Almonty's Sangdong Mill Springs to Life as Tungsten Stock Battles Chart Resistance

Almonty's Sangdong facility begins tungsten concentrate output, but shares dip 1.9% amid technical resistance and a 7.1% weekly drop.

The tungsten miner's transition from construction phase to commercial processing has landed at a delicate moment for its share price, which finds itself squeezed between operational milestones and technical headwinds.

Almonty Industries confirmed that its Sangdong processing facility has begun throughput operations, with stockpiled ore now being converted into saleable tungsten concentrate for the first time since July. The raw material had been sitting on site since its initial delivery in December 2025, but it took until this summer for the plant to reach the stage where that inventory could actually be turned into marketable product.

The development marks a meaningful shift in the company's profile. Investors are no longer backing a pure construction and commissioning story — Almonty now has a genuine output stream, even if the facility remains firmly in its ramp-up phase rather than running at stable full capacity. The second-quarter results published roughly three weeks ago were still shaped by that earlier stage of operations, with commissioning and early throughput dominating the picture. Monday's announcement effectively validates what those numbers hinted at: the plant is graduating from testing into regular operations.

That operational progress has not, however, insulated the stock from a bumpy ride on the trading floor. The shares have been consolidating after a powerful run, with the most recent session showing a decline of 1.9 percent to 14.96 euros. The pullback follows repeated failures at the 19 US-dollar resistance level, with the latest rejection triggering a correction of more than 12 percent. Over the past week alone, the stock has shed 7.1 percent — a reminder of how quickly a steep rally can stall.

The technical picture is further complicated by bearish signals on the daily charts. Momentum indicators such as RSI and MACD are pointing lower, even as the fundamental story attracts growing institutional attention. Jefferies has initiated coverage of the tungsten producer with a buy recommendation, arguing that the tungsten supply chain offers upside potential despite lingering risks. The endorsement underscores the strategic role Almonty is carving out as one of the few tungsten suppliers operating outside China, a positioning that has drawn increasing investor interest as Western buyers scramble for alternatives to Chinese sources of critical metals.

The stock's longer-term trajectory remains impressive despite the recent wobble. Shares have gained roughly 90 percent since the start of the year, though they now trade about 27 percent below the 52-week high of 20.61 euros reached in April. At the same time, the current price sits approximately 16 percent above the 200-day moving average, pointing to an intact medium-term uptrend beneath the short-term turbulence.

Running parallel to the operational and market developments is a share buyback programme approved around two weeks ago. The company is authorised to repurchase up to 14.4 million common shares, worth as much as 300 million US dollars, over a 36-month window running from 24 August 2026 to 24 August 2029. Purchases may be executed on the Nasdaq and other permitted trading venues, though the programme can be adjusted, suspended or terminated at any time.

For shareholders, the central question now is how quickly and reliably Sangdong can scale its throughput in the months ahead. While the plant remains in its ramp-up phase, actual production volumes are the key unknown. The shift from passive stockpiling to active processing provides the first tangible operational evidence that the project is delivering — which makes the coming quarterly reports the real test of whether the share price can sustain its momentum.