Rio Tinto (LSE:RIO) reported a 3 percent increase in copper equivalent production during the first half of 2026, supported by record first-half iron ore production from its Pilbara operations since 2018, higher copper output and continued growth in lithium production. The company maintained its production and sales guidance across its major commodities while lowering its copper C1 net unit cost forecast following stronger gold prices and improved operating efficiency.
Higher production supports lower copper costs
Copper production at the Oyu Tolgoi mine increased 31 percent compared with the same period last year, while lithium production rose 53 percent. Aluminium operations also delivered resilient performance, contributing to overall production growth across the group.
Rio Tinto said stronger by-product gold prices and ongoing productivity improvements enabled it to reduce its guidance for copper C1 net unit costs, supporting margins despite broader cost pressures across the mining sector.
Simandou development reaches key milestone
The company reported continued progress at its Simandou iron ore project in Guinea, with construction of the mine and port now more than three quarters complete. Full rail commissioning has also been achieved, marking another important milestone as the project moves towards production.
Exploration and evaluation spending increased to 480 million dollars during the first half, with much of the investment directed towards expanding the company’s copper portfolio.
Cash flow affected by one-off factors
Operating cash flow was impacted by a 443 million dollar tax payment in Mongolia and a working capital outflow of around 1.2 billion dollars during the period.
Despite ongoing geopolitical tensions and supply chain disruptions linked to conflict in the Middle East, Rio Tinto said its geographically diversified operations and integrated logistics network helped minimise operational disruption.
Balanced outlook supported by diversified operations
Rio Tinto continues to benefit from solid operating performance, positive technical momentum and an attractive dividend, supported by its diversified portfolio of mining assets.
Investors continue to monitor higher debt levels, weaker free cash flow conversion and softer iron ore market conditions, although these factors are partly balanced by productivity improvements, growing copper production and continued progress on major development projects.
About Rio Tinto
Rio Tinto is one of the world’s largest mining and metals companies, producing iron ore, copper, aluminium, bauxite and lithium through operations across multiple continents.
The company focuses on supplying essential industrial commodities to global markets while investing in productivity improvements and major development projects, including Simandou in Guinea and Oyu Tolgoi in Mongolia, to support long-term growth.
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