Rio Tinto to Begin Work to Boost Bauxite Output at Amrun Mine
Rio Tinto Group (NYSE:RIO) will start early construction and engineering studies to boost bauxite production at its Amrun mine on the Cape York Peninsula in Queensland.
Aerial view of an open pit mine, with workers extracting minerals.
By adding up to 20 million tonnes a year to the current 23 million tonnes, the expansion project, known as Kangwinan by the Wik Waya Traditional Owners, seeks to almost double production from Weipa Southern operations. The Amrun port expansion and the construction of a new mine 15 km southeast of Amrun are part of the project.
A final investment decision is anticipated in 2026, with the objective of first production being set for 2029. As the Andoom and Gove mines near closure, the project will maintain jobs and generate over 800 construction jobs.
Rio Tinto Group (NYSE:RIO) plans to replace output from its Andoom (Cape York) and Gove (Northern Territory) mines with Kangwinan. Both mines are expected to cease operations by the end of the decade.
Rio Tinto Group (NYSE:RIO)'s aluminum value chain relies heavily on the Amrun mine, which was built at a cost of US$1.9 billion and inaugurated in 2018. The company produces aluminum at smelters in Australia and New Zealand and refines bauxite from Weipa at Gladstone.
Early construction projects have been approved, including a 250-room camp and an access road. Environmental evaluations, regulatory clearances, and cultural heritage consultations are necessary for progress. The Wik Waya people also attach cultural value to Kangwinan.
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