The Mineral Resources Limited (ASX: MIN) share price is 14.8% higher at $20.87 after the mining giant released its 3Q FY25 activity report.
This makes the ASX mining stock the strongest performer of the ASX 200 today.
Let's find out why.
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Mineral Resources share price rips as quarterly report pleases investors
In the iron ore division, Mineral Resources produced 6M wet metric tonnes (wmt) at its Pilbara Hub and Onslow Iron sites and shipped 5.9M wmt last quarter. The average realised price was US$89 per dry metric tonne (dmt), up 6% on 2Q FY25.
The miner has reduced its full-year volume guidance for Onslow Iron to between 8.5Mt and 8.7Mt, down from 8.8Mt to 9.3Mt previously. It expects production to ramp up in the fourth quarter.
Mineral Resources said:
The upgrade of the Onslow Iron haul road remains on schedule for completion in Q1 FY26.
Onslow Iron remains on track to achieve nameplate capacity of 35Mtpa in Q1 FY26.
Mineral Resources said Pilbara Hub operations faced some cyclone-related disruptions last quarter but remain on track to meet guidance.
In the lithium division, total quarterly attributable spodumene production across Wodgina and Mt Marion was 133k dmt, with shipments of 127k dmt.
The weighted average quarterly realised price achieved was US$844 per dmt SC6 equivalent, up 2% over the quarter. On a mixed grade basis, the average price was US$685/dmt, down 2% over the quarter.
Total production for the mining services division came in at 62 million tonnes (Mt). This was 6Mt lower quarter-over-quarter due to reduced volumes from the Yilgarn Hub and Bald Hill.
In the energy division, Mineral Resources completed well testing and suspension of Moriary-2 and started the reserves and resource certification process.
How do the books look?
The company said it has more than $1.25 billion in liquidity, including more than $450 million in cash and an undrawn $800 million credit facility.
Net debt at the end of 3Q FY25 was $5.4 billion.
Mineral Resources says it is not considering a capital raise due to its strong liquidity and "a number of other levers" at its disposal.
Cost-cutting continues, with the company reducing its staff headcount by 1,740 since the beginning of FY25.
What about corporate governance?
Mineral Resources has been plagued by corporate governance issues for many months.
The miner said internal reforms were continuing, as was the board renewal process.
This month, Mineral Resources announced that three other non-executive directors, Denise McComish, Jacqueline McGill AO, and Susan Corlett, have resigned.
Board chair James McClements announced his intention to step down in November last year.
The company expects to complete the search process for a new board chair in the June quarter.
The new chair will be involved in the recruitment process for replacement directors.
Mineral Resources share price snapshot
Mineral Resources shares have lost more than 70% of their value over the past 12 months.
