Almonty Industries: Capitalizing on a Global Wolfram Supply Shock
Published on 04/18/2026 at 04:00 | Redaktion boerse-global.de
A severe shortage of a specialized gas used in semiconductor manufacturing is sending shockwaves through the global chip industry, inadvertently spotlighting a Canadian-turned-American mining firm. Japanese producers of tungsten hexafluoride, a critical input for chipmaking, warn of supply disruptions beginning in July, with inventories expected to be depleted by month's end. This crisis, stemming from Chinese export restrictions on tungsten, has abruptly elevated the strategic importance of producers outside China, with Almonty Industries emerging as a primary beneficiary.
The company’s flagship asset, the Sangdong tungsten mine in South Korea’s Gangwon province, was officially commissioned in March after three decades of dormancy. With an ore grade of 0.51% tungsten trioxide—roughly triple the global average—the mine is processing approximately 640,000 tonnes of ore annually in its initial phase. Phase 1 targets annual output of 2,300 tonnes of tungsten concentrate, with production slated to begin in the second quarter of 2026. For Western chipmakers, particularly vulnerable firms like Samsung, Sangdong represents the only reliable, non-Chinese source of supply, prompting an unprecedented shortening of the typical 18-month qualification process for new materials.
Almonty’s strategic positioning extends beyond Asia. In a decisive move underscoring its U.S. ambitions, the company relocated its corporate headquarters from Toronto to Dillon, Montana, effective April 13, 2026. Dillon is the site of the recently acquired Gentung Browns Lake Tungsten Project, where production is scheduled to commence in the latter half of this year. The deposit holds an estimated 7.5 million tonnes of ore at 0.315% tungsten trioxide, positioning it as one of the most advanced undeveloped tungsten assets in the United States. This domestic production will be critical ahead of a 2027 U.S. ban on Chinese tungsten imports for defense procurement.
Should investors sell immediately? Or is it worth buying Almonty?
Financially, the company is well-capitalized to execute its dual-continent expansion. Following an oversubscribed $90 million Nasdaq IPO in July 2025, Almonty secured an additional $129 million in follow-on financing last December. The market has responded with fervor. On the TSX, shares closed at CAD $31.18 on April 16, marking an 8% single-day gain and a new 52-week high. The stock has more than tripled since the start of the year and boasts a staggering 687% advance over the past twelve months.
The underlying commodity markets reflect the acute supply tension. By mid-March 2026, the price of ammonium paratungstate had skyrocketed 534% to $2,250 per metric tonne unit. Tungsten metal in Rotterdam surged from approximately $900 at the year's start to $3,190. Almonty’s products enjoy a significant trade advantage, having been explicitly excluded from recent U.S. tariff increases on Chinese goods. A long-term supply agreement with Global Tungsten & Powders of Pennsylvania further secures its access to key U.S. defense and semiconductor customers.
Analyst sentiment remains bullish. DA Davidson reaffirmed a Buy rating with a $25 price target in March, while B. Riley Financial raised its target to $23 and Oppenheimer to $19. Institutional ownership is growing, with Van ECK Associates significantly increasing its stake in Q4 to a position worth roughly $99 million. A discounted cash flow model suggests a valuation of CAD $43.36 per share, implying a roughly 33% discount to the recent price of CAD $28.84.
Looking ahead, key milestones are on the horizon. The company will release its first quarterly production data from Sangdong in May. Its Annual General Meeting on June 8, 2026, is expected to provide details on a shareholder-approved reverse stock split of up to 1-for-5 and outline plans for Sangdong’s Phase 2 expansion. That project, targeted for completion in 2027, aims to double processing capacity to 1.2 million tonnes of ore annually, which would position Almonty to supply an estimated 40% of the global tungsten demand outside of China. With production ramping up in both South Korea and Montana, Almonty’s ambition to become the Western world’s leading tungsten supplier is rapidly transitioning from blueprint to reality.
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