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Rio Tinto opens new $2bn iron-ore mine in Pilbara

Outgoing CEO Jakob Stausholm speaking at the opening of the new Western Range iron-ore mine in the Pilbara.

Photo by Jakob Stausholm via LinkedIn

9th June 2025

By: Creamer Media Reporter

     

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Rio Tinto and China Baowu Steel have officially opened the Western Range iron-ore mine in Australia’s Pilbara region, a $2-billion project aimed at sustaining production at the nearby Paraburdoo hub for up to two decades.

The mine, a 54:46 joint venture between Rio and Baowu, will add up to 25-million tonnes a year of new capacity and is part of a portfolio of replacement projects underpinning Rio’s commitment to the Pilbara, where it has operated since the 1970s.

Western Australian Premier Roger Cook, Federal Resources Minister Madeleine King, and Yinhawangka Traditional Owners joined executives from both companies at the opening ceremony.

“The opening of Western Range is a significant achievement, and its importance to Western Australia’s economy cannot be overstated,” said Cook. “My government will continue to back our resources industry, which is creating quality jobs for Western Australians while helping us maintain the standard of life we all enjoy.”

Minister King added that the opening of Western Range was "fantastic news" for the Pilbara, for Western Australians, for Traditional Owners and for the nation. "The Pilbara is the engine room of the nation’s economy. Projects like Western Range will keep that engine running for future generations of Australians.”

Construction of the mine included a primary crusher and an 18-km conveyor connecting to the existing Paraburdoo processing plant. The project was completed on time and on budget, and first ore was processed in late March.

The development provides operational continuity for Paraburdoo’s 880-strong workforce, including residential and fly-in, fly-out employees, and bolsters the region’s economy through employment, royalties, and taxes.

For Rio, the mine also represents a milestone in Indigenous engagement. Western Range is the company’s first project to implement a co-designed social, cultural and heritage management plan with the Yinhawangka People, aimed at protecting culturally significant areas.

“For Yinhawangka people, country is everything – it holds our spirit, our law, and our deep responsibility to protect what was passed down to us,” said Yinhawangka Aboriginal Corporation board chairperson Robyn Hayden. “The opening of the Western Range mine represents a shift in how our heritage is being recognised and respected. We acknowledge the work Rio Tinto has done to change how they engage with us, and the steps they’ve taken to build a stronger, more honest partnership. This is a meaningful beginning – and we stand ready to walk forward together.”

Outgoing Rio Tinto CEO Jakob Stausholm described the opening as “an important step” in Rio’s long-term strategy in the region. “Opening Western Range is an important step in Rio Tinto’s extension plans in the Pilbara and ensures the longevity of one of our oldest mining hubs, Paraburdoo, which began operating in 1972,” he said. “I’m particularly proud of the work we’ve done with the Yinhawangka People to develop Western Range and we’ll continue to work closely together.”

Baowu chairperson Hu Wangming said the mine showcased the strength of China-Australia economic ties. 

Western Range is one of several Rio iron-ore projects, including the recently announced Brockman Syncline 1 and sustaining developments at Hope Downs 1 and West Angelas. The company expects to spend more than $13-billion in the Pilbara between 2025 and 2027, building on $8.5-billion invested over the previous three years.

Rio is also progressing a prefeasibility study at Rhodes Ridge, one of the world’s largest undeveloped iron-ore deposits, targeting up to 40-million tonnes a year of initial capacity and first ore by 2030.

Edited by Creamer Media Reporter

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