This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
Rio Tinto will develop its most technologically advanced mine, with the full approval of a $2.6 billion (A$3.5 billion) investment in the Koodaideri iron ore mine.
Rio Tinto chief executive J-S Jacques says Koodaideri is a game-changer for Rio Tinto.
“It will be the most technologically advanced mine we have ever built and sets a new benchmark for the industry in terms of the adoption of automation and the use of data to enhance safety and productivity.
“As we pursue our value over volume approach, targeted high-quality investments such as Koodaideri will ensure we continue to deliver value for our shareholders and Australians.” Mr Jacques said.
The $3.5 billion-dollar project will begin in 2019, with first production beginning in 2021. The technologically advanced mine, Koodaideri will create an epi-centre for Rio Tinto’s world-class iron ore business, incorporating a processing plant and infrastructure including a 166-kilometre rail line connecting the mine to the existing network.
The mine will have annual capacity of 43 million tonnes and will replace depleted capacity elsewhere.
Rio Tinto expects production across 19 sites will create $20.3 billion in value and $20.3billion in exports.
Technologically advanced mining
Koodaideri will feature technology-fist mining, using autonomous trucks, trains and drills, and also implementing systems that connect all components Rio Tinto’s mining value chain.
The development will consolidate everything Rio Tinto has learned from its studies into finding advanced ways to extract minerals, while reducing environmental impacts and improving safety.
Being dubbed the ‘the mine of the future’ Koodaideri has more than 70 innovative approaches to mining including:
• a digital replica of the processing plant, accessible in real time by workers in the field;
• fully integrated mine automation and simulation systems;
• advanced automation including an automated workshop, and;
• numerous data analytics capabilities and control loops to optimise production and reduce downtime.
The development remains subject to final Western Australian government approval.
.jpg)
