The mining company Rio Tinto Group $RIO (-1,12%) has abandoned its plans for a capital increase of up to 5 billion US dollars. Bloomberg reports, citing people familiar with the situation, that this was due to resistance from investors. The Group had recently floated the idea of a share issue in talks with investors following the publication of its financial results. The additional funds would have been used to finance the USD 6.7 billion takeover of Arcadium Lithium Plc and to rebalance the shareholder structure between British and Australian investors.

CEO Jakob Stausholm had raised the possibility of raising capital to realign the share register last month, but emphasized that no final decision had yet been made. The withdrawal from these plans came after considerable resistance from investors in recent discussions. A key factor in this was that the company did not see the capital increase as a financial necessity.

The proposed capital measure could also have increased liquidity among Australian shareholders. Currently, the company's share register is heavily weighted towards London, where around three quarters of its shares are listed.

An activist investor has called on Rio Tinto to convert its dual listing into an Australian-based holding company. The group rejected this proposal, arguing that such a restructuring would cost billions and bring no significant benefits. Despite this rejection, shareholders will have the opportunity to vote on the proposal at the upcoming Annual General Meetings in the UK and Australia.

Rio Tinto $RIO (-1,12%) has completed its acquisition of Arcadium Lithium plc $ALTM (+0%) for USD 6.7 billion after the Royal Court of Jersey approved the Scheme of Arrangement on March 5.

Rio Tinto is now the ultimate parent company of Arcadium Lithium, which becomes Rio Tinto Lithium and also includes the Rincon Lithium Project.

The acquisition will make Rio Tinto a global leader in materials for the energy transition and a major lithium producer with one of the largest lithium resources in the world.

Rio Tinto Lithium aims to increase the capacity of its Tier 1 plants to over 200 thousand tons of lithium carbonate equivalent (LCE) per year by 2028. Complementary technologies and geographies offer compelling value driven by accelerating volume growth in a growing market and are expected to deliver significantly higher EBITDA and operating cash flow in the coming years.

Rio Tinto CEO Jakob Stausholm said: "We are very pleased to welcome Arcadium's employees to Rio Tinto. Together we are accelerating our efforts to source, mine and produce the minerals needed for the energy transition. By combining Rio Tinto's scale, financial strength, operational and project development experience with Arcadium's Tier 1 assets, technical and commercial capabilities, we are creating a world-class lithium business that sits alongside our leading iron ore, aluminum and copper operations.

"We believe we are well positioned to deliver the materials needed for the energy transition while focusing on respecting local communities, minimizing environmental impact and creating value for shareholders and other stakeholders."

Arcadium Lithium shareholders will receive a total cash payment of $5.85 for each share held on the closing date. Rio Tinto will finance the acquisition by utilizing its existing bridge loan facility, which it intends to replace with long-term debt financing.

In connection with the closing of the transaction, the shares of Arcadium Lithium and the CHESS Depositary Receipts (CDIs) will be delisted from the New York Stock Exchange (NYSE) and the Australian Securities Exchange (ASX), respectively.

Mining giant Rio Tinto has today issued updated notices for its 2025 Annual General Meetings (AGMs) for both Rio Tinto plc $RIO (-1,12%) and for Rio Tinto Limited $RIO (-0,51%) have been published. The revised notices include a resolution requested by certain shareholders which will now be voted on jointly by shareholders of both businesses.

The resolution in question, identified as Resolution 21, has been added to the Rio Tinto Limited Notice to make it the same as the corresponding item in the Rio Tinto plc Notice. This makes it a joint resolution matter. This adjustment demonstrates how the Company is responding to shareholder demands and adopting a consistent approach to the voting process across both businesses.

All other agenda items for the meetings remain unchanged from the previous invitations dated 19.02.2025. The AGMs are scheduled for 03.04.2025 in London (Rio Tinto plc) and 01.05.2025 in Perth (Rio Tinto Limited). Shareholders can choose to attend the meetings in person or join virtually.

The updated invitations and proxy forms are now available on the company's website and have been submitted to the Australian Securities Exchange (ASX). In addition, the invitation for Rio Tinto plc will be lodged with the UK National Storage Mechanism.

This announcement underlines Rio Tinto's commitment to transparency and active shareholder engagement. It also emphasizes the importance of shareholder involvement in company decisions.

The update is part of regular corporate communications and is based on a Rio Tinto press release. This will ensure that all shareholders are aware of the latest developments regarding the forthcoming AGMs.

