Announcement PDF resourcing the new economy for a better tomorrow 30 April 2024 MT CARBINE INFILL DRILLING REVEALS HIGH-GRADE ZONES IN STAGE 2 PIT EQ Resources Ltd is a global tungsten producer with mining activities in Australia and Spain. Highlights: - Completed 9 holes of Infill RC Drilling at 10m spacing into the Iolanthe Vein System, confirming consistency of high-grade sections - Individual veins ranging with true widths of 0.3-2.5m were intersected at 0.5% to 3.66% WO3 grades - Interpretation confirms veins are increasing in grade as Stage 2 Pit commences at the 325m level - Shallow intercepts at Johnson Vein System (4 holes; starting 347m RL) with 11m @ 0.21% WO3, almost double the grade compared to the current geological model on this level EQ Resources Limited (“EQR” or “the Company”) is pleased to announce the results of 13 Infill Reverse Circulation Drill holes (“RC” holes) targeted to confirm consistency of the high-grade vein systems scheduled in Stage 2 Pit. Drilling into the Iolanthe Vein System was done on the 305-295m level and into the Johnson Vein System on the 350-340m level. This drilling program is complementary to the 2024 Diamond Drilling Campaign announced earlier in the year (see ASX announcement ‘Major Drilling Campaign at Mt Carbine to Infill Underground Resources and explore Extents of known High-Grade Resources’ dated 30 Januray 2024). RC DRILL HOLE SUMMARY (SIGNIFICANT RESULTS) Hole Vein From (m) To (m) Interval (m) EQRC209 EQRC210 EQRC211 EQRC212 EQRC213 EQRC214 Iolanthe Iolanthe Iolanthe Iolanthe Iolanthe Iolanthe EQRC216 Johnson EQRC217 EQRC218 Johnson Johnson EQRC219 Iolanthe 0 14 14 15 30 14 6 12 19 20 5 15 3 20 15 18 33 15 7 14 22 23 7 17 3 6 1 3 3 1 1 2 3 3 2 2 Grade (WO3%) 0.74 0.94 0.93 2.00 1.86 1.27 0.69 0.57 0.70 0.55 0.62 3.66 Table 1 - Significant Zones of Mineralisation (see individual hole details in Appendix 1) PRINCIPAL PLACE OF BUSINESS: 6888 Mulligan Highway, Mt Carbine Qld 4871 POSTAL ADDRESS: PO Box 1496, Mareeba Qld 4880 ABN: 77 115 009 106 (ASX: EQR) T: (07) 4094 3072 | F: (07) 4094 3036 | W: eqresources.com.au resourcing the new economy for a better tomorrow EQR’s Chief Geologist, Tony Bainbridge, commented: "This area of the pit had only limited 50m spaced drilling and with the deepening of the pit, we started to see larger veins coming in and wanted to select a section to do this detailed analysis. Our team has long postulated that below the 315-325m level, the main ore body would be intercepted and it is pleasing to see these high-grade vein packages appearing at a critical time in our ramp-up. Being able to look at veining under UV light on the wall has given us all a comfort the modelling was on track, with the drilling confirming.” Fig.1 - Drone photo of pit after heavy rain when the veins are exposed; 13 RC holes drilled at 70 degress and 33m length each At the 315-323m level the ore body changes from a thinner network of veins to more substantial veins of 50 cm or more (see Fig.2 below). Drilling into the Iolanthe Vein System, considered the strongest zone identified so far in the open pit, does not reflect the entire system but rather 1 of 4 major vein packages. The Johnson Vein System follows a similar pattern. RC drilling was conducted on the 345m level, with significant zones at 11m @ 0.21% WO3 (which is almost double the grade compared to the current geological model, on this level). Historical drilling had indicated even higher grade zones at just 20m below (11m @ 0.68% WO3), in line with zonation models of similar sheeted-vein tungsten deposits. Fig.2 - Drill results and interpretation of Johnson Vein Package; Comparing with geological model for sheeted-vein tungsten deposits, left side (Source: Gu, J.Y., Morphological Zonation of Tungsten Deposits in South China) Page 2 resourcing the new economy for a better tomorrow Both the Johnson and Iolanthe Vein Systems show increasing width to the veins as they go deeper and vein grades get stronger. The overall zone narrows slightly, which is expected from the modelling. It is observed that Stage 2 Pit enters the main ore zone which has a 200m vertical extent but in many places open to depth. Fig.3 - Close up of RC drilling in Iolanthe Vein System showing 4 of the packages intercepted; the ore zone across these four veins in yellow is compared with historical EQR drilling on 50m centres in red Page 3 resourcing the new economy for a better tomorrow Appendix 1 – Individual Assay Results Hole # Vein East North RL EOH Dip Azm (TN) EQRC207 Iolanthe 22,820 26,308 304.8 33 -65 180 EQRC208 Iolanthe 22,829 EQRC209 Iolanthe 22,800 EQRC210 Iolanthe EQRC211 Iolanthe EQRC212 Iolanthe EQRC213 Iolanthe EQRC214 Iolanthe EQRC215 Johnson EQRC216 Johnson EQRC217 Johnson EQRC218 Johnson EQRC219 Iolanthe 22,800 22,810 22,820 22,830 22,836 22,957 22,959 22,959 22,957 22,810 26,310 26,284 26,291 26,294 26,298 26,303 26,305 26,378 26,368 26,358 26,349 26,302 304.8 306.2 305.9 305.2 305.0 304.9 304.9 346.5 347.1 347.7 347.6 304.7 33 33 33 33 33 33 33 33 33 33 33 33 -65 -65 -65 -65 -65 -65 -65 -70 -70 -70 -70 -65 180 180 180 180 180 180 180 350 350 170 170 180 Interval Average WO3 % 2.00 0.38 0.35 1.00 0.35 0.21 1.00 0.21 2.00 0.32 3.00 0.74 1.00 0.22 