Rio Tinto

Ticker RIO

Today's data summary

Market closed
% change
+1.50%
Price Pence
3794.00
Change
+56.00
As of 17:03 17 Oct 2018
Market cap. Pound sterling
49,437.90 million
As of 17:03 17 Oct 2018

Latest updates

Rio Tinto and partners invest $1.6bn in iron ore projects

Mining equipment at work at an iron ore mine in the Pilbara region
Getty

Rio Tinto and its Japanese joint venture partners will spend around $1.6bn (£1.2bn) on two iron ore projects in Western Australia.

The investment, made with Mitsui & Co and Nippon Steel & Sumitomo Metal, will help sustain production capacity at the projects in the mineral-rich Pilbara region.

It comes as the British-Australian mining firm sells off its coal assets and turns to focus on core commodities, including iron-ore.

FTSE 100 drops on commodity price falls

The FTSE 100, the blue chip stock index, has reversed earlier gains and is now trading down 0.77% at 7,553.35.

Connor Campbell, financial analyst at Spreadex, says: "The FTSE was crushed under the weight of its sizeable commodity stocks on Wednesday, plunging towards 7,550 as chaos spread throughout the sector.

Trucks loading copper ore
Getty Images

"With Brent Crude falling under $72 per barrel after slipping 1%, gold sliding to $1,192 an ounce and copper sinking around 2.5% to hit a fresh 13 month low, the FTSE’s oil and mining firms were not in a good way.

"BP and Shell both slipped 0.7%, the likes of Rio Tinto, Anglo American and Antofagasta were down anywhere between 2.5% and 4%, and Fresnillo shed 5.5%.

"All this led to the UK index itself dropping 70 points, testing intraday lows last seen at the start of the month."

FTSE slides; Next extends fall

London Stock Exchange
Getty Images

The FTSE 100 is down 1% at 7,665.93.

Next's shares have extended earlier falls and are now down 6.7% at £55.37.

The retailer is followed by the mining group Rio Tinto, whose share price is down 4% at £40.25.

Rio Tinto reported underlying profits up 12% over the interim period but at $4.42bn, income was below forecasts of $4.53bn.

Packaging specialist Smurfit Kappa led the FTSE 100 risers, up 2.1% at £31.99 after reporting strong first half results.

The FTSE 250 is down 0.35% at 20,805.11.

Miners lead share price risers

Mining
Getty Images

Superdry and Drax are the biggest fallers on the FTSE 250 so far this morning, down 7.5% and 5.6% respectively.

Mining groups dominated the risers, led by gold specialist Centamin which is ahead 2.8% at 121.8p.

It was the same on the FTSE 100 where Rio Tinto's share price gained the most, up 1.6% at £41.28.

On the fallers, BP led the way, down 0.8% at 561.9p.

Overall, the FTSE 100 has trimmed early gains and is now up 0.08% at 7,661.76.

The FTSE 250 is ahead 0.23% at 20,818.44.

Rio Tinto sells copper mine stake

Copper mine
Getty Images

Rio Tinto has agreed to sell its stake in the Grasberg copper mine in Indonesia to the country's state-owned firm Inalum for $3.5bn.

Rio Tinto's share price rose 0.5% to £40.42.

Rio Tinto's annual profit soars

A iron ore mine in Western Australia
Getty Images

Global mining firm Rio Tinto has posted a massive jump in annual profit thanks to rising commodity prices.

Underlying earnings for 2017 hit $8.6bn (£6.2bn), up from $5.1bn a year earlier and broadly in line with analyst expectations.

Strong demand for materials including iron ore and coal boosted profits at the British-Australian giant.

It had more good news for shareholders, announcing a record full-year dividend of $2.90 per share, and a $1bn share buyback.

Rio Tinto slips on wet weather

Large mining truck
Reuters

Mining giant Rio Tinto has revealed a 3% fall in first quarter iron-ore production from a year ago, due to wet weather at its mines.

But the firm is keeping its full-year guidance intact, despite weakening ore prices. Iron ore prices dropped by more than 33% since hitting a peak of $94.86/tonne in mid-February.

Rio also reported a 37% decline in copper output during the first quarter, due to a strike in Chile. That was at the Escondida mine where Rio has a 30% interest.