7th Oct 2025 08:51
(Alliance News) - Rio Tinto PLC and Mitsui & Co Ltd on Tuesday said they will invest USD733 million to develop three new West Angelas iron ore deposits owned by the Robe River joint venture.
London-based miner Rio Tinto PLC owns 53% of the Robe River venture, while Tokyo-based conglomerate Mitsui has a 33% stake and Tokyo-based steelmaker Nippon Steel Corp holds 14%. Their partnership goes back more than 50 years to 1972, when operations began in the Robe Valley near Pannawonica in the Pilbara region of Western Australia.
Mitsui said it will contribute AUD329 million, or USD217.8 million, toward the AUD998 million needed for the work, while Rio said its share will be USD389 million out of USD733 million total.
The project has received the major necessary approvals, and first production is slated to begin in 2027.
With this investment, annual production at West Angelas will be maintained at 35 million tons per year over the coming years, of which Mitsui has an approximately 12 million tons share.
"This project will leverage existing facilities, railways and port infrastructure, minimising development costs maintaining the cost competitiveness of the existing operations," Mitsui commented.
Looking ahead, Mitsui aims to increase its annual equity share of iron ore production to over 100 million tons per year, up from 62 million tons in the financial year that ended in March.
"The development of new deposits at the West Angelas iron ore mine forms part of Mitsui's broader strategy to further strengthen the long-term earnings base of our core businesses. Mitsui remains committed to contributing to the stable supply of essential mineral and metal resources for society," Mitsui said.
Added Rio Tinto Iron Ore Chief Executive Matthew Holcz: "The West Angelas hub has been an integral part of Rio Tinto Iron Ore since 2002. Securing these approvals ensures ongoing investment in the hub as we continue to supply high-quality, reliable iron ore to meet our global customers' demand now and into the future."
Rio Tinto shares were down 1.1% to 4,935.70 pence in London early Tuesday. They closed up 0.5% to AUD124.18 in Sydney.
In Tokyo, Mitsui shares closed down 0.4% at JPY3,697.00, while Nippon Steel closed up 2.7% at JPY624.20.
By Elijah Dale, Alliance News senior reporter Asia-Pacific; updated by Tom Waite, editor
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