MIN Share Price Up 8% on Wodgina Lithium Mine Restart (ASX:MIN)

By ,

The Mineral Resources Ltd [ASX:MIN] relayed a decision by the MARBL Lithium Joint Venture to restart operations at the Wodgina Lithium Mine, in the Pilbara region of Western Australia.

The MARBL Lithium JV is an unincorporated joint venture owned 40/60 by MIN and lithium giant Albemarle.

Mineral Resources Ltd [ASX:MIN] share price is currently trading at $42.75 per share, up 8.56%.

ASX MIN - Mineral Resources Share Price ChartSource: Tradingview.com

Wodgina Lithium Mine to restart operations  

MARBL expects the Wodgina mine, placed on care and maintenance in November 2019 due to weak global market conditions, to be restarted and safely produce spodumene concentrate during the third quarter of 2022.

Wodgina has installed processing capacity of 750,000tpa of spodumene concentrate.

The mine is serviced by its own 64MW gas-fired power plant, a 700-bed accommodation village, and an airfield capable of landing A320 aircraft.

MARBL will focus on restarting one of Wodgina’s three 250,000tpa processing lines. But when market demand is sufficient, additional processing lines may be recommenced.

According to the terms of the MARBL joint venture, MIN’s mining services business will provide crushing and camp services at Wodgina, while Albemarle will market 100% of the output from Wodgina.

Mineral Resources Managing Director, Chris Ellison, commented:

We are delighted that the MARBL JV has decided to restart Wodgina, a world-class lithium opportunity that MRL developed into a mine with world-class potential.

It was the correct decision in late 2019 to place Wodgina on care and maintenance though it never dented our confidence in lithium’s long-term positive demand fundamentals.

As we said at the time and repeat today, in Albemarle we have the best partner to deliver maximum and sustainable value from world-class assets like Wodgina.

How to Limit Your Risks While Trading Volatile Stocks. Learn more.

MIN share price outlook

The significant jump in MIN’s share price highlights the strong current interest in the lithium industry.

MIN’s long-standing experience and crucial partnership with Albemarle will likely be attractive for investors prospecting for lithium stocks capable of supplying the upcoming EV boom.

MIN Managing Director, Chris Ellison, concluded:

Lithium is one of MRL’s two core commodities, alongside iron ore, and we have worked very hard over the past five years to establish long life operations for both.

Wodgina, along with our 50%-owned Mt Marion Lithium Project in WA’s Goldfields and the soon-to-be-completed 40%-owned Kemerton Hydroxide Facility, give MRL a world-class portfolio of highest-quality, long-life lithium assets in a Tier 1 mining jurisdiction.

If you want extra information on evaluating and comparing lithium miners, I suggest reading our lithium guide released last week.

It’s thorough and takes you through vital factors to consider when pondering the lithium sector.

Additionally, if you’re inclined to read a report analysing a few ASX lithium stocks, check out Money Morning’s report on three exciting lithium miners.


Kiryll Prakapenka,
For Money Morning

PS: Our publication Money Morning is a fantastic place to start on your investment journey. We talk about the big trends driving the most innovative stocks on the ASX. Learn all about it here

About Kiryll Prakapenka

Kiryll Prakapenka is a research analyst focusing on investigating the biggest trends in investments. Kiryll brings sound analytical skills to his work, courtesy of his Philosophy degree from the University of Melbourne. A student of legendary investors and their strategies, Kiryll likes to synthesise macroeconomic narratives with a keen understanding…

Mineral Resources Shares Flat on Q3 FY22 Update [ASX:MIN]

Mineral Resources [ASX:MIN] today released its Q3 FY22 exploration and mining activities report.

The Five Best Performing ASX Stocks of 2021

We examine the five All Ordinaries [XAO] stocks notching the largest calendar year gains of 2021.

Vulcan Share Price — Lithium Sector’s Bellwether Stock (ASX:VUL)

Vulcan Energy Resources [ASX:VUL] share price is up this week as the lithium developer signed an offtake agreement with automaker Volkswagen.

ASX Lithium and BNPL Stocks Crater on Omicron and Interest Rate Fears

From Afterpay [ASX:APT] to Vulcan Energy Resources [ASX:VUL], BNPL and lithium stocks are under heavy selling pressure today as markets worry about Omicron and inflation.

Mineral Resources Share Price Down 4% on Strategy Update (ASX:MIN)

The Mineral Resources [ASX:MIN] share price is down 5% as the iron ore and lithium producer updated the market on its outlook.

MIN Shares Sink 7% as Spodumene Shipments Fall 50% in Q1 FY22 (ASX:MIN)

Mineral Resources Ltd [ASX:MIN] share price are currently exchanging hands for $39.79 per share, down 7.3%. The Mineral Resources Ltd [ASX:MIN] updated investors with its September quarterly today…