EQ Resources Turns Record Tungsten Quarter Into Firepower for Mt Carbine Expansion
Published on 10/28/2026 at 13:54 | Editorial boerse-global.de
EQ Resources has banked an operating cash flow of AUD 75.6 million in the first quarter of fiscal 2027, giving the tungsten producer a far sturdier footing as it heads into the heaviest spending phase of its Mt Carbine expansion. The quarterly report, released today, pairs rising output and firmer selling prices with falling unit costs — a combination that lifted revenue to AUD 158.8 million, more than double the prior quarter and up 101%.
Unaudited EBITDA came in at AUD 122.5 million, with net profit after tax of AUD 114 million, also unaudited. The cash position tells the story of the quarter just as clearly: AUD 82.4 million in the bank at 30 September, against AUD 28.2 million at 30 June. Receivables of AUD 51.5 million sit alongside that balance, though they are not yet available cash.
Output rose 81% quarter on quarter to 51,233 mtu of tungsten concentrate, while sales volumes climbed 69%. The realised price reached USD 2,248 per mtu, 20% above the previous quarter, and group cash costs fell 32% to USD 483 per mtu. Both sides of the ledger moved in the company's favour, so the record top line cannot be chalked up to the tungsten price alone — better sales terms and a lighter cost base each did their part.
A Costed, Dated Build-Out
That cash generation matters because profits on their own do not pay for a mine expansion; operating cash flow does. At Mt Carbine, procurement and contract awards are complete and deliveries of the larger equipment have begun. The project carries a price tag of AUD 39 million and is scheduled to come online in the third quarter of FY27, doubling crushing capacity to roughly two million tonnes a year.
Should investors sell immediately? Or is it worth buying EQ Resources?
EQ Resources has also issued its first full-year production guidance for FY27, targeting 240,000–280,000 mtu. The forecast is a goal rather than output already in hand. Cash costs are projected at AUD 595–691 per mtu, with AUD 80–100 million earmarked for investment.
Loose Ends in Spain and Nevada
Not every operational question is settled. At Barruecopardo in Spain, the company continues to work through partial non-compliance with its restoration plan. Management says the earlier risk of a temporary suspension has been defused, though that falls well short of declaring the underlying remediation finished.
EQ Resources has additionally taken a stake in a US tungsten joint venture with The Elmet Group and Blue Moon Metals, aimed at restarting the Springer APT facility in Nevada.
EQ Resources at a turning point? This analysis reveals what investors need to know now.
Mt Carbine remains the real test. The swollen cash balance improves the starting position, but whether it translates into sustained higher production now hinges on delivering the expansion on schedule. Investors will have fewer routine checkpoints along the way: the company intends to discontinue its monthly operational updates. Shares were up 7.6% today, tracking the strong operating news, with sustainable cash generation, contained costs and an on-time Mt Carbine build still the measures that matter.
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EQ Resources Stock: New Analysis - 28 October
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