Almonty Lines Up $700M War Chest as Tungsten Mine Nears Critical Ramp-Up

Almonty raises $700M for Sangdong tungsten mine to counter China's 80% market grip, aiming to become top non-China source. Stock up 140% YTD.

Western defence contractors face a looming supply crunch. China controls nearly 80% of global tungsten output, and from 2027 that dominance will increasingly lock out Western buyers. Almonty Industries is racing to fill the void, and it has just secured a massive financial weapon to do so. The Canadian miner is raising $700 million through convertible notes, with an underwriter option for an additional $100 million, to accelerate development at its Sangdong mine in South Korea and pay down debt.

The notes, placed with institutional investors, mature in mid-2031 and pay interest semi-annually. Almonty’s management retains flexibility on repayment, able to convert the instruments into common shares or cash at its discretion. To cap dilution for existing shareholders, the company has entered into capped-call transactions that limit the number of new shares that could be issued.

All eyes are now on the timeline at Sangdong, which Almonty expects to become the largest tungsten source outside China. The mine is currently in a data-gathering phase that ends in June 2026, with the ramp-up to full Phase 1 capacity scheduled to begin the following month. Phase 2, which would roughly double throughput, is already on the drawing board and could start earlier than anticipated if Phase 1 goes smoothly.

Oppenheimer recently lifted its price target on Almonty to $25.00, up from $22.00, maintaining an “outperform” rating. The analyst firm cited tight supply conditions on the global tungsten market, where the price of ammonium paratungstate sits at roughly $3,040 per metric tonne unit. For the current fiscal year, Oppenheimer forecasts earnings per share of $0.30.

The company’s first-quarter results for fiscal 2026 underscore the momentum. Revenue surged to $25.4 million, a 221% jump from the year-ago period. Adjusted EBITDA came in at $6.1 million, while operating cash flow reached $9.7 million. Management has signalled interest in future share buybacks as free cash flow builds.

Shareholders have already rewarded the trajectory. The stock closed at C$28.86 on Thursday in Toronto, representing a gain of roughly 140% since the start of the year and more than 500% over the past twelve months. At C$28.59, it trades about 7% above its 50-day moving average, with a relative strength index of 54.7—pointing to room for further upside without overheating. The longer-term trend remains intact, with the price well above its 200-day line of C$16.59.

On the leadership front, Almonty appointed Jorge Beristain as chief financial officer effective June 1. The annual general meeting is set for June 9, with proxy voting having closed at 10:00 a.m. Eastern Time on June 5. Once the Toronto Stock Exchange formally approves the new convertible notes, the miner will be fully equipped to execute the next phase of its growth story.