Luda Tech Explores Mongolia Fluorspar Mine Acquisition

Hong Kong, China - Luda Technology Group Limited (NYSE American: LUD), a manufacturer and trader of steel flanges and fittings, announced on October 13, 2026, that it has entered into a non-binding, non-exclusive Memorandum of Understanding (MOU) with Chuluut-International LLC. This MOU is to evaluate the proposed acquisition of 100% of the legally transferable mining rights and related interests in the Jonsh Tolgoi Fluorspar Project in Mongolia.

The proposed acquisition aligns with Luda Technology's strategic vision to expand beyond its traditional metals manufacturing business. The company aims to diversify into advanced industrial and technology supply chains, including critical and advanced materials, data center, and AI computing infrastructure. Fluorspar, or calcium fluoride, is a crucial source of fluorine, essential for steel and aluminum production, and a feedstock for hydrofluoric acid, which is used in fluorochemicals, fluoropolymers, refrigerants, lithium-ion battery materials, and high-purity chemicals for semiconductor manufacturing.

Luda Technology believes the Jonsh Tolgoi Project could establish a foundation for its participation in these high-growth technology, manufacturing, energy-storage, and infrastructure markets. In addition to this evaluation, the company is actively seeking other mining acquisition opportunities in Mongolia to strengthen its access to strategic materials and complement its planned expansion into computing infrastructure. Furthermore, Luda Technology plans to initiate trading of mineral products from third-party mining operations in Mongolia for sale into China, aiming to diversify revenue and gain market experience.

Ma Biu, Chairman and CEO of Luda Technology, highlighted the strategic importance of fluorspar, stating, "Fluorspar is a critical mineral that connects the steel industry we already serve with the chemical, battery, semiconductor and cooling technologies that modern infrastructure, including data centers, depends on." He emphasized the disciplined, step-by-step approach to evaluating the project and exploring other initiatives to diversify revenue and expand regional supply chain capabilities.

Project and Transaction Details

Jonsh Tolgoi Fluorspar Project:

• Located in Bayandelger soum, Tov province, Mongolia.
• Mining license (Permit No. 6506A) covers approximately 27 hectares.
• Historical records from 2019 describe an open-pit fluorspar mine and beneficiation project, with a projected capacity of 9.0 thousand tonnes per year of FF-97 grade fluorspar concentrate.
• Luda Technology has not independently verified this historical information and is not treating it as a current mineral resource or reserve estimate.

MOU and Proposed Acquisition:

• The MOU is non-binding and non-exclusive, allowing either party to withdraw at any time without liability.
• An indicative consideration of US$14.0 million in cash has been referenced for discussion purposes, though this is not a fixed purchase price and may be revised.
• The transaction is contingent upon successful due diligence, definitive agreements, Mongolian governmental and regulatory approvals, and potential financing.
• The parties currently aim to close any agreed transaction on or before April 30, 2027, though this date is indicative and subject to change.

Luda Technology Group Limited, founded in Hong Kong in 2004, has a history in trading steel flanges and fittings, pipes, valves, and other steel tubing products. The company acknowledges it has no prior operating history in mining and would require retaining qualified technical personnel and making substantial capital investments for any mining project acquisition or development.