Mitsui and Rio Tinto are Expanding Rhodes Ridge Iron Ore Project in Australia
In a landmark move set to reshape Australia’s iron ore landscape, Japanese conglomerate Mitsui & Co. has struck a deal to acquire a 40% stake in the Rhodes Ridge Joint Venture (RRJV) in Western Australia’s Pilbara region.
This acquisition signals a significant commitment from Mitsui, strengthening its foothold in one of the world’s most resource-rich mining regions.
Details of the Acquisition
Mitsui’s entry into RRJV consists of two critical transactions.
The company has agreed to acquire:
- A 25% interest from VOC Group Limited (VOCG)
- A further 15% stake from AMB Holdings Pty Ltd, via a heads of agreement (HOA)
Both deals remain subject to regulatory approvals and customary closing conditions.
Once finalised, the ownership structure of the RRJV will comprise:
- Rio Tinto – 50%
- Mitsui & Co. – 40%
- AMB Holdings – 10%
Rio Tinto, which has been operating in the region for decades, has welcomed Mitsui to the joint venture and looks forward to advancing the Rhodes Ridge project with their long-time partner from the Robe River Joint Venture.
Rhodes Ridge: A Game-Changer for Iron Ore Production
Located approximately 40 kilometres northwest of Newman, the Rhodes Ridge project is one of the largest untapped iron ore deposits globally. The site boasts a resource base of 6.8 billion tonnes, with an average iron content of 61.6%—a composition that places it among the highest-quality iron ore reserves in the Pilbara.
A pre-feasibility study for the project is expected to be completed by the end of the year, with a full feasibility study to follow. If all goes to plan, first ore from Rhodes Ridge is anticipated by 2030.
Leveraging Infrastructure for Future Growth
One of the key advantages of the Rhodes Ridge development is its access to Rio Tinto’s established rail, port, and power infrastructure. Utilising existing logistics networks will ensure:
- Efficient transport of iron ore to global markets
- Reduced capital expenditure on new infrastructure
- Faster project execution compared to a greenfield development
This strategic integration into existing systems positions Rhodes Ridge as a cost-effective and scalable operation for decades to come.
Mitsui’s Expanding Role in Pilbara’s Mining Sector
Mitsui & Co. has been a long-standing player in Western Australia’s iron ore sector, primarily through its partnership in the Robe River Joint Venture. The Robe Valley operations, near Pannawonica, date back to 1972 and are jointly owned by:
- Rio Tinto (53%)
- Mitsui Iron Ore Development (33%)
- Nippon Steel (14%)
By extending its interests to Rhodes Ridge, Mitsui strengthens its position in the Pilbara and reinforces its commitment to securing long-term iron ore supply chains for Japan’s steel industry.
Economic and Market Implications
Mