INTERVIEW Almonty Korea transforms Yeongwol into global tungsten hub

Almonty Korea Tungsten Corp. (AKTC) CEO Lewis Black speaks at the groundbreaking ceremony for the Sangdong Mine in Yeongwol, Gangwon Province, in this October 2024 photo. Courtesy of AKTC

By Ko Dong-hwan

• Published Aug 27, 2025 2:04 PM KST
• Updated Sep 2, 2025 6:01 PM KST

Green tech, community outreach cement local presence

Almonty Korea Tungsten Corp. (AKTC) is resurrecting a defunct mine in Gangwon Province to transform it into a strategic global supplier of tungsten, a high-density mineral that is essential across aerospace, defense, electronics, manufacturing and other industries.

The development is the company's bid to make Korea the world's second-largest supplier of the mineral next to China. China currently supplies more than 80 percent of the world's tungsten output.

The Sangdong Mine in Yeongwol County closed in 1994 due to competition from cheaper Chinese imports, but is now set to become a key tungsten supplier for the United States, Korea and other allied countries, according to Lewis Black, CEO of AKTC. He said the U.S. Department of Defense will start banning Chinese, Russian and North Korean tungsten from its procurement in 2027.

The Korean subsidiary of Almonty Industries is currently expanding the mine’s ore extraction and treatment facilities. With the first phase of construction now complete, the second phase is due for completion within two years.

“Following the first phase’s completion, we began bringing ore to the surface. The mine’s processing plant is now in its final stage of construction. Second phase construction has acquired the local authority’s approval and will begin next year. Production will begin in 2027,” Black said in a recent interview with The Korea Times.

The expansion includes a nano tungsten oxide plant, which converts tungsten concentrates into tungsten oxide — a critical intermediate for producing high-purity tungsten metal and advanced tungsten products. The plant is slated for completion in 2027 and is expected to begin operations the following year.

Black said financing for the plant has all been arranged.

“We already had a letter of intent for up to $50 million in financing from KfW and we just secured $90 million with our Nasdaq listing which is earmarked for the oxide plant,” Black said, referring to a German state-owned development bank and major financier of global projects in economic, social and environmental development.

The Sangdong Mine is a strategic asset for AKTC, facilitating the global supply chain of tungsten. The mine’s clients, once operations begin, will be limited to companies in the U.S., Korea and allied countries.

AKTC has signed a 15-year offtake agreement with GTP, a major U.S. defense contractor and tungsten processor. It has also signed with TPW, another U.S. defense contractor, to supply 40 tons of tungsten oxide per month for U.S. defense programs. Korean metal company SeAH M&S has an offtake for 100 percent of molybdenum, another mineral deposit found in the Sangdong Mine.

“While the mine’s sales are not exclusively limited to the U.S. and South Korea, priority agreements are with U.S. defense suppliers, South Korean processors and allied nations. This aligns with global security goals, which explain the U.S. ban of Chinese, Russian and North Korean tungsten,” Black said.

“Sangdong is essentially the only conflict-free alternative source and will be for at least 10 years. China will remain the biggest tungsten producer for a long time, but Western consumers will have an alternative with Sangdong.”

Smart mining tech, deep local roots

Black believes the Sangdong Mine is the most advanced, automated and safe mine in the world right now. He highlights AKTC’s partnerships with various Korean companies, which provide technologies that ensure the mine operates sustainably, with high standards of safety and eco-friendliness.

“We worked with KT on an artificial intelligence (AI)-based safety system, real-time biometrics, underground LTE network and smart devices to prevent accidents. If someone working in the mine trips and falls, it will be known immediately. A flotation processing technology we have developed with the Korea Institute of Geoscience and Mineral Resources will boost recovery and efficiency,” he said.

“We are also making an important contribution to ongoing technological progress by building the vertical nano tungsten oxide production to provide tungsten oxide for Korea’s semiconductor and electric vehicle battery industries. That will allow companies in the industries to have an alternative supply source other than Chinese suppliers by 2028. These technologies make Sangdong a model for smart, safe and sustainable mining.”

He said they are also serious about minimizing the Sangdong Mine's environmental impact. A rigorous environmental due diligence was a condition AKTC for funding from KfW. The efforts touched on issues ranging from water pollution to air quality, renewable energy use, noise control and waste treatment.

“Our water pollution prevention efforts are tackling acid mine drainage with direct treatment plants, artificial wetlands, alkaline backfilling, isolation of mine waste, bacterial controls and isotope monitoring to track water sources. We are taking equivalent measures to address air quality and dust control using advanced suppression methods such as automated water sprays and chemical suppressants, wet drilling, enclosed conveyors, vegetative barriers and continuous monitoring of air quality with worker protection programs,” Black said.

“Our sustainable mining practices include renewable energy options such as photovoltaics on tailings dams, reprocessing historical tailings for metal recovery and adopting digital safety and efficiency solutions like the Mine Safety DX system we jointly developed with KT. We also have strict noise control, responsible tailings management, safe disposal of hazardous waste and continuous improvements to environmental management systems.”

Almonty Industries acquired Woulfe Mining in 2015 and took control of Sangdong Mine. Black has since devoted significant efforts to engaging communities in Yeongwol and Gangwon Province to gain local support. Since the start of the mine expansion project, AKTC has adhered to the Equator Principles, a voluntary global framework for managing environmental and social risks in large-scale infrastructure projects, including mines.

Black said that as Sangdong is expected to produce tungsten for a century, he takes a “very long-term view" of the mine's relationship with the community and its environmental stewardship.

“Yeongwol and Gangwon actively support the mine and recognize it as an economic engine for the region,” he said.

“We already see how the mine will drive the local economy. Yeongwol has successfully attracted initiatives such as the Mineral Specialized Complex, Opportunity Development Zone and Leading Investment District. The county office has secured funding to establish joint research and testing laboratories for AKTC. Because of the mine, the county has been designated as the country’s special education development zone to foster excellent local university talent.”

The company’s ties with the local community extend to education, transportation and emergency aid, as well.

“We have a memorandum of understanding with Yeongwol Korea Fire Meister High School to provide on-the-job field training and priority hiring for students. We are also an ongoing sponsor of Sangdong High School baseball team,” Black said.

“When a local catholic church was destroyed by a fire, we donated 30 million won ($22,000) for rebuilding the church and distributing food aid to underprivileged residents. We also took over and refurbished the only gas station in Sangdong Township in 2024, after its closure left residents traveling long distances just to fuel their cars. The station now provides local jobs and supports the Silver Free Call Taxi service, which is the only public transport for seniors in the area. We have sponsored that service since 2022, covering operating expenses and vehicles to improve senior mobility.”