It is mostly to do with diet, if you're eating in sight on a bulking cycle, you're bound to put some fat on as well.
If I may make a suggestion for your cycle, I would increase the EQ to 400 mg/week.....You'll be much happier with the results that way.
Will you lose BF........good question, I think it depends on how much you've changed you diet from pre-cycle, as well as if and how much cardio you are doing.