REG - Rio Tinto - Simandou iron ore project agreement

Rio TintoAnnouncement

11/08/2023 07:15

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230811:nRSK0632Ja&default-theme=true

RNS Number : 0632J  Rio Tinto PLC  11 August 2023

 

Notice to
ASX/LSE

 

Agreements reached on trans-Guinean infrastructure in milestone for Simandou
iron ore project

 

11 August 2023

 

Rio Tinto and the Simfer(( 1  (#_edn1) )) joint venture (Simfer) reached an
important milestone today by concluding key agreements with the Republic of
Guinea and Winning Consortium Simandou(( 2  (#_edn2) )) (WCS) on the
trans-Guinean infrastructure for the world class Simandou iron ore project.

 

The Co-Development Convention with the Republic of Guinea and associated
agreements adjusting Simfer and WCS's existing mine conventions create the
legal framework for the co-development of more than 600 kilometres of new
multi-use rail together with port facilities, that will be used to export iron
ore from the Simandou mining concessions in the southeast of the country.

 

Rio Tinto Executive Committee lead for Guinea and Copper Chief Executive Bold
Baatar said "With these agreements we have reached an important milestone
towards full sanction of the Simandou project, bringing together the
complementary strengths and expertise of Rio Tinto and our partners, the
Government of Guinea and Winning Consortium Simandou, for the infrastructure
that will unlock this world class resource. Simandou, the world's largest
known undeveloped supply of high-grade, low-impurity iron ore, will strengthen
Rio Tinto's portfolio by complementing our existing Pilbara and Iron Ore
Company of Canada products."

 

The infrastructure capacity and associated cost will be shared equally between
Simfer, which is developing blocks 3 and 4 of the Simandou project, and WCS,
which is developing blocks 1 and 2. China Baowu Steel Group has also
previously entered into a term sheet agreement with WCS that may see it
partner in the WCS scope for blocks 1 and 2 of the Simandou mining concession
and the infrastructure joint venture.

 

The Co-Development Convention requires ratification by the Guinean State. It
is also subject to a number of conditions, including the Guinean State's
approval of the final feasibility study for the project. Negotiations continue
between the partners to finalise the investment agreements and related
shareholders' agreements which underpin the co-development. A further
announcement will be made when appropriate concerning these agreements.

 

Critical path works continue to be progressed by the partners to ensure
progress is maximised during the 2023-24 dry season.

 

 

 

 

 

 

 

Contacts

Please direct all enquiries to media.enquiries@riotinto.com

 

 

 

 Media Relations,            Media Relations,               Media Relations,
 United Kingdom              Australia                      Americas

 
 
 

 Matthew Klar                Matt Chambers                  Simon Letendre

 M +44 7796 630 637          M +61 433 525 739              M +1 514 796 4973

 David Outhwaite             Jesse Riseborough              Malika Cherry

 M +44 7787 597 493          M +61 436 653 412              M +1 418 592 7293

                             Alyesha Anderson

                             M +61 434 868 118

 Investor Relations,         Investor Relations,
 United Kingdom              Australia

 
 

 Menno Sanderse              Tom Gallop

 M +44 7825 195 178          M +61 439 353 948

 David Ovington              Amar Jambaa

 M +44 7920 010 978          M +61 472 865 948

 Laura Brooks

 M +44 7826 942 797

 Rio Tinto plc               Rio Tinto Limited

 
 

 6 St James's Square         Level 43, 120 Collins Street

 London SW1Y 4AD             Melbourne 3000

 United Kingdom              Australia

 T +44 20 7781 2000          T +61 3 9283 3333

 Registered in England       Registered in Australia

 No. 719885                  ABN 96 004 458 404

 LEI: 213800YOEO5OQ72G2R82

 

This announcement is authorised for release to the market by Steve Allen, Rio
Tinto's Group Company Secretary.

 

 

 

 

Category: Simandou

 

 

 

 

riotinto.com

(( 1  (#_ednref1) )) The Simfer joint venture comprises Simfer S.A., the
holder of Simandou South Blocks 3 & 4, which is owned by the Government of
Guinea (15%) and Simfer Jersey Limited (85%). In turn, Simfer Jersey Limited
is a joint venture between the Rio Tinto Group (53%) and Chalco Iron Ore
Holdings (47%) - a Chinalco-led joint venture of leading Chinese SOEs
(Chinalco (75%), Baowu (20%), China Rail Construction Corporation (2.5%) and
China Harbour Engineering Company (2.5%).

(( 2  (#_ednref2) )) WCS is a consortium between Winning International Group
(49.99%), Weiqiao Aluminium (part of the China Hongqiao Group) (49.99%) and
United Mining Suppliers (0.0002%).

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCFIFSETRILLIV