Share Name Share Symbol Market Type Share ISIN Share Description
Rio Tinto Plc LSE:RIO London Ordinary Share GB0007188757 ORD 10P
  Price Change % Change Share Price Shares Traded Last Trade
  -24.00 -0.41% 5,854.00 3,297,828 16:35:20
Bid Price Offer Price High Price Low Price Open Price
5,844.00 5,848.00 6,021.00 5,783.00 5,810.00
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Mining 32,629.34 11,257.27 441.78 13.4 73,511
Last Trade Time Trade Type Trade Size Trade Price Currency
18:45:03 O 710 5,896.979 GBX

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Rio Tinto Daily Update: Rio Tinto Plc is listed in the Mining sector of the London Stock Exchange with ticker RIO. The last closing price for Rio Tinto was 5,878p.
Rio Tinto Plc has a 4 week average price of 5,579p and a 12 week average price of 5,435p.
The 1 year high share price is 6,545p while the 1 year low share price is currently 2,954p.
There are currently 1,255,746,356 shares in issue and the average daily traded volume is 3,366,979 shares. The market capitalisation of Rio Tinto Plc is £73,511,391,680.24.
sogoesit: Companies' Comment from Chronic Investor this week: "Iron ore drives Rio Tinto and BHP’s dividend bonanza Steel demand sees iron ore miners roll on through Covid-19, as Anglo-Australian miners declare record final and half-year payouts Alex Hamer Rio Tinto declares record total payout of 557ȼ, including a special dividend of 93ȼ BHP declares half-year payout of 101ȼ and management says a further raise is in the cards for the end of the 2021 financial year Iron ore giants BHP (BHP) and Rio Tinto (RIO) have hiked dividends to record levels and given investors reason to believe even greater payouts are on the way. Some analysts are also talking about a new supercycle, driven by the Covid-19 recovery and green spending. BHP chief executive Mike Henry made much of the company’s metals production that would be in high demand if the energy transition sped up in his half-year results presentation. “In a Paris-aligned, 1.5 degree scenario, we expect that investment in such things as copper-intensive solar generation, nickel-intensive batteries, and steel-intensive wind turbines will contribute to a more than doubling of the amount of primary copper and a quadrupling of the amount of primary nickel demand over the next 30 years, as was produced over the last 30,” he said. BHP will pay shareholders a record half-year dividend of 101ȼ (73p). This was more than a fifth ahead of consensus expectations. Henry said there was also scope for another dividend increase at the end of the financial year. “We are constructive in our outlook for commodities and the business is performing really, really well,” he said. Henry and new finance chief David Lamont did not rule out share buybacks on top of the higher dividend when speaking to analysts on results day. Rio Tinto, reporting its final results for 2020, will pay a final dividend of 309ȼ and a special payout of 93ȼ. The total payout of 557ȼ is well ahead of the consensus estimate of 480ȼ, and overtakes the divestment-driven total from 2018. New Rio chief executive Jakob Stausholm said it had been an “extraordinary year”, noting the company’s “successful response” to Covid-19, but also the controversial destruction of the Juukan Gorge sacred site. He said on an analyst call he was working hard for Rio to “earn back our respect and credibility with stakeholders”. Glencore (GLEN) also brought back its dividend this week. In its 2020 results announcement, Rio also joined BHP and Glencore in committing to tackle scope 3 emissions from their products. These emissions, largely from Chinese steelmakers in Rio and BHP’s cases, are far larger than their operational emissions. Rio said it would work with its customers to drop steelmaking carbon intensity by 30 per cent from 2030. BHP is aiming to do this by 2030. This month, Microsoft founder Bill Gates said decarbonisation efforts would be pointless if steel and cement manufacturers do not quickly find carbon neutral options. Both Anglo-Australian majors relied on iron ore to drive profits last year, despite the copper price surge. Rio said the higher iron ore price boosted underlying cash profits by $3.3bn last year, while the uplift in copper prices added $405m. These easily outweighed weaker aluminium prices. Rio’s overall underlying cash profit was $23.9bn, a 13 per cent increase on last year, and net debt tumbled from $3.7bn at the end of 2019 to $664m a year later. Conditions in the iron ore space aren’t perfect, despite the strong prices: Rio has upped its 2021 and 2022 capital spending forecasts by $500m a year because of the stronger Australian dollar, to $7.5bn. Its forecast of A77¢ (43p) adds at least $1.30 in cost to each tonne of iron ore produced. BHP’s underlying cash profit was $14.7bn, a fifth ahead of last year. The miner had already flagged a $1.6bn impairment relating