EQ RESOURCES LIMITED — Interim / Quarterly Report 2022

Aug 8, 2022

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EQ RESOURCES LIMITED Mt Carbine – Quarterly Report & Mineral Resource Update Webinar August 9[th] , 2022

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ASX : EQR

Disclaimer

Competent Person's Statement

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• The information in this presentation partly relates to the outcomes of the Mt Carbine Bankable Feasibility Study, the Quarterly Activities Report – Quarter ended 30 June 2022, and the Updated Mt Carbine Mineral Resources Estimate (August 2022), made available through the Company’s website www.eqresources.com.au/.

• The Company confirms that it is not aware of any new information that materially affects the information included in the corresponding market announcements and that all material assumptions and technical parameters underpinning the estimates in the relevant market announcements continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcements.

General Disclaimer

• The material contained in this document is a presentation of general information about the Company's activities current as at the date of this presentation. It is provided in summary and does not purport to be complete. You should not rely upon it as advice for investment purposes, as it does not take into account your investment objectives, financial position or needs. These factors should be considered, with or without professional advice, when deciding if an investment is appropriate.

• This document may contain forward-looking statements with respect to the financial condition, results of operations, and business strategy of the Company. These forward-looking statements are based on estimates, projections and assumptions made by the Company about circumstances and events that have not yet taken place. Although the Company believes the forwardlooking statements to be reasonable, they are not certain. Forward-looking statements involve known and unknown risks, uncertainties and other factors that are in some cases beyond the Company's control, and which may cause actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements (and from past results).

• The Company makes no representation or warranty as to the accuracy of any forward-looking statements in this document and undue reliance should not be placed upon such statements.

• Forward-looking statements may be identified by words such as “aim”, “anticipate”, “assume”, “continue”, “could”, “estimate”, “expect”, “intend”, “may”, “plan”, “predict”, “should”, “will”, or “would” or the negative of such terms or other similar expressions that are predictions of or otherwise indicate future events or trends. The forward-looking statements included in this document speak only as of the date of this document. The Company does not intend to update the forward-looking statements in this document in the future.

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Corporate Snapshot

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Value Proposition

• Australia’s only primary producer of tungsten

• Critical mineral classification

• Multiple revenue streams

• Low-cost / de-risked expansion

• Experienced Board & Leadership Team

Board & Leadership Team

Oliver Kleinhempel German Non-executive Chairman Stephen Layton Australian Non-executive Director Zhui Pei Yeo Singaporean Non-executive Director Richard Morrow Australian Non-executive Director Kevin MacNeill Canadian Chief Executive Officer Tony Bainbridge Australian Chief Geologist

Share Price	A$ 0.05
Issued Shares	1,344m
Market Capitalization	A$ 67.2m
Shareholding: - Top 20 holders	59.6%

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Mt Carbine Phased Development Plan Development plan includes integration of open-cut and processing facility modernisation

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Simplified location plan of Mt Carbine Operations

Phase 1 focuses on minimal capital expenditure, incremental improvements to increase the mine’s productivity and profitability focusing solely on the mining and processing of the Low Grade Stockpile Phase 2 focuses on the commencement of open pit mining; The crushing and screening plant and processing plant will be upgraded to further reduce operating costs and improve the tungsten recovery from the open pit high grade ore Phase 3 (focus of future study) shall investigate commencement of underground mining activities at Mt Carbine to allow the continuation of mining once the open pit resource is exhausted

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Mt Carbine Work Status & Production Progress 100%-owned by EQ Resources

Quarterly Highlights

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 Achieving major milestone with the successful completion of the Mt Carbine Early Works Program , construction and commissioning of associated equipment and infrastructure done.

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Phase 1 Crushing and Screening Circuit Design

Phase 1 Crushing and Screening Circuit Installed

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Quarterly Highlights

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• Two TOMRA XRT Sorters now fully operational for increased production efficiencies and doubling of sorting throughput.

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Quarterly Highlights

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• Queensland-based Golding Contractors signed for early-stage work on Mt Carbine Open Pit restart, with key outcomes of the early engagement including stakeholder engagement , equipment selection , final pit design and price finalisation .

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Quarterly Highlights

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• Continued development of ‘green aggregates’ business which turns inert waste rock into vital construction materials for Far North Queensland. Opening opportunities in the local and regional market as demand for recycled products increases.

• Beneficial Reuse of waste product promotes Circular Economy commitment in-line with QLD Government initiatives.

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Quarterly Highlights

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Continued focus on ESG commitments:

• ARTEH Participation (development of emissions reporting baseline)

• Mitchell River Watershed Management Group Sponsorship

• Mt Carbine Rodeo Sponsorship

• Looking to have personnel volunteer with the local Rural Fire Service

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Quarterly Highlights

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Continued focus on Safety & Training:

• Increased first aid capabilities with 18 employees completing First Aid training

• 6 employee’s completed Supervisor Training

• 78 VOCs for mobile equipment were completed

• 38 employees signed up for a Government funded Certificate III in Surface Extraction Operations

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Mt Carbine Mineral Resource Update – August 2022 100%-owned by EQ Resources

Increased Tungsten in Mt Carbine Mineral Resource Successful Phase 1 2022 Drill Program & re-assessment of feed grade from BFS pit

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?
+85%
+14%
Reserves 1.66M mtu
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Key take-aways:

• Success on Ore Sorting on 0.075% LGS Stockpile allows lower grade ore to be economic

• Significant conversion from Inferred to Indicated Resources

• 14% New Metal found in Dyke West Area

• For further details refer to ASX Announcement dated 04 August 2022: Increased Tungsten in Mt Carbine Mineral Resource

• **For further details refer to ASX Announcement dated 23 September 2021: Mineral Resource Update Drives Mt Carbine BFS Optimization

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Cut Off Effect on Ore Shapes

BFS Pit Design (December 2021)

New Resource over BFS Pit Design

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Key take-aways:

• Low-grade mineralised zones mined as per BFS pit now reporting into “ore / revenue” instead of waste

• Potential to optimise extraction cost due to less selective mining required

Indicated Resources Inferred Resources

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Optimising the revised ore body

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Section CC’
BFS
Pit
Optimising
Different Pit
Designs
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Indicated Resources

Inferred Resources

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• Currently an update of the Reserves / BFS study is underway evaluating the impact of the increased Indicated Resources

• Expecting more metal to be in a new pit design

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Exploration Potential

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• Driving regional exploration • Continuously developing further drill targets

• For further details refer to ASX Announcement dated 01 August 2022: Quarterly Activities and Cash Flow Report June 2022

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