Metro Mining delivered a record 6.2 million wet metric tonnes in 2025 shipments, supported by a strong cash position and nearing completion of legacy contracts. The company is poised for expanded production and improved margins in 2026 following operational and leadership changes.
- Record 6.2 million WMT shipments in 2025, up 9% year-on-year
- Q4 shipments reached 2.06 million WMT despite weather disruptions
- Average CIF pricing rose 16% to A$73.7/WMT in Q4
- Legacy fixed-price contracts nearly complete, with one shipment left in Q2 2026
- Strong financial position with A$57.5 million unrestricted cash and reduced debt
Record Shipments Mark a Milestone Year
Metro Mining Limited has closed out 2025 with a record calendar year shipment total of 6.2 million wet metric tonnes (WMT), representing a 9% increase over the previous year. This achievement aligns with the lower end of the company’s revised guidance, underscoring steady operational progress despite some headwinds. The fourth quarter alone saw shipments of 2.06 million WMT, a modest 1% rise year-on-year, although activity was curtailed after December 23 due to adverse weather conditions affecting ship-loading.
Pricing and Contract Dynamics
Notably, Metro reported a 16% uplift in average CIF pricing in Q4, reaching A$73.7 per WMT, even as market conditions softened. This pricing strength was tempered by the shipment of legacy fixed-price contracts, which continue to weigh on average FOB revenue per tonne, recorded at A$49.1 per WMT for the quarter. These contracts, agreed in 2022, accounted for approximately 730,000 WMT shipped across four vessels, with only one vessel remaining to complete the arrangement in the second quarter of 2026. The conclusion of these legacy contracts is expected to enhance margins going forward.
Operational Challenges and Strategic Adjustments
Operationally, the quarter was marked by several challenges including a critical breakdown at the barge loading facility, which temporarily halted production for four days. To address production constraints, Metro intensified clearing and stripping activities, resulting in an 11% increase in site unit costs to A$28.5 per WMT. The company also ceased mine production on 3 January 2026, with 165,000 WMT of mined stockpiled for the planned mid-March restart. These efforts are part of a broader strategy to position the mine for expanded output and improved cost efficiency in 2026.
Financial Health and Leadership Restructure
Metro’s financial footing remains robust, closing the quarter with A$57.5 million in unrestricted cash and a reduced secured debt balance of US$41.5 million. The company also progressed preparations for the offshore floating terminal Ikamba’s dry-docking, aimed at enhancing reliability and operational consistency. In January 2026, Metro restructured its executive leadership to implement a new Management Operating System focused on integrated supply chain planning and cost control, signaling a strategic pivot towards operational excellence.
Exploration and Community Engagement
On the exploration front, drilling programs on northern tenements near the Skardon River were completed, with sample results under review. Metro also advanced environmental studies to support a mining lease application expected in Q3 2026, which would enable expansion at Pit 5. The company maintained strong community relations, winning the 2025 Association of Mining and Exploration Companies Community Contribution Award for its partnership with the Johnathan Thurston Academy, and submitted an Innovate Reconciliation Action Plan for review, reflecting its commitment to social responsibility.
Bottom Line?
As Metro Mining transitions into 2026, the completion of legacy contracts and operational enhancements set the stage for improved margins and growth, but weather and market volatility remain watchpoints.
Questions in the middle?
- How will the completion of legacy contracts impact Metro’s profitability in the coming quarters?
- What insights will the pending exploration results provide for Metro’s expansion plans?
- Can the new management operating system deliver the anticipated cost efficiencies amid operational challenges?