Almonty Industries: Sangdong’s Ore Is Flowing, but the Stock Is Still Caught in a Liquidity Squeeze
Published on 07/28/2026 at 21:21 | Redaktion boerse-global.de
The timing could hardly be more awkward. Just as Almonty Industries begins processing ore at its long-awaited Sangdong tungsten mine in South Korea, the company’s shares are taking a beating — and the culprit has little to do with what’s happening underground.
Since the plant officially started operations on July 1, 2026, the stock has shed roughly a fifth of its value. On Tuesday alone, the shares fell 8.83 percent to C$17.14, extending a 30-day decline of 25.19 percent. The sell-off looks brutal on the surface, but the mechanics behind it tell a different story than a crisis of confidence in the business itself.
The Real Driver: A Self-Imposed Exit from Two Exchanges
Almonty is voluntarily leaving the Toronto Stock Exchange on July 31, 2026, with a departure from Australia’s ASX to follow on September 1. Management’s rationale is straightforward: concentrate trading volume on the Nasdaq and in Frankfurt while cutting compliance costs. But the market reaction has been anything but orderly.
Funds and index products restricted to TSX- or ASX-listed securities are being forced to dump their positions regardless of the company’s operational progress. That mechanical selling pressure has driven the stock 48.61 percent below its 52-week high of C$33.35, reached in April. The technical damage is visible: the shares now trade 10.78 percent below their 200-day moving average of C$19.21, a level that typically triggers additional selling from algorithmic trading systems.
Should investors sell immediately? Or is it worth buying Almonty?
Sangdong’s Milestone: Production Is Finally Underway
Amid the stock market turbulence, the industrial story is moving forward. Almonty is currently processing roughly 139,700 tonnes of stockpiled ore through the Sangdong plant, with a tungsten oxide grade of 0.25 percent. The company is deliberately using this lower-grade material to stabilize operations before transitioning to higher-grade underground reserves.
The mine positions Almonty as one of the few Western sources of tungsten — a metal deemed critical for defense applications and semiconductor manufacturing. China controls roughly 80 percent of global production, and starting in 2027, the United States will ban imports of Chinese tungsten for military use. At full capacity, Sangdong could supply about 40 percent of non-Chinese demand, giving the asset clear strategic value.
A Strengthened Commercial Backstop
While the stock has been sliding, the company’s commercial foundation has actually improved. Almonty recently extended and upgraded its offtake agreement with Global Tungsten & Powders, part of the Plansee Group. The new contract runs for 21 years, with volumes increasing by 40 percent and pricing terms improving by roughly 6.3 percent. The deal covers 90 percent of Phase I production.
There’s also a potential new buyer base emerging. Almonty’s inclusion in the Russell 1000 and Russell 3000 indices at the end of June 2026 could draw US-focused institutional investors — a group that may eventually replace the Canadian and Australian funds now being forced to sell.
The Technical Picture: Searching for a Floor
The stock closed Monday at C$18.80, just below the 200-day moving average of C$19.19. That line now serves as a critical battleground. A sustained move above it could signal stabilization; a failure to reclaim it risks further downside.
Almonty at a turning point? This analysis reveals what investors need to know now.
The relative strength index sits at 34.2 in one reading and 38.8 in another, both approaching oversold territory but not yet signaling a clear reversal. The weekly decline of 18.96 percent underscores just how sharp the TSX exit is proving to be. With annualized volatility running at roughly 81 percent, the delisting process is amplifying moves in both directions.
What Comes Next
The next major milestone is the completion of the TSX delisting on July 31, which will clear the way for the new trading structure centered on Nasdaq and Frankfurt. In the meantime, the market is focused on whether Sangdong can make the transition from commissioning to stable commercial throughput without hiccups. Delays in moving from low-grade stockpiles to higher-grade underground ore would push back the expected cash flow inflection point in the second half of the year.
For now, Almonty finds itself in an unusual position: the mine is finally producing, but the stock is being driven by where the shares trade rather than what the company produces. The disconnect won’t last forever — but it may take a few more weeks of technical turbulence before the fundamental story regains the upper hand.
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