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West Australian
5 days ago
- Automotive
- West Australian
The West is recycling rare earths to escape China's grip — but it's not enough
As China tightens its grip on the global supply of key minerals, the West is working to reduce its dependence on Chinese rare earths. This includes finding alternative sources of rare earth minerals, developing technologies to reduce reliance, and recovering existing stockpiles through recycling products that are reaching the end of their shelf life. 'You cannot build a modern car without rare earths,' said consulting firm AlixPartners, noting how Chinese companies have come to dominate the supply chain for the minerals. In September 2024, the US Department of Defense invested $US4.2 million ($6.5m) in Rare Earth Salts, a startup that aims to extract the oxides from domestic recycled products such as fluorescent light bulbs. Japan's Toyota has also been investing in technologies to reduce the use of rare earth elements. According to the US Geological Survey, China controlled 69 per cent of rare earth mine production in 2024, and nearly half of the world's reserves. Analysts from AlixPartners estimate that a typical single-motor battery electric vehicle includes around 550 grams (1.21 pounds) of components containing rare earths, unlike gasoline-powered cars, which only use 140 grams of rare earths, or about 5 ounces. More than half of the new passenger cars sold in China are battery-only and hybrid-powered cars, unlike the U.S., where they are still mostly gasoline-powered. 'With slowing EV uptake (in the U.S.) and mandates to convert from ICE to EV formats receding into the future, the imperative for replacing Chinese-sourced materials in EVs is declining,' said Christopher Ecclestone, principal and mining strategist at Hallgarten & Company. 'Pretty soon, the first generation of EVs will be up for recycling themselves, creating a pool of ex-China material that will be under the control of the West,' he said. Only 7.5 per cent of new US vehicle sales in the first quarter were electric, a modest increase from a year ago, according to Cox Automotive. It pointed out that around two-thirds of EVs sold in the U.S. last year were assembled locally, but manufacturers still rely on imports for the parts. 'The current, full-blown trade war with China, the world's leading supplier of EV battery materials, will distort the market even more.' Of the 1.7 kilograms (3.74 pounds) of components containing rare earths found in a typical single-motor battery electric car, 550 grams (1.2 pounds) are rare earths. About the same amount, 510 grams, is used in hybrid-powered vehicles using lithium-ion batteries. In early April, China announced export controls on seven rare earths. Those restrictions included terbium, 9 grams of which is typically used in a single-motor EV, AlixPartners data showed. None of the six other targeted rare earths are significantly used in cars, according to the data. But April's list is not the only one. A separate Chinese list of metal controls that took effect in December restricts exports of cerium, 50 grams of which AlixPartners said is used on average in a single-motor EV. The controls mean that Chinese companies handling the minerals must get government approval to sell them overseas. Caixin, a Chinese business news outlet, reported on May 15, just days after a US-China trade truce, that three leading Chinese rare earth magnet companies have received export licenses from the commerce ministry to ship to North America and Europe. What's concerning for international business is that there are barely any alternatives to China for obtaining the rare earths. Mines can take years to get operating approval, while processing plants also take time and expertise to establish. 'Today, China controls over 90 per cent of the global refined supply for the four magnet rare earth elements (Nd, Pr, Dy, Tb), which are used to make permanent magnets for EV motors,' the International Energy Agency said in a statement. That refers to neodymium, praseodymium, dysprosium and terbium. For the less commonly used nickel metal hydride batteries in hybrid cars, the amount of rare earths goes up to 4.45 kilograms, or nearly 10 pounds, according to AlixPartners. That's largely because that kind of battery uses 3.5 kilograms of lanthanum. 