Rio Tinto $RIO (-1,12%) announced today that it has successfully completed the group's first biofuel trial across its network of ports, railroads and mines in Western Australia as it seeks to decarbonize its iron ore operations.

The trial, which ran for four weeks from January to February, was conducted in partnership with Finnish renewable diesel producer Neste $NESTE (-0,11%) and Australian fuel supplier Viva Energy.

For the trial, Neste provided 10 million liters of renewable diesel made from used cooking oil. The fuel was transported by Viva Energy from Singapore to the Parker Point fuel depot in Dampier and blended with fossil diesel at the port to produce a blend of around 20% renewable diesel. It was then distributed to Rio Tinto's iron ore operations in the Pilbara for use in rail, marine, blasting, transportation vehicles, surface mining equipment and light vehicles.

The trial provided an understanding of how the use of renewable diesel could be scaled up in Rio Tinto's Australian operations in the future and provided key insights into the bulk renewable diesel supply chain, import and blending processes, Rio said.

The trial also reduced Rio Tinto's Scope 1 emissions by approximately 27,000 tons of direct greenhouse gas emissions, equivalent to the tailpipe emissions of 6,300 cars in one year, the company added.

"Diesel accounts for around 70% of total carbon emissions from our iron ore operations in the Pilbara. While electrification is the ultimate longer-term solution for repowering the majority of our fleet, we are also investigating biofuels as a complementary and short-term solution," Richard Cohen, Rio Tinto's managing director of rail, port and core services, said in a press release.

"Through this trial with Neste and Viva Energy, we have gained valuable insight into how renewable diesel can help bridge the gap to widespread electrification, and also for situations where electrification is not suitable," Cohen said.

Rio Tinto is actively exploring the potential of biofuels as part of its ongoing efforts to meet its Scope 1 and 2 emissions reduction targets of 50% by 2030 and net zero by 2050. This trial builds on the successful transition at the Boron and Kennecott operations in the US, where 11% of total fossil diesel consumption has been replaced with renewable diesel.

The world's largest iron ore producer is also developing a pongamia seed farm in North Queensland as part of a biofuel pilot project to help grow Australia's biofuel industry.

Palliser Capital has published a letter to the Board of Rio Tinto $RIO (-1,12%)
$RIO (-0,51%) seeking an independent, comprehensive and transparent review of the Board's anomalous decision to retain the dual listed company ("DLC") structure.

The letter questions the Board's mindless decision to reject the shareholder resolution co-promoted by Palliser calling for such a review, despite the process called for being entirely in line with best practice for a matter of such critical importance.

Worse still, Palliser notes that the Board has gone so far as to deliberately omit the resolution from Rio Tinto Limited's Annual General Meeting:

"23% of Rio Tinto shareholders were prevented from voting on the simple question of whether Rio Tinto's decision to retain its archaic structure requires a full and proper review"

Palliser calls on the Board to bring the resolution it has co-sponsored to Rio Tinto Limited's Annual General Meeting without delay and to apply the principles of transparency, accountability and fairness to the unification debate.

The mining group Rio Tinto $RIO (-1,12%) has contingency plans in place in the event that US President Donald Trump's proposed 25 percent tariff on aluminum imports is implemented. CEO Jakob Stausholm said that Rio Tinto has not yet diverted any aluminum sales. The company is currently still waiting to see whether Trump withdraws his threat to introduce the tariffs from next month.

Of course, management wouldn't do the job if they didn't know the alternative, the manager said, referring to potential markets for aluminum. Rio Tinto generates around 17 percent of its revenue from sales to the US. Stausholm is in Washington this week to meet with senators, congressmen and members of the government and to take part in a meeting of the CEOs of the Business Council. The CEO wants to better understand the goals of the Trump administration.

The US is the world's number one importer of aluminum, which is used to build cars and trucks, for example. According to analysts at Goldman Sachs, the USA imports around 85 percent of the so-called primary aluminum it needs - i.e. aluminum that has not been recycled. Around 70 percent of this aluminum comes from Canada. As one of the world's largest producers of aluminum and iron ore as a steel component, Rio Tinto could be the most affected by Trump's tariff plans among the world's mining companies. Rio Tinto accounts for around half of Canadian aluminum sales to the USA. The company also supplies aluminum from Australia to the US, according to Goldman analysts.

