Almonty’s Strategic Expansion: A Western Push in the Tungsten Market

Almonty CA0203981034

In a recent shareholder communication, Almonty Industries Inc. has laid out a detailed roadmap to cement its position as a leading Western supplier of tungsten. The company's strategy hinges on transitioning its key Sangdong mine in South Korea from construction to active production, with an ambitious goal to capture a significant share of the non-Chinese tungsten supply.

The company has fortified its financial position through two major capital market events. A Nasdaq listing in July 2025 was accompanied by a public offering that raised gross proceeds of approximately $90 million. This was followed by a subsequent placement in December 2025, generating total proceeds of $129.4 million, which included the full exercise of an over-allotment option.

Concurrently, Almonty has bolstered its executive team. In December 2025, retired Brigadier General Steven L. Allen was appointed Chief Operating Officer, tasked with optimizing delivery performance from the Sangdong and Panasqueira operations. This was followed in January 2026 by the addition of Guillaume Wiesenbach de Lamaziere (CFA) as Chief Development Officer.

Sangdong Mine Enters Production Phase

A central milestone was confirmed by Chairman and CEO Lewis Black: active mining commenced at the Sangdong tungsten mine in December 2025. The company marked this operational shift with the delivery of the first truckload of ore to the Run-of-Mine (ROM) pad. Almonty anticipates Sangdong will become one of the largest and longest-life tungsten mines outside of China, underpinned by binding offtake agreements. These include long-term commitments to supply tungsten oxide for U.S. defense applications.

A Multi-Continent Platform Targeting 40% Market Share

Almonty's vision is to build an integrated, Western-based platform spanning North America, Europe, and Asia. The corporate objective is to supply a minimum of 40% of the tungsten production originating outside China. The operational focus for 2026 is structured around four key projects:

• Sangdong Phase 1: Progressing toward full commercial operation.
• Sangdong Phase 2 Expansion: Finalization is planned for 2027, with a targeted capacity of up to 1.2 million tonnes per year.
• Panasqueira, Portugal: A large-scale drilling program is underway to define a "Level 4" expansion of the operation.
• Gentung Browns Lake, Montana: The target is to achieve production readiness in the second half of 2026.

Favorable Market Dynamics

The strategic push comes amid a supportive market environment. Almonty notes that tungsten prices increased by more than 160% during 2025. The company cites China's export restrictions on dual-use materials and a U.S. ban on Chinese tungsten imports for defense procurement starting in 2027 as key market drivers. Currently, China accounts for over 80% of global tungsten production, highlighting the strategic importance of alternative sources.

The coming months will be critical for Almonty. Success depends on the smooth scaling of Sangdong's Phase 1 to full commercial output and the timely achievement of production readiness at the Gentung Browns Lake project in late 2026.