Almonty Industries has begun commercial production at the Sangdong tungsten mine in South Korea and extended its long-term supply agreement [1, 3].
The move is significant because the Sangdong site is considered the world's largest tungsten deposit [7]. As the U.S. and China compete for control over critical minerals, this production provides a strategic alternative to current supply chains [6].
Phase one of the mine was completed on March 16, 2026 [5]. The company said that the first truckload of ore was delivered earlier this year [3]. This operational milestone marks the transition from development to active commercial extraction at the site [4, 5].
Market reaction to the extended off-take agreement for tungsten concentrate was positive. Almonty shares rose 6.6% to CAD 22.65 [2], though other reports placed the Tuesday trading increase at 5.7% [1]. These gains follow a period of volatility for the company, including a roughly 30% decline in share price over one month following a TSX delisting [6].
Tungsten is a critical metal used in heavy industry, and defense applications. By scaling production in South Korea, Almonty aims to meet global demand while reducing reliance on a few dominant producers [6]. The company has now secured the long-term flow of concentrate through the extension of its supply deal [1, 2].
“The Sangdong site is considered the world's largest tungsten deposit.”
The activation of the Sangdong mine shifts the geopolitical landscape of critical minerals. By establishing a high-capacity production hub in South Korea, Almonty Industries creates a non-Chinese source of tungsten, a metal essential for national security and high-tech manufacturing. This reduces the leverage of dominant market players and aligns with broader Western efforts to diversify strategic mineral supply chains.
