Almonty's Tungsten Payoff: A Korean Mine, a Slimmed-Down Listing, and a $300 Million Vote of Confidence

Almonty's Q2 revenue jumps 498% to CAD 42.99M, net income swings to CAD 181.8M, driven by Sangdong mine startup and non-cash gains.

The tungsten market has a new profit engine, and it is running in South Korea's Gangwon province. Almonty Industries' Sangdong mine, which began feeding processed tungsten concentrate into the market in early July, has transformed the company's income statement in a single quarter — and management is betting heavily that the momentum is durable.

The numbers tell a stark story of before and after. Second-quarter revenue hit CAD 42.989 million, a 498% surge from the CAD 7.192 million posted a year earlier. Net income swung to CAD 181.797 million from a CAD 58.209 million loss in the same period of 2025. The headline profit, however, carries a caveat: roughly CAD 173.1 million of it stems from non-cash valuation gains on derivatives and warrants, meaning the operating picture is less flattering than the bottom line alone suggests. Still, the underlying business has clearly turned a corner — mining operations generated CAD 26.1 million in operating income versus a CAD 0.9 million loss in the year-ago quarter, with gross margins in the mining segment running at 60.7%.

That operational strength is now being leveraged across multiple fronts. The company has filed a shelf registration to issue common shares worth approximately USD 246.79 million, including a component for employee equity programs. Proceeds are earmarked for optimizing Sangdong's Phase I operations, preparing a potential Phase II expansion, and securing an adjacent molybdenum project. The filing follows the completion in July of a USD 800 million convertible note that lifted cash to roughly CAD 1.23 billion as of June 30.

The capital markets activity is unfolding against a deliberate restructuring of where Almonty's shares trade. Friday marks the suspension of the company's CDIs on the Australian Securities Exchange, with the formal delisting effective September 1. That follows the end of trading on the Toronto Stock Exchange on July 31. Once both exits are complete, the stock will trade on the Nasdaq under the ticker ALM and in Frankfurt under ALI1 — a consolidation management says will cut costs and concentrate liquidity where it matters most.

Diamond Equity Research weighed in on August 14 with an assessment of both the quarterly results and the listing changes, framing the moves as part of a broader structural transition. The research house's commentary arrived days after the board approved a buyback program of up to USD 300 million on Monday, August 17, authorizing the repurchase of up to 14.4 million common shares — roughly 5% of outstanding stock — over 36 months starting August 24. Management frames the repurchase as a response to the gap between the market capitalization and the underlying value of the tungsten assets.

The long-term demand picture has also been reinforced. In July, Almonty extended its offtake agreement with Global Tungsten & Powders, a Plansee Group company, lengthening the contract for Sangdong tungsten concentrate by six years to a total of 21 years from first delivery. The contracted volume has grown from 3.15 million to 4.41 million metric ton units, with a minimum of 210,000 ton units per year locked in after the ramp-up phase. Pricing terms improved by 6.3% across all contracted volumes. The agreement covers roughly 90% of Phase I concentrate production from Sangdong, providing revenue visibility into the late 2040s. The company also fully repaid a KfW term loan of EUR 14.662 million in July, further deleveraging the balance sheet.

Cash flow has followed the same trajectory. First-half operating activities generated CAD 31.6 million in inflows, reversing a CAD 14.9 million outflow in the prior-year period. The Panasqueira mine in Portugal still carried the bulk of second-quarter revenue as Sangdong worked through its commissioning phase, but that mix is now shifting.

The market's response has been characteristically volatile. The stock trades at EUR 16.25, roughly 23% above its 50-day average but about 21% below the April 52-week high of EUR 20.61. The secondary listing data shows a slightly different snapshot at EUR 15.94, with gains of 101% year-to-date and 319% over twelve months. With annualized volatility around 91%, this remains a high-risk equity whose trajectory is tightly bound to Sangdong's ramp and the ongoing listing overhaul.

The next milestone comes November 2, when third-quarter results will offer the first clean read on what the Korean mine contributes to the bottom line. For a company that has spent the summer reshaping its balance sheet, its listing structure, and its offtake agreements, that report will be the first real test of whether the operational story can match the financial engineering.