Almonty's Board Backs $300 Million Buyback While Three-Continent Tungsten Strategy Takes Shape
Published on 09/24/2026 at 13:01 | Editorial boerse-global.de
Almonty Industries is pressing ahead with a sweeping repositioning of its global tungsten operations, pairing fresh production capacity in South Korea with new supply agreements in Europe and a government-backed venture in East Africa. The moves come as the company's equity trades near EUR 12, having climbed 51 percent since the start of the year.
The most recent operational landmark came roughly a week ago, when Almonty secured final operating certification for the processing and crushing facilities at its Sangdong mine in South Korea. That regulatory green light cleared the path from trial runs to full commercial output of tungsten concentrate — a transition that shifts the company's profile from project developer to integrated producer of a metal classified as industrially strategic.
Offtake Anchors Korean Output
Management moved quickly to lock in demand for the new production. A revised purchase agreement with Global Tungsten & Powders, part of the Plansee group, now runs for 21 years from the first delivery. The contracted volume totals 4,410,000 units of tungsten concentrate, with minimum annual shipments of 210,000 units once ramp-up is complete. That structure ties up more than 90 percent of Sangdong's Phase 1 output.
The arrangement carries added weight against a backdrop of global tungsten demand increasingly seeking sources outside dominant Asian suppliers. For Almonty, the fixed commitment to established industrial buyers translates into greater visibility on future cash flows.
Should investors sell immediately? Or is it worth buying Almonty?
Spanish Tailings and a Rwandan Stake
Europe forms the second leg of the strategy. Almonty struck a multi-year take-or-pay offtake deal with Wolfram Bergbau und Hütten, a Sandvik subsidiary, covering the reprocessing of existing tailings at the Los Santos mine in western Spain. The contract provides for a conditional advance payment of USD 3 million and covers a minimum volume of roughly 1,720 tonnes of contained WO?.
On the African continent, the company expanded its reach through a partnership in which the state receives a 25 percent interest in the subsidiary Almonty Rwanda Pty Ltd. In return, the government transfers the Shyorongi exploration concession and an ore processing licence to the joint venture, adding further extraction resources and spreading geographic risk across three continents.
Buyback and Valuation
Capital markets policy has moved in step with the operational agenda. More than a month ago, the board authorised a share repurchase programme for 2026, permitting the acquisition of up to 14,400,000 common shares for a total of up to USD 300,000,000 — roughly five percent of the outstanding stock.
Analyst coverage has turned constructive on the back of these developments. Jefferies Financial Group initiated coverage on 2 September with a buy rating and a price target of USD 26.25. DA Davidson reaffirmed its buy recommendation on 15 September, putting fair value at USD 33.00. Both houses see substantial revaluation potential for the tungsten producer.
The stock's technical picture is more mixed. At a current price of EUR 12.00, the shares sit 11 percent below their 200-day moving average of EUR 13.45, reflecting a need for consolidation after earlier swings. With a market capitalisation of EUR 2.73 billion, the coming quarterly reports will show whether the newly commissioned production and delivery agreements can sustain earnings at the targeted level.
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