6.00 0.95 3.00 0.10 1.00 0.93 2.00 0.14 3.00 2.00 From To WO3 % 6.00 7.00 0.46 7.00 8.00 0.30 15.00 16.00 7.00 8.00 28.00 29.00 0.13 29.00 30.00 0.50 0.00 1.00 0.80 1.00 2.00 0.78 2.00 3.00 0.63 0.00 1.00 0.22 14.00 15.00 2.15 15.00 16.00 0.00 16.00 17.00 0.00 17.00 18.00 2.51 18.00 19.00 0.82 19.00 20.00 0.27 9.00 10.00 0.12 10.00 11.00 0.00 11.00 12.00 0.17 14.00 15.00 0.93 2.00 3.00 0.10 3.00 4.00 0.17 15.00 16.00 3.29 16.00 17.00 1.71 17.00 18.00 1.05 0.00 1.00 0.28 1.00 0.28 9.00 10.00 0.15 1.00 0.15 21.00 22.00 0.19 1.00 0.19 30.00 31.00 2.50 31.00 32.00 0.47 3.00 1.86 32.00 33.00 2.61 3.00 4.00 0.17 1.00 0.17 14.00 15.00 1.27 1.00 1.27 10.00 11.00 0.16 1.00 0.16 21.00 22.00 0.46 1.00 0.46 29.00 30.00 0.44 30.00 31.00 0.32 2.00 0.38 1.00 0.69 2.00 0.57 1.00 0.44 2.00 0.11 3.00 0.70 2.00 0.13 1.00 0.23 3.00 0.55 2.00 0.62 2.00 3.66 6.00 7.00 0.69 12.00 13.00 0.95 13.00 14.00 0.19 28.00 29.00 0.45 11.00 12.00 0.10 13.00 14.00 0.11 19.00 20.00 0.65 20.00 21.00 1.06 21.00 22.00 0.40 25.00 26.00 0.12 27.00 28.00 0.14 1.00 2.00 0.23 20.00 21.00 0.13 21.00 22.00 1.39 22.00 23.00 0.13 5.00 6.00 1.03 6.00 7.00 0.20 15.00 16.00 6.97 16.00 17.00 0.35 - Note for grade control RC sampling the Company is using its own calibrated internal laboratory set up with a Thermo Scientific ARL Quant'X X-Ray Fluorescence Spectrometer that has been calibrated with official standards and has a 10% external QAQC program being applied to all assays. This machine however is not from a NATA accredited lab. See attached Table 1 from the JORC Code for full information on processing and QAQC details. - Intervals in table represent downhole depth, not true thickness with no applied upper cut. The highlight (bold) intervals represent where King-Veins have intersected above 0,5% WO3 grade. Page 4 resourcing the new economy for a better tomorrow Released on authority of the Board by: Further Enquiries: Kevin MacNeill Chief Executive Officer Peter Taylor Investor Relations 0412 036 231 peter@nwrcommunications.com.au About the Company EQ Resources Limited is a leading tungsten mining company dedicated to sustainable mining and processing practices. The Company is listed on the Australian Securities Exchange, with a focus on expanding its world-class tungsten assets at Mt Carbine in North Queensland (Australia) and at Barruecopardo in the Salamanca Province (Spain). The Company leverages advanced minerals processing technology and unexploited resources across multiple jurisdictions, with the aim of being a globally leading supplier of the critical mineral, tungsten. While the Company also holds gold exploration licences in New South Wales (Australia), it aims to create shareholder value through the exploration and development of its current project portfolio whilst continuing to evaluate corporate and exploration opportunities within the new economy and critical minerals sector globally. Competent Person’s Statements EQ Resources’ exploration and resource work is being managed by Mr. Tony Bainbridge, AusIMM. Mr. Bainbridge is engaged as a contractor by the Company and is not "independent" within the meaning of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code). Mr. Bainbridge has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in JORC Code 2012. The technical information contained in this announcement relating exploration results are based on, and fairly represents, information compiled by Mr. Bainbridge. Forward-looking Statements This announcement may contain forward-looking statements. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Particular risks applicable to this announcement include risks associated with planned production, including the ability of the Company to achieve its targeted production outline due to regulatory, technical or economic factors. In addition, there are risks associated with estimates of resources, and there is no guarantee that a resource will have demonstrated economic viability as necessary to be classified as a reserve. There is no guarantee that additional exploration work will result in significant increases to resource estimates. Neither the Australian Securities Exchange nor its Regulation Services Provider (as that term is defined in policies of the Australian Securities Exchange) accepts responsibility for the adequacy or accuracy of this announcement. Follow us: Page 5 resourcing the new economy for a better tomorrow JORC Table 1 – Exploration Results Section 1 - Sampling Techniques and Data Criteria Sampling techniques Drilling techniques Drill sample recovery Logging Explanation Commentary Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling. Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used. Aspects of the determination of mineralisation that are Material to the Public Report. In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases, more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information. Drill type (e.g. core, reverse circulation, openhole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.). Method of recording and assessing core and chip sample recoveries and results assessed. Measures taken to maximise sample recovery and ensure representative nature of the samples. Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material. Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies. Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography. The total length and percentage of the relevant intersections logged. Sampling was taken from a cyclone mounted on the side of the RC rig which provides a continuous split as the sample is taken. The sample locations were marked out using DGPS locator staff and sampling was taken as channel continuous sample of outcrop. The samples each represent 1m of drilling and generally weigh 5 kg of material that is P90 of –5mm. Between samples the hole is flushed with air between samples to avoid contamination between zones. A sieve is used to fill a sample tray with each trip tray box representing 1m. These chip trays are used to log the hole and are examined under blue light to see the presence of scheelite. The entire sample size is split down to 500gm charge which is then pulverized to 75 micron before 200gm is split into making up the representative sample. Reverse Circulation Drilling. The samples were recorded on the maps and also on the digital survey instrument (Texas DGPS). There does not appear to be any link between sample recovery and grade. Mapping occurred on floor bench outcrop and was mapped for alteration, geology, mineralisation and structure. The veins shown were measured for strike and continuity. Page 6 resourcing the new economy for a better tomorrow Criteria Explanation Commentary If core, whether cut or sawn and whether Sub-sampling quarter, half or all core taken. techniques and If non-core, whether riffled, tube sampled, sample rotary split, etc. and whether sampled wet preparation or dry. For all sample types, the nature, quality and appropriateness of the sample preparation technique. Quality control procedures adopted for all subsampling stages to maximise representivity of samples. Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling. Whether sample sizes are appropriate to the grain size of the material being sampled. The nature, quality and appropriateness of the Quality of assaying and laboratory procedures used assay data and and whether the technique is considered laboratory tests partial or total. For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc. Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established. The verification of significant intersections by Verification of either independent or alternative company sampling and personnel. assaying The use of twinned holes. Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols. Discuss any adjustment to assay data The 5kg samples were crushed in Jaw initially and split at <5mm to get down to 1kg. Finer crushing then occurred until we could achieve a representative 500gm sample. This was pulverized in LM2 grinder and a subset of 200mesh powder of 200gm was split off. Approximately 10grams of this fine powder was then taken for assay internally using our own XRF analysis machine using full QAQC protocols. Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation. Specification of the grid system used. Quality and adequacy of topographic control. Data spacing for reporting of Exploration Data spacing Results. and distribution Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied. Whether sample compositing has been applied. The samples collected are representative and our QAQC sampling in comparison to ALS laboratories in Brisbane Australia resides with 2% of their results during checks. A calibration curve is regularly checked for consistency in our XRF machine. Location of data points The sample assay was taken with 10% of the samples in the batch were standards with known tungsten / Arsenic values. A further 10% blanks was inserted to ensure there was no carryover of sample nor any variance in the drift curve for the Thermofisher XRF machine. Sampling was undertaken by Site Geological Team under the supervision of Tony Bainbridge chief geologists who has 42 years of experience in mining and exploration. The samples and methodology for these samples was also supervised by Tony Bainbridge as QP for the Mt Carbine Project. It can be verified the custody of the sample and that all QAQC was checked before these results have been reported here. RC hole locations are shown in Figure 3 and detailed in Appendix 1. Spacing is considered sufficient to establish geological and grade continuity. No composites were used. Page 7 resourcing the new economy for a better tomorrow Criteria Orientation of data in relation to geological structure Sample security Audits or reviews Explanation Commentary Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type. If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material. The measures taken to ensure sample security. All RC Holes are taken at a 65-70 degree dip with both dip and direction surveyed accurately. The veining in the pit is dominantly vertical and the high angle to the veins needs to be calculated in the estimations of zones. The results of any audits or reviews of sampling techniques and data. No audit of the sampling has as yet been undertaken and it is planned to drill shallow percussion holes to validate this trench result. The sample is taken to the