'I estimate that around 70 per cent of the over 200 kilograms of minerals in an EV goes through China, but it varies by vehicle and manufacturer. It's hard to put a definitive figure on it,' said Henry Sanderson, associate fellow at The Royal United Services Institute for Defence and Security. However, there are limits to recycling, which remains challenging, energy-intensive and time-consuming. And even if adoption of EVs in the U.S. slows, the minerals are used in far larger quantities in defence. For example, the F-35 fighter jet contains over 900 pounds of rare earths, according to the Center for Strategic and International Studies, based in Washington, DC. China's rare earths restrictions also go beyond the closely watched list released on April 4. In the last two years, China has increased its control over a broader category of metals known as critical minerals. In the summer of 2023, China said it would restrict exports of gallium and germanium, both used in chipmaking. About a year later, it announced restrictions on antimony, used to strengthen other metals and a significant component in bullets, nuclear weapons production and lead-acid batteries. The State Council, the country's top executive body, in October released an entire policy for strengthening controls of exports, including minerals, that might have dual-use properties, or be used for military and civilian purposes. One restriction that caught many in the industry by surprise was on tungsten, a US-designated critical mineral but not a rare earth. The extremely hard metal is used in weapons, cutting tools, semiconductors and car batteries. China produced about 80 per cent of the global tungsten supply in 2024, and the U.S. imports 27% of tungsten from China, data from the U.S. Geological Survey showed. About 2 kilograms of tungsten is typically used in each electric car battery, said Michael Dornhofer, founder of metals consulting firm Independent Supply Business Partner. He pointed out that this tungsten is not able to return to the recycling chain for at least seven years, and its low levels of use might not even make it reusable. '50 per cent of the world's tungsten is consumed by China, so they have business as usual,' Lewis Black, CEO of tungsten mining company Almonty, said in an interview last month. 'It's the other 40 per cent that's produced (in China) that comes into the West that doesn't exist.' He said when the company's forthcoming tungsten mine in South Korea reopens this year, it would mean there would be enough non-China supply of the metal to satisfy US, Europe and South Korean needs for defence. But for autos, medical and aerospace, 'we just don't have enough.'
CNBC
5 days ago
- Automotive
- CNBC
The West is recycling rare earths to escape China's grip — but it's not enough
BEIJING — As China tightens its grip on the global supply of key minerals, the West is working to reduce its dependence on Chinese rare earth. This includes finding alternative sources of rare earth minerals, developing technologies to reduce reliance, and recovering existing stockpiles through recycling products that are reaching the end of their shelf life. "You cannot build a modern car without rare earths," said consulting firm AlixPartners, noting how Chinese companies have come to dominate the supply chain for the minerals. In September 2024, the U.S. Department of Defense invested $4.2 million in Rare Earth Salts, a startup that aims to extract the oxides from domestic recycled products such as fluorescent light bulbs. Japan's Toyota has also been investing in technologies to reduce the use of rare earth elements. According to the U.S. Geological Survey, China controlled 69% of rare earth mine production in 2024, and nearly half of the world's reserves. Analysts from AlixPartners estimate that a typical single-motor battery electric vehicle includes around 550 grams (1.21 pounds) of components containing rare earths, unlike gasoline-powered cars, which only use 140 grams of rare earths, or about 5 ounces. More than half of the new passenger cars sold in China are battery-only and hybrid-powered cars, unlike the U.S., where they are still mostly gasoline-powered. "With slowing EV uptake (in the U.S.) and mandates to convert from ICE to EV formats receding into the future, the imperative for replacing Chinese-sourced materials in EVs is declining," said Christopher Ecclestone, principal and mining strategist at Hallgarten & Company. "Pretty soon, the first generation of EVs will be up for recycling themselves, creating a pool of ex-China material that will be under the control of the West," he said. Only 7.5% of new U.S. vehicle sales in the first quarter were electric, a modest increase from a year ago, according to Cox Automotive. It pointed out that around two-thirds of EVs sold in the U.S. last year were assembled locally, but manufacturers still rely on imports for the parts. "The current, full-blown trade war with China, the world's leading supplier of EV battery materials, will distort the market even more." Of