Almonty Adds Spanish Offtake as Sandvik Unit Commits to Tailings Tungsten
Published on 09/17/2026 at 22:31 | Editorial boerse-global.de
Almonty Industries has locked in a second long-term outlet for its tungsten output, signing a supply agreement with Wolfram Bergbau und Hütten AG, the Sandvik Group subsidiary, for concentrate drawn from the company's Los Santos project in Spain.
The contract covers at least 1,720 tonnes of contained tungsten trioxide (WO?), to be recovered by reprocessing tailings left at the Los Santos mine. Under the terms, the buyer has committed a conditional advance payment of USD 3.0 million for the offtake rights and will supply capital to help bring the on-site processing plant back into service. Pricing is indexed and protected by a floor, giving the operator a guaranteed minimum margin.
Investors greeted the news by pushing the stock 4.5% higher to EUR 12.26.
Washington's 2027 Sourcing Deadline Looms
The deal lands just ahead of tighter rules on how the U.S. military sources raw materials. From January 1, 2027, new procurement restrictions take effect across the defense sector, barring tungsten material of Chinese, Russian, North Korean and Iranian origin throughout the supply chain — from mining through to refining. Western buyers are racing to line up non-prohibited supply before that cutoff.
Should investors sell immediately? Or is it worth buying Almonty?
Almonty has been building that position on several fronts. On July 15 it extended its existing offtake arrangement with Global Tungsten & Powders, part of the Plansee Group, for the Sangdong mine in South Korea, stretching the term from 15 to 21 years and lifting total volume by 40% to 4,410,000 MTU. The company is also advancing a partnership in Rwanda to open up further tungsten-bearing deposits for Western markets.
Rwanda Venture Draws Analyst Backing — and a Valuation Gap
That African push took a firmer shape with a binding agreement signed with the Rwandan government to establish the Almonty Rwanda joint venture, according to Reuters. The state will hold a 25% stake in the new platform, which is intended to develop tungsten deposits and process the metal locally. Tying the project to a U.S. economic framework agreement lends it added political weight.
DA Davidson reaffirmed its buy rating on Almonty on Tuesday and set a USD 33 price target, a call that stands in sharp contrast to the caution that has dogged the shares on the market. The gap between bullish industry assessments and wary trading raises the question of how much of the new plan the market is prepared to underwrite.
Shares recovered somewhat in Tuesday's session, climbing 5.1% to EUR 12.32, yet they remain a long way from the analysts' target. Such a spread suggests how much optimism is baked into the estimates and how little of it has found its way into the price.
Execution Risk Meets Geopolitical Tailwind
Almonty now faces a demanding test. Its Rwanda engagement speaks directly to Western governments hunting for dependable sources of critical raw materials, and the Spanish offtake broadens its revenue base while tapping rising demand for geopolitically clean supply.
Still, the price softness of recent weeks signals that the market wants tangible progress before it accepts fresh valuations. The geopolitical backdrop argues in the project's favor, but the operational demands of an early-stage build-out — infrastructure above all — are not to be underestimated.
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Almonty Stock: New Analysis - 17 September
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