Rio Tinto 1Q Iron Ore, Copper Production Rises — Update

By Rhiannon Hoyle

Rio Tinto said it produced more iron ore, copper and aluminum in the first quarter of the year, while reassuring investors of limited impacts to date from the conflict in the Middle East.

The world's second-biggest miner by market value reported a 13% year over year increase in production from its lucrative Pilbara iron-ore operations and a 9% rise in copper production. Aluminum output was 1% higher than a year earlier.

Overall, the company's production increased by 9% on a copper-equivalent basis, a way of measuring the total output of a variety of metals.

The result was a strong start to the year across Rio Tinto's businesses, Morgan Stanley analyst Rahul Anand said in a note to clients. The miner's output of iron ore and copper beat consensus estimates compiled by Visible Alpha. Shares rose by 0.3% early in Sydney.

Rio Tinto said there has been limited direct impacts on its operations from the Middle East conflict to date. Prices for jet fuel, caustic soda and other materials have increased but supplies haven't been disrupted, it said.

The company said its scale and global supply-chain leverage have helped it keep a lid on diesel costs despite surging prices globally. The company uses roughly 1.6 billion liters of diesel a year, about two-thirds of which it needs to run its Pilbara operations.

It said it has relatively limited visibility of how the ongoing conflict will affect supply chains in the second half of the year, but that it has contingency plans in place.

Prices for the commodities it produces have meanwhile responded favorably, it said. Aluminum prices in particular have gained from the conflict in the Middle East, which accounts for about 9% of global aluminum output and relies heavily on the Strait of Hormuz to export the metal and import raw materials needed for production.

Rio Tinto, one of the world's top aluminum makers, said it has "ensured security of supply to our customers" in aluminum markets. It reported a 1% rise in first-quarter output, to about 840,000 metric tons.

The "mix and scale of our portfolio has ensured growth and supply chain resilience against changing operating conditions as we continue to closely monitor the evolving situation in the Middle East," Chief Executive Simon Trott said.

In its Pilbara iron-ore business, which accounts for the majority of the company's profits, first-quarter production rose to 78.8 million tons. Rio Tinto said this was its second-highest first-quarter result since 2018.

Shipments from those operations were, however, hurt by two tropical cyclones during the quarter, it said. First-quarter sales were up 2% on year at 72.4 million tons.

The cyclones reduced shipments by about 8 million tons, although roughly half of the weather-related losses are expected to be recovered, Rio Tinto said.

In its copper business, production rose by 9% to 229,000 tons. The increase was underpinned by a 56% jump in output at the Oyu Tolgoi mine in Mongolia, where Rio Tinto is ramping up production from an underground expansion.

Drilling at the giant Resolution project in Arizona is now also underway following completion of a federal land exchange in March, the miner said. "Our project team [is] focused on unlocking the next phase of one of the world's largest untapped copper deposits," said Trott, the chief executive.

Write to Rhiannon Hoyle at rhiannon.hoyle@wsj.com

(END) Dow Jones Newswires

April 20, 2026 21:01 ET (01:01 GMT)