Almonty Industries begins drill program at Sangdong

Executive Summary

• Almonty Industries has launched a large‑scale underground drilling program at the Sangdong molybdenum project in Yeongwol, South Korea – 26 drill holes covering ~11,700 m.
• The program aims to generate data needed to confirm and upgrade molybdenum mineral reserves ahead of an accelerated production schedule, responding to South Korea’s critical supply shortage.
• Almonty holds an exclusive off‑take agreement with SeAH M&S for 100 % of future molybdenum production from Sangdong, reinforcing the strategic importance of the project.

Key Details

• Drilling Scope: 26 diamond drill holes; total planned depth ≈11,700 m of underground drilling to re‑examine historic mineralized structures.
• Technical Report Reference: NI 43‑101 Technical Report dated May 31 2022 (filed on SEDAR+); reviewed and approved by qualified person Adam Wheeler.
• Strategic Context: South Korea’s national molybdenum stockpile is critically low; government has issued notices for private firms to secure supply, creating urgency for the project.
• Supply Agreement: Exclusive offtake with SeAH M&S (SeAH Group subsidiary) for 100 % of Sangdong molybdenum production for the life of the mine.
• Price Environment: Spot molybdenum price up ~15.1 % YTD to US$25.97/lb as of 19 Sept 2025 (Metal Bulletin/Fastmarkets).
• Future Plans: Upon completion of drilling, Almonty will update its technical report and target an expedited start‑up of production; potential simultaneous operation with the adjacent Sangdong tungsten mine (Phase I preparation stage).
• Economic Impact Statements: Project expected to generate local employment, population growth, and broader regional economic revitalization.

Notable Quotes

“At a time when allied South Korea is facing a shortage of molybdenum supply, we believe that the Sangdong molybdenum project will make a significant contribution to national resource security… Once molybdenum production at Sangdong mine is fully operational, Almonty believes that it will help resolve South Korea's supply shortage and reduce the nation's dependence on imports.” – Lewis Black, Chairman & CEO

“With molybdenum emerging at Sangdong alongside tungsten … the positive impact on the broader local community could be substantial.” – Lewis Black, Chairman & CEO