Western Star Resources Inc. has acquired a 100% interest in the past-producing Eagle Point Tungsten Mine in Hidalgo County, New Mexico, a move that underscores the growing strategic importance of domestic tungsten production. The acquisition, announced June 15, 2026, expands the company's portfolio of U.S. tungsten assets into a new district with high-grade mineralization and historical government backing.
The Eagle Point Mine, located in the Granite Pass area of the Little Hatchet mining district, produced approximately 1,800 tons of ore during World War II at a grade of about 0.5% WO3. Historical records indicate that the U.S. Government entered into a Defense Minerals Exploration Administration contract in 1955 to fund exploration, but the planned drilling program was never executed. Recent sampling by the U.S. Geological Survey returned grades of up to 27.6% WO3, suggesting the potential for significantly higher-grade mineralization than historically estimated.
Blake Morgan, CEO and President of Western Star, emphasized the asset's unique combination of high-grade tungsten, documented production history, and untested exploration targets. "Eagle Point is the kind of asset you build a company around," he said. "Recent USGS work returned a sample grading more than 27% WO3, with a meaningful molybdenum credit on top, and the deposit was considered prospective enough that the U.S. Government approved and funded an exploration contract over it in the 1950s—one that was never drilled."
Tungsten is a designated U.S. critical mineral, essential for defense, aerospace, and advanced manufacturing. The United States currently has no domestic commercial production, with approximately 85% of global supply controlled by China, according to the USGS Mineral Commodity Summaries 2025. The acquisition aligns with recent U.S. government directives to fast-track domestic tungsten projects.
The property comprises 24 lode mining claims covering eight skarn bodies exposed at surface. Mineralization occurs as scheelite in contact-metamorphic tungsten skarn, with molybdenum as a potential co-product. Historical surface trenching estimated 100,000 to 150,000 tons grading approximately 0.5% WO3, though these estimates are historical and should not be relied upon as current mineral resources.
Western Star plans to conduct a systematic exploration program including a high-resolution drone magnetic survey, rock-chip and soil geochemical sampling, and field mapping with ultraviolet fluorescence surveying. The company intends to prioritize drill targets and permit drilling through the Bureau of Land Management.
The acquisition terms include a cash payment of C$150,000, issuance of 4,000,000 common shares, and a 1.5% net smelter returns royalty, with the company retaining the option to repurchase 1.0% for C$1,000,000. The transaction is subject to customary regulatory approvals.
