EQ Resources Ramps Up Spanish Drilling as High-Grade Ore Nears Production
23.06.2026 - 00:50:46 | boerse-global.de
The biggest drilling campaign of the year is now underway at EQ Resources’ Barruecopardo tungsten mine in Spain, as the Australian miner races to unlock higher-grade material and expand its resource base. A parallel dewatering project is expected to bring 1.03 million tonnes of ore grading 0.187% WO? into the processing plant as early as this month — a move that could sharply lift production in the second half of the year.
Managing Director Craig Bradshaw described the 36-hole, 12,155-metre programme as an “essential step” to test the full potential of the Barruecopardo system. With a budget of A$2.47 million, the drilling targets extensions north and south of the existing open pit, as well as deeper mineralisation zones below the current mine plan. Results are expected over the coming months and could significantly expand the company’s resource base.
The market has taken notice. Shares climbed 7.4% on Monday to A$0.29, extending a rally that has lifted the stock 20.8% over the past seven days. Over the trailing 30 days, the gain stands at roughly 21%. The Relative Strength Index of 63.3 suggests further upside potential without the stock being overbought. Still, the price remains more than 22% below the 52-week high of A$0.38 set in March, having touched a low of A$0.20 in mid-June — a level that now represents a 48.7% rebound.
Should investors sell immediately? Or is it worth buying EQ Resources?
Behind the price action lies a structural shift in tungsten demand. Analysts at Canaccord Genuity project annual demand growth of over 4% through 2035, driven by the mineral’s essential role in chip manufacturing, data centres, and defence. Tungsten is classified as a critical raw material in both Europe and Australia, and EQ Resources operates the largest tungsten mine on the continent — one of the few significant producers outside China. Its dual-asset base, combining Barruecopardo with the Mt Carbine project in Queensland, gives it a stable foothold in the Western supply chain.
The immediate catalyst, however, is operational. The company has been working on a water management project to reopen Phase 5 of the pit, an area that historically delivered the highest recoveries at the processing plant. Management expects the high-grade ore to reach the mill in June, which would provide a meaningful boost to production profiles for the second half of the year. Market observers view the successful ramp-up of ore quality at Barruecopardo as the key to converting exploration momentum into sustainable earnings.
The equation for investors is straightforward: if the drilling confirms new reserves and the return to higher-grade ore sticks, the valuation case for EQ Resources shifts fundamentally. The next few months will determine whether the rally has more room to run.
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