Almonty's Revenue Surges 221% Ahead of Crucial Shareholder Vote on Tungsten Doubling

Almonty Industries reports tripled Q1 revenue, seeks shareholder vote on Sangdong mine expansion to capture Western supply chain shift from Chinese tungsten.

The tungsten producer Almonty Industries is sprinting toward a pivotal moment. Just weeks after reporting a blockbuster first quarter that saw revenue more than triple, the company will ask shareholders to green-light a doubling of processing capacity at its flagship Sangdong mine. The vote, scheduled for June 9 in Toronto, could determine how quickly Almonty capitalises on a once-in-a-generation shift in Western supply chains.

First-quarter numbers released on May 11 laid a strong operational foundation. Revenue climbed to 25.4 million Canadian dollars, a 221 percent jump from the same period last year and well ahead of market expectations. The headline net loss of 5.26 million CAD, however, was the result of non-cash revaluation charges totalling 8.4 million CAD — 6.4 million tied to embedded derivative liabilities and 2.0 million to warrant liabilities, both triggered by the rising share price itself. Strip those out, and the picture brightens considerably: adjusted EBITDA came in at 6.1 million CAD, while operating cash flow reached 9.7 million CAD.

Sangdong, the South Korean mine that forms the core of Almonty’s investment thesis, completed its phase-one commissioning on March 17. Once the second phase is approved and built, the operation is expected to supply roughly 40 percent of the world’s tungsten output outside China. That timeline aligns neatly with a looming regulatory deadline: from January 2027, US defence contractors will be barred from using Chinese tungsten, a metal Beijing currently controls more than 80 percent of.

Alongside tungsten, Almonty is building a second leg through molybdenum. It has locked in an exclusive offtake agreement with SeAH M&S, a South Korean processor that will buy the entire molybdenum output over the mine’s life. The contract guarantees a minimum price of 19 US dollars per pound — current spot prices are around 22 USD — and annual volumes of 5,600 tonnes, translating to minimum annual revenue of 234 million USD. Production is expected to begin in late 2026, with the molybdenum deposit located just 150 metres from the existing tungsten operation, allowing shared infrastructure and lower costs.

The end product will flow directly into Western supply chains. SeAH is building a new plant in Texas that will supply both SpaceX and the US defence industry, further reducing South Korea’s dependence on Chinese imports.

The company’s cash position is robust. At the end of March, Almonty held roughly 260 million US dollars in cash, providing ample runway for both projects. The stock has nearly doubled since the start of the year, and analysts see further upside. Bank of America recently initiated coverage with a buy rating and a price target of 23 USD. D.A. Davidson maintains a buy and a 25 USD target, while Alliance Global raised its target to 26.25 USD. Zacks Investment Research upgraded the stock to “buy,” and the median Wall Street price target stands at 19.30 CAD.

The market responded with a broad rally on May 21. On the Nasdaq, shares rose 6.52 percent to 18.79 USD. In Toronto, they gained 6.72 percent to 25.89 CAD. On Australia’s ASX, the stock jumped 7.63 percent to 26.51 AUD, while on Tradegate it hit a daily high of 16.215 euros, a 7.19 percent increase.

With the shareholder vote now just days away, all eyes are on whether the expansion plan gets the green light. If it does, Sangdong’s annual processing capacity could hit 1.2 million tonnes by 2027 — a move that would cement Almonty’s position as the West’s most critical non-Chinese tungsten supplier.