Almonty Industries Gains Strategic Favor in U.S. Defense Supply Chain

Almonty Industries is emerging as a significant player in the strategic materials sector, bolstered by recent geopolitical developments. The company’s CEO has provided assurances to the U.S. government regarding a stable supply of tungsten, a critical mineral. This commitment is tied directly to the planned full-scale reactivation of the long-dormant Sangdong mine in South Korea, setting the stage for 2026 to be a pivotal year for the company’s stock.

In a recent CBS News report, Almonty’s Chief Executive, Lewis Black, was cited as having guaranteed a reliable tungsten supply to the White House. This move strategically positions the company as a dependable non-Chinese source for a material vital to national defense. The timing aligns with the final stages of preparing the Sangdong mine for full production, following a three-decade hiatus.

Once operational in the coming year, the facility is projected to yield an annual output of approximately 1.2 million tonnes of tungsten ore. This volume is intended to underpin long-term U.S. defense manufacturing needs, specifically for applications in armored vehicles, combat aircraft, and AI-guided missile systems.

Geopolitical Tensions Elevate Project Importance

The broader context of tightening export controls on critical minerals from China adds considerable weight to Almonty’s venture. Chinese authorities recently announced convictions for 27 individuals involved in smuggling antimony, another technology-critical metal, highlighting a stricter regulatory environment enacted in September 2024.

Against this backdrop, the Sangdong mine’s significance is amplified. It stands as one of the few substantial non-Chinese deposits capable of meeting the quality and volume requirements for advanced Western military and technological programs. Washington’s concerted effort to diversify defense supply chains away from Chinese dominance directly benefits Almonty’s strategic positioning.

Should investors sell immediately? Or is it worth buying Almonty?

Market Performance and Sector Context

Almonty’s shares recorded modest gains in recent trading. On the NASDAQ, the stock closed at $9.48 last Friday, marking a 0.42% increase. In Frankfurt, the last quoted price before the Christmas break was €7.44.

The focus on critical raw materials extends beyond tungsten. Copper prices, for instance, touched record highs recently, driven by expectations of a tighter market in 2026. Almonty’s supply guarantee forms part of a wider U.S. initiative to secure mineral resources, which includes a raw materials agreement signed with Ukraine in May 2025 aimed at broadening sourcing options.

This evolving narrative is leading investors to view Almonty not merely as a mining exploration stock but as an integral component within defense logistics and supply chain security.

The 2026 Inflection Point

The primary catalyst for Almonty’s equity in the coming quarters is the official commencement of full-scale production at Sangdong, slated for early 2026. Market attention will be firmly fixed on the company’s ability to ramp up operations as planned to hit the targeted annual production rate of 1.2 million tonnes.

Concurrently, the market’s valuation of the "geopolitical premium" for secure, non-Chinese tungsten will influence the stock’s trajectory. In the near term, technical traders are monitoring whether the share price can sustain a breakout above the recent resistance level around $9.50 on the NASDAQ.