Almonty Draws Split Wall Street Verdicts as Three-Continent Tungsten Strategy Takes Shape

Goldman Sachs rates Almonty Neutral with a 13.00 USD target; D.A. Davidson keeps Buy at 33.00 USD as Sangdong and Los Santos ramp up.

Two of the Street's better-known names have staked out sharply divergent views on Almonty Industries, and the gap between them says as much about the pace of the company's operational rollout as it does about the stock itself.

Goldman Sachs kicked off coverage of the tungsten producer on September 24 with a "Neutral" rating and a 13.00 USD price target, a stance that implies only modest upside following the share's strong run in recent months. D.A. Davidson, by contrast, restated its "Buy" recommendation on September 15 and left its 33.00 USD target untouched, betting that Almonty's expanding mining and exploration footprint will translate into a firmer market position over the medium term.

A Contract That Reopens an Idled Spanish Mine

Underpinning the more constructive case is a long-term supply agreement Almonty signed on September 17 with Wolfram Bergbau und Hütten AG, a Sandvik Group subsidiary. The deal centers on reprocessing tailings at the Los Santos mine in Spain and covers a minimum volume of roughly 1,720 tonnes of contained WO?. It also carries a conditional advance payment of 3.0 million USD tied to the offtake rights.

The contract sets the stage for processing to resume at Los Santos, which had been in a scheduled care-and-maintenance phase since February 2020.

Korea's Sangdong Mine Enters Commercial Operation

Roughly a week before the Spanish announcement, Almonty secured the regulatory acceptance certificates for the processing and crushing facilities at its Sangdong mine in South Korea. Those approvals formally cleared Phase I for commercial operation, opening the door to regular sales of tungsten concentrate.

Much of the project's future output has already been locked up under long-term arrangements, giving the company a substantial degree of revenue visibility as the flagship operation ramps up.

Rwanda Joint Venture Adds Exploration Upside

Almonty's ambitions extend beyond Europe and Asia. More than a month ago, the company signed a binding agreement with the Rwandan government to form a joint venture, Almonty Rwanda Pty Ltd, in which the miner holds 75 percent and the state retains 25 percent.

Rwanda's contribution to the partnership consists of the Shyorongi exploration concession and a minerals processing license. Beyond exploring the new acreage, the venture intends to purchase, process and export raw ore as well as pre- and fine concentrates from existing licensed operators in the country.

Market Reaction and the Year-to-Date Picture

Traders leaned bullish on Friday, lifting the shares 3.1 percent to 11.21 EUR. The advance follows a softer stretch: the stock closed at 10.96 EUR a day earlier, leaving it down 10.9 percent since production began at Sangdong.

Zooming out, the equity remains comfortably in positive territory for the calendar year, with gains of 41 percent since January, though the secondary source puts the year-to-date advance at 38 percent.

Which narrative ultimately wins out — Goldman's cautious stance or the bolder targets from more optimistic houses — will hinge largely on how quickly mined volumes continue to climb.