Tungsten Mining (TGN) Australian Rare Earths & Critical Minerals Virtual Investor Conference summary

Market and industry overview

• Tungsten prices have surged to all-time highs, reaching $689 per MTU, driven by supply deficits and export restrictions from China and Russia, which together control 90% of global production.

• Global demand for tungsten is growing at a compound annual rate of 7.8% over the next eight years, with significant usage in defense, transport, construction, and energy sectors.

• Major non-Chinese producers are facing resource depletion, notably Nui Phao in Vietnam, which will see output drop by 2026, deepening the supply gap.

• Western world tungsten mines are being depleted, and new supply is limited, increasing the strategic value of new projects.

Project portfolio and resource base

• Three open-cut projects in Australia: Watershed (Queensland), Hatches Creek (Northern Territory), and Mount Mulgine (Western Australia), with Mount Mulgine being the largest and globally significant.

• Mount Mulgine is a polymetallic deposit containing tungsten, molybdenum, copper, gold, and silver, with a total global resource of 328 million tons.

• Mulgine Trench alone holds 247 million tons of resource, including 270,000 tons of tungsten concentrate.

• Annual production estimates include 4,500+ tons of tungsten concentrate, 1,200 tons of molybdenum, 1,300 tons of copper, 9,600 ounces of gold, and 500,000+ ounces of silver.

Financial metrics and project economics

• Initial 6 Mtpa development case: CapEx $233–322 million, NPV $650–910 million at base prices, $1.56–1.82 billion at spot prices, IRR 30–45% (base), 51–71% (spot), payback 2.2–3.8 years.

• Large-scale 15 Mtpa case: CapEx $410–564 million, NPV $1.1–1.5 billion (base), $2.5–2.9 billion (spot), IRR up to 93%, payback 1.6–2.2 years, mine life 10 years.

• Revenue breakdown: 58% from tungsten, 19% from molybdenum, 23% from copper, gold, and silver.

• Sensitivity analysis shows project is most sensitive to FX rates, tungsten recovery, and tungsten price, but less so to capital or mining costs.