/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE
SERVICES OR DISSEMINATION IN THE UNITED
STATES/
Revenue of $8.7
million and Earnings from mining operations of $0.4 million for the first quarter of
2015
TORONTO, Feb. 27, 2015 /CNW/ - Almonty Industries
Inc. ("Almonty" or the "Company") (TSX-V: AII) today
announced the filing of its unaudited interim consolidated
financial statements and management discussion & analysis
("MD&A") for the three months ended December 31, 2014. Unless otherwise
indicated, all currency amounts contained in this news release are
in thousands of Canadian dollars.
The following financial information is for the three months
ended December 31, 2014, and
2013:
Readers are referred to Note 2 and Note 25 of the Company's
audited consolidated financial statements for the year ended
September 30, 2014 and Note 20 of the
Company's unaudited interim consolidated financial statements for
the three month period ended December 31,
2014 for further details.
|
|
Three
Months
Ended
December
31,
2014
$'000
|
Restated
Three
Months
Ended
December
31,
2013
$'000
|
Gross
Revenue
|
|
8,725
|
5,463
|
Mine operating
costs
|
|
6,336
|
2,523
|
Depreciation and
amortization
|
|
1,961
|
624
|
Earnings from mining
operations
|
|
428
|
2,316
|
General and
administrative costs
|
|
1,341
|
614
|
Net other expense
(income)
|
|
(38)
|
(157)
|
Non-cash compensation
costs
|
|
112
|
56
|
Earnings (loss)
before the undernoted items
|
|
(987)
|
1,803
|
|
|
|
|
Interest
expense
|
|
282
|
92
|
Other (gain) loss
realized
|
|
12
|
64
|
Deferred tax
provision
|
|
-
|
-
|
Net income (loss)
for the period
|
|
(1,281)
|
1,647
|
Income (loss) per
share basic
|
|
($0.03)
|
$0.04
|
Income (loss) per
share diluted
|
|
($0.03)
|
$0.04
|
Dividends
|
|
-
|
-
|
|
|
|
|
Cash flows provided
by (used in) operating activities
|
|
(1,302)
|
1,285
|
Cash flows provided
by (used in) investing activities
|
|
(3,107)
|
(1,540)
|
Cash flows provided
by (used in) financing activities
|
|
(807)
|
(588)
|
The following table sets forth a summary of the Company's
consolidated financial position as of the date presented:
|
|
|
|
|
|
December
31,
2014
$000
|
September
30,
2014
$000
|
Cash
|
|
9,441
|
14,847
|
Restricted
cash
|
|
1,230
|
956
|
Total
assets
|
|
86,965
|
88,047
|
Long-term trade
payables
|
|
669
|
675
|
Short-term bank
indebtedness
|
|
1,685
|
1,041
|
Long-term
debt
|
|
19,195
|
20,296
|
Capital lease
obligations
|
|
365
|
296
|
Convertible
debenture
|
|
7,300
|
7,292
|
Shareholders'
equity
|
|
46,394
|
47,096
|
|
|
|
|
Other
|
|
|
|
Outstanding shares
('000)
|
|
48,987
|
48,996
|
Weighted average
outstanding shares ('000)
|
|
|
|
|
Basic
|
|
48,992
|
43,149
|
|
Fully diluted
(treasury method)
|
|
48,992
|
43,149
|
Closing share
price
|
|
$0.67
|
$0.70
|
Lewis Black, President and CEO of
Almonty, commented "As testament to its lean operating structure,
given the deterioration in APT pricing, the Los Santos numbers were
superb. We are midway through the initial phase of our two
phase twelve month optimization and turn-around plan at the
recently acquired Wolfram Camp Mine and results to date are on
track.
Phase one: Replacement of hire fleet completed.
Exploration drilling to produce the first mine plans
scheduled for completion first week of March
2015. Ongoing restructuring of all cost centers.
Commencement of rebuilding and converting the existing Moly plant
into a Tungsten recovery plant similar in design to our former
project in Panasquiera.
Phase two: to commence in Q3 and will include accessing old
underground galleries; continued drilling to expand resource
and mine planning; and, expansion of existing tailings dam to meet
increased production.
On completion of Phase two we expect the Wolfram Camp mine to
have a similar cost structure to that of our profitable Los Santos
Mine."
About Almonty
The principal business of Toronto,
Canada based Almonty Industries Inc. (TSX-V: AII) is the
mining, processing and shipping of tungsten concentrate from its
Los Santos Mine in western Spain
and its Wolfram Camp Mine in north Queensland, Australia. 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 km west of Cairns in northern Queensland, Australia and produces tungsten
and molybdenum concentrate. Almonty also has an option to acquire a
100% ownership interest in the Valtreixal tin-tungsten project in
north western Spain. Management
and certain members of Almonty's Board of Directors led the
turnaround and eventual sale of Primary Metals Inc., the operator
of the Panasqueira Tungsten Mine in Portugal from 2003 to 2007. Further
information about the Company's activities may be found at
www.almonty.com and under the Company's profile at
www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Disclaimer for Forward-Looking Information
When used in this press release, the words "estimate",
"project", "belief", "anticipate", "intend", "expect", "plan",
"predict", "may" or "should" and the negative of these words or
such variations thereon or comparable terminology are intended to
identify forward-looking statements and information. This press
release contains forward-looking statements and information
including, without limitation, the future profitability of the
Wolfram Camp Mine and matters related to the completion of Phase
one and Phase two of the turn-around plan. These statements and
information are based on management's beliefs, estimates and
opinions on the date that statements are made and reflect Almonty's
current expectations.
The forward-looking statements and information in this press
release include information relating to the intentions of
management. Such statements and information reflect the current
view of Almonty with respect to risks and uncertainties that may
cause actual results to differ materially from those contemplated
in those forward-looking statements and information. By their
nature, forward-looking statements involve known and unknown risks,
uncertainties and other factors and assumptions which may cause
actual results, performance or achievements, or other future
events, to be materially different from any future results,
performance or achievements expressed or implied by such
forward-looking statements.
Investors are cautioned against attributing undue certainty
to forward-looking statements. Almonty cautions that the foregoing
list of material factors is not exhaustive. When relying on
Almonty's forward-looking statements and information to make
decisions, investors and others should carefully consider the
foregoing factors and other uncertainties and potential
events.
Almonty has also assumed that material factors will not cause
any forward-looking statements and information to differ materially
from actual results or events. However, the list of these factors
is not exhaustive and is subject to change and there can be no
assurance that such assumptions will reflect the actual outcome of
such items or factors.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS PRESS
RELEASE REPRESENTS THE EXPECTATIONS OF ALMONTY AS OF THE DATE OF
THIS PRESS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER
SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON
FORWARD-LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS
INFORMATION AS OF ANY OTHER DATE. WHILE ALMONTY MAY ELECT TO, IT
DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR
TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.
SOURCE Almonty Industries Inc.