Metro Mining (ASX:MMI) Reports Progress On Reporting Higher Bauxite Shipments From Queensland'S Bauxite Hills Mine While Adding New Offtake Contracts And Screening

Aditi Sarkar

29 October 2026 04:01 PM AEDT

Metro Mining (ASX:MMI) Reports Progress On Reporting Higher Bauxite Shipments From Queensland'S Bauxite Hills Mine While Adding New Offtake Contracts And Screening

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Highlights

Shipments were still below the 2.2 million tonnes shipped in the same quarter of 2025.
On 19 October 2026 the company reset its 2026 shipment guidance to 6.0 to 6.5 million wet metric tonnes.
Site EBITDA was A$7.0 per tonne, up from A$4.4 in the June quarter but well below A$16.1 a year earlier.
It reports that about 80 per cent of 2026 offtake is covered by freight contracts signed in 2025.

Metro Mining (ASX:MMI) has reported a recovery in bauxite shipments from its Bauxite Hills Mine in the September 2026 quarter, alongside two new offtake contracts agreed after quarter end and a reset of its 2026 shipping guidance.

Central Development

The company, which owns the Bauxite Hills Mine about 95 kilometres north of Weipa in Queensland, shipped 2.1 million wet metric tonnes in the quarter, up 17 per cent on the June quarter. Shipments were still below the 2.2 million tonnes shipped in the same quarter of 2025. Management described the result as solid but below expectations, citing a one-week maintenance shutdown of the transhipper Ikamba, absenteeism and early channel erosion.

On 19 October 2026 the company reset its 2026 shipment guidance to 6.0 to 6.5 million wet metric tonnes.

Unit Economics And Pricing

Site EBITDA was A$7.0 per tonne, up from A$4.4 in the June quarter but well below A$16.1 a year earlier. Achieved CIF pricing was A$60.8 per tonne, A$3.7 higher than the prior quarter, although a weaker US dollar absorbed part of the gain. Site costs were A$30.3 per tonne, with the company attributing the rise from last year to diesel, inflation and extra equipment for clearing and stripping.

Pricing for the December quarter has been agreed at US$2 to US$4 per dry tonne above the September quarter, the company says. It reports that about 80 per cent of 2026 offtake is covered by freight contracts signed in 2025.

Offtake

Two new contracts covering 4.5 million wet tonnes a year over 2027 to 2029 were agreed after quarter end. The company also cites high freight costs and reduced Guinean output as market features.

Operations And Channel

A barge grounding on an eroded sand bank reduced channel depth to 1.3 metres late in the quarter. Bed-levelling began in early October and the company says it restored draft to allow loading above 30,000 tonnes a day. It said it is ready to load in January if conditions are safe.

The company recorded no serious accidents or lost-time injuries in the quarter, down from one of each in the June quarter, and 15 first-aid injuries.

Screening And Mining Lease

The board approved Phase 1 of a dry and wet screening project. Two Finlay screens were mobilised in September, with commissioning from early October and wet trials planned for the first quarter of 2027. Trial results quoted by the company show product at 11 to 12.5 per cent silica and 50 to 52 per cent alumina, at about 60 per cent recovery. Screening could allow a higher silica cut-off, which the company says may help convert resources to reserves. This is not yet confirmed.

An application to convert mining lease MDL423 is expected to be lodged in the first quarter of 2027. Mining from Pit 5 North continues once it is granted.

Cash And Debt

Cash at 30 September was A$16.8 million, down from A$23.8 million. Net operating cash flow was positive at A$10.6 million on receipts of A$122.7 million, but the company repaid US$6.6 million of debt and paid interest and lease costs. Secured debt fell to US$24.8 million under a facility with Nebari Partners, priced at SOFR plus 7 per cent and maturing on 31 December 2027. A buy-back flagged in February has not started and remains under board review.

Points To Note

Forward statements carry the usual caveats.

Next Milestones

The company points to screening commissioning, the MDL423 application in early 2027 and a strong final quarter of 2026.

FAQs

Q: What is the principal development covered in this update?

A: Metro Mining has reported a recovery in bauxite shipments from its Bauxite Hills Mine in the September 2026 quarter, alongside two new offtake contracts agreed after quarter end and a reset of its 2026 shipping guidance.

Q: What should readers watch next?

A: The company points to screening commissioning, the MDL423 application in early 2027 and a strong final quarter of 2026.

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