Almonty Charges Ahead: $772.7M Convertible Funds Tungsten-Molybdenum Dual Push as Sangdong Counts Down to 2026
20.06.2026 - 07:32:40 | boerse-global.de
Almonty Industries is executing a two-metal strategy that positions the company as a rare-earths powerhouse beyond its core tungsten focus. While the Sangdong tungsten mine in South Korea gears up for commercial output in March 2026, a parallel drilling campaign is already revealing molybdenum grades that could plug another critical supply gap.
The molybdenum project sits directly adjacent to the tungsten deposit. Almonty has outlined 26 drill holes spanning roughly 12,000 meters, with about 37% of the program now complete. Early assays confirm grades matching historical records, paving the way for a full resource estimate. Once that is locked in, the company plans to move straight into production — a move that would add a second critical mineral to its portfolio.
That portfolio is backed by formidable firepower. In early June, Almonty closed a heavily oversubscribed private placement of convertible notes worth $800 million, with a 2.25% coupon and a 2031 maturity. After full exercise of the overallotment option, net proceeds landed at approximately $772.7 million. Of that, $543 million is earmarked for working capital and general corporate purposes, explicitly including potential acquisitions. The remainder will bolster the Sangdong tungsten mine, which Almonty is building into the largest tungsten source outside of China.
Should investors sell immediately? Or is it worth buying Almonty?
The molybdenum expansion is no afterthought. South Korea already classifies the metal as a critical material, and the government is pushing private players to secure domestic supplies. Molybdenum is essential in aerospace, defense, nuclear energy, petrochemicals, and increasingly in semiconductor and solar manufacturing. The country imports most of its requirements today, giving Almonty a ready-made customer base.
Almonty's strategic positioning extends far beyond Asia. The company has acquired the Gentung Browns Lake project in Montana, targeting first production in the second half of 2026. By moving its headquarters to Dillon, Montana, Almonty has put itself inside the Pentagon's supply chain orbit — former U.S. generals now sit on the board, and management frames the business as a matter of national security. That message resonates as the U.S. faces a hard deadline from January 1, 2027, banning Pentagon procurement of tungsten from certain countries for defense goods. America has not mined its own tungsten since 2015, and the European Union has already designated tungsten a critical raw material.
Investors have taken note. The stock closed Friday at CAD 26.54, marking a 458% gain over the past year and more than doubling since the start of 2025. After hitting a 52-week high of CAD 33.35 in April, the shares have cooled by roughly 20% — a healthy consolidation, with the RSI at 52.6 and the price comfortably above the 200-day moving average of CAD 17.59. Volatility remains high at an annualized 99%, reflecting the stock's sensitivity to news in the critical-minerals space.
The next catalyst is the completion of the molybdenum resource estimate. Once the drill program wraps and a credible resource is established, Almonty can unveil concrete production plans for the by-product metal — a milestone the market has not yet priced in. Meanwhile, the Sangdong tungsten mine is on track for March 2026 commercial operations, and Montana output is due by year-end. If Almonty delivers on both, it will have built a rare-metals bridge across the Pacific, linking Korean resources to American defense needs — and creating a supply chain the West can finally call its own.
Ad
Almonty Stock: New Analysis - 20 June
Fresh Almonty information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
