Almonty Industries: The Korean Trinity Gains a Second Pillar as Molybdenum Drilling Advances
28.06.2026 - 05:24:42 | boerse-global.de
South Korea's official declaration of a national molybdenum supply crisis has lent fresh urgency to Almonty Industries' parallel exploration program at Sangdong. The company has now completed 37% of the planned 26 boreholes at the Molybdenum project, with grades so far matching historical averages—a sign of continuous mineralisation that could eventually turn the site into a domestic source for a strategically scarce metal. The project sits directly adjacent to the Sangdong tungsten mine, which wrapped up its first production phase in March 2026.
That tungsten mine is already generating serious numbers. It is currently processing around 640,000 tonnes of ore per year, turning out roughly 2,300 tonnes of tungsten concentrate. Phase 2, targeted for 2027, aims to double that capacity to 1.2 million tonnes and push concentrate output to approximately 4,600 tonnes. The broader market environment remains extraordinarily supportive. Since China introduced export controls in early 2025, tungsten prices have surged more than 550%. European APT prices alone rocketed from roughly $1,800 to over $3,100 per metric tonne unit between mid-February and the end of March 2026. New supply from Australia, Canada, and Portugal is not expected before 2027, and substitution in most industrial applications is nearly impossible.
The financial turnaround accompanying this production ramp has been stark. First-quarter 2026 revenue jumped 221% to $25.4 million, while adjusted EBITDA swung from negative $2.4 million to positive $6.1 million. Operating cash flow reached $9.7 million, and the reported net loss of $5.3 million was almost entirely attributable to non-cash valuation effects. The balance sheet is equally robust: cash reserves stood at $259.9 million as of March 31, providing plenty of runway for the Phase 2 expansion, a tungsten oxide refining plant, and the molybdenum project—the three legs of what management calls the "Korean Trinity."
Should investors sell immediately? Or is it worth buying Almonty?
All of this fundamental progress, however, has been accompanied by a brutal stock correction. Almonty shares closed at C$23.00 on Friday, down roughly 14% in a single week and about 18% over the past month. That leaves the stock 31% below its all-time high of C$33.35 hit in mid-April. The short-term technicals look stretched: the 14-day RSI stands at 40.9, flirting with oversold territory, and the stock is trading about 14% below its 50-day moving average of C$26.78. Yet the longer-term trend remains intact—the share price is still more than 27% above its 200-day moving average, and the 30-day annualised volatility of roughly 91% suggests that sharp moves in either direction are the norm, not the exception.
Enter the Russell 1000 inclusion, effective Monday, 29 June 2026. The mechanics are straightforward: all index-tracking funds and ETFs that replicate the Russell 1000 and Russell 3000 are obligated to own the stock, creating forced buying pressure independent of market sentiment. The historical pattern shows that trading volumes typically spike in the weeks leading up to reconstitution—an effect that may now fade as the actual date arrives. Over the longer term, index membership tends to attract broader analyst coverage and a larger institutional shareholder base, both of which improve liquidity and visibility.
The timing of the index debut is ironic. A stock that has nearly quadrupled over the past twelve months and more than doubled year-to-date is entering a major benchmark precisely when its short-term momentum has stalled. The question for the trading week ahead is whether the structural demand from passive managers will be sufficient to halt the correction. Monday's opening will provide the first indication, but with a volatile commodity backdrop and a company still executing on multiple multi-year expansion projects, the story is far from settled.
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Almonty Stock: New Analysis - 28 June
Fresh Almonty information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
