Tungsten Supply Fever Draws Fidelity and a New Finance Chief to Almonty's Doorstep

Fidelity takes 6.5% stake in Almonty as Sangdong tungsten mine nears production; prices surge 230% amid China's grip on supply.

China’s grip on tungsten production is tightening, and the race for alternative supply is reshaping the investment case for Almonty Industries. The Canadian developer is closing in on producer status at its Sangdong mine in South Korea, and the market is watching two distinct signals: a heavyweight institutional investor has just taken a seat at the table, while a Wall Street veteran prepares to step in as finance chief at a critical juncture.

Fidelity emerged as a new major shareholder, scooping up 18.28 million shares for a 6.5% stake. That entry lifts its holdings to a level that places the asset manager alongside other sophisticated institutional names such as Van Eck Associates, which owns 11.2 million shares, and Encompass Capital Advisors. The arrival of a marquee name like Fidelity suggests Almonty is no longer being treated as a speculative exploration story — the transition to a revenue-generating tungsten producer outside China is gaining credibility.

The stock had already priced in much of the optimism. At C$28.42 on Monday, shares climbed 5.73% in a single session, extending the year-to-date rally to a staggering 136%. The recent peak of C$32.07 hit on April 17 lies just 11.38% above the current level — a modest pullback for a run that has transformed the company’s market profile.

A Management Reshuffle Ahead of the Numbers

Jorge Beristain is set to take over as chief financial officer in June, replacing Brian Fox, who left the company with immediate effect. Until Beristain arrives, Guillaume de Lamaziere will serve as interim CFO. Beristain’s background as a former Wall Street mining analyst gives him a familiar perspective on the capital-intensive nature of ramping up a new mine — precisely the task ahead at Sangdong.

The mine, one of the largest tungsten deposits globally, is expected to begin generating meaningful revenue this year. With China controlling roughly 80% of global output, Almonty’s ability to bring supply from a non-Chinese source has become a geopolitical asset. The company is also building a Western processing and distribution network, with facilities in the United States, Portugal, and Spain.

The Raw Material Tailwind

Tungsten markets are in the grip of a severe squeeze. Ammonium paratungstate prices have surged around 230% since the end of 2024, trading near US$3,000 per tonne. In early May, spot prices hit a record above US$3,200 per metric tonne unit. The shortage extends beyond defense and traditional industrial uses: Chinese export controls are affecting tungsten hexafluoride, a precursor used in semiconductor manufacturing, prompting Japanese producers to warn Samsung and SK Hynix of potential disruptions by mid-year.

For Almonty, this backdrop makes Sangdong increasingly strategic. At full production, the mine could cover about 40% of tungsten demand outside China. Its ore grade of approximately 0.51% tungsten trioxide is well above the industry average, providing a cost advantage that matters when ramp-up efficiency is under the microscope.

Cash, Losses, and the Calendar

Almonty ended 2025 with a comfortable liquidity cushion — roughly C$268 million in cash. That war chest could fund the Phase 2 expansion at Sangdong without an immediate equity raise, a key consideration as the company navigates the path from developer to producer.

The net loss reported for 2025 stood at C$162 million, though the bulk of that figure stemmed from non-cash valuation adjustments. In U.S. dollar terms, the annual deficit was approximately US$102 million against revenue of about US$9 million. The fourth quarter alone generated C$8.7 million in sales, but that came in 12% below analyst expectations — a miss that raises the stakes for the upcoming first-quarter report.

On May 20, management will release Q1 results — the first full period in which the initial production phase at Sangdong operated without interruption. Investors will scrutinize the ramp-up trajectory, costs, and any updates on capital requirements for the final development phase. The report carries more weight than a typical quarterly update because the market needs to see whether the production curve is accelerating.

A week later, on June 9, the annual general meeting in Toronto will put several items to a vote: board elections, auditor appointment, compensation plans, and crucially, the approval for Phase 2 expansion. That agenda dovetails with Beristain’s arrival, who will be tasked with securing financing for the next stage.

Market Signals and Entry Points

Technical indicators have flashed a buy signal on Almonty’s U.S.-listed shares, with analysts pointing to a key support zone near US$0.0130. On Germany’s Tradegate exchange, the stock changed hands at €16.56 recently, reflecting international interest in the story.

The institutional backing from Fidelity adds operational credibility, while the CFO change signals preparation for the heavy lifting ahead. The May 20 data print will test whether the rally has gotten ahead of the production reality, or whether the Sangdong ramp is finally gaining the traction that the market has been pricing in for months. Both the new shareholder and the new finance chief are betting that the answer leans positive — but the proof will arrive in the numbers.