(Reuters) -Rio Tinto said on Thursday it will invest $1.8 billion to develop its Brockman Syncline 1 iron ore project in the Pilbara region of Western Australia.
The world’s largest iron ore producer said the project has obtained the required approvals from both state and federal governments, and is now on track to begin producing its first ore by 2027, a year ahead of the initial schedule.
The investment underpins Rio Tinto (NYSE:RIO)’s continued commitment to iron ore in the Pilbara region, which generates a large portion of its profit, even as the company shifts focus towards copper - a metal crucial for renewable energy transition.
"Brockman 4 produced 43 million tons of iron ore in 2024. Securing this project extends the life of the Brockman hub," Rio Tinto Iron Ore Chief Executive Simon Trott said.
Brockman Syncline 1 (BS1) includes Brockman 4 and Greater Nammuldi with a total annual capacity of approximately 130 million tons per annum, according to Rio Tinto.