Almonty's Sangdong Ramp-Up Meets a $67 Million Canadian Claim

Almonty Industries is running two races at once, and neither one is finished. On the operational side, its Sangdong tungsten mine in South Korea is grinding through a slower-than-planned commissioning. On the legal side, a Canadian lawsuit brought by Deutsche Rohstoff is seeking roughly USD 67 million. The stock shed 5.6% today as both storylines converged.

A mill running at half its design rate

Sangdong moved to 24-hour operation on 1 November, CEO Lewis Black said on Sunday. But the filter press, undersized for the job, was processing 40 tonnes per hour against a capacity of 80 tonnes. Almonty has responded by buying a used replacement press in Korea.

The start-up itself has not been smooth. Roughly ten hours into full operation, a technical fault forced a halt; the plant was back up two hours later and commissioning resumed. Black also reported progress on finished-material grade, which is approaching 50%, up from 40% in his previous update.

For Cliff Nance, chief executive of recycling firm Tungco, the strategic case is straightforward. In an interview at the end of October, he said Sangdong's output could help the United States reduce its reliance on Chinese tungsten, and he signalled openness to partnerships with Korean companies, Almonty among them. He described the mine as a possible partner for Tungco's recycling activities.

That interest only becomes an argument for Almonty if it turns into working cooperation. A recycling supplier would value an additional source of material, but the link between potential offtake interest and metal that can actually be delivered matters more to investors than the broader hope of a reshuffled raw-materials supply chain.

The legal front

The Deutsche Rohstoff claim, which surfaced yesterday, covers 3.5 million shares from a conversion as well as repayment of outstanding promissory note loans. Deutsche Rohstoff filed in Canada against Almonty Industries. Almonty has lodged a separate suit of its own against Deutsche Rohstoff, which the German company calls unfounded; the two proceedings have been consolidated. The sum at issue forms part of the claims Deutsche Rohstoff has raised.

Montana as the longer arc

Beyond Korea, Almonty pointed in early November to Montana's agreement, struck at the end of October, to enter the FAST-41 process. The framework could coordinate federal and state permitting reviews, though statutory requirements and the necessary approvals remain in place regardless.

That gives Almonty several footholds in a broader tungsten supply story. What ties them together is a single test: whether administrative relief and industrial interest translate into dependable output. Sangdong is the most immediate proving ground, and until the replacement press performs as required and grade keeps climbing, the strategic narrative rests on a mill that is still finding its pace.