Almonty’s Russell Entry Meets a $800M Convertible and a Drilling Program That’s Ahead of Plan
Published on 06/30/2026 at 20:02 | Redaktion boerse-global.de
Almonty Industries has crossed a threshold few junior miners ever reach: inclusion in the Russell 1000 Index. Roughly $12.2 trillion in assets are benchmarked to Russell US indices, and a meaningful slice of that money was previously off-limits for the stock. The passive buying mandate is now in motion.
Yet the milestone arrives during a period of unease for existing shareholders. Early June saw the close of an oversubscribed convertible note offering that started at $700 million and, after full exercise of an upsize option, landed at $800 million. Net proceeds reach around $773 million. The notes carry a 2.25% coupon, mature in 2031, and are convertible at roughly $27.40 per share — a 32.5% premium to the market at pricing. Despite that premium, the stock shed about 30% in the month following the placement. Dilution anxiety outweighed strategic logic.
Drilling on schedule, molybdenum in the crosshairs
Operationally, the picture is more constructive. On June 16, the company confirmed that its drilling program at the Sangdong molybdenum project is running ahead of the original timetable. Of the planned 12,000 metres, around 37% are now complete across 26 holes. The campaign aims to validate historical molybdenum resources adjacent to the existing Sangdong tungsten mine. Early assay results show high-grade mineralisation consistent with the historical data.
Once the ore volume is verified, Almonty intends to move straight into extraction. South Korea’s aerospace and defence sectors are demanding domestic supply, and state stockpiles of molybdenum have dropped to critical lows. The offtake buyers are already lined up.
Should investors sell immediately? Or is it worth buying Almonty?
Financial momentum and a revenue inflection
The convertible proceeds are earmarked for the full ramp-up of the Sangdong complex and the build-out of the molybdenum circuit. That includes the tungsten side, where Phase 1 of commissioning was completed earlier this year. At full capacity, Sangdong is expected to supply roughly 40% of global tungsten demand outside China.
The first quarter of 2026 offered a glimpse of the revenue shift: sales tripled to CAD 25.4 million, while operating cash flow swung from negative CAD 4.4 million to positive CAD 9.7 million. For the full year 2025, revenue stood at $32.5 million, a 13% increase.
The Pentagon calendar as a structural catalyst
Behind the investor interest sits a hard date: January 2027. From that point, the US Department of Defense is barred from sourcing tungsten from China, Russia, North Korea or Iran. China currently controls roughly 88% of global tungsten output. Almonty is one of a handful of Western-aligned producers positioned to fill the gap.
Almonty at a turning point? This analysis reveals what investors need to know now.
The stock closed Tuesday at CAD 23.67, up 3.32% on the day. That leaves the year-to-date gain near 97%, and the trailing twelve-month return above 250%. Still, the share price sits about 29% below its April high of CAD 33.35. The RSI of 44.1 indicates a neutral phase after the pullback. The 200-day moving average at CAD 18.20 offers a sizeable floor, while the annualised 30-day volatility of over 91% reflects how rapidly the company has transitioned from developer to producer.
Analyst conviction amid the volatility
Nine analysts cover the stock, with a consensus rating of “Strong Buy.” Oppenheimer’s Ian Zaffino recently raised his price target from $22 to $25 while keeping an Outperform rating. For a stock that has already tripled in twelve months, the key question is whether the institutional tailwind from the Russell 1000 can outweigh the dilution overhang. With the drilling program on track, the molybdenum offtake secured, and the Pentagon deadline approaching, Sangdong looks set to remain in the spotlight through the end of 2026.
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Almonty Stock: New Analysis - 30 June
Fresh Almonty information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
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