti-pha­se de­ve­lo­p­ment road­map. The Sang­dong Mine alo­ne is ex­pec­ted to un­der­pin Almonty’s long-term cash flows, with over 90 ye­ars of mine life, su­pe­ri­or ore gra­des, and pro­jec­ted ope­ra­ting cos­ts in the lo­west glo­bal quar­ti­le. The in­clu­si­on of down­stream oxi­de pro­ces­sing and mo­lyb­denum ex­tra­c­tion fur­ther enhan­ces the project’s va­lue pro­po­si­ti­on, en­ab­ling Al­mon­ty to move up the va­lue chain while cap­tu­ring mar­ket pre­mi­ums from tech­no­lo­gy and de­fen­se sec­tors.

Al­mon­ty also be­ne­fits from a di­ver­si­fied Eu­ro­pean base with its high-gra­de Pa­nas­quei­ra Mine in Por­tu­gal, an ope­ra­ti­on with over a cen­tu­ry of pro­duc­tion histo­ry and sta­ble cash flow ge­ne­ra­ti­on. The company’s Spa­nish as­sets, in­clu­ding the tailings-fo­cu­sed Los San­tos Mine and the de­ve­lo­p­ment-stage Val­treix­al Pro­ject, of­fer low-capex growth and stra­te­gic op­tio­na­li­ty to ex­pand Eu­ro­pean out­put.

Al­mon­ty is uni­que­ly si­tua­ted at the in­ter­sec­tion of sup­p­ly se­cu­ri­ty and in­dus­tri­al de­mand growth, with tungsten’s role in se­mi­con­duc­tors, ae­ro­space, and EVs be­co­ming in­cre­asing­ly cri­ti­cal. As Wes­tern eco­no­mies im­ple­ment po­li­ci­es to re­du­ce re­li­ance on Chi­ne­se ma­te­ri­als, Al­mon­ty stands out as a sca­lable, con­flict-free al­ter­na­ti­ve with ju­ris­dic­tion­al cre­di­bi­li­ty, in­te­gra­ted ope­ra­ti­ons, and mul­ti-de­ca­de re­sour­ce depth.

We in­itia­te co­vera­ge with a Buy ra­ting and set a tar­get pri­ce of CAD 4.20, im­ply­ing more than 100% up­si­de from the cur­rent share pri­ce of CAD 2.06. Our va­lua­ti­on re­flects the an­ti­ci­pa­ted ear­nings in­flec­tion point as Sang­dong tran­si­ti­ons into pro­duc­tion in late 2025, com­ple­men­ted by the high-mar­gin con­tri­bu­ti­on from the plan­ned down­stream oxi­de fa­ci­li­ty and ste­ady cash flow from the Pa­nas­quei­ra Mine. Ad­di­tio­nal op­tio­na­li­ty co­mes from the re­ac­ti­va­ti­on of Los San­tos and de­ve­lo­p­ment of Val­treix­al. We be­lie­ve Al­mon­ty is at­trac­tively po­si­tio­ned on a risk-ad­jus­ted ba­sis for in­ves­tors see­king long-term ex­po­sure to the Wes­tern rea­lignment of cri­ti­cal raw ma­te­ri­al sup­p­ly chains.

You can down­load the re­se­arch here: http://​www​.more​-ir​.de/​d​/​3​2​2​4​2​.​pdf

Cont­act for ques­ti­ons:
GBC AG
Hal­der­stra­ße 27
86150 Augs­burg
⁰⁸²¹⁄₂₄₁₁₃₃ 0
research@​gbc-​ag.​de
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Com­ple­ti­on: 11.04.2025 (9:45 a.m.)
First dis­tri­bu­ti­on: 14.04.2025 (8:00 a.m.)