Tungsten Producer's Record Month Overshadowed as Sector-Wide Selloff Hits Shares
Published on 09/02/2026 at 16:32 | Editorial boerse-global.de
EQ Resources has delivered its strongest-ever monthly sales figures just as its share price comes under heavy pressure from a broad retreat across Australian mining stocks, underscoring the disconnect between operational momentum and market sentiment in the critical minerals space.
The tungsten producer booked August revenue of 55.1 million Australian dollars, its second consecutive monthly record, driven by a sharp jump in output across its two operating mines. Yet the stock fell roughly 9 percent on Wednesday, tracking a wider decline that saw the S&P/ASX 200 shed 0.97 percent while mining equities averaged losses of 3.3 percent.
Output Surge Across Two Continents
Group production climbed 34 percent month-on-month to 19,068 metric tonne units (mtu) in August — the second-highest monthly figure in company history, surpassed only by September 2024. The performance was powered by both of the company's operations.
The Barruecopardo mine in Spain set a new production record of 12,719 mtu, up 32 percent from July, translating into 35.2 million AUD of revenue for that site alone. Meanwhile, Mt Carbine in Queensland lifted output 38 percent to 6,349 mtu, generating a record 19.9 million AUD in sales.
The revenue haul was amplified by a favourable pricing environment for tungsten, a metal used in cutting tools, military applications and electronics. Preliminary figures put the group's average selling price at 2,269 US dollars per mtu in August, with Spanish concentrate fetching 2,368 USD versus 2,113 USD for material from Mt Carbine.
Tungsten prices have more than tripled since the start of the year, a rally that has helped the company convert higher volumes into growing cash flows while cementing its standing as a significant producer outside China, which dominates global supply.
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Share Price Pullback Despite Strong Fundamentals
Wednesday's decline to 0.3850 AUD — or 0.3870 AUD depending on the trading update consulted — came with no company-specific negative news attached. Market watchers instead pointed to profit-taking following an extraordinary run and broader caution toward commodity-linked equities, with regulatory uncertainty in the mining sector also weighing on sentiment for critical minerals stocks.
The day's move does little to dent what remains a remarkable year for shareholders. The stock has gained roughly 364 to 366 percent since January, leaving the company with a market capitalisation of approximately 1.35 billion euros.
Board Reinforcements Ahead of US Listing
Beyond the daily price action, management has been quietly strengthening the company's governance structure in preparation for its next phase of growth. Late August brought two appointments to the board of directors.
Mining specialist Nicole Anne Brook joined as an independent member effective August 25, followed a day later by Constandinos Dermedgoglou, who holds more than 4.3 million shares through Gnome Corp Pty Ltd. The company said the additions support its preparations for a planned US listing, first confirmed to the Australian Securities Exchange in late July.
That move is designed to boost visibility in international capital markets, broaden access to new investor groups and secure additional liquidity. It follows the arrival in July of billionaire Andrew Forrest as a strategic shareholder, when his private investment vehicle acquired a 16.8 percent stake in the company.
Eyes on Queensland Expansion
For the remainder of 2026, management's focus centres on scaling up capacity at Mt Carbine, where the company aims to reach a production target of 1,750 tonnes by year-end. Expansion efforts also extend to evaluating additional concessions in northern Queensland, with the company reporting that it is in advanced discussions regarding potential portfolio additions.
The question now is whether the elevated production levels can be sustained in coming months — and how tungsten demand holds up globally as the metal's strategic importance continues to grow.
