Company: ALM
Filing Date: 2025-07-11
Form Type: F-10/A
Source: 0001641172-25-018741
Chunk: 26

Company: Almonty Industries Inc.
Filing Date: 2025-07-11
Form: F-10/A
Chunk 26
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000 is subject to fixed interest rates. A portion
of its floating rate debt totalling $24,110,000 is subject to a fixed spread over the 6- and 12-month Euro Interbank Offered Rate (Euribor)
rates. A change of 100 basis points (1%) in the rates would result in a $241,000 change in annual interest costs. The remaining
floating rate debt of $106,876,000 is based on a fixed spread over the 3-month secured overnight financing rate (SOFR). A change of 100
basis point (1%) in the 3-month SOFR rate would result in a $1,069,000 change in annual interest costs. All figures are provided in this
risk factor are as at December 31, 2024.

The Company
may in the future become a borrower of an additional material amount of funds or repay its existing outstanding long-term debt at any
time without penalty. The Company’s primary operations are located in South Korea, Spain, and Portugal. The ongoing uncertainty
in the financial markets may have a negative impact on both the Company’s future borrowing costs and its ability to obtain debt
financing.

Inflation

The Company is also affected by inflationary
pressures. Inflation rates in the jurisdictions in which the Company operates have increased significantly since 2021. A significant
portion of the upward pressure on prices has been attributed to the rising costs of labour and energy. These inflationary pressures have
affected the Company’s labour, commodity and other input costs and such pressures may or may not be transitory. Any continued inflation
or increase in the inflation rate for the Company’s inputs, including as a result of increased tariffs affecting countries in which
the Company operates or that are part of the Company’s supply chains may have a material adverse effect on the Company’s
operating costs, capital expenditures for the development of its projects as well as its financial condition and results of operations.

Tax-Related Risks

The Company operates
in multiple jurisdictions with varying tax regimes, and its global operations may expose it to changes in tax laws and interpretations
that could adversely affect profitability. The effective tax rate may change from year to year based on a multitude of factors. Changes
to international, regional, or local tax regulations, including transfer pricing, withholding taxes, and corporate tax rates, may result
in higher effective tax rates or unexpected tax liabilities. Furthermore, the classification of income from foreign jurisdictions, such
as South