Almonty’s Sangdong Complex Anchors Dual Critical-Metal Race as Index Entry and Molybdenum Drilling Align
Published on 06/21/2026 at 04:12 | Redaktion boerse-global.de
The geopolitical jostle for rare earths and strategic metals has turned Almonty Industries into a stock market phenomenon. Its Sangdong mine in South Korea sits at the confluence of two separate supply crises: a tungsten market transformed by Western efforts to sideline Chinese output, and a domestic molybdenum shortage that has prompted Seoul to urge local companies to stock up. The company is now advancing both fronts simultaneously.
Just days before the end of June, Almonty’s shares will join two Russell indices, a mechanical event that forces exchange-traded funds and index trackers to buy the stock. Analysts expect the reshuffling to generate demand for millions of shares, providing a short-term volume catalyst. The company has also fortified its balance sheet: a convertible note closed in June raised $800 million, netting roughly $773 million after costs, funds earmarked for operational expansion and potential acquisitions—including the Gentung project in Montana, where Almonty aims to start production in the second half of 2026, pending mining permits.
The real price driver, however, remains the market for tungsten. China, Russia and North Korea together dominate global supply, but the U.S. Pentagon will ban Chinese tungsten purchases from January 2027, and Beijing has already tightened export licensing. The result: a more-than-500-percent spike in the tungsten price. Almonty’s Sangdong mine, which entered commercial production in March 2026, is already lifting revenue, and the company turned operating cash flow positive in the first quarter. A planned capacity expansion aims to double output by 2027, at which point Sangdong would supply roughly 40 percent of global tungsten demand outside China.
Should investors sell immediately? Or is it worth buying Almonty?
Alongside the tungsten story, Almonty is accelerating a molybdenum drilling campaign on the same property in Gangwon province. The program covers 26 planned boreholes totaling about 12,000 metres; 37 percent of the drilling is already complete, and assay results so far match historic grades, encouraging the company to move toward extraction as soon as the resource is fully confirmed. South Korea’s low domestic stockpiles and the metal’s use in aerospace, defence, nuclear energy and semiconductors have boosted speculative interest: the spot price for molybdenum has risen around 23.5 percent in the past year.
On the trading front, Almonty’s shares closed at C$26.67 on Friday, leaving them roughly 20 percent below the 52-week high of C$33.35 reached in mid-April. The stock has more than doubled year-to-date and has advanced about 461 percent over the past twelve months, reflecting the market’s enthusiasm for the strategic metals theme. The relative strength index sits at 53, a neutral reading, though the annualised 30-day volatility of almost 99 percent underscores the risk. The days leading up to the Russell index rebalancing on June 29 are likely to keep the swings wide.
Completion of the molybdenum drilling campaign is the next key milestone. Once all 26 holes are assayed, the company will decide how quickly to begin mining—and whether the resource estimate matches the market’s expectations. For a stock already riding two critical-metal waves, the outcome will help determine how far the rally can stretch.
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