Social Risks Mining operations involve a wide network of stakeholders, including employees, contractors, local communities, government agencies, customers, and suppliers. Risks in this area include workplace safety incidents, community opposition, reputational damage, and claims arising from the Company’s activities or those of its representatives. A failure to meet expectations in these areas could materially impact EQR’s social licence to operate and its financial performance. To mitigate these risks, EQR applies Board-approved stakeholder engagement policies and actively maintains open consultation channels at both Mt Carbine and Barruecopardo. The Company’s operations are underpinned by robust safety frameworks: Mt Carbine applies an Integrated Management System aligned with ISO 9001:2015 to ensure health and safety outcomes, while Barruecopardo is certified under ISO 45001, the global standard for occupational health and safety management. These systems allow risks to be identified, assessed, and addressed in a systematic way, helping to reduce incidents and strengthen workforce and community trust. Governance Risks As an ASX-listed entity operating across multiple jurisdictions, EQR is required to adhere to rigorous governance, compliance, and reporting standards. Failure to maintain these standards, or material changes in regulatory requirements, could expose the Company to penalties, reputational harm, or additional costs. EQR manages this exposure through a formal governance framework, including Board-approved policies on risk oversight, compliance, and corporate governance. These policies are reviewed regularly to ensure alignment with evolving requirements. Governance risks are also managed through the Audit and Risk Committee, which provides structured oversight of risk identification, financial integrity, and internal controls. Through these mechanisms, EQR aims to uphold transparency, accountability, and investor confidence in all jurisdictions in which it operates. Risk Category Key Exposures Mitigation Measures Operational Equipment failures, supply chain disruptions, labour availability, rising costs, IT breakdowns Preventive maintenance, workforce training, streamlined decisionmaking, infrastructure leverage Environmental Compliance with reporting obligations, potential regulatory changes, increased costs Saloro: ISO 14001 certification, Mt Carbine: EMS frameworks, site-specific monitoring and environmental plans Social Safety incidents, community opposition, reputational damage, stakeholder claims Saloro: ISO 45001 certification, Mt Carbine: IMS safety systems, stakeholder consultation, community engagement Governance ASX listing compliance, regulatory changes, corporate governance standards Governance framework, Audit & Risk Committee oversight, policy reviews and updates Macroeconomic Tungsten price volatility, FX fluctuations, inflation, interest rates, geopolitical instability Diversified customer base, longterm contracts, efficiency programs, operational flexibility Mineral Resources & Reserves Geological uncertainty, resource estimation errors, metallurgical variability JORC Code compliance, independent verification, regular model updates, advanced ore sorting EQ Resources Limited Annual Report 2025 17
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