Company’s internal laboratory on the same day as taken. The lab has a perimeter fence and secured during the night. Section 2 - Reporting of Exploration Results (Criteria listed in the preceding section also apply to this section.) Criteria Mineral tenement and land tenure status Exploration done by other parties Geology Explanation Commentary Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings. The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area. Acknowledgment and appraisal of exploration by other parties. The resource estimates reported herein are all within Mining Leases 4867 (358.5ha, expiry 31-07-2048) and 4919 (7.891ha, expiry 31-08-2049), held by Mt Carbine Quarries Pty Ltd. The Mining Leases lie within Brooklyn Grazing Homestead Perpetual Lease. Native Title has been extinguished in the Mining Leases by Deed of Grant. No previous examination of these results have been reported. Historical (1974-1987) mine records: A nearly complete record of mine production, including amounts of mined rock consigned to the LGS has been compiled using published and unpublished archives, including reporting for State Royalty returns. Deposit type, geological setting and style of mineralisation. The Deposit The Mt Carbine tungsten deposit is a sheeted quartz vein deposit. Many sub-parallel, sub-vertical quartz veins have been deposited in fractures developed in the host rocks metasediments in a zone that drilling and mapping of historical surface workings have shown to be approximately 300m wide and at least 1.4km long, trending at about 315 degrees. Grade Variation Sampling, drill core logging, geostatistical analysis of drill core assay data and mapping of the open pit have determined that all the material mined during the previous operation was mineralised to some Page 8 resourcing the new economy for a better tomorrow Criteria Explanation Commentary extent and that the mineralogy of the deposit was uniform. There is little doubt that the mineralogy of the stockpile material is identical to that mined and processed. The material in the stockpile comprises a single formation, the result of the alteration of Siluro-Devonian meta-sedimentary host rocks (Forsythe and Higgins, 1990). The amount of quartz veining varies within the mineralised zone and previous mining and exploration have been concentrated at the southeastern end of the mineralised zone. It is well understood that there are high-grade zones within the mineralisation in this part of the deposit and that the higher-grade zones are surrounded by lower grade mineralisation. Interpretation of recent drilling suggests that the main high-grade zone may plunge to the north of the present open pit. The previous mine assumption that quartz vein abundance is directly correlated with grade is not supported by an independent review of quartz vein abundance and grade. Drill hole Information Data aggregation methods A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes: easting and northing of the drill hole collar elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar dip and azimuth of the hole down hole length and interception depth hole length. If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated. Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail. The assumptions used for any reporting of metal equivalent values should be clearly stated See Appendix 1. The samples have been composited on a weighted average for the distance of each sample. No cut off grades were used. Page 9 resourcing the new economy for a better tomorrow Criteria Explanation These relationships are particularly Relationship important in the reporting of between Exploration Results. mineralisation If the geometry of the mineralisation with widths and respect to the drill hole angle is intercept length known, its nature should be reported. • If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’). Appropriate maps and sections (with Diagrams scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views. Where comprehensive reporting of all Balanced Exploration Results is not practicable, reporting representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results. Other substantive exploration data Further work Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances. The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling). Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive. Commentary As the drilling is mainly at 65 degrees and the veins intersected are dominantly vertical it is necessary that the reader of such results understand they are not true widths reported but rather downhole intercepts which are taken into account in the modelling and resource reporting information provided. Sample locations are shown in Figure 3. The results of all the drilling at Mt Carbine had at one point or another been reported in the public forum and readers are asked to review these press releases for context. The immediately adjacent hole to this drilling is shown on the sections etc. All sample results collected have been reported including high and low intervals. N/A The company plans to continue to drill using an RC rig on a 10 x 10m pattern for grade control. All holes are at 65 degree dips. Page 10