PFS confirms Tungsten Mining's Mt Mulgine as potentially world's lowest cost operation

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A prefeasibility study (PFS) for ASX-listed Tungsten Mining's Mt Mulgine project, in Western Australia, confirms the potential for the world's largest, lowest-cost tungsten development.
The company intends to move to a definitive feasibility study and final investment decision by the first quarter of 2028, with first production envisioned for the second quarter of 2029.
At a base case eight-million-tonne-a-year scenario, Mt Mulgine has a net present value (NPV) of A$6.8-billion (before tax) and internal rate of return (IRR) of 55%, should prices average $1 509/t. In a higher spot price scenario, the project's NPV increases to A$15.5-billion and the IRR widens to 113%.
The eight-million-tonnes processing scenario requires initial capital of A$870-million, while a Stage 2 expansion that ramps up to 16-million tonnes a year requires an additional A$420-million.
Under the expansion case, the project's NPV and IRR increase to A$8.1-billion and 57%, respectively, at base case prices and A$18.3-billion and 113%, respectively, at spot prices.
The PFS estimates a mine life of 21 years for Mt Mulgine, producing up to 12 000 t/y of tungsten trioxide at the world's lowest C1 cash cost of $53/t and all-in sustaining cost of $127/t.
From a market perspective, Tungsten Mining explains Chinese export restrictions, tighter quotas and dependence on imported concentrate have cut primary availability, shifting the market into a structural deficit that is expected to be sustained through 2028 and beyond. This while demand continues to grow from a current base of 154 000 t up to 215 000 t in 2035, which equates to a compounded annual growth rate of 3.4%, driven by increasing defence and manufacturing requirements.
Additionally, the ammonium paratungstate price has remained at $3 000/t following a sharp increase in 2025 and early 2026.