Mineral Resources shares (ASX:MIN) have firmly entered correction territory, with shares sliding 5.25% to A$51.25 as markets digest a series of operational setbacks and legal challenges that have overshadowed recent strategic wins.
MinRes shares closed at A$51.25, extending the company’s monthly decline to 14.82% and pushing the stock more than 20% below its recent peak. The A$51 level has emerged as a technical support zone that bulls are watching closely. Despite the sharp pullback from highs, the miner’s shares remain 98% higher on a rolling one-year basis, reflecting the dramatic recovery from previous lows driven by improving commodity fundamentals and strategic repositioning.
Driving The Volatility In MinRes
The company’s recent trajectory has been shaped by contrasting forces. On the positive side, MinRes secured a binding agreement with POSCO Holdings in November 2025 to form a joint venture for its lithium operations. Under the deal, POSCO will acquire a 30% stake for US$765 million, with MinRes retaining 70% ownership and operational control of the Wodgina and Mt Marion lithium mines. The partnership initially sparked a 9.19% rally as markets welcomed the capital injection and validation of MinRes’ lithium assets at a time when lithium prices have faced sustained pressure.
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The company today reported revenue of $3.1billion, with net profit after tax of $573million. Onslow Iron lead the way, contributing $519million in EBITDA. Managing Director Chris Ellison said
“With Tier 1 assets generating strong cash flow, a strengthened balance sheet and the dedication of our 7,000-strong workforce, MinRes is well positioned for ongoing growth and long-term value creation for shareholders,”
Outlook
The A$51 support level represents a critical juncture for MinRes shares. A sustained break below this threshold could open the door to further technical selling whilst a successful defense of current levels combined with stabilizing commodity prices could set the stage for a retest of recent highs.
The company’s ability to execute on the POSCO partnership, and continue the turnaround will likely determine whether the recent correction represents a buying opportunity or the start of something else. With lithium prices showing tentative signs of stabilization and iron ore demand supported by Chinese infrastructure spending, the fundamental backdrop offers both risks and opportunities.
