Almonty's Sangdong Milestone Arrives With a Sharper Focus on Two Trading Venues

Almonty Industries secures improved offtake terms, posts record Q2 revenue, and consolidates listings on Nasdaq as tungsten prices surge.

The tungsten market is tightening, and Almonty Industries is positioning itself to capture the upside from both sides of the equation — locking in better terms from a key customer while streamlining how its shares change hands.

The Canadian producer has expanded its long-term offtake agreement with Global Tungsten & Powders, a subsidiary of the Plansee Group, extending the contract by six years, lifting contracted volumes by 40 percent and improving price terms by roughly 6.3 percent. The deal gives Almonty a predictable revenue channel for output from its Sangdong mine in South Korea, which has now formally entered commercial production after its processing plant began throughput operations in mid-August.

That operational transition is reshaping the company's financial profile. In the second quarter, revenue surged 498 percent year-over-year to 43.0 million Canadian dollars from 7.2 million, propelled largely by tungsten prices that climbed from approximately $453 to about $3,075 per MTU. Net income swung to 181.8 million Canadian dollars from a loss of 58.2 million, though roughly 173.1 million of that figure came from non-cash gains tied to the revaluation of derivatives and warrants. Adjusted EBITDA flipped from a loss of 4.8 million to a gain of 17.6 million Canadian dollars.

Portugal's Panasqueira mine still carries the load — it contributed 42.9 million Canadian dollars of the quarter's total revenue, benefiting from European ammonium paratungstate prices. But Sangdong, a considerably larger production source, is now coming online, and the expanded Global Tungsten agreement signals that buyers are willing to pay up for the South Korean volumes.

The company's balance sheet provides ample runway for the ramp-up. Cash stood at roughly 1.23 billion Canadian dollars as of June 30, bolstered by an oversubscribed $800 million convertible note completed in June, carrying a 2.25 percent coupon and maturing in 2031. Operating cash flow for the first half reached 31.6 million Canadian dollars, a sharp reversal from the 14.9 million outflow in the prior-year period.

Management has also moved to consolidate liquidity. Almonty voluntarily delisted from the Toronto Stock Exchange in late July, and its CHESS Depositary Interests will cease trading on the Australian Securities Exchange at the close of business on August 28, with formal removal set for September 1. Going forward, trading will be concentrated on Nasdaq (ALM) and Frankfurt (ALI1), a shift that should enhance visibility among international investors as the company transitions from a single-mine operator to one with two active operations across different regions.

The equity itself has been volatile. Shares traded at 15.58 euros on Wednesday, down 3.8 percent on the day — a pullback with no obvious catalyst, coming after a 32 percent rally over the past month that looks more like a technical pause than a fundamental reassessment. A buyback program of up to $300 million, authorized by the board on Monday and covering as many as 14.4 million common shares over 36 months, has drawn little market reaction and ranks as secondary to the supply agreement in strategic importance.

Analyst views remain mixed. Diamond Equity Research trimmed its fiscal 2026 EPS estimate on August 19 from $0.55 to $0.39, citing weaker near-term results while maintaining a broadly positive stance. Weiss Ratings upgraded its assessment on August 12 from "Sell (D-)" to "Hold (C-)."

Founder and CEO Lewis Black has pointed to structural supply constraints in the tungsten market — strategic stockpiles, semiconductor-driven demand and a gap between announced and actual mining projects. The expanded contract with Global Tungsten & Powders reinforces that narrative: an established off-taker is securing long-term access to Sangdong volumes at better terms, evidence that the market needs the additional supply. For investors, the question has shifted from whether Sangdong would start producing to how quickly it can contribute to the bottom line.