Almonty's Tungsten Transition: From Explorer to Producer in One Quarter

Almonty swings to C$181.8M profit, revenue up 6x, as Sangdong tungsten mine ramps up and cash reserves soar to C$1.23B.

The numbers tell a story of transformation that most miners wait years to experience. Almonty Industries swung from a loss of 58.2 million Canadian dollars in the second quarter of 2025 to a net profit of 181.8 million Canadian dollars in the same period this year, while revenue multiplied nearly sixfold to 43 million Canadian dollars. The catalyst? A Korean mine that finally started generating cash instead of consuming it.

Sangdong's Coming-Out Party

The Sangdong tungsten mine in South Korea entered commercial processing in July 2026, ending a lengthy development phase that had weighed on the company's valuation. Phase I is now in its ramp-up stage, targeting an annual throughput of 640,000 tonnes of ore. The operation is designed to eventually supply up to 40 percent of the world's tungsten demand outside China — a strategic selling point that has not been lost on Western buyers.

Record tungsten prices amplified the production milestone. The European benchmark price for ammonium paratungstate averaged roughly 3,075 US dollars per MTU during the quarter, providing a powerful tailwind for the company's core business.

A Balance Sheet Transformed

The financial overhaul accompanying the operational breakthrough is equally striking. Almonty ended June with approximately 1.23 billion Canadian dollars in cash, a dramatic increase from the 268.4 million US dollars on hand at the close of 2025. The war chest was filled primarily through an oversubscribed convertible bond offering of 800 million US dollars, carrying a 2.25 percent coupon and placed in June.

Management plans to deploy the fresh capital across two parallel fronts: the Phase II expansion at Sangdong and the development of the Gentung tungsten project in Montana. The latter has taken on added significance following the company's relocation of its corporate headquarters to the state earlier this year.

Streamlining the Corporate Structure

Almonty is simultaneously consolidating its exchange footprint. The voluntary delisting from the Toronto Stock Exchange took effect on July 31, 2026, with the Australian Securities Exchange exit approved for September 1, 2026. Trading in CHESS Depositary Interests on the ASX will conclude at the end of August 28, 2026.

Chief executive Lewis Black framed the move in practical terms: the vast majority of daily trading volume already flows through the Nasdaq, where the stock trades under the ticker ALM. Maintaining four separate listings incurred administrative costs that no longer made sense when liquidity had concentrated elsewhere. Going forward, the company will focus on just two venues — the Nasdaq and the Frankfurt Stock Exchange, where shares trade as ALI1.

The timing aligns with a broader institutional push. Almonty was added to the Russell 1000 and Russell 3000 indices at the end of June, a development that typically triggers automatic buying from index funds and raises the company's profile among the very investors the streamlined listing strategy aims to attract.

Long-Term Commitments Signal Confidence

Perhaps the most telling indicator of the company's changed circumstances came in July, when Almonty renegotiated its offtake agreement with Global Tungsten & Powders LLC, a Plansee Group entity. The contract extension adds six years to the term, while committed volumes increase by 40 percent. Management notes that this secures a buyer for roughly 90 percent of Phase I production over the next 21 years.

For a company that only recently transitioned from development-stage to producer, such a long-term commitment from a major customer sends a clear message about the reliability of the Sangdong operation.

Market Response and Strategic Signals

The equity market has taken notice. The stock climbed roughly 8.9 percent on August 14, 2026, to 15.09 US dollars on the Nasdaq, following the release of a research note from Diamond Equity Research that confirmed the company had reached an inflection point. Over the course of a week, the share price advanced from around 13.00 dollars to above 15.00 dollars, driven by the production news and the strong quarterly report. The broader rally — including a 9.53 percent jump on August 15 — reflects growing conviction that the investment thesis has shifted from development risk to operational execution and cash flow generation.

Observers also point to the appointment of Jorge Beristain as chief financial officer as part of a strategic repositioning toward US defense and technology sectors, which are increasingly seeking domestic tungsten sources to reduce dependence on Chinese supply chains.

What's Next

The near-term agenda centers on two projects that will determine whether the second-quarter momentum can be sustained: the progress of Sangdong's Phase II expansion and the advancement of the Gentung project in Montana. Both initiatives will test whether the company can translate its newly acquired financial firepower into continued production growth — and whether the tungsten supercycle has enough runway to keep the numbers moving in the right direction.