American Tungsten Corp. (TUNG:CSE; TUNGF:OTCQB; RK9:FSE) announced the initiation of an auger drilling program in the historical lower tailings impoundment at the IMA Mine site in Lemhi County, Idaho. The program will target approximately 30 acres of historical tailings left from previous mining activities.
According to the company, preliminary samples of historical tailings collected in shallow trenches averaged 0.25% WO3 and 0.48 oz/t silver (Ag), as previously reported on January 20, 2026. Historical tailings from past mining activities are present across approximately 30 acres of the IMA Mine land package within the Pahsimeroi valley and are known as the Lower Tailings Impoundment. Historical operators estimated the impoundment to contain approximately 222,000 cubic yards of tailings.
American Tungsten has contracted Haz-Tech Drilling Inc. of Nampa, Idaho, to conduct hollow stem auger drilling in the tailings area. The company stated that 35 drill holes are planned, totaling approximately 370 feet, to delineate tailings thickness and collect samples for assay and in-situ density. The drilling program is expected to take approximately one week to complete.
Ali Haji, CEO of American Tungsten Corp., said in a company news release, "The tailings drilling program is a key component of our strategy to unlock value and fully define the opportunity at the historic IMA Mine." He added that "initial sampling continues to support our view that the tungsten grades within the tailings are broadly representative of the remaining material on site."
The company also reported that preliminary tailings sampling was conducted in five shallow test pits averaging 3.5 feet deep and spaced approximately 500 feet apart. The samples averaged 0.235% WO3 and 0.45 oz/t Ag. These samples were submitted to Sepro Laboratories for preliminary metallurgical test work in January 2026, and the company stated that results will be announced when the testing is completed.
In addition to the drilling program, American Tungsten announced that Max Baker has joined the company as an advisor to its geological team. Baker has more than 45 years of global exploration experience across Australia, Asia, Europe, and the Americas and has participated in mineral discoveries and project advancement from early-stage exploration through resource definition and development.
The IMA Mine is a past-producing underground tungsten mine located on 22 patented claims in east central Idaho. Between 1945 and 1957, the property produced approximately 199,449 MTUs of WO3 and was later explored for molybdenum and tungsten by various operators between 1960 and 2010. American Tungsten is currently conducting an exploration drill program and assessing the potential for restarting underground tungsten mining operations at the site.
Tungsten Market Tightness Driven by Supply Constraints and Strategic Demand
According to a February 23 report by Sunlight Xiang, tungsten prices had "quintupled over the past year," pushing the market toward what the report described as "a severe shortage cliff shaped by prolonged underinvestment and tightening supply from China." In the same analysis, BMO Global Commodities Research analysts George Heppel and Helen Amos wrote that the world had "sleepwalked into a tungsten crunch." The analysts attributed the situation to "persistent ore grade decline, intensifying environmental restrictions, and a dearth of new mining investment," while noting that "global inventories [were] critically low."
The February 23 report also described tungsten as a foundational industrial metal with distinctive physical properties. It stated that tungsten had "the highest melting point of any metal at 3,422°C and a density of 19.3 g/cm³," explaining that tungsten and its carbide form were "virtually irreplaceable in machinery manufacturing, drilling equipment, and defense applications." The same analysis added that "from hypersonic vehicle components to semiconductor microcircuits, tungsten's presence is ubiquitous."
A separate February 23 report published by MINING.com also examined the tightening supply conditions in the tungsten market. BMO Global Commodities Research analysts George Heppel and Helen Amos stated that the industry had "sleepwalked into a tungsten crunch," which they attributed to "persistent ore grade decline, environmental restrictions and a lack of new mining investment." The report described tungsten as "a cornerstone of heavy industry," noting that tungsten carbide was "essential in machine parts, drill bits and hard-facing materials."
The same February 23 report also discussed global supply concentration, stating that China accounted for "roughly 75% of global supply." It noted that production had stagnated as ore grades declined and environmental controls tightened, while exports had "plummeted," with shipments of certain products, including ammonium paratungstate, falling "to zero in late 2025." The report added that ammonium paratungstate prices had risen sharply, breaking out of their long-term average of about $300 per tonne in 2025 and trading around $1,775 per tonne according to Fastmarkets.