the 1.7 kilograms (3.74 pounds) of components containing rare earths found in a typical single-motor battery electric car, 550 grams (1.2 pounds) are rare earths. About the same amount, 510 grams, is used in hybrid-powered vehicles using lithium-ion batteries. In early April, China announced export controls on seven rare earths. Those restrictions included terbium, 9 grams of which is typically used in a single-motor EV, AlixPartners data showed. None of the six other targeted rare earths are significantly used in cars, according to the data. But April's list is not the only one. A separate Chinese list of metal controls that took effect in December restricts exports of cerium, 50 grams of which AlixPartners said is used on average in a single-motor EV. The controls mean that Chinese companies handling the minerals must get government approval to sell them overseas. Caixin, a Chinese business news outlet, reported on May 15, just days after a U.S.-China trade truce, that three leading Chinese rare earth magnet companies have received export licenses from the commerce ministry to ship to North America and Europe. What's concerning for international business is that there are barely any alternatives to China for obtaining the rare earths. Mines can take years to get operating approval, while processing plants also take time and expertise to establish. "Today, China controls over 90% of the global refined supply for the four magnet rare earth elements (Nd, Pr, Dy, Tb), which are used to make permanent magnets for EV motors," the International Energy Agency said in a statement. That refers to neodymium, praseodymium, dysprosium and terbium. For the less commonly used nickel metal hydride batteries in hybrid cars, the amount of rare earths goes up to 4.45 kilograms, or nearly 10 pounds, according to AlixPartners. That's largely because that kind of battery uses 3.5 kilograms of lanthanum. "I estimate that around 70% of the over 200 kilograms of minerals in an EV goes through China, but it varies by vehicle and manufacturer. It's hard to put a definitive figure on it," said Henry Sanderson, associate fellow at The Royal United Services Institute for Defence and Security. However, there are limits to recycling, which remains challenging, energy-intensive and time-consuming. And even if adoption of EVs in the U.S. slows, the minerals are used in far larger quantities in defense. For example, the F-35 fighter jet contains over 900 pounds of rare earths, according to the Center for Strategic and International Studies, based in Washington, D.C. China's rare earths restrictions also go beyond the closely watched list released on April 4. In the last two years, China has increased its control over a broader category of metals known as critical minerals. In the summer of 2023, China said it would restrict exports of gallium and germanium, both used in chipmaking. About a year later, it announced restrictions on antimony, used to strengthen other metals and a significant component in bullets, nuclear weapons production and lead-acid batteries. The State Council, the country's top executive body, in October released an entire policy for strengthening controls of exports, including minerals, that might have dual-use properties, or be used for military and civilian purposes. One restriction that caught many in the industry by surprise was on tungsten, a U.S.-designated critical mineral but not a rare earth. The extremely hard metal is used in weapons, cutting tools, semiconductors and car batteries. China produced about 80% of the global tungsten supply in 2024, and the U.S. imports 27% of tungsten from China, data from the U.S. Geological Survey showed. About 2 kilograms of tungsten is typically used in each electric car battery, said Michael Dornhofer, founder of metals consulting firm Independent Supply Business Partner. He pointed out that this tungsten is not able to return to the recycling chain for at least seven years, and its low levels of use might not even make it reusable. "50% of the world's tungsten is consumed by China, so they have business as usual," Lewis Black, CEO of tungsten mining company Almonty, said in an interview last month. "It's the other 40% that's produced (in China) that comes into the West that doesn't exist." He said when the company's forthcoming tungsten mine in South Korea reopens this year, it would mean there would be enough non-China supply of the metal to satisfy U.S., Europe and South Korean needs for defense. But for autos, medical and aerospace, "we just don't have enough."
The Market Online
13-05-2025
- Business
- The Market Online
When returns meet security: Why Almonty Industries is suddenly everyone's darling!
