Almonty Industries expands Sangdong tungsten deal to US$490M
- Almonty Industries expanded its Sangdong Mine tungsten offtake agreement to a total contracted revenue of US$490 million.
- The expanded volume and price adjustment will have an immediate impact on future revenue streams from South Korean operations.
- The company executed the amendment to secure expanded supply into Western defence and industrial supply chains.
Almonty Industries (ASX:AII) announced it executed an agreement amendment with Global Tungsten & Powders to increase contracted tungsten revenue to US$490 million over a 21-year period.
The development extends the previous 15-year commitment by an additional six years and expands the total contracted volume by 40%.
There was no executive quote provided in the original text announcement detailing the contract amendment.
The amended arrangement lifts total contracted quantities to 4,410,000 metric tonne units while improving pricing by approximately 6.3% on all delivered volumes.
The contract revision secures an expanded long-term supply of tungsten concentrate into critical United States defence and industrial supply chains for more than two decades.
Following the announcement, the Almonty Industries share price was unchanged at $23.56.
The underlying agreement covers approximately 90% of the Phase I tungsten concentrate production at the Sangdong Mine located in South Korea.
The mine commenced its processing plant throughput operations on July 1 as the business ramps up towards its full Phase 1 production capacity.
