Key Highlights

  • Mineral Resources (ASX:MIN) maintained guidance for all divisions, with Mining Services producing a record 103 million tonnes in the quarter.
  • Net Debt fell to about A$4.1 billion from A$4.3 billion, with cash of A$1.7 billion and Liquidity of A$2.5 billion.
  • Attributable lithium sales were a record 170,000 tonnes at a realised price of US$1,873 per tonne CIF.

Mineral Resources (ASX:MIN) reported its first-quarter FY27 activities for the three months to 30 September 2026, saying guidance for all divisions was maintained. Mining Services produced a record 103 million tonnes, up 10 per cent on the prior quarter. Net debt fell to about A$4.1 billion from A$4.3 billion, with cash of A$1.7 billion, liquidity of A$2.5 billion including an undrawn A$800 million revolver, and gross debt of A$5.8 billion. Capital Expenditure for the quarter was A$310 million against FY27 guidance of A$1,425 million.

Iron ore

At Onslow Iron, 9.2 million tonnes were shipped on a 100 per cent basis, with 5.0 million wet metric tonnes attributable, down 12 per cent on the prior quarter. September was a record export month at 3.49 million wet metric tonnes. FOB cost was A$53 per wet metric tonne, below the A$54 to A$58 guidance range, and realisation was 86 per cent of the Platts 61 per cent CFR index at US$83 per dry metric tonne. FY27 guidance of 20.0 to 21.7 million wet metric tonnes is unchanged. The Onslow Iron carry Loan fell to A$303 million from A$335 million.

The Pilbara Hub produced 3.2 million wet metric tonnes, up 55 per cent, and shipped 2.9 million tonnes. FOB cost of A$75 per wet metric tonne was within the A$74 to A$79 guidance, and lump made up 43 per cent of the product. Lamb Creek is fully operational. Combined attributable iron ore shipments were 7.9 million wet metric tonnes at an average realised price of US$83 per dry metric tonne.

Lithium

Attributable lithium production was 166,000 dry metric tonnes of SC6, up 17 per cent, and sales were a record 170,000 tonnes, up 8 per cent. The realised price was US$1,873 per tonne CIF, down 23 per cent, which the company attributes to the September fall in spot prices.

By asset, Wodgina sold 90,000 tonnes at a FOB cost of A$674 per tonne, within guidance of A$640 to A$710, and a decision on the expansion design is expected in the second quarter of FY27. Mt Marion sold 58,000 tonnes at A$1,029 per tonne, against guidance of A$960 to A$1,020, as FY27 is described as a transitional year with flotation plant construction started. Bald Hill sold 21,000 tonnes at A$1,498 per tonne against guidance of A$1,150 to A$1,250, with its dense media separation plant ramping towards 140,000 tonnes a year in the second quarter.

Lithium chief executive Joshua Thurlow has resigned and will remain until December, and Darren Hardy will take over the division. The company expects the POSCO lithium transaction to complete in the first half of FY27, subject to conditions precedent.

Costs, corporate and energy

Diesel averaged near the A$1.25 per litre FY27 assumption but rose to about A$1.60 in September. Because of a one-month pricing lag, Mineral Resources (ASX:MIN) expects the increase to affect October costs by roughly A$1 per tonne at Onslow, A$2 at the Pilbara and A$20 per tonne of SC6 in lithium, and still expects FY27 FOB costs to be within guidance. No Supply disruption occurred.

Fitch upgraded the company to BB with a stable outlook, and ASIC concluded its investigation without enforcement action. The A$160 million FY26 Dividend was paid.

In energy, Hancock Energy has withdrawn from the Perth Basin permits, leaving the company with 100 per cent of four permits, although transfer of two, including the Aubisque-1 gas discovery, awaits ministerial approval. Flow testing is planned for the fourth quarter of FY27. The Omega-1 and Avenger-1 wells in the Carnarvon Basin were plugged and abandoned with no commercial hydrocarbons.

Safety and other points

The rolling 12-month lost time injury frequency rate was 1.01 and the total recordable rate was 6.41, and a revised reporting procedure means earlier periods are not directly comparable. The summary did not include EBITDA figures.