In 2025, the world looks at a map full of conflicts: tensions are escalating in Ukraine, the Middle East, and along new geopolitical fault lines in Asia and Africa. Hopes for peace are giving way to a reality of rearmament and militarization. This dynamic is fueling the defense industry. But its boom depends on an inconspicuous metal: tungsten. With its unique heat resistance and density, it is irreplaceable for armor-piercing ammunition, missiles, and high-performance alloys. While China dominates the global market, a Canadian company is stepping into the spotlight: Almonty Industries (TSX:AII). With the revival of the legendary Sangdong mine in South Korea and strategic partnerships, Almonty could become a key player for the West. Tungsten: The invisible backbone of security Tungsten is not a headline-grabbing commodity, but without it, nothing works. Its melting point of 3,422 degrees Celsius makes it the hardest metal on earth and indispensable in defense technology. Industry experts agree that without tungsten, there would be no hard steel for armor or high-impact ammunition. The problem is that over 80 per cent of global production is controlled by China. Since Beijing drastically cut exports in February 2025, NATO countries have been desperately searching for alternatives. According to estimates, Western reserves will only last for a few months – a nightmare for defense companies that want to ramp up production due to the boom. Almonty Industries: From underdog to strategic partner This is where Almonty Industries (TSX:AII) comes into play. The Company, which previously operated mines in Portugal and Spain, is positioning itself as a bridgehead for Western raw material security. The game changer is the Sangdong mine in South Korea. A historic mine dating back to the 1950s, which once supplied 30 per cent of the world's tungsten. After more than three decades of inactivity, Almonty will start production here in the second quarter of 2025. The figures are impressive. The property offers 7.89 million tons of ore reserves, a life span of 90 years, and has the potential to cover more than 40 per cent of non-Chinese production. Lyndsay Malchuk interviews capital markets expert Christopher Ecclestone on tungsten and Almonty Another deal that changes everything On May 7, Almonty signed an agreement underscoring the Company's strategic importance. Tungsten Parts Wyoming, a US defense contractor, has committed to purchasing at least 40 tons of tungsten oxide per month, which will be used exclusively for US defense applications such as missiles and drones. The highlight of the deal is a guaranteed minimum price combined with unlimited upside potential as global market prices rise. ' This binding purchase agreement represents a significant milestone for Almonty, as it secures both predictable revenue through a fixed minimum price and long-term demand directly linked to US defense programs ,' said CEO Lewis Black. The deal is not an isolated case. The Austrian Plansee Group secured long-term supplies back in 2020. At the end of January, it was announced that South Korean steel giant SeAH M&S would purchase all molybdenum from Sangdong, which is also located on the property. The 'Americanization' of a Canadian company Parallel to its operational expansion, Almonty is undergoing a structural change. At the most recent annual general meeting, a majority of shareholders voted in favor of relocating the headquarters to Delaware. This brings the Company closer to the US military complex. This is in line with the announcement on March 18 that the Company has entered into a strategic partnership with American Defense International, which has important networks in the US. The strategy is complemented by the planned listing on the NASDAQ, which is intended to attract new investor groups. The appointment of retired General Gustave F. Perna to the board was a symbolic coup. The former head of logistics for the US Army brings contacts in the Pentagon and knows how to make supply chains crisis-proof. Analysts: From niche player to mainstream player The financial world is beginning to recognize the potential. Peter Thilo Hasler of Sphene Capital sees the Company generating revenue of CAD 483.4 million and EBIT of CAD 198.8 million by 2027. His price target is CAD 5.40. GBC Research is more cautious at CAD 4.20, but points to the unique geopolitical leverage. Also in April, B. Riley Securities issued a 'Buy' recommendation with a target price of CAD 5.00. This puts the stock's potential between 70 and 120 per cent. Lyndsay Malchuk in an interview with GBC analyst Matthias Greiffenberger But it is about more than just numbers. Almonty embodies a paradigm shift. Countries are suddenly prioritizing security of supply over cost efficiency. This plays into the Company's hands. Demand already exceeds supply, and Almonty is one of the few players outside China that can scale up. Nevertheless, it is not possible to meet all the demand. Lewis Black said in an interview with FAZ: ' I realize that I have to tell many interested parties that I unfortunately cannot supply them immediately .' In a world that is moving toward division rather than globalization, tungsten is becoming a test case for Western resilience. Almonty Industries has set the course to fill this gap with the Sangdong mine, strategic alliances, and US domestication. Whether the mine will become the key to the West's tungsten supply also depends on the broader geopolitical climate. But one thing is clear: When security takes precedence over returns, companies like Almonty are no longer just commodity stocks – they become insurance policies against the unpredictability of the 21st century. 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The Market Online