to its NSW Energy Coal (NSWEC) business and stake in the Colombian coal operation Cerrejón. Copper is set to provide an even stronger uptick in earnings for this year. The red metal is trading at an eight-year high over $8,000 a tonne (t). The 80 per cent price rise since March is only matched by the increase in 2008/2009, during the China-driven mining boom. Future commodity? While talking up BHP’s commitment to “future-facing commodities”, its boss is also open to buying more oil and gas assets. Last year, BHP bought an extra 28 per cent stake in the Shenzi field in the Gulf of Mexico, for $505m, taking its holding to almost three-quarters. RBC analyst Tyler Broda said a large oil acquisition would be “very attractive” for BHP, but warned its window was closing for this given the recent improvement in prices. Henry said in an analyst call he would be exploring further “counter-cyclical acquisitions” although will be wary of a course of action that would likely “add challenges in the group’s ESG narrative”, according to Broda. BHP has bigger decisions to make on the project level, including how to get rid of its thermal coal assets and whether to build the Jansen potash mine in Canada. The company is around six months into a two-year process to sell off the coal mines, and has not committed to a demerger or sale yet. Jansen was a pet project of former boss Andrew Mackenzie, and Henry made clear he was not happy with the process up to now. “The fact that we’ve got $4.5bn sunk into Jansen, and the time it’s taken us to get here is something that [we’re] certainly not pleased with and we will build upon the learnings that we’ve taken away from that in how we think about further projects in future-facing commodities,” he said. Rio Tinto has its own development challenges. It is aiming to reach the ‘caving’ stage at the Oyu Tolgoi underground development this year, where work begins on the areas that will be mined. To get to this point, Rio still has to get support from the Mongolian government and minority shareholders in Turquoise Hill Resources (Can:TRQ), the Canadian company through which it holds its stake in the project. Also on Stausholm’s plate is the difficult Simandou iron ore project in Guinea, the Resolution Copper project in the US, and the Jadar lithium project in Serbia, for which a feasibility study is expected to be completed this year. This year, supercycle or not, is shaping up to be pivotal for both companies. We recommend buying BHP and holding Rio Tinto. Last IC View: Hold, 5,572p, 29 Dec 2020 RIO TINTO (RIO) ORD PRICE: 6,465p MARKET VALUE: £104bn TOUCH: 6,464-6,466p 12-MONTH HIGH: 6,553p LOW: 2,954p DIVIDEND YIELD: 6.2% PE RATIO: 15 NET ASSET VALUE: 2,912ȼ NET DEBT: 1% Year to 31 Dec Turnover ($bn) Pre-tax profit ($bn) Earnings per share (ȼ) Dividend per share (ȼ) 2016 33.8 6.34 257 170 2017 40.0 12.8 490 290 2018 40.5 18.2 793 307 2019 43.2 11.1 491 382 2020 44.6 15.4 604 557 % change +3 +38 +23 +46 Ex-div: 4 Mar Payment: 15 Apr £1=$1.39 ^Includes special dividend of 93ȼ Last IC view: Buy, 1,811p, 18 Aug 2020 BHP (BHP) ORD PRICE: 2,268p MARKET VALUE: £115bn TOUCH: 2,268-2,269p 12-MONTH HIGH: 2,311p LOW: 940p DIVIDEND YIELD: 4.9% PE RATIO: 23 NET ASSET VALUE: 967ȼ NET DEBT: 22% Half-year to 31 Oct Turnover ($bn) Pre-tax profit ($m) Earnings per share (ȼ) Dividend per share (ȼ) 2019 22.3 7.79 96.3 65.0 2020 25.6 8.83 76.6 101 % change +15 +13 -20 +55 Ex-div: 4 Mar Payment: 23 Mar £1=$1.39
grupo guitarlumber: Rio Tinto confirms $9bn dividend in a week of bumper returns for mining shareholders MiningMajor Commodities By Andrew Fawthrop 17 Feb 2021 Rio Tinto, BHP and Glencore have each confirmed big dividends this week, as mining companies benefited from a price surge for major commodities in 2020 Rio Tinto Pilbara Cape Lambert iron ore Iron ore at Rio Tinto's Cape Lambert operation in Pilbara, Western Australia (Credit: Rio Tinto) Rio Tinto has confirmed its largest-ever annual payout to shareholders, in a week when rivals BHP and Glencore also upped their own dividends in response to solid returns across the mining industry in 2020. In total, the Anglo-Australian miner issued payments of $9bn for the full year, equivalent to 557 cents per share and 72% of its underlying earnings for the 12-month period. It includes a $5bn final ordinary dividend and a $1.5bn special dividend announced today (17 February). Rio benefited from a surge in prices for iron ore – its biggest commodity focus – during the year, buoyed by strong demand for the steelmaking ingredient in China as the country emerged first from the depths of the coronavirus downturn. Its underlying earnings from iron ore increased by 18% year-on-year to $11.4bn – accounting for more than 90% of total earnings from all product segments. “Safe and well-run operations, together with world-class assets, great people, capital discipline and a strong balance sheet, leave