Stausholm explained that Rio Tinto has options to sell its aluminum to markets outside the U.S., such as Europe, if necessary. American buyers may have to import more aluminum from countries such as China and the Middle East if the Canadian metal becomes too expensive. "At the end of the day, it's the customer who pays the tariffs," he added.

Rio Tinto $RIO (-1,12%) announced that Mitsui & Co. $8031 (+2,24%) has agreed to acquire a 40% interest (approximately USD 5.3 billion) in the Rhodes Ridge Joint Venture from Rio Tinto's partners.

Mitsui & Co. has agreed to acquire VOC Group Limited's entire 25% interest in the joint venture.

Separately, Mitsui & Co. has signed a letter of intent to acquire a further 15% interest in the RRJV from AMB Holdings Pty Ltd.

Mitsui & Co. and Rio Tinto have long been partners in the Robe River Joint Venture.

Rio Tinto's 50% interest in the Rhodes Ridge Joint Venture and the terms of the joint venture agreements remain unchanged.

Under the terms of the agreement, AMB Holdings Pty Ltd will retain a 10% interest in the Rhodes Ridge Joint Venture.

A pre-feasibility study aimed at advancing the Rhodes Ridge development is expected to be completed later this year, followed by a feasibility study. The project will utilize Rio Tinto's rail, port and power infrastructure.

Rio Tinto $RIO (-1,12%) today reports robust financial results with adjusted EBITDA of USD 23.3 billion despite an 11% lower iron ore price. In addition, higher net cash flow from operating activities of USD 15.6 billion, driven by portfolio mix and effective working capital management.

An ordinary dividend for the full year of USD 6.5 billion, corresponding to a payout of 60%, has also been announced.

• Net cash (million$) 15,599 (15,160) +3 %

• Sales revenue (million$) 53,658 (54,041) -1%

• EBITDA (m$) 23,314 (23,892) -2%

• Net earnings (Mio$) 11,552 (10,058) +15%

• EPS (US cents) 669.5 (725.0) -8%

• Dividend p. S. (US cents) 402.0 (435.0) -8%

• ROCE 18% (20%) -2%

• Net debt (Mio$) 5,491 (4,231) +30%

Rio Tinto Chief Executive Jakob Stausholm said: "We continue to build on our momentum with another set of strong operational and financial results. With adjusted EBITDA of $23.3 billion and operating cash flow of $15.6 billion, we are increasing our investment to underpin our plans for a decade of profitable growth. We report an adjusted profit of USD 10.9 billion, after taxes and government levies of USD 8.2 billion and a healthy return on capital of 18 %. Our strong balance sheet enables us to pay a decent dividend of USD 6.5 billion, maintaining our 60% payout policy and remaining at the top end of our payout range for the ninth consecutive year as we continue to invest with discipline."

"We look forward to 2025 with all the building blocks in place for an incredibly successful, diversified and growing company, including the expected closing of the Arcadium acquisition in March. We will remain disciplined in the short, medium and long term while generating attractive returns for our shareholders."

https://www.riotinto.com/en/invest/financial-news-performance/results

The Rio Tinto share $RIO (-1,12%) is in the spotlight as the mining group prepares for possible aluminum tariffs of 25 percent. CEO Jakob Stausholm is currently waiting to see whether US President Donald Trump actually carries out his threat. So far, Rio Tinto has not yet diverted any aluminum sales - so the situation remains exciting!

But what does this mean for investors? Around 17 percent of Rio Tinto's revenue comes from the USA, one of the largest aluminum importers in the world. Around 70 percent of the primary aluminum required comes from Canada, which makes the tariffs particularly explosive.

How do you assess the situation? Do you think the tariffs will go ahead or will Trump cave in again? 🤔 Discuss with us!

Rio Tinto Ltd. $RIO (-1,12%) has reduced its dividend for the past year. 📉 The reason for this is the lower iron ore prices, which reduced the adjusted profit by 7.6 percent to 10.9 billion dollars. Despite a net profit of 11.5 billion dollars, up 15 percent, shareholders now have to live with a final dividend of 2.25 dollars per share. That is a total of 4.02 dollars for the year - a fall from 4.35 dollars in the previous year.

How about it, are dividends a decisive factor for you when selecting shares? 🤔 Or do you look more at the growth potential? Rio Tinto shows that even large companies can be affected by market fluctuations.

What do you think? Is the dividend cut a reason to sell the share or are you staying calm? Let's discuss it!