AUSTRALIAN – GUINEA

Rio Tinto says all systems go for Simandou

roymorgansocial Leave a comment

Original article by Nick Evans
The Australian – Page: 15 & 18 : 17-Jul-24

Rio Tinto has advised that the Simandou iron ore project has received final approval from the Guinean and Chinese governments. Rio Tinto is investing $US6.2bn in the development of mine, port and rail infrastructure at the Simandou project, while its share of annual production will be about 27 million tonnes. Meanwhile, Rio Tinto has indicated that a Pilbara iron ore train derailment in May affected shipments and production during the June quarter; the company shipped 158.3 million tonnes of iron ore in the first half of 2024, which will require a big increase in the second half to meet its full-year guidance of 323 to 338 million tonnes.

CORPORATES
RIO TINTO LIMITED – ASX RIO

Doubts about Fortescue’s Simandou bid

roymorgansocial Leave a comment

Original article by Nick Evans
The Australian – Page: 21 : 9-Oct-19

Lyndon Fagan of JP Morgan has expressed reservations about Fortescue Metals Group’s bid for blocks 1 and 2 of the Simandou iron ore project in Guinea. He says a successful bid may not be welcomed by shareholders, given the sovereign risks associated with the West African nation. He adds that given Simandou’s high-grade iron ore and the fact that it is likely to be developed, Fortescue may be taking the view that it is better to participate in a project that will compete with Fortescue’s own Pilbara operations.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, JP MORGAN AUSTRALIA LIMITED, MORGAN STANLEY AUSTRALIA LIMITED

Rio Tinto’s Simandou dream evaporates

roymorgansocial Leave a comment

Original article by Amanda Saunders
The Australian Financial Review – Page: 17 : 15-Feb-16

The Simandou iron ore project in Guinea has a book value of $US10bn on Rio Tinto’s accounts, although it is worth less than this given the current price of the steel input. Rio’s 2015-16 full-year results included a $US2bn writedown on the project, which is likely to cost about $US20bn ($A28bn) to develop. While Rio Tinto is scheduled to release a feasibility study on the project, some analysts do not expect Simandou to proceed for at least a decade.

CORPORATES
RIO TINTO LIMITED – ASX RIO, DEUTSCHE BANK AG, CREDIT SUISSE (AUSTRALIA) LIMITED, ARGO INVESTMENTS LIMITED – ASX ARG, STANDARD AND POOR’S CORPORATION, VALE SA, WORLD BANK, INTERNATIONAL FINANCE CORPORATION