Rio Tinto well placed to generate superior returns for shareholders,” said chief executive Jakob Stausholm. BHP and Glencore further boost 2020 mining dividends Yesterday, rival BHP issued a $5.1bn dividend alongside its half-year results on the back of strong earnings driven by the price surge for iron ore and copper. Analysts suggest an even bigger windfall could be on the cards later in the year when the firm posts its full-year update, assuming commodity markets maintain strong performance. “Our outlook for global economic growth and commodity demand remains positive, with policymakers in key economies signalling a durable commitment to growth and signalling ambitions to tackle climate change,” said BHP chief executive Mike Henry. “These factors, combined with population growth and rising living standards, are expected to drive continuing growth in demand for energy, metals and fertilisers.” Glencore resumed its dividend with a $1.6bn payment, having paused shareholder returns in August amid uncertainty surrounding the pandemic. For the Swiss mining giant, 2020 was the last of its dividends to be paid out under the tenure of long-standing chief executive Ivan Glasenberg as he prepares to leave his role at the head of Glencore. The South African industry veteran retains a roughly 9% ownership interest in the company, however. While the impact of the pandemic caused huge disruption to global industry and commodity markets last year, diversified mining companies have been boosted by growing demand for some of their core products, like iron ore and copper, as major economies prepare to build their way out of the economic downturn with large infrastructure projects. Some analysts and financial planners, including at JP Morgan Chase, have suggested a new commodity “supercycle221; may getting underway, with crude oil also enjoying a price resurgence after a dire 12 months amid record demand loss for petroleum fuels. “Lower interest rates and high levels of government spending should both stimulate economic activity and increase demand for commodities,” noted analysts at Hargreaves Lansdowne. “Meanwhile years of financial restraint post 2015/16 mean miners haven’t necessarily spent as much as they might have on new mines. “That combination of increased demand and lower investment in new supply could be explosive for commodity prices, and excellent news for miner’s profits. “Ultimately, it’s difficult if not impossible to say with any degree of certainty which direction commodities will take. However, we certainly see an argument for miners being on track for better times ahead.” A difficult year for Rio Tinto, despite financial gains Rio Tinto reported underlying earnings of $12.4bn for 2020, up 20% year-on-year, with consolidated revenues up 3% to $44.6bn and net debt falling from $3.65bn to $664m. Yet despite the strong financial performance, it was also a damaging year for the company, which suffered a big reputational blow when it destroyed the Juukan Gorge aboriginal heritage site in Pilbara, Western Australia during a mine expansion in May. The incident prompted a parliamentary inquiry and ultimately cost former chief executive Jean-Sébastien Jacques his job, along with two other senior executives. Newly-appointed Rio Tinto CEO Jakob Stausholm said: “It has been an extraordinary year – our successful response to the Covid-19 pandemic and strong safety performance were overshadowed by the tragic events at the Juukan Gorge, which should never have happened.” The mining company recently reshuffled its executive structure under the new boss, with a primary aim of rebuilding trust with project stakeholders following the episode. Scope 3 emissions on the agenda In today’s update, Rio outlined new targets for addressing its Scope 3 emissions – those caused by the end use of the products it sells, and the hardest to abate. It said it plans to achieve net-zero emissions from the shipping of its goods by 2050, and align with the International Maritime Organisation (IMO) goal of a 40% reduction in shipping intensity by 2030. Rio also plans to work with partners in the steelmaking sector on pathways to decarbonise the manufacturing process and invest in technologies that can advance this process. Glencore recently set its own targets for tackling Scope 3 emissions, as part of a broader push to eliminate the entirety of its carbon footprint by 2050. It confirmed in its financial update yesterday that this climate strategy will be put to shareholders for an advisory vote at its forthcoming annual general meeting in April. Carlota Garcia-Manas, senior responsible investment analyst at Royal London Asset Management (RLAM), welcomed this move, saying it “constitutes another big step in the transformation of this company and reinforces the value of shareholder engagements”. She added: “Glencore is one of a few companies leading the way” on climate action.