30-04-2025
- Business
- The Market Online
Almonty: Building The Most Significant Non-Chinese Tungsten Source On The Map
Today we're digging into a metal that doesn't get the headlines but drives the backbone of modern warfare manufacturing and tech infrastructure. Tungsten is dense, unbreakable and brutally essential. And without it, missiles don't fly straight, drills don't cut, and that phone you hold so diligently onto won't function. Now the problem, China controls the bulk of global supply, and in fact, it currently controls 90%, and the West is only now waking up to the risk and the consequences. At the forefront of that is one company, Almonty Industries. It is one of the few players actually doing something about it. They're pushing their Sangdong Project in South Korea towards production in the next two months, building what could be the most significant non-Chinese tungsten source on the map. And with a fresh strategic alliance in the US defense sector, and a just locked in move to domesticate into the US, Almonty isn't positioning, it's advancing. We recently caught up with Christopher Ecclestone, Strategist at Hallgarten + Company, to break down the stakes, the supply chain war, and what investors keep missing. A voice who's never shy about calling it like it is. LYNDSAY: Let's start with critical metals. What's the real cost of falling behind in securing supply and who really stands to lose the most? CHRISTOPHER: You know, the West has become enormously reliant in recent decades upon the attitude of just in time as an industrial strategy and also that you didn't have to do anything to ensure your supply chains. The attitude was that if China can produce it cheaper than anyone else, a mineral that is, we'll buy from them, and it will always be available. And that has been a total fallacy and not only from the point of view that the Chinese have then got you by the throat, so to speak, and can potentially cut off supply. But in fact, China has been over exploiting some of these metals for decades now, as we've seen rare earths and antimony things. So, they've actually been destroying their own capabilities in the space. And the West has not wanted to make the investments required to refresh supplies. And so, particularly in tungsten, we saw after the last price peak, which wasn't actually all that high early last decade that a lot of tungsten production shut down because the prices were very poor. And they stayed at a very low level really until 2021, 2022 when they picked up a little bit, but they didn't pick up a lot. And it certainly wasn't an environment in which people could make a lot of money or even any money in the West. And so hardly anyone was doing anything in the tungsten space. There were very few explorers and many of the explorers that there had been when the last price peak was around gave up and went away because what was the use of finding a metal that in fact you couldn't really bring to production because the price you'd get for production was so poor. LYNDSAY: Right, absolutely. Let's shift over to geopolitical risk for a second here then. How are investors still treating tungsten like a side bet with the given and clearly national security asset that it's become? CHRISTOPHER: For a long time, the metal was sold as being a metal that was used in machine tools. It was used in drill bits, it was used in other sorts of domestic tools, saws, drills, knives, cutters, that type of thing. But in fact, tungsten has been a military metal since before the Second World War. And in fact, it was extremely critical in the Second World War. It was one of the reasons why countries like Spain and Portugal could remain neutral in the Second World War because they were the main suppliers and they had a business of selling both to the Axis powers, Germany and Italy, and also selling to the Western powers. So they were making money on both sides during the Second World War. But the crucial factor with tungsten is its hardness. So, the hardness works two ways in the military sense. One is you have shells and bullets and ballistics that are tungsten coated, and so they are then armor piercing. So, you can fire a shell that is made out of tungsten at a tank, and it will go right through the tank and achieve its goal. But then if it's also used for armor, if you use it on armored personnel, carriers or tanks, then they become resistant to