EQ Resources sharpens focus, abandons acquisition of Tungsten Metals Group

EQ Resources Limited (ASX:EQR) has officially terminated its bid to acquire 100% of the ferrotungsten producer Tungsten Metals Group Limited (TMG Group).

The decision, announced today following a strategic review, marks the end of a long-running negotiation process that first began in late 2024.

Despite over a year of engagement, the EQR Board concluded that the acquisition no longer aligns with the best interests of its shareholders.

Managing Director Craig Bradshaw emphasized that the company’s primary objective is now to maximize value from its existing high-quality asset base.

"Our focus remains firmly on growing production from our Mt Carbine and Barruecopardo operations," said Managing Director Bradshaw, signaling a "back-to-basics" approach aimed at organic growth rather than corporate expansion.

Moving forward, EQR has outlined an operational roadmap for 2026.

The company intends to ramp up tungsten concentrate production at its flagship Mt Carbine mine in North Queensland and the Barruecopardo mine in Spain.

Key milestones for the year include an expansion of the Mt Carbine crushing circuit and drilling programs aimed at increasing reported resources and reserves.

Additionally, exploration drilling is slated for the Wolfram Camp EPM later this year.

By stepping back from the TMG acquisition, EQR plans to focus on developing its existing portfolio of projects with the objective of strengthening its role in the global critical minerals supply chain.