maywillow: SYDNEY--Rio Tinto PLC unveiled a surprise special dividend after a sustained rally by iron-ore prices drove a 22% rise in annual net profit. Rio Tinto, the world's second-biggest mining company by market value, on Wednesday reported a net profit of $9.77 billion for 2020. That compared to a profit of $8.01 billion in 2019. The bottom line included $1.3 billion of exchange losses and $1.1 billion in impairment charges, mostly against three of its Pacific Aluminium smelters, its ISAL smelter in Iceland and its stake in the Diavik diamond mine in Canada's Northwest Territories. Riding tailwinds from a surge in iron-ore prices, Rio Tinto reported a 20% lift in underlying earnings to $12.45 billion. That was above expectations of a $11.75 billion underlying profit, according to a compilation of 16 analyst forecasts published by Vuma. Rio Tinto runs one of the world's biggest iron-ore export hubs and the commodity, used to make steel, accounts for the bulk of its earnings. Directors declared a final dividend of $3.09 a share, taking the miner's full-year ordinary payout to $4.64 a share. Last year, Rio Tinto paid $4.43 a share, and analysts had been forecasting a total dividend of $4.80, according to the Vuma-compiled consensus. Rio Tinto said it would also pay a special dividend worth $0.93 a share in what was the first financial result under new CEO and former chief financial officer Jakob Stausholm. "During 2020, the agility and resilience of the business and our employees, coupled with strong commodity prices, enabled us to deliver underlying Ebitda of $23.9 billion and return on capital employed of 27%," said Mr. Stausholm. The special dividend confounded expectations of many analysts who had predicted Rio Tinto would act cautiously on capital management as it battles to contain the fallout from the destruction of two ancient rock shelters in Australia's minerals-rich Pilbara region last year. The disaster cost former Chief Executive Jean-Sébastien Jacques his job amid a global backlash from investors, communities and lawmakers who demanded executives be held accountable for the destruction of the caves at Juukan Gorge on May 24. While Rio Tinto says it is committed to talks with the traditional indigenous owners of the land it mines, it has also been lifting iron-ore production and is benefiting from a surge in prices for the commodity, which in December struck a nine-year high. The benchmark price for the commodity jumped as high as $176.90 a metric ton late in 2020 on strong Chinese demand, which was underpinned by China's quicker-than-anticipated economic recovery from the Covid-19 pandemic. Rio Tinto in January said it produced 2% more iron ore in Australia last year versus 2019, with mines here--which account for most of its iron-ore production--largely unaffected by the coronavirus pandemic as Australia enjoyed relative success in keeping its spread under control. Write to Rhiannon Hoyle at (END) Dow Jones Newswires February 17, 2021 00:58 ET (05:58 GMT)
waldron: nsenergy Rio Tinto boss reshuffles leadership team as miner seeks to rebuild trust after Juukan Gorge Mining By Andrew Fawthrop 28 Jan 2021 Following last year's destruction of a scared aboriginal site in Australia, Rio Tinto's new boss has wasted little time making sweeping personnel changes at the top of the business Rio Tinto - Willy Barton - Shutterstock 1067720183 Rio Tinto said the restructuring also aims to boost operational performance and project development (Credit: Willy Barton/Shutterstock) Rio Tinto is shaking up its leadership team as it begins a fresh chapter under new chief executive Jakob Stausholm. The Anglo-Australian miner promoted Stausholm late last year to replace former boss Jean-Sébastien Jacques, who departed the company amid the backlash of its decision to destroy a 46,000-year-old aboriginal heritage site in Western Australia as part of an expansion project. A key part of the new CEO’s mandate is to repair the damaged relationships caused by the Juukan Gorge incident, and he has been quick to make several new appointments with the aim of “re-establishing Rio Tinto as a trusted partner for host communities, governments and other stakeholders”. A new chief operating officer role has been created that will be filled by Arnaud Soirat, who currently heads the copper and diamonds division, while current chief commercial officer Simon Trott becomes iron ore chief executive. A new role of Australia chief executive has also been created – a reflection of the need to repair the reputational damage in the country caused by last year’s controversy. Kellie Parker, an Australian who is currently Pacific managing director of aluminium operations, will hold this new position. In a statement, the company indicated her priority will be to “focus on rebuilding trust and strengthening external relationships across Australia”. New face joins Rio Tinto leadership team to oversee business culture Rio Tinto has a huge presence in Australia, but there was a fierce response after it blasted the site of two ancient aboriginal cave shelters in May 2020 to make way for an expansion of its Brockman 4 iron ore project in Pilbara. Aboriginal groups, investors and government leaders alike fired criticism at the company. A parliamentary inquiry into the incident described the miner’s conduct as “inexcusable”, and said it raised “significant issues about the culture and practices inside Rio Tinto, and highlights a need for the internal reform of the company”. Stausholm, who was himself internally promoted from being Rio Tinto’s former finance chief, said: “There are improvements we can achieve across the business to make Rio Tinto more resilient, and an even stronger performer and employer. Now the work starts for ExCo [the executive committee], with a full agenda ahead of us and a determination to become a strong team.” Aluminium chief executive Alf Barrios will become chief commercial officer, while energy and minerals chief Bold Baatar moves to head the copper business – where an early priority is expected to be resolving an ongoing dispute over the development of the Oyu Tolgoi copper mine in Mongolia. James Martin will join the company from management consultancy Egon Zehnder as chief people officer. He replaces Vera Kirikova, who has decided to leave the business. As a role responsible for internal business culture, it will be an important one for Rio Tinto as it aims to convince stakeholders that lessons have been learned from the Juukan Gorge incident. The company said Martin “has a strong track record of supporting businesses in leadership development, cultural change and team effectiveness”. Amid the leadership reshuffle, Rio said it will retain four product groups: aluminium, copper, iron ore, and minerals, which will now also include the diamonds business. They will be supported by the safety, technical and projects group, headed by Mark Davies, which includes the recently established communities and social performance function. All of the restructuring will be finalised by 1 March 2021, excluding the arrival of Martin who will join the team in early April.