The analysts also addressed broader supply dynamics in the same report, writing that with inventories depleted and supply growth constrained, the market appeared "headed for another deficit." They added that sustained higher prices would likely be required to incentivize new supply, concluding that "the cure for high prices is high prices."
A March 12 article from boerse-global.de described similar structural pressures across the tungsten market. The report stated that "a structural supply deficit is defining the tungsten market," explaining that China controlled "an estimated 75% to 80% of global production." It reported that the country had "implemented substantially tighter export quotas at the end of 2025," which contributed to rising prices as tungsten advanced "by over 160% in the past year and maintaining its upward trajectory into early 2026." The article also cited BMO Capital Markets as reporting that "Chinese tungsten exports temporarily ground to a complete halt," while Western industrial firms were described as "urgently seeking reliable, non-Chinese sources of supply."
A 'Speculative Buy'
1On May 17, 2026, John Newell of John Newell & Associates rated the stock as a Speculative Buy.
In the article, Newell wrote, "As with all junior mining companies, risks remain. Resource delineation is ongoing, commodity prices can fluctuate, and development timelines are never guaranteed. With that said, based on current fundamentals and improving technical conditions, American Tungsten Corp. I believe the company is a Speculative Buy."
He gave the next target price as CA$4, with a big picture target of CA$7.
Exploration Programs, Tailings Evaluation, and Technical Studies at the IMA Mine
The company reported that a Phase 1 drill program targeting approximately 15,000 feet of drilling across multiple stations at the D and Zero Levels was expected to be completed in the first quarter of 2026. The drill program is intended to support the validation of historical exploration work and contribute to a mineral resource estimate.
The investor presentation also described metallurgical testing expected to be completed in the first quarter of 2026. The testing is intended to support future studies and engineering work related to the project.
The company outlined plans for a Phase 2 drill program, which would add additional drill footage across established deposits and additional exploration targets. The Phase 2 program is expected to commence in the second quarter.
Streetwise Ownership Overview*
American Tungsten Corp. (TUNG:CSE; TUNGF:OTCQB; RK9:FSE)
American Tungsten also stated that it is pursuing a mineral rights lease, option, purchase agreement, or similar arrangement related to the potential acquisition of the adjacent Mazda claims, which are currently owned by third parties.
The company reported that it is evaluating the potential to process existing tailings through drilling and metallurgical testing intended to support resource definition. The investor presentation also described a targeted tailings drilling program to define a tailings resource.
Additional project milestones described in the investor presentation include expected drill results and metallurgical testing, a planned updated mineral resource estimate, a planned preliminary economic assessment, a planned pre-feasibility study, a planned feasibility study, and engineering and permitting activities associated with advancing the project.
Ownership and Share Structure2
2.36% of American Tungsten is held by management and insiders. The rest is retail.
The company has approximately 48.9 million shares outstanding, including about 40.46 million free float shares, and a market capitalization of roughly CA$122 million to CA$127 million based on recent trading levels. Over the past 52 weeks, the shares have traded in a range of CA$0.47 to CA$4.90.
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Important Disclosures:
- American Tungsten is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$3,000 and US$6,000.
- As of the date of this article, officers, contractors, shareholders, and/or employees of Streetwise Reports LLC (including members of their household) own securities of American Tungsten.
- James Guttman wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee
- This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.
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1. Disclosure for the quote from the John Newell article published on May 17, 2026
- For the quoted article (published on May 17, 2026), American Tungsten has paid Street Smart, an affiliate of Streetwise Reports, US$3,000.
- Author Certification and Compensation: [John Newell of John Newell and Associates] was retained and compensated as an independent contractor by Street Smart for writing this article. Mr. Newell holds a Chartered Investment Management (CIM) designation (2015) and a U.S. Portfolio Manager designation (2015). The recommendations and opinions expressed in this content reflect the personal, independent, and objective views of the author regarding any and all of the companies discussed. No part of the compensation received by the author was, is, or will be directly or indirectly tied to the specific recommendations or views expressed.
John Newell Disclaimer
As always it is important to note that investing in precious metals like silver carries risks, and market conditions can change violently with shock and awe tactics, that we have seen over the past 20 years. Before making any investment decisions, it's advisable consult with a financial advisor if needed. Also the practice of conducting thorough research and to consider your investment goals and risk tolerance.
2. Ownership and Share Structure Information
The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.
