Australian critical minerals producer EQ Resources (ASX: EQR) captured the market's attention on Monday after billionaire mining entrepreneur Dr Andrew Forrest emerged as its new cornerstone shareholder, sending the company's shares soaring more than 34% on heavy trading volumes.

EQ Resources closed at A$0.295, up 34.09%, with more than 65.5 million shares changing hands, well above its recent trading average. The rally extends the company's remarkable 12-month gain to more than 676%, reflecting growing market interest in critical minerals and Western supply chain security.

The catalyst was today's announcement that Forrest's privately owned investment vehicle, Wonongarra Pty Ltd, had agreed to acquire a 16.8% stake from funds managed by Oaktree Capital Management. The deal covers more than 862 million ordinary shares and 35.6 million options, representing an implied value of approximately A$189.7 million based on recent market prices.

Importantly, the transaction takes place at the shareholder level, meaning EQ Resources' operations, management team and business strategy remain unchanged. However, the change in ownership could prove significant for market sentiment.

Oaktree played a pivotal role in funding EQ Resources' acquisition of the Barruecopardo tungsten mine in Spain in 2023 and supporting the expansion of its Mt Carbine operation in Queensland. With the private equity group's investment cycle now ending, many investors had anticipated an eventual exit. That uncertainty has now been replaced by one of Australia's most prominent long-term mining investors.

The announcement also comes at a time when tungsten has become increasingly important to governments and manufacturers seeking secure supplies of critical minerals outside China.

Tungsten is used in industrial cutting tools, aerospace components, defence equipment, semiconductor manufacturing and mining applications because of its exceptional hardness and heat resistance. According to the International Tungsten Industry Association and the U.S. Geological Survey, China accounts for more than 80% of global tungsten mine production and dominates downstream processing, making supply diversification a strategic priority for Western economies.

EQ Resources occupies a unique position within that landscape. Through its producing operations at Mt Carbine in Australia and Barruecopardo in Spain, the company has established one of the largest Western sources of tungsten concentrate, supplying customers seeking alternatives to concentrated global supply chains.

The Forrest investment follows a series of operational milestones announced throughout July. The company recently expanded its Mt Carbine exploration footprint by 45%, gained access to higher-grade Phase 5 ore at Barruecopardo after completing pit dewatering works, and appointed experienced geologist Dr Mark Lindsay as General Manager Growth and Discovery to accelerate exploration across both operations.

Managing Director Craig Bradshaw said the transaction marked the beginning of the company's next phase of growth.

"On behalf of the Board and everyone at EQ Resources, I would like to sincerely thank Oaktree for their support over the years. Oaktree backed our vision at a pivotal time and their partnership has been instrumental in establishing EQR as the leading western tungsten producer.

"We warmly welcome Dr Forrest's investment in the Company. 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.

"This is a great vote of confidence in EQ Resources, our people, and the growth strategy we are executing across our operations in Australia and Spain."

Dr Andrew Forrest said the investment reflects the growing importance of secure critical mineral supply chains.

"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.

"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.

"We are proud to become a long-term shareholder in a company that is de-risking its operations, ramping up production and beginning to generate real cash flow. We look forward to seeing the business continue to grow."

For investors, the significance extends beyond the share price rally. The removal of a private equity overhang, the arrival of a strategic long-term shareholder and continued operational progress strengthen EQ Resources' position as Western governments and manufacturers seek reliable sources of critical minerals.

Attention will now turn to further production growth at Mt Carbine and Barruecopardo, exploration across the expanded Queensland tenure and the company's ability to capitalise on elevated tungsten prices as demand continues to rise.

Sources: EQ Resources ASX announcement (20 July 2026), International Tungsten Industry Association (ITIA), U.S. Geological Survey (USGS).