waldron: SYDNEY--Rio Tinto PLC elevated an executive experienced in negotiating with Chinese buyers to run its iron-ore business at a time of heightened tensions between Canberra and Beijing. In a shuffle of Rio Tinto's executive team under new CEO Jakob Stausholm, the company named Simon Trott as Iron Ore Chief Executive to oversee one of the biggest iron-ore export businesses globally. Mr. Trott is currently chief commercial officer. He takes the helm of the business, which records wide margins on its iron-ore sales and accounts for the bulk of Rio Tinto's earnings, amid a deep trade dispute between Australia, where Rio Tinto produces the bulk of its iron ore, and China, its No. 1 buyer. While Australian iron-ore shipments to China haven't been affected by the dispute, Beijing has placed restrictions or tariffs on a range of other Australian commodities including barley, wine and coal. Australia drew China's anger when it sought support from European leaders to investigate whether Beijing's early response to the coronavirus contributed to the pandemic. Many Australian lawmakers and economists see the tariffs as retaliation by China for that diplomatic push. Mr. Trott has been the miner's chief commercial officer since January 2018 which has included overseeing the selling and marketing of Rio Tinto's commodities to Chinese buyers. He'll also assume responsibility for the iron-ore unit at a time when prices of the commodity are near a nine-year high because of strong Chinese demand. Iron ore, used to make steel, is one of the world's most-traded commodities and was among the best performing assets of 2020. The miner earlier this month reported a 1% lift in annual shipments of iron ore from its Australian mining hub, but said it continues to face uncertainty resulting from the Covid-19 pandemic and a review of heritage laws in Western Australia state. Mr. Trott's appointment was part of a reshuffle announced Thursday as the world's second biggest miner by market value seeks to repair its reputation with investors, lawmakers and indigenous groups after it last year destroyed two ancient rock shelters in remote northwest Australia. Mr. Stausholm became CEO this month after predecessor Jean-Sébastien Jacques was ousted amid the fallout from the destruction of the Juukan Gorge caves on May 24. He also appointed Copper and Diamonds Chief Executive Arnaud Soirat to be group chief operating officer and Kellie Parker, now managing director of Pacific aluminum operations, to be Chief Executive Australia, the company said. "Now the work starts for ExCo, with a full agenda ahead of us and a determination to become a strong team," Mr. Stausholm said, referring to Rio's executive committee. "I am confident that together we can unleash Rio Tinto's full potential." Ms. Parker will be charged with rebuilding trust and strengthening external relationships across Australia, Rio Tinto said. Mr. Stausholm has said repairing Rio Tinto's relationship with indigenous groups and other stakeholders is a key priority for the company. The shelters that Rio Tinto destroyed contained a trove of artifacts that indicated they had been occupied by humans more than 46,000 years ago. A successor to Mr. Stausholm as chief financial officer has yet to be appointed. Peter Cunningham remains interim chief financial officer, Rio Tinto said. Write to Rhiannon Hoyle at (END) Dow Jones Newswires January 27, 2021 19:12 ET (00:12 GMT)
sarkasm: RNS Number : 9334K Rio Tinto PLC 07 January 2021 Key Dates 7 January 2021 Set out below are the key dates for Rio Tinto for the 2021 calendar year. Date Event 2020 Final dividend 17 February 2021 2020 full year results announcement ------------------------------------------------------- 4 March 2021 Rio Tinto plc and Rio Tinto Limited ordinary shares and Rio Tinto plc ADRs quoted "ex-dividend" ------------------------------------------------------- 5 March 2021 Record date ------------------------------------------------------- 23 March 2021 Final date for elections under the Rio Tinto plc and Rio Tinto Limited Dividend Reinvestment Plans and under facilities for dividends to be paid in alternative currency (GBP/AUD) ------------------------------------------------------- 8 April 2021 Currency conversion date ------------------------------------------------------- 15 April 2021 Payment date ------------------------------------------------------- 2021 Interim dividend 28 July 2021 2021 half year results announcement ------------------------------------------------------- 12 August 2021 Rio Tinto plc and Rio Tinto Limited ordinary shares and Rio Tinto plc ADRs quoted "ex-dividend" ------------------------------------------------------- 13 August 2021 Record date ------------------------------------------------------- 2 September 2021 Final date for elections under the Rio Tinto plc and Rio Tinto Limited Dividend Reinvestment Plans and under facilities for dividends to be paid in alternative currency (GBP/AUD) ------------------------------------------------------- 16 September 2021 Currency conversion date ------------------------------------------------------- 23 September 2021 Payment date ------------------------------------------------------- 2021 Annual general meetings 2 February 2021 Closing date for receipt of nominations for candidates other than those recommended by the board to be elected as directors at the 2021 annual general meetings ------------------------------------------------------- 9 April 2021 Rio Tinto plc annual general meeting ------------------------------------------------------- 6 May 2021 Rio Tinto Limited annual general meeting -------------------------------------------------------
