Almonty Builds Beyond Sangdong as Deutsche Rohstoff's Selling Stops and B. Riley Trims Its Target

Almonty's story has never rested on a single mine, and two agreements now sketch out how the tungsten producer intends to widen its supply base beyond the Sangdong ramp-up. A long-term take-or-pay contract for reprocessing tailings at Los Santos sits alongside a joint venture in Rwanda, each addressing a different link in the chain from ore to offtake.

A Named Buyer and a Firm Minimum

Media reports indicate Almonty has signed a long-term take-or-pay agreement covering the reprocessing of tailings at Los Santos with Wolfram Bergbau und Hütten AG, a subsidiary of Sandvik. The deal covers at least 1,720 tonnes of contained WO?.

That combination — an identified counterparty, a concrete minimum volume and a long-term contractual structure — carries more weight than another broad growth narrative. The question shifts from where tungsten can be extracted to how the material enters contracted offtake relationships. Still, a committed volume is not a profit margin. The contract gives investors a tangible building block of the business, not a complete economic valuation of that block.

Rwanda: Signed, but Still at the Planning Stage

The Rwandan move attacks the problem from a different angle. According to media reports, Almonty has established a 75/25 joint venture with the country's government, pairing an exploration licence with plans to purchase, process and export ore from existing small-scale producers.

The distinction matters. The joint venture itself is completed; the buying, processing and exporting are described as plans. Treating the two as equivalent would turn a strategic extension into an operating contribution before one exists. Together, the initiatives point to a broader idea in resources: value creation does not begin only with a new mine. Existing tailings, established producers and long-term offtake arrangements can all form part of the build-out.

Deutsche Rohstoff Steps Back From the Register

On the shareholder side, Deutsche Rohstoff has not sold any further Almonty shares since mid-July, according to a statement published today alongside the company's latest guidance upgrade. That closes off a specific worry: the recent share-price decline did not coincide with additional selling by this major holder. It is not, however, a guarantee against future supply of stock.

The disclosure carries weight precisely because of what came before. Deutsche Rohstoff's earnings forecast includes a substantial contribution from Almonty share sales through mid-July; since then, the stake has been left untouched. Media reports suggest Deutsche Rohstoff has no plans for further Almonty disposals — though a confirmed backward-looking period and an intention for the future are different things, and intentions can change.

For Almonty shareholders, the takeaway is narrow: past sales do not imply continued pressure from Deutsche Rohstoff, and one large holder standing still does not signal a general easing of selling pressure either.

A Lower Target, a Maintained Rating

Valuation presents a more mixed picture. B. Riley Financial cut its price target on Almonty to $20 from $25 while reaffirming its buy rating, a move also reported by Reuters. The combination is what counts: the research house stays constructive overall but assigns a lower expected value to the shares, and the reiterated buy does not cancel out the more cautious number.

The analyst consensus remains moderately positive, with an average price target of $23.04. That spread of views makes clear that the major shareholder's restraint does nothing to settle the valuation question.

The Ramp-Up Is the Real Test

Almonty plans to ship roughly 200 tonnes of tungsten from Sangdong per month in the near term, and analysts expect earnings of $2.76 per share next year. Both figures describe expectations and plans rather than results already achieved.

Operational execution therefore remains the decisive yardstick. Deutsche Rohstoff's absence from the sell side removes one concrete concern about additional supply hitting the market. Whether Almonty can justify the earnings forecasts will be settled by the planned ramp-up — not by the behaviour of a single large investor. The Los Santos offtake contract sharpens the sales picture for that asset, while Rwanda opens an additional planned procurement and processing route. Both widen the view beyond Sangdong without yet proving a secured contribution to earnings. Yesterday's 4.5% gain in the share price answers none of the economic questions underneath.