Almonty Industries Reaches Key Milestone with South Korean Mine Launch

Almonty Industries begins active mining at the historic Sangdong tungsten operation, positioning itself as a key supplier for Western defense and aerospace amid rising demand.

The commencement of active mining at the Sangdong tungsten operation in South Korea represents a pivotal achievement for Almonty Industries. This development signals the return of one of the world's most historically significant tungsten sites to the global supply map for critical minerals. The timing of this operational breakthrough is strategically advantageous, coinciding with heightened demand from the defense and aerospace sectors.

Securing a Position in Western Supply Chains

The start of production arrives at a moment when securing access to critical minerals is a top priority for Western industries. Tungsten, prized for its extreme hardness, is essential for modern machinery, aerospace components, and defense systems. As leading exporting nations increasingly implement trade restrictions, the need for reliable sources outside these spheres of influence is growing. With secured financing and active extraction now underway at Sangdong, Almonty is positioned to establish itself as a long-term anchor within a Western-focused tungsten supply chain.

Operational Details and Historical Context

This operational milestone concludes an extensive preparation period that began with the company's acquisition of the mine in 2015. Historically, the Sangdong site was central to South Korea's exports, producing approximately 95,000 tonnes of tungsten oxide between 1952 and 1987 before closure due to market conditions at the time.

Almonty's new processing facility is targeting an annual capacity of 640,000 tonnes of ore. From this, the company aims to yield roughly 4,000 tonnes of tungsten concentrate each year. To further enhance the project's economics, plans are in place to also produce bismuth and molybdenum as by-products.

Growing Institutional Investor Confidence

Progress in South Korea, coupled with presentations at industry conferences like PDAC in Toronto, has captured the attention of professional investors. Major asset managers, including VanEck Associates, have significantly increased their holdings, which recently surpassed 11.2 million shares. New investors such as Encompass Capital Advisors also established positions during the fourth quarter.

This institutional backing is reflected in the share price performance. The stock reached a new 52-week high of AUD 28.34 on March 3, marking an advance of approximately 110% since the start of the year. While some existing investors like Global Tungsten & Powders used the rally for portfolio rebalancing, recent regulatory filings from March 4 underscore the company's solidified corporate structure as it enters its next growth phase.

The immediate focus for Almonty Industries in the coming months will be ramping up to full commercial production at the Sangdong mine.