sarkasm: SYDNEY--The destruction of two ancient rock shelters in Australia this year cost three Rio Tinto PLC executives their jobs. Now, the global miner has promoted another insider, Jakob Stausholm, to CEO as it battles to repair its reputation with investors, lawmakers and indigenous groups. Among the decisions facing Mr. Stausholm when he steps up from the chief financial officer role on Jan. 1, is how to rebuild trust with the traditional owners of the Juukan Gorge caves that were destroyed by Rio Tinto on May 24 as part of an expansion of a big iron-ore mine in Western Australia. Rio Tinto, the world's second-largest listed mining company by market value, must decide whether it wants to join with Chinese companies in a big African iron-ore development that could make its existing mines in Australia less profitable should the project weaken global iron-ore prices. Mr. Stausholm, a Danish citizen, will also need to steer the challenging expansion of a copper mine in Mongolia. Chief Executive Jean-Sébastien Jacques was ousted amid the fallout from the destruction of ancient rock shelters, which contained a trove of artifacts that indicated they had been occupied by humans more than 46,000 years ago. He will leave Rio Tinto at the end of March. "I am...acutely aware of the need to restore trust with traditional owners and our other stakeholders, which I view as a key priority for the company," Mr. Stausholm said in a statement. A government inquiry report this month recommended Rio Tinto negotiate a restitution package with the traditional owners of the Juukan Gorge, the Puutu Kunti Kurrama and Pinikura people, or PKKP. It also made recommendations for the mining sector of Western Australia state more broadly, reflecting how the fallout from that calamity is reverberating throughout the industry. Australian lawmakers handling the probe have called on miners to review agreements with traditional owners, stop using contracts that limit those groups' ability to disagree publicly with decisions and to hold off on requesting new heritage consents until local laws are strengthened. "As an investor, we are closely watching how Rio's board and its senior leadership take action to improve governance and oversight and respond to the very substantial recommendations of the parliamentary inquiry," Debby Blakey, chief executive of Hesta, an Australian pension fund, said following Mr. Stausholm's appointment. "Investors have an expectation of significant and lasting change." Rio Tinto, whose headquarters is in London, had faced pressure from Australian lawmakers to appoint an Australian successor to Mr. Jacques, given the company generates the bulk of its profits in the country. Some analysts and investors had speculated that Rio Tinto would try to attract an executive from rival miners, while others had suggested the miner should look outside of the resources industry for its next leader. Mr. Stausholm, who joined Rio Tinto in 2018, has shown he can build effective relationships and has a strong, personal commitment to sustainable development, Rio Tinto Chairman Simon Thompson said. "His blend of strategic and commercial expertise, strong values and a collaborative leadership style are the ideal qualities for our next chief executive," said Mr. Thompson. RBC Capital Markets called the appointment a clear positive, saying that Mr. Stausholm's firsthand knowledge of the company would help management navigate a difficult phase. "We think his understanding of what's come before and especially of what needs to happen following the last six months will help Rio to re-emerge, " it said. Rio Tinto also highlighted Mr. Stausholm's central role in strengthening the miner's balance sheet and boosting returns to shareholders. Mr. Stausholm--a former finance chief at A.P. Moeller-Maersk A/S who also worked at Royal Dutch Shell PLC for two decades--will take the reins at Rio Tinto at a time when prices for iron ore are booming on roaring Chinese demand. Rio Tinto is one of the world's biggest sellers of that commodity, alongside Brazil's Vale SA. Prices at a roughly eight-year high are expected to boost profits for the company, whose Australian iron-ore operations typically record margins of more than 60%. "Rio Tinto's purpose is to produce the materials essential to human progress and I remain deeply committed to this after the difficult times we have faced during 2020," said Mr. Stausholm. Write to Rhiannon Hoyle at (END) Dow Jones Newswires December 17, 2020 05:52 ET (10:52 GMT)
sarkasm: Odey accuses Rio Tinto of destroying value over Mongolian mine Wed, 25th Nov 2020 09:44 ShareCast (Sharecast News) - Odey Asset Management has accused Rio Tinto of destroying value through lack of action over problems at Turquoise Hill, through which Rio Tinto owns a giant copper mine in Mongolia. Turqoise Hill, listed in Canada, owns two-thirds of the Oyu Tolgoi mine with the rest owned by the Mongolian government. Rio Tinto owns 51% of Turquoise Hill. Odey said Rio Tinto was allowing a false market for Turquoise Hill's shares with a rights issue from the Canadian company on the horizon. Crispin Odey's fund owns shares in Rio Tinto and has a short position in Turquoise Hill. In a letter to Rio Tinto's finance chief Jakob Stausholm the fund said Turquoise Hill would require an $8.9bn rights issue after delays and budget overruns at Oyu Tolgoi. Odey called on Stausholm to set out whether Rio Tinto intends to underwrite the rights issue so that shareholders can understand the company's position. Rio Tinto slashed copper reserve forecasts for Oyu Tolgoi and increased cost estimates in July. The project aims to be one of the world's biggest sources of copper and is seen as Rio Tinto's most important growth asset. Odey's scrutiny of Oyu Tolgoi is led by Henry Steel, a former executive assistant to Rio Tinto's chief financial officer in 2011. Steel manages Odey's concentrated natural resources fund. "As chief financial officer of Rio Tinto, as well as a director of the Rio Tinto, Odey believes that you now have a fiduciary duty to rectify the situation immediately," Steel wrote to Stausholm.
