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Bullboard - Stock Discussion Forum Almonty Industries Inc T.AII

Alternate Symbol(s):  ALMTF

Almonty Industries Inc. is engaged in the mining, processing and shipping of tungsten concentrate from its Los Santos tungsten mine located near Salamanca, Spain, the processing and shipping of tungsten concentrate from its Panasqueira tin and tungsten mine in Covilha, Castelo Branco, Portugal, the evaluation of its Valtreixal tin and tungsten mine project located in Western Spain, as well as... see more

TSX:AII - Post Discussion

Almonty Industries Inc > BIG Enviro Issues At Sangdong.
View:
Post by 5ilverlining808 on Apr 02, 2023 6:51am

BIG Enviro Issues At Sangdong.

This could explain the delays and the reason to stockpile equipment instead of building the plant ???
Almonyty inherited poisoned ground by decades of neglect, and knew it.
Not good news, and should be the first questions asked in the 7.IIF Q&A.
Transparency is very opaque.



From Bazza88 a HotCopper poster 02/04/2023 :-

"I am not sure whether it has been covered in previous threads, but the Company appears not to have addressed the fact that its Development Permit expired in 2021 and has not been extended by MOTIE, which has ruled that Almonty must take responsibility for soil contamination, which is estimated to cost upwards of USD20m.... no mention of this by Lewis Black in his presentation.... instead, the Company states that Sandong is fully permitted - how can this be the case when it doesn't have a current Development Permit ? see : https://m.sentv.co.kr/news/view/639121
The article, written Dec 22, states :
"

Around October of last year, Almonty was investigated by related agencies for contaminating the Han River water system with a first-class carcinogen through illegal dumping of thousands of tons of contaminated soil into national forests and unauthorized discharge of contaminated waste soil and wastewater.

 

At that time, Yeongwol-gun and related organizations conducted a detailed soil investigation on the Almonty Sangdong Mine factory site, road and river section, and found that arsenic, a first-class carcinogen, was 6,104.36 mg/kg, which is 30 times higher than the environmental standard, and a highly toxic heavy metal at the planned factory site . Phosphorus fluoride shocked the public by revealing that it was 51,062 mg/kg, up to 64 times higher than the standard.

 

It was also confirmed that arsenic and fluoride in residential areas exceeded the standard by a maximum of 18 and 12 times, respectively, and rivers through Sangdong-eup exceeded 3.8 times - 4.3 times and 2.9 times - 3.1 times, respectively, posing a direct threat to the survival rights of downstream residents.

 

On August 26, Yeongwol-gun issued an order to purify the soil to Almontie based on the results of a soil investigation, but it was disobeyed.

 

In addition, Sangdong Mine contamination was not their own act, but the soil was already contaminated during the former) Daehan Jungseok period, and suggested the application of the 'Act on the Prevention and Recovery of Mine Damage' (hereinafter referred to as the Mine Damage Prevention Act) and requested the corporation to bear the cost of soil remediation . .

 

However, from January 24, 2007, when Almonty received and registered the mining rights for Sangdong Mine from Mr. A, a former mining right holder, Almonty took over the mine damage prevention responsibility for the mine, and the current Sangdong Mine The mine damage prevention mandate was nailed to Almonty.


Clearly there is huge local opposition and in addition the Korean Gvt authorities are insisting that Almonty is responsible for the soil contamination. Have Black and Frazer disclosed all of this to investors in the recent placements ? Prima facie case for fraudulent misrepresentation if they haven't."

From the same poster earlier on this HotCopper thread :-
 

"The person who should be addressing all these issues and fronting Australian shareholders is the Australian director, Andrew Frazer, who I understand was pivotal in arranging the ASX listing."
Comment by chizzles on Apr 02, 2023 9:40am
Not good.. Although, I am wondering with the $75 million loan from KFW, they took a couple of years of due dilligence before approving the loan. And from what I remember, they have never had a company that they financed fail, showing how strict they are about everything. I am assuming that envirnment issues would be close to the top of their list, so they must have been aware. And they still ...more  
Comment by 5ilverlining808 on Apr 02, 2023 11:15am
Good points chizzles, I hope that is true and the soil remediation might have been part of and understood by the KFW bank and factored into the $76m loan. But it just does not make sence. Why not disclose this ?? I note the dates for the loan approval  and the complaints are worth more investigation, but I will leave that to those not as lazy as me lol.
Comment by QuarterDollar on Apr 02, 2023 8:02pm
This is Absolute BS !!!!! This is not on KFW as they did their due dilligence and so did Almonty. They were both most likely strung along by the SK governemt bodies that everything was ok until now. There is NO WAY IN H3LL those same government bodies didn't know the soil was contaminated by the previous mining company. At the very least they suspected it and did NOTHING.  They ...more  
Comment by QuarterDollar on Apr 02, 2023 9:08pm
On a good note, there are so many SK companies and Gov't departments interested and vested into Sangdong getting to production.  That is the really a good thing for us. That is probably the only saving grace for Almonty and give LB some leverage. No wonder LB says controlling costs is his highest priority, but I still think this is material information that LB should have made a ...more  
Comment by chizzles on Apr 02, 2023 9:28pm
QB, I agree. Not just SK companies and Gov't, but also insiders who haven't sold, and continued to add, as recently as March 30th (3 days ago).  Theyt wouldn't buy if they knew that this wouldn't work out?? 
Comment by whoisyourpapa on Apr 02, 2023 9:33pm
@5ilver what info do we have to state the equipment is being stockpiled instead of the plant being built?  To my knowledge there have not been any pictures of the construction site in a long time, so how can we know?  In his last presentation LB stated that he has a tonne of pictures but no time to put them on the website.  Loan drawdowns keep happeing as per the drawdown schedule ...more  
Comment by 5ilverlining808 on Apr 03, 2023 2:21am
whois, its just a figuer of speech
Comment by corton68 on Apr 03, 2023 6:24am
Have to call BS on this one. Hatch, KFW, OeKB, Almonty etc etc all just missed this? Almonty closes a loan with the German government with an unpermitted project?? C'mon gents! Sounds to me like someone's trying to create a narrative for their own purpose. Sounds to me a bit like that crazy ex employee from a few years back! Seems this so called article is on some backwater digital only ...more  
Comment by chizzles on Apr 03, 2023 7:56am
I think they read our posts, in today's NR, they quickly addressed this: "There is a reason that KFW IPEX-Bank has and continues to support the Sangdong project as it qualified for a tier 1 financing on the merits of the project and on the experience of our team. This fourth drawdown ensures that all the parties are comfortable that we are proceeding as anticipated and in a manner that ...more  
Comment by QuarterDollar on Apr 03, 2023 8:05am
You all made very valid points and yes this article appears to be absolute BS. Sangdong met the latest mining standards i.e. the Equator Principles and secondly there is no way KFW would ever authorize a loan with something as questionable as this. It appears someone is intentionally trying cause the share price to fall so they can get in on the action. I shouldn't have posted to ...more  
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