After a huge 12-month rally, Mineral Resources Ltd (ASX: MIN) has given investors another reason to stay interested.
The Mineral Resources share price is up 0.86% to $64.65 on Tuesday after the company confirmed it will restart its Bald Hill lithium mine.
The gain adds to a strong recovery for the ASX lithium stock, which is now up 18% in 2026 and 167% over the past year.
The restart comes after lithium prices have improved enough for management to bring the Western Australian operation back online.
Here's what was in the update.
Image source: Getty Images
Bald Hill is coming back
In its ASX announcement after market close on Monday, Mineral Resources said operations will restart at the 100%-owned Bald Hill lithium mine.
The company said the decision follows a "significant and sustained recovery" in lithium prices.
Bald Hill was placed on care and maintenance in November 2024 to preserve capital and retain the value of the asset.
At the time, the mine had 58.1 million tonnes of resources at 0.94% lithium oxide.
The operation is located around 50 kilometres south-east of Kambalda in Western Australia's Goldfields region.
Mineral Resources said Bald Hill has a production capacity of around 165,000 dry metric tonnes a year of 5.1% spodumene concentrate.
It also has the equivalent of 140,000 dry metric tonnes a year of 5.6% spodumene concentrate.
Production timeline
The restart should move quickly, which helps explain why investors are paying attention.
Mineral Resources said ramp-up activity will begin in late May, before crushing and mining operations start in June.
First spodumene concentrate production is expected from July, with the first shipment from the Port of Esperance due in the first quarter of FY27.
The company then expects Bald Hill to reach full capacity in the second quarter of FY27.
The restart is expected to create around 370 jobs, including about 110 workers redeployed from other Mineral Resources operations.
The company expects restart costs to land in the fourth quarter of FY26, with the bill estimated at $20 million.
Investors will get a better look at Bald Hill's expected sales volumes, FOB costs, and capital spending when FY27 guidance is released on 27 August.
Why Bald Hill is back in focus
The Bald Hill restart comes at an interesting time for the lithium market.
Lithium prices have recovered from their lows, helped by better sentiment and expectations of improving demand.
According to Trading Economics, lithium carbonate is currently fetching for CNY 191,500 per tonne, up 61% year-to-date.
Mineral Resources said stronger demand for spodumene concentrate is now driving a strong recovery in prices.
Managing director Chris Ellison said the company is now "well-placed to rapidly capitalise" on the lithium market's rebound.
He also noted that once production resumes at Bald Hill, Mineral Resources will be the only company globally operating 3 hard-rock lithium mines.