ammunition from your enemy. So you need it both to protect yourself in a defensive mode and in an offensive mode. And you know, big Western militaries used to have reserves, strategic reserves of this, and they got very slack. You know, particularly after 1989, there was much talk about the peace dividend. There was no more cold war. It was the end of history. It was the end of war. There'd be no more big wars. And that was a big mistake because then they let their reserves run down. They let the sources that fed those reserves run down or close. You know, no mine is forever. And many tungsten mines just sort of like faded away and then were not replaced. And so, the military has left themselves in a very vulnerable position that if they didn't have a big stockpile, then if there is a war, they won't be prepared and they won't have access to material. LYNDSAY: With that then, is there a reserve right now only in China, or is there a reserve that Almonty now with their nearing production mine, is that one of the production goals? To create enough now to have that reserve away from the China supply chain? CHRISTOPHER: Yes, absolutely. You can have two types of reserves. One is a reserve that you buy the metal in the market, and you put it in a big warehouse somewhere. You know, the US Strategic Reserve of oil is very famous. The US used to have reserves of all sorts of strategic metals just in case there was a war. And really after 1989, as I mentioned, after the Vietnam War they thought, oh, we don't need these anymore. So they either didn't add to them or they ran them down and they thought, oh, we can use this money for other stuff. And so they did. And so that left those vulnerable. And the other type of reserve you can have is a reserve that's in the ground, but when it's in the ground, it has to be in a friendly nation because it's useless to say we know that we have access to a reserve of tungsten in the DRC, for instance. And then think that if there's a war in 10 years or 20 years from now, you will still have access to that because these countries change their allegiances and you just don't have access. So, you really need to have a reserve of ore if it's going to be in the ground, that is in the ground of a friendly nation. And the US has lots of friends, but you know, sometimes who's a friend changes, but in the case of Korea in particular, Korea is a long-term ally of the US. And so that is the big advantage for Almonty here because they will be producing from a mine that was formally a mine, it was a mine for many decades and then shut down because of poor pricing and other factors. And it's that mine now that Almonty's going again. So, this demand for the product of Almonty out of Korea from not only Korean industry, this Korean industry of course is massive. It's a big industrial power. Japan, which is right nearby and of course in the US and the rest of the West. So, Almonty's customers potentially for Sangdong offtake sort of go well around the block in a line of Western and non-Chinese really industrial nations that need and want a source of tungsten that is not subject to Chinese whims. LYNDSAY: Oh, that's the thing. Absolutely. They've definitely aligned themselves where they need to be, for sure. CHRISTOPHER: Yes. LYNDSAY: Let's talk a little bit further about that Sangdong mine. They are nearing production. How much disruption should the incumbents brace for once this project goes live? CHRISTOPHER: Well, it's very interesting you mention that because if we went back three years ago, we would've said, oh, China's happily supplying tungsten to the West, and all is beautiful in the world. Now tungsten of course, is what is called dual use by the Chinese. Basically, meaning that it has industrial usages, machine tools, but it also has military usages. And the Chinese have decided to put a clamp down on the supply of dual use material particularly to the US because that was in a sort of response to some dual use bans that the US imposed on things like semiconductors and other industrial and technological products. So, it's a bit of a tit for tat action going on there, but what it's done is it's really focused mines in the West upon who is your friend, who is not your friend, who can produce something that if the bullets start to fly, you can actually call them up and say we need some tungsten, can you supply it? Certainly, if the bullets started flying between China and Taiwan, you wouldn't be calling Beijing and saying, can you give us some tungsten to defend Taiwan? So obviously everyone's starting to work out now which side they're on, and Almonty's on the right side. LYNDSAY: It's all about shifting dynamics. So, let's lean into that one a little bit more. The American situation signals, as you mentioned, Almonty is no longer chasing contracts. It's inserting itself into national security conversations. So how does this actually shift the company's influence in a market where government ties are becoming just as valuable as production? CHRISTOPHER: Oh, yes, that's the critical factor here. You know, Almonty