MIN +2.96%: delivered a mixed quarterly update – while current production came in softer, the market focused on an upgrade to mining services volumes guidance, highlighting continued strength in its core contracting business.
- Mining services volumes: 80Mt, -5.9% q/q
- Total iron ore shipments: 6.25Mt, -14% q/q
- Lithium spodumene production: 157kt, -5.4% q/q
Operationally the quarter was impacted by cyclones Mitchell and Narelle, which disrupted shipments from the Onslow Iron project, though production continues to ramp as the development progresses. Encouragingly, Onslow FY26 shipment guidance was upgraded to 17.7–19.4Mt, with costs tracking toward the lower end of guidance.
The standout was Mining Services, where FY26 volumes guidance was lifted to 320–330Mt, reflecting strong activity across the board. We note also that margins in the mining services division remain insulated from fuel price volatility as diesel costs are largely passed through to customers.
While iron ore and lithium volumes softened during the quarter, the combination of growing mining services activity and continued ramp-up at Onslow has kept things moving in a tough macro environment.
MM is bullish toward MIN ~$61
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