Disseminated on Behalf of: Allied Critical Metals Inc.
Roy Bonnell, CEO and Director of Allied Critical Metals (CSE: ACM | OTCQB: ACMIF | FSE: 0VJ0), discusses the company’s critical mineral focus on reviving two of northern Portugal’s most historically significant tungsten operations — the flagship Borralha mine and the adjacent Vila Verde property.
Operating within one of Europe’s most stable and established mining jurisdictions, the company’s goal is to deliver near-term tungsten concentrate to a Western market that currently sources over 90% of its supply from China and other non-rule-of-law nations. As geopolitical pressure, supply chain fragmentation, and accelerating industrial demand reshape global critical mineral supply, Allied Critical Metals is positioning itself to capitalize on record-high tungsten prices and a deepening east/west resource divide that shows no signs of narrowing.
A dual-asset strategy built to de-risk
Unlike many junior resource peers, Allied Critical Metals is simultaneously advancing two historically producing tungsten assets, each with distinct near-term and long-term roles in its production strategy. The company’s pilot plant at Vila Verde procurement activities and vendor engagement are expected to advance during the second and third quarters of 2026, with delivery of major equipment packages targeted for late 2026 and Pilot Plant assembly and commissioning thereafter. Once completed, the pilot plant can de-risk full-scale processing operations at Borralha, while artisanal mining on the Justes sub-property offers a near-term revenue pathway anticipated before year-end 2026.
According to CEO Roy Bonnell, “as the tungsten market is bifurcating in this east/west divide, having an emerging important supply like Borralha is going to be key for the market going forward.” This phased, dual-asset approach — combining early cash flow potential with a transformational development timeline — reduces execution risk and improves financial predictability. Supported by a robust PEA and an active 20,000-metre drill campaign, the model sets a credible standard for Western critical mineral development.
Why the Western tungsten gap is an investor opportunity
With critical mineral security reshaping the global commodities landscape, Allied Critical Metals is strategically positioned to capture surging Western demand for tungsten — a material critical to defence applications, industrial cutting tools, electronics, and energy systems. Approximately 85% of global tungsten supply originates in China, with over 90% sourced from non-rule-of-law nations when Russia, North Korea, and Vietnam are included.
North America currently produces zero domestic tungsten, while Western Europe sources fewer than 20% of its needs from within Western jurisdictions — a structural deficit with no near-term resolution in sight. Tungsten prices have reached historic highs in direct response to these dynamics. By concentrating on historically productive Portuguese assets at precisely this market inflection point, the company aims to offer investors leveraged exposure to a commodity in acute structural shortage, alongside the added security of a Tier 1 European operating jurisdiction.
Strong PEA economics and a clear path to production
Recent milestones include a March 2025 PEA on Borralha demonstrating a robust $964 million NPV at $1,500 per MTU — less than half today’s tungsten spot price — alongside an active 20,000-metre drill campaign targeting resource growth. The company is also advancing offtake agreements with downstream end users.
On the Vila Verde portfolio, Bonnell is direct: “Vila Verde could be huge.” He adds, “There is a dire need to provide tungsten concentrate to the market as soon as possible — both on a financial level and also on a commercial level, we’re seeing huge demands to get our project in production just as soon as we possibly can.” Looking ahead, Allied Critical Metals expects its Borralha DFS by end of Q4, construction beginning in early 2027, and near-term tungsten from Vila Verde artisanal operations before year-end 2026.
Positioned at the intersection of supply security and industrial demand
As Allied Critical Metals advances its twin-asset tungsten portfolio, it stands at the intersection of critical mineral security and rising Western industrial demand. With a DFS, pilot plant commissioning, and near-term production all converging through 2026–2027, the company is positioned to deliver measurable progress in one of Europe’s most strategically important mining jurisdictions.
Transcript
Jim Gordon: Hi, I’m Jim Gordon, and you’re watching Market One Minute. Joining us is Roy Bonnell. He is the CEO and Director of Allied Critical Metals. Roy, welcome.
Roy Bonnell: Hi Jim, nice to be here.
Jim Gordon: Great to have you, sir. Okay, let’s talk to our viewers a bit about Allied Critical Metals and your flagship Borralha project in northern Portugal.
Roy Bonnell: So, Allied Critical Metals, ACM on the CSE is bringing back into production two historic tungsten mines in Northern Portugal. Borralha, which is historically the largest tungsten mine. And we’re doing it at a time in which tungsten prices are at a historic high, and the western market is in dire need of more tungsten.
Jim Gordon: And Roy, the Borralha project is positioned as a near term tungsten producer. What are the key milestones that investors should watch for as you move from PEA toward production?
Roy Bonnell: We announced our PEA on March 2nd of this year, showed a very robust NPV of [close to] a billion dollars at $1,500 an MTU, which is less than half of what the current price is for tungsten. And so, we’re going to continue to move forward very quickly. We’ve got a 20,000-metre drill campaign going on currently, so there’ll be lots of exploration news that will grow that resource and improve the PEA updates as we go forward.
We’ll be building a pilot plant on the Vila Verde property, that’s going to help to de-risk the bigger plant on Borralha as well. We’ll be signing off, take agreements with end users as well for that Borralha material. And by the end of the [fourth] quarter, we should have our DFS done as well on Borralha. And that will allow us to start construction probably in very early 2027 with the idea that that Borralha plant will be spitting out tungsten concentrate before the end of the 2027 year.
Jim Gordon: And Roy, I’m looking at a stat here that when you talk about global tungsten supply, it’s concentrated mainly in China, and I guess to a lesser extent, Russia and North Korea. How important is the Borralha in helping diversify supply in Europe and North America?
Roy Bonnell: You’re right. Look, 85% of tungsten comes from China. You add North Korea, Russia, Vietnam — non rule of law countries to that mix — and you’re well over 90%. So, as the tungsten market is bifurcating in this east/west divide, having an emerging important supply like Borralha is going to be key for the market going forward. Currently, there is no tungsten production in North America at all, and Western Europe, less than 20% of its tungsten needs are actually being provided by Western sources.
Jim Gordon: And how should investors think about the upside of the Vila Verde and other targets within your Portuguese portfolio?
Roy Bonnell: Yeah, listen, Vila Verde could be huge. You know, it contains historically the third largest tungsten mine in Portugal, Vale das Gatas, as well as the other property called Justes, which has been mined artisanally for 40, 50 years by locals on an ongoing basis. So, we think those could represent huge increases in terms of a resource estimate. And also, that artisanal property is going to provide us with a near term source of tungsten, which we’re hopefully going to be providing to the market by the end of 2026.
Jim Gordon: As you know, tungsten prices have been rising alongside tightening supply. How does this current pricing environment impact development timeline and financial strategy and structuring?
Roy Bonnell: There’s a huge disequilibrium as you noted between supply and demand in this market. There is a dire need to provide tungsten concentrate to the market as soon as possible. So, both on a financial level and also on a commercial level, we’re seeing huge demands to get our project in production just as soon as we possibly can.
Jim Gordon: Roy Bonnell, thank you very much for joining us.
Roy Bonnell: Thank you, Jim.
To learn more about Allied Critical Metals, visit their website here.
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The scientific and technical information contained within this article has been reviewed and approved by Vitor Arezes, who is a Qualified Person, as defined under the terms in National Instrument
