Mineral Resources has confirmed that managing director Chris Ellison will continue in his role for the foreseeable future. This announcement came during the company’s annual general meeting on Thursday, where it was revealed that the previously established deadline for his replacement has been removed.
Originally, the company planned to find a successor for Ellison by mid-2026, following a series of incidents involving tax evasion and the misuse of company resources. However, Malcolm Bundey, chairman of Mineral Resources, informed shareholders that Ellison will remain in his position beyond the earlier agreed timeline. Instead, a comprehensive three-stage succession plan will be implemented.
Focus on Stability and Long-Term Planning
Bundey emphasized the importance of a measured approach, stating, “We will ensure the company, its people and our shareholders get a lasting, high-quality outcome, rather than rushing to meet an arbitrary deadline.” He acknowledged that the previous board’s target date for succession was outdated and inadequate for ensuring a smooth transition.
Addressing concerns regarding the clarity of succession planning, Bundey reaffirmed his commitment to a thoughtful process. “My focus as Chair is on ensuring that Chris’ succession is robust and carefully planned in the best interests of our shareholders and our people,” he noted, adding, “This must be a process, not an event.” He underscored that Ellison remains a vital part of this planning, collaborating closely with the board.
In his address to shareholders, Bundey reflected on the challenges faced over the past year, including significant governance issues that have affected the company’s transparency and stakeholder confidence. “The past year has brought significant governance challenges for MinRes, including shortcomings related to transparency, oversight and risk management,” he stated. This situation has prompted a comprehensive response throughout the organization.
Commitment to Governance and Transparency
Bundey highlighted that beyond regulatory compliance, effective governance is essential for long-term value creation. The company is now prioritizing a culture of increased transparency, disciplined capital management, and proactive risk oversight.
During the meeting, a shareholder questioned Ellison’s continued role and his compensation. Bundey swiftly reiterated that the topic had been addressed and would not be open for further discussion. This response indicates a firm stance on maintaining focus on the company’s strategic direction.
Reflecting on his past actions, Ellison had previously admitted to an “error of judgment” regarding his personal tax reporting. In November 2022, he assured investors that he had repaid the funds owed to the company and expressed regret over the impact of his decisions on the business and its employees. “I can’t express how much I hate what I have done, this is a dark cloud in my life that I will live with forever,” he remarked at that time.
The decision to keep Ellison at the helm reflects a broader commitment to stability as Mineral Resources navigates its way through a complex period marked by both internal and external challenges. With a robust succession plan now in place, the company aims to restore stakeholder confidence while ensuring a smooth transition in leadership when the time comes.