sarkasm: Rio Tinto Chief Exits Over Site Destruction -- WSJ 11 Septembre 2020 - 08:02AM Dow Jones News Alerte Imprimer Share On Facebook By David Winning This article is being republished as part of our daily reproduction of articles that also appeared in the U.S. print edition of The Wall Street Journal (September 11, 2020). SYDNEY -- Rio Tinto PLC said its chief executive would step down as it battles to contain the fallout from the destruction of two ancient rock shelters in Australia's minerals-rich Pilbara region that were culturally significant to a local indigenous group. Rio Tinto said Jean-Sébastien Jacques would leave the company no later than March 31 after more than four years as CEO, bowing to pressure from investors for its senior leaders to be held accountable for the destruction of the caves at Juukan Gorge on May 24. Rio Tinto, the world's second-largest listed mining company by market value, said a search for a new CEO was under way and Mr. Jacques would leave sooner than March 31 if a successor is found. Two other executives, including Chris Salisbury, the head of its iron-ore division, will also leave the company at the end of this year. Rio Tinto's troubles show how environmental and cultural issues have taken center stage in an industry that is fighting to change investors' perceptions that mining is problematic. Many mining operations are on land traditionally owned by indigenous groups, including in South America, Africa and the Arctic Circle. Their activities can be a source of friction if residents don't feel they benefit from the mining activity nearby. Rio Tinto has apologized for blowing up the caves during work to expand its iron-ore operations, and last month cut bonuses for Mr. Jacques, Mr. Salisbury and head of corporate relations Simone Niven for governance failures outlined in an internal review that aimed to ensure similar missteps cannot happen again. In a review of the event released Aug. 24, Rio Tinto found that no single individual or error was responsible for the destruction of the rock shelters. In documents submitted to a federal parliamentary inquiry in Australia last week, the company said no senior leader of its iron-ore unit or group executive was aware of the high significance of the Juukan rock shelters before May 18. The indigenous group that is the traditional owner of land around the Juukan Gorge site said archaeological research there revealed several ancient artifacts, including a bone fragment sharpened into a pointed tool, grinding and pounding stones, and plaited human hair that appeared to have come from an ancient hair belt. Many investors were unhappy with the conclusions of Rio Tinto's review, and Australian lawmakers have criticized the company's decision-making. One document Rio Tinto submitted to the parliamentary inquiry showed the company had instructed a law firm to prepare for a possible injunction brought by the indigenous group, the Puutu Kunti Kurrama and Pinikura people, or PKKP, at least three days before the blast. "We have listened to our stakeholders' concerns that a lack of individual accountability undermines the Group's ability to rebuild that trust and to move forward to implement the changes identified in the Board Review," Chairman Simon Thompson said on Friday. It isn't known whether Mr. Jacques' departure will satisfy investors. On Thursday, HESTA, an Australian pension fund for health-care workers, said it had lost confidence in Rio Tinto's ability to reset relations with traditional owners on its own. "Accountability for the destruction at Juukan Gorge should rest at the highest levels of Rio, but a larger, systemic issue of how the company and the mining sector negotiates agreements with Traditional Owners needs to be urgently addressed," said HESTA, which owns Rio Tinto shares worth around US$182 million. Mr. Jacques became CEO of Rio Tinto in mid-2016 as the global mining industry was emerging from a prolonged downturn in metal markets. Formerly Rio Tinto's copper chief, Mr. Jacques sold all of the company's coal pits and avoided major acquisitions that had weighed on the miner's stock price in the past. However, his tenure also coincided with Rio Tinto becoming the subject of several regulatory investigations around the world. In 2018, the Australian Securities and Investments Commission alleged that Rio Tinto and former executives "engaged in misleading or deceptive conduct," misrepresenting the reserves and resources of its Mozambique coal assets. A year earlier, Britain's Serious Fraud Office said it had opened an investigation into suspected corruption by London-listed Rio Tinto in the Republic of Guinea. Rio Tinto is defending the allegations, and describes the regulatory proceedings as unwarranted. Mr. Jacques has also faced operational setbacks, including in Mongolia, where an expansion of its flagship Oyu Tolgoi copper mine underground has been delayed by more than two years to mid-2023 and could cost $1.9 billion more than originally estimated. Still, a rally in iron-ore prices has kept profits high. Rio Tinto recently reported $4.75 billion in underlying earnings for the six months through June, enabling directors to increase the midyear dividend payout to shareholders. Its Australian shares have risen more than a quarter in value from lows in March, when the coronavirus pandemic intensified. Rio Tinto didn't break any laws when laying explosives at Juukan Gorge. It was authorized by the Western Australia state government to conduct activity at its Brockman 4 mine that would affect the rock shelters. Rio Tinto has been working closely with the PKKP in regard to the Juukan area since 2003, and formally reached an agreement for use of