Nasdaq listing & USD 90 million: Almonty Industries plans its next steps and ensures further growth

The significance of the NASDAQ listing

The NASDAQ debut marks more than just a stock market event. It signals to institutional investors that Almonty is prepared to align itself with US accounting standards and reporting requirements. At the same time, inclusion in the S&P/TSX Global Mining Index brought fresh visibility to commodity ETFs. For a producer that supplies critical metals, this is an invitation to pension funds looking to invest in geopolitically relevant supply chains.

Where will the USD 90 million go?

According to the Company, the lion's share will go toward the construction and commissioning of a tungsten oxide processing plant at the Sangdong site in South Korea. Part of the proceeds will be used to finalize the Sangdong Mine, with the remainder strengthening the liquidity reserve and providing scope for further projects, such as the expansion of mines in Europe or molybdenum mining. This means that Almonty is adequately financed until the mine in South Korea starts production, positioning itself as a vertically integrated supplier. This is a unique selling point outside China.

Sangdong – Capacity meets cost advantage

The construction phase of the Sangdong mine is largely complete, with production set to commence shortly. Initially, around 640,000 tonnes of ore are expected to be processed once the mine is operational. Once Phase 2 of the expansion is complete, this figure could rise to 1.2 million tonnes. In the medium term, management is aiming for approximately 4,750 tons of tungsten oxide per year, corresponding to around 40% of the Western market. The decisive lever is the targeted production cost of around USD 110/mt of tungsten, which is roughly half the Chinese industry average. Furthermore, the mine boasts a projected service life of over 90 years, ensuring planning security.

On-site processing – Higher margins, Greater control

The future oxide plant is expected to deliver around 4,000 tons of high-purity product per year, making South Korea's industry less dependent on Chinese imports, among other things. At the same time, it can be assumed that management is already considering setting up its own smelter to refine tungsten oxide into metal. If this step is successful, Almonty would be the only Western supplier with a complete vertical range of manufacture, which would be a strong argument in price and delivery negotiations.

Political tailwind

From 2027, US defense contracts will no longer be allowed to contain Chinese tungsten. Almonty has already signed a 15-year supply contract with an unnamed defense contractor. A letter from the US Congress recently highlighted Sangdong's strategic importance for national security. South Korea's government also supports projects that reduce dependencies. This political framework reduces demand risks but increases the pressure to deliver on time.

Ongoing cash flow from Portugal

Until the large-scale plant in South Korea comes online, the Panasqueira mine in Portugal continues to generate stable earnings. The operator's expertise, gained from five generations of mining, strengthens operational processes and provides a real test case for cost and production plans in Asia. At the same time, geologists are investigating whether Spanish deposits can be reactivated, which would open up additional upside options.

Finances without an operational dent

The Panasqueira mine posted an operating profit. Analysts expect the company to achieve an average annual revenue growth rate of 45% over the next three years. However, these forecasts assume that Sangdong will start up as planned and that the planned expansions will be implemented. Long-term minimum prices in supply contracts for tungsten and molybdenum cushion market fluctuations and ensure planning security. With China accounting for 80–95% of the global tungsten market, any non-Chinese source remains highly sought after.

The Uniqueness

The combination of low costs, vertical integration, and political tailwinds is rare. If Sangdong enters production as planned, Almonty could supply more than 40% of Western supply by 2027. Added to this are scaling effects: the more ore that runs through the Company's facilities, the lower the costs become – a significant lever for improving margins.

Looking Ahead

After the oxide plant, the focus will shift to the smelter decision and possible molybdenum projects at the same site. In addition, EU support programs for critical raw materials could facilitate the reactivation of Spanish mines. Each successful stage expands value creation and increases the strategic value of the portfolio, a snowball effect that attracts investors but requires disciplined project management.

This view is shared by analysts, who issued price targets of CAD 5.40 to 5.50 before the reverse stock split. After the split, these figures are CAD 8.10 to 8.25. Following the NASDAQ listing, it is better to calculate in USD. That would be USD 5.91 to 6.02. However, analysts will now certainly need to adjust their analyses now that the NASDAQ listing has taken place.

The share is currently trading at USD 5.07 on the NASDAQ. At its peak, the share price even reached USD 5.50 after the start of trading in New York.

Almonty Industries has laid the foundation for its next leap forward with its NASDAQ listing. The USD 90 million will enable Sangdong to complete the oxide plant and thus make the leap from concentrate supplier to integrated tungsten provider. This promises low costs, long-term supply contracts, and political backing – an attractive mix in a market that continues to be dominated by China. Anyone who believes in the strategic importance of critical metals will find a compelling story here.