American Tungsten Corp. (TSXV: TUNG, OTCQB: DEMRF)
Building America’s Defense Critical Metals Supply
In early 2026, within the mining sector of the Toronto Stock Exchange, Toronto-based Almonty Industries (TSX: AII) has become the brightest star in the capital markets, thanks to its astounding 854% stock price surge over the past year. This epic rally is far from mere speculative hype; it is the result of a deep resonance between the company’s strategy and the era-defining wave of restructuring in the global critical minerals supply chain.
The primary driver behind the explosive stock price increase lies in Almonty’s core product—tungsten—which is evolving from an industrial metal into a “strategic asset” in the context of great power competition. In 2025, two pivotal events fundamentally altered the market landscape: China’s further restrictions on tungsten exports and U.S. legislation explicitly banning the procurement of Chinese-produced tungsten for defense purposes starting in 2027. This created a potential supply cutoff risk for a source that accounts for over 80% of global supply, causing tungsten prices to surge more than 160% in 2025.
Against this backdrop, Almonty’s flagship project—the Sangdong Tungsten Mine in South Korea, which has entered pre-production—has become a scarce, scalable, and geopolitically friendly alternative supply source for the Western world. The company has secured long-term offtake agreements, including for U.S. defense applications. Its vision of “becoming a 40% supplier to the non-China tungsten market” has gradually transformed from a business plan into a national supply chain security solution. This unique “geopolitical premium” is the most powerful engine driving the revaluation of the company.
A fundamental shift in investor confidence stems from the company’s critical transition from a “developer” to a “producer.” In December 2025, the delivery of the first truckload of ore from the Sangdong Mine marked the successful completion of project construction and the official transition to the production phase. This milestone eliminated the greatest risk of project delays or failure, confirming the company’s execution capabilities.
Meanwhile, the expansion plan for its Panasqueira Mine in Portugal and the newly acquired Browns Lake project in Montana, USA, together sketch the blueprint for a “Western Tungsten Platform” spanning Asia, Europe, and America, lifting the long-term ceiling on production potential.
The strong stock performance is also underpinned by solid financial backing. Almonty successfully listed on the Nasdaq in 2025 and completed two oversubscribed financing rounds, raising approximately US$220 million in total. This has left its balance sheet exceptionally robust, with ample funds to advance all projects without excessively diluting equity.
The company has recruited executives and independent directors with deep backgrounds in the U.S. military, defense logistics, and capital markets. This “dream team” not only strengthens operational capabilities but also signals to the market the company’s deep alignment with core U.S. strategic needs, significantly boosting institutional investor confidence.
Looking ahead to 2026, Almonty’s investment thesis will shift from “expectation narrative” to “performance verification.” The key focal points are:
Capacity Ramp-up at Sangdong: Whether it can smoothly achieve full commercial operation of Phase I and initiate the Phase II expansion will be crucial for testing its profitability and industry standing.
Progress Across Multiple Projects: Ongoing expansion drilling at the Portuguese mine and advancement of the U.S. Browns Lake project will continue to provide catalysts.
Sustainability of High Tungsten Prices: Amid geopolitical tensions and demand from the green transition (tungsten is used in hard alloys and wear-resistant components), tungsten prices are expected to remain strong, potentially generating substantial cash flow for the company.
In summary, Almonty’s 854% stock price gain over the past year is the result of a confluence of factors: scarcity revaluation driven by geopolitics, the achievement of key project milestones, and a comprehensive upgrade in capital and governance. In 2026, investors will scrutinize its operational metrics and financial performance with greater rigor.
Although the long-term supply-demand dynamics remain favorable, stock price volatility may increase following such a significant run-up. For investors, the stock is no longer a pure speculative play but a growth-oriented mining equity that requires in-depth tracking of its production ramp-up efficiency, cost control capabilities, and execution of its strategic layout.