the land in 2011. The PKKP said it was first advised of Rio Tinto's intention to blast the gorge near the rock shelters on May 15, and that explosives had been laid. Attempts to negotiate with Rio Tinto to stop the blast foundered when independent experts advised it wasn't safe to remove the charges, the indigenous group said. Pressure on Rio Tinto's board intensified after they decided to impose financial penalties on executives last month. AustralianSuper, which manages more than $130 billion in retirement savings, said it had met with Rio Tinto's chairman and told him those penalties fell "significantly short of appropriate responsibility for those responsible." The Australian Council of Superannuation Investors, which represents local pension funds, also raised concerns with Rio Tinto board members, including the issue of accountability. "The destruction of the caves resulted in a devastating cultural loss," ACSI CEO Louise Davidson said following Rio Tinto's review. "In addition, it is of significant concern to investors because it puts at risk Rio Tinto's relationship with key stakeholders and its social license to operate." The destruction of the caves at Juukan Gorge could have ramifications for other miners operating in the Pilbara, including BHP Group Ltd. and Fortescue Metals Group Ltd., two of the world's four largest iron-ore producers. Lawmakers in Western Australia this year said they intend to introduce new legislation that resets the relationship between indigenous groups and land users, including miners. About 60% of the world's iron ore traded by sea comes from the Pilbara, including from Rio Tinto's operations, and the region is a major source of the commodity for China and other fast-growing economies. Write to David Winning at (END) Dow Jones Newswires September 11, 2020 02:47 ET (06:47 GMT)
florenceorbis: FORBES Sep 3, 2020,08:00am EDT Rio Tinto Stock Overvalued After 70% Rise? Trefis TeamContributor Rio Tinto stock (NYSE: RIO) has seen a formidable rise of over 70% since late March (vs. over 55% for the S&P 500) to its current level of more than $60. This is after falling to a low of close to $35 in late March, as a rapid increase in the number of Covid-19 cases outside China spooked investors, and resulted in heightened fears of an imminent global economic downturn. The stock is currently about 15% above its February 2020 high. Are the gains warranted or are investors too exuberant? We believe that the stock has risen and recovered slightly more than its potential, and it could drop marginally to settle around $60 in the near term. Our conclusion is based on our detailed comparison of Rio Tinto’s stock performance during the current crisis with that during the 2008 recession in our dashboard analysis - Rio Tinto Stock’s Recovery Has Gone Far. uncaptioned How Did Rio Tinto Stock Fare During 2008 Slowdown? We see RIO’s stock declined from levels of around $90 in October 2007 (the pre-crisis peak) to little over $20 in March 2009 (as the markets bottomed out) – implying that the stock lost almost 75% of its value from its approximate pre-crisis peak. This marked a drop that was higher than the broader S&P, which fell over 50%. However, RIO’s stock recovered strongly post the 2008 crisis to over $55 in early 2010 – rising more than 140% between March 2009 and January 2010, as against the S&P which bounced back by about 50% over the same period. During the current crisis, RIO’s stock lost one-third of its value between 19th February and 23rd March 2020, and has already recovered more than 70% since then. The S&P in comparison fell by about 35% and rebounded by over 55%. Where Is The Stock Headed? The outbreak and global spread of coronavirus led to lockdown in various cities across the globe, which affected industrial and economic activity. Lower demand from construction players and shedding of capacity by major steel companies, mainly in China, has led to a drop in global iron ore prices. Additionally, the lockdown has affected the global supply chain for companies like Rio Tinto which have operations spread across geographies, leading to a decline in production and shipments. A drop in copper and aluminum prices is also hitting a diversified miner like RIO. This was evident from the recently released H1 2020 results, where Rio Tinto’s revenues declined by 7% to $19.4 billion while net earnings were down by 20%. Though iron ore production was up, it could not translate into higher revenues due to a drop in price realization. The rally across industries over recent weeks can primarily be attributed to the Fed stimulus which largely calmed investor concerns about the near-term survival of companies. As the global lock downs are lifted gradually, iron ore demand is expected to rise with supply constraints easing. This is likely to lead to an uptick in shipments toward the end of 2020. Global iron ore price has also increased since April, from $80/ton to over $100/ton currently. Though the stock has increased significantly over the last 5 months, the recent surge in Covid positive cases in a number of states in the US could prove to be an impediment for RIO. If the rise in cases warrant a re-imposition of lockdowns, then the stock could see a sharp drop to as low as $50. In the absence of another lockdown, the stock could remain close to its current level with only a slight downside, with Trefis estimating Rio Tinto’s valuation to be $60 per share. In contrast here’s how Vale’s stock could look post Covid-19. Interestingly, RIO’s peer Cleveland-CliffsR17; stock plunged despite revenues being stable.
Rio Tinto share price data is direct from the London Stock Exchange
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