Institutional Investors Target Almonty as Tungsten Supply Crisis Intensifies

A global tungsten supply crunch, driven by Chinese export controls, is impacting chipmakers. Almonty Industries' new South Korean mine begins production to fill the gap, drawing major investor interest.

A deepening global shortage of tungsten is now directly impacting the semiconductor sector. This period of acute supply pressure coincides with Almonty Industries announcing its South Korean Sangdong mine is ready for production. The convergence of these events is drawing significant attention from institutional investors aiming to capitalize on the impending market gap.

The supply crunch, driven by tightened Chinese export controls on tungsten, has prompted Japanese suppliers to warn South Korean chipmakers, including Samsung Electronics, of potential shortages of tungsten hexafluoride—a critical material in semiconductor manufacturing. With China, Russia, and North Korea collectively controlling approximately 95% of global supply, end-users are urgently seeking alternative sources outside this sphere of influence.

Market Analysts Revise Targets Amid Price Surge

The supply constraint has triggered a dramatic price increase for the industrial metal. Recent trades on the Rotterdam market reached as high as $2,800 per metric ton, representing a surge of roughly 700% since early 2025. This fundamental shift is reflected in the company's shareholder base, where the number of invested funds grew by over 55% last quarter to 107. Among them, Van Eck Associates increased its position to 11.24 million shares.

Wall Street has responded to Almonty's transition from developer to producer with revised assessments:

• DA Davidson has set a price target of $25.00.
• B. Riley Financial's target stands at $23.00.
• Oppenheimer issued a $19.00 price target.
• Diamond Equity Research doubled its 2026 EPS estimate to $0.45.

Investors have already rewarded this operational progress. The stock closed Monday at CAD 23.15, marking a twelve-month gain of approximately 683%.

Sangdong Mine Positioned to Bridge Critical Gap

The Canadian mining company is poised to address the shortage. In mid-March 2026, the first processing plant at the Sangdong mine in South Korea officially commenced operations after over three decades of inactivity. The facility is designed to process 640,000 tonnes of ore annually, yielding about 2,300 tonnes of tungsten concentrate. A planned second phase for 2027 is expected to double this capacity.

The timing of the startup is critical. While existing industry stockpiles are projected to last only until June, Almonty is positioned to help fill the anticipated supply gap in the second half of the year.

North American Expansion Complements Asian Footprint

Beyond Asia, the company is advancing its North American strategy. The commissioning of the Gentung Browns Lake project in Montana is scheduled for the second half of 2026. This move carries strategic weight as the United States will prohibit the import of Chinese tungsten for defense applications starting in 2027.

With the successful launch of the first phase in South Korea and targeted production beginning in Montana, market focus is now shifting to tangible revenue generation. A recent capital raise, which bolstered the treasury to over CAD 268 million, secures the funding for these planned expansion stages.