Billionaire mining magnate Andrew Forrest will acquire a 16.8 per cent cornerstone stake in global tungsten producer EQ Resources Ltd. (EQR) through his private investment vehicle, Wonongarra Pty Ltd.
Under the transaction, Wonongarra will buy out the entire holding of US private equity firm Oaktree Capital Management, acquiring 862.1 million ordinary shares and 35.5 million options.
The move represents a major endorsement of EQR’s position as the premier supplier of tungsten, a critical mineral heavily used in semiconductors, industrial machinery, and renewable energy infrastructure.
EQR operates two key primary assets, the Mt Carbine mine in Far North Queensland and the Barruecopardo operation in Spain.
Oaktree backed EQR as a cornerstone investor in 2023, funding its global expansion and mine rehabilitation programs. The ownership transfer occurs at the shareholder level and will not impact EQR’s day-to-day operations, management, or corporate strategy.
EQR Managing Director Craig Bradshaw thanked Oaktree for its backing and welcomed Forrest’s entrance to the register.
“It is a strong endorsement for EQ Resources to see the ownership baton passed from a financial investor to a stalwart of the Australian mining industry with a proven track record of developing and growing assets,” Bradshaw said.
Forrest highlighted the importance of securing critical mineral supply chains outside of traditional market-dominating nations.
“This investment backs an Australian producer, Australian jobs and Australian know-how at the moment the world has woken up to how fragile critical mineral supply chains have become,” Forrest said.
“Tungsten is essential to the machines that build our homes, hospitals, cities and modern-day energy systems, as well as the semiconductors in every phone and computer. Yet global supply is remarkably concentrated.”
Forrest added that his vehicle looks forward to supporting EQR as a long-term shareholder as the company ramps up output and builds on operational cash flow across its Australian and European assets.
