Almonty Industries Inc. Chairman, President, and CEO Lewis Black agreed to subscribe for 21,175,000 common shares of the company at 30 Canadian cents each through a nonbrokered private placement targeting gross proceeds of C$6.4 million.

The private placement will close in two tranches, with the first tranche of 16 million shares for C$4.8 million slated to close by Aug. 18, according to an Aug. 11 news release.

The second tranche, comprising 5,175,000 shares for C$1.6 million, will close upon either Almonty receiving written consent from shareholders holding more than 50% of its share capital or Black not becoming a control person of the company even after the second tranche.

Upon closing of both tranches, Black will hold 36,509,420 common shares on a partially diluted basis, representing approximately 22.55% of the company's issued shares.

Almonty will use the proceeds to fund the equity portion of financing required for its developing Sangdong tungsten property in South Korea, as well as for general working capital.