Australia-based EQ Resources (EQR) has finalised five long-term offtake agreements covering its tungsten production from Australia and Spain for the next 24 months, securing sales valued at an estimated $124-million based on current tungsten prices.

The company will supply 470 containers, each holding 20 t of 50% tungsten trioxide.

The agreements, executed in collaboration with EQR’s marketing partner CRONIMET, involve leading international tungsten consumers. The counterparties include top-tier producers of ammonium paratungstate (APT), tungsten oxide, and tungsten carbide materials - products recently subjected to export restrictions by China.

“These contracts are significant, particularly in light of China’s recent move to restrict tungsten exports,” said EQR CEO Kevin MacNeill. “They provide certainty in sales and revenue generation, a key factor for lenders supporting the critical minerals sector.”

Under the terms of the agreements, EQR will allocate about 25% of its production to Europe, 25% to North America, and the remainder to Asia. While the specific identities of the counterparties remain confidential, EQR confirms that these agreements align with industry standards.

Each contract follows a standard pricing mechanism based on the Fastmarkets APT Price, published weekly, and includes advance payment components linked to defined milestones. The final milestone for outstanding payments is expected to be met by the end of the second quarter of 2025.

MacNeill noted that the tightening of China’s tungsten export policy has driven increased interest in securing long-term supply agreements. “The global demand for tungsten is growing, and we are fully committed for the next two years at least. The recent price surge has been fuelled by supply uncertainty, leading customers to lock in future deliveries,” he said.

EQR’s production forecasts indicate sufficient supply to fulfill these agreements while also supporting its proposed acquisition of the Tungsten Metals Group ferrotungsten smelter in Vietnam.