was a bit of a strange beast for a long time. It was a company listed on the Canadian stock exchanges with a Canadian registration of the corporation. But its mines were in Spain and then it added a mine in Portugal. Now it's adding the mine in Korea. But that didn't necessarily put it in close contact with the Pentagon and the US Department of Defense and its needs. So, what they've done in recent times at Almonty, unfortunately for Canada, but Canada doesn't provide Almonty with much of a market. Almonty was selling their products internationally to German and Swedish companies, and now they've redomiciled themselves from Canada to the US, which makes them a US corporation. And turns what was the largest Canadian tungsten producer that was not producing in Canada into the largest US tungsten producer, which is nevertheless not producing in the US either. But once you're on shore in the US and we've seen this major sort of shift in recent times away from offshoring back to onshoring. Having both your corporate office there and a close relationship with Washington, which is developing because Almonty have tied up with firm in Washington that will give them a direct sort of entree to the powers that make the purchasing decisions in Washington. Almonty is now seen not only as being in an allied nation Canada which a member of NATO, but it's actually becoming a US corporation, which puts it squarely in the tick, tick, tick checklist of the DOD, the Department of Defense, the Defense Logistics Agency, which buys for the DOD and the Pentagon, which basically is the brains of the US military industrial complex. LYNDSAY: Those are great partnerships to have and great insights that you're giving us here. Now that the US domestication has been cleared, what does this mean for its access to federal backing and defense driven capital? You touched on it a little bit, but let's explore that a little bit more if we could. CHRISTOPHER: Well, it's a great backstop for Almonty because prices have improved in the tungsten sector, so that's a big positive for them. But if you want to expand and get even bigger then you need access to funds. And over the years, with the price of tungsten not being great and profitability being low in the sector Almonty had a long and hard road despite its own conviction about the future of tungsten to finance its projects. Fortunately though, Sangdong is fully financed and it's really off to the races, but it's always better to have a guaranteed buyer, and particularly one of the best guaranteed buyers who always will pay the invoice when you send it to them is the US military. And so that's a great position to be in. But beyond Sangdong, Almonty has its former mine in Spain, which it would like to reopen in a different format to the way that it was operating before. And it also has another project in Spain, a big, identified tungsten resource, which it could also reopen to service not only demand from the European militaries, but from the US military. And to put it in perspective many of the predictions of tungsten industry growth in recent years have been 1% per year, 2% per year. And last year, defense spending around the world grew by 9.4%. So that is a quantum leap from what was viewed as being sort of a low growth industry. Defense is now like one of the highest growth industries out there, and it's one that's being prioritized as well, and one that has governments behind it. And as we know, governments, if they need to, as we saw in the pandemic, can find money and are dedicated to a course that they regard as crucial. And definitely defense is a national number one issue in most countries around the world now. And it wasn't a few years ago. LYNDSAY: So that's where the line gets drawn right there. Critical metals like tungsten aren't just resources anymore. They're leverage, they're essential. They are here to stay. So the players who control supply chains will control the outcome and the clock ticking on who gets there first. Yes, so Almonty's not just moving, they're moving with intent and the market needs them. CHRISTOPHER: Yes, and they've moved ahead of the pack because many of the other tungsten wannabes, because the price was so bad for so long are not advanced at all. And when they're on the verge opening another big mine, because it's already got a mine in Portugal. One that's functioning at the moment. But most of the other tungsten wannabes have nothing more than some 43-101's saying that they might have something. Almonty's the real deal. If you would like to learn more about Hallgarten + Company, their website is and for more information on Almonty, their website is as well you can find them on the TSX under the ticker symbol AII. Join the discussion: Find out what everybody's saying about this stock on the Almonty Industries investor discussion forum, and check out the rest of Stockhouse's stock forums and message boards. The material provided in this article is for information only and should not be treated as investment advice. 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