ASX-listed Mineral Resources (MinRes) has had its credit rating downgraded by Fitch Ratings to BB- from BB, with a negative outlook, the company announced on Wednesday.
The downgrade aligns Fitch’s rating with MinRes’ existing Moody’s rating of Ba3, which has remained unchanged since its initiation in 2019.
Despite the downgrade, MinRes highlighted its covenant-light capital structure, significant liquidity, and a clear path to reducing debt through earnings growth. The company expects its Onslow Iron project to ramp up to nameplate capacity early in. the 2026 financial year, generating substantial cash flow for its iron-ore and mining services divisions.
MinRes also noted that its first US bonds do not mature until May 2027 and can be refinanced at par from May 2025. The company remains committed to its long-term leverage target of 2.0 times earnings before interest, taxes, depreciation and amortisation. 