Operations and weather Group production for the year was 118,946 mtu of WO₃ (FY2025: 167,805 mtu), with Barruecopardo contributing 90,666 mtu and Mt Carbine 28,280 mtu. The shortfall against the prior year was overwhelmingly weather-driven, and the pattern was almost cruelly symmetrical across our two hemispheres. At Mt Carbine, insufficient water leading into the end of the December 2025 quarter constrained processing, before cyclone-related weather systems through the wet season disrupted mining, blast cadence and production in the March 2026 quarter. At Barruecopardo, a 1-in-50-year rainfall event – the wettest start to a year in Salamanca in some five decades – flooded the southern pit and significantly curtailed production through the March and June 2026 quarters, forcing mining into lower-grade areas at a higher strip ratio. These events have taught us a clear lesson, and we will not rely on the weather being kinder next year. In future years we will mitigate this risk by building ROM stockpiles ahead of the wet seasons at both operations, ensuring the processing plants can continue to run at capacity when pit access is restricted. I am pleased to report that both operations exited the year strongly. At Mt Carbine, first access to the higher-grade Iolanthe vein was achieved in March 2026 following the removal of 1.6 million tonnes of overburden from the Southern Highwall, and June quarter production rose 176% to 13,050 mtu – the operation’s best quarter in over two years. At Barruecopardo, the higher-grade southern ore body was re-accessed in the first week of July 2026 following an extensive dewatering effort. The June 2026 quarter delivered record group revenue of A$79 million and record operating cash flow, momentum we carry into FY2027. A transformed tungsten market Our recovery has coincided with an extraordinary shift in the tungsten market. The Fastmarkets APT benchmark rose from around US$350/mtu in March 2025 to approximately US$2,900/mtu by the end of June 2026, driven by Chinese export restrictions and surging strategic demand for secure, Westernsourced supply. As a leading tungsten producer in the Western world, with long-term offtake agreements at both operations, EQ Resources is exceptionally well placed to benefit – but only if we produce. That is why the operational discipline, weather resilience and safety improvement described above matter so much. Investing in growth With the balance sheet restored, we returned to growth in the second half. In June 2026 the Board approved the A$39 million Mt Carbine Expansion Project, which will double crushing capacity from approximately 1 Mtpa to 2 Mtpa and automate the crushing, screening, ore sorting and product handling circuits, with commissioning expected to commence in the March 2027 quarter. Resource drilling programs are underway at both operations – approximately 12,155 metres at Barruecopardo and 7,700 metres at Mt Carbine – supporting resource and reserve updates in late 2026, and a 12,000-metre program at Wolfram Camp commences in the second quarter of FY2027. We also materially expanded our regional footprint, lifting our tenement holdings around Mt Carbine from 783 km² to 1,136 km², with a further 824 km² under application, through the acquisition of the Hodgkinson tenement package from Sunshine Metals and of Aus Critical Minerals and TTTP1, which brought with them the mining licence for Mt White. Together these transactions underpin our hub-and-spoke strategy, positioning Mt Carbine as the central processing hub of a district-scale tungsten province in Far North Queensland. Outlook and thanks FY2027 begins with the higher-grade zones open in both pits, a strengthened balance sheet, a A$39 million growth project in execution and a tungsten price environment unlike any in living memory. Our priorities are unambiguous: a step change in safety performance, weather-resilient operations underpinned by ROM stockpiling, delivery of the Mt Carbine Expansion Project, and continued growth in resources and reserves across both districts. To our employees and contractors in Queensland and Salamanca, who worked through floods, cyclones and considerable uncertainty with resilience and professionalism – thank you. To my Board colleagues, thank you for your counsel through a demanding year. And to our shareholders, who stood by the Company through its most testing period, thank you for your patience and support. FY2026 asked a great deal of everyone associated with EQ Resources. I am confident the foundations laid this year will reward that faith. Yours sincerely, Craig Bradshaw Managing Director EQ Resources Limited Annual Report 2026 5
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