Wedoany.com Report-Oct. 29, Toronto-based Almonty Industries has signed an agreement to acquire a tungsten project in Montana, aiming to establish the first U.S. tungsten mine in a decade. The project, formerly operated by Union Carbide, will be purchased through a mix of stock and cash, according to Bloomberg. Once the required extraction permit is obtained, Almonty expects to restart mining operations as early as late next year, using refurbished equipment transferred from its facilities in Spain. The site already has essential infrastructure and water rights in place, enabling a smoother transition toward production.

Tungsten concentrate from the Montana site could be supplied to companies such as Global Tungsten & Powders, Kennametal and Buffalo Tungsten.

Tungsten is a critical metal used in semiconductors, industrial machinery, and defense applications such as armour-piercing munitions. Almonty’s move aligns with broader U.S. efforts to strengthen domestic supply chains for strategic minerals. The company’s initiative contributes to reducing reliance on imports by restoring local production capacity for this super-dense metal.

Almonty CEO Lewis Black said that the company has also initiated discussions with the U.S. Department of Defence regarding potential supply arrangements. He noted that Almonty’s strategy is to offer tungsten to the U.S. government at transparent and market-based prices, emphasizing that the company is not seeking direct funding or equity participation from the Pentagon.

In addition to the Montana project, Almonty’s global portfolio includes an operational tungsten mine in Portugal and a large-scale project in South Korea nearing production. The addition of the Montana site is expected to enhance the company’s international footprint and production diversity. Tungsten concentrate from the project could be supplied to established processors such as Global Tungsten & Powders, Kennametal, and Buffalo Tungsten, where it would be refined into powders and later transformed into carbides and other tungsten-based alloys.

Black also mentioned that Almonty has been in discussions with several U.S. agencies, including the Defence Advanced Research Projects Agency (DARPA), exploring ways to strengthen the country’s critical mineral resilience. The Montana project represents a step forward in these collaborative efforts, focusing on sustainable sourcing and supply stability.

The U.S. discontinued domestic tungsten production about ten years ago following a drop in global prices, which led to increased dependence on imports and recycled materials to meet demand. Since then, tungsten has been excluded from country-specific tariffs, given its importance in various industrial and defense applications.

Almonty’s stock has seen strong performance amid rising concerns about tungsten supply security, gaining more than 600% over the past year. In January 2025, the company signed an exclusive offtake agreement with South Korea’s SeAH Group to supply all molybdenum output from its Sangdong Molybdenum Project.

With the Montana acquisition, Almonty aims to establish a stable and reliable tungsten supply chain for U.S. industry while reinforcing its position as a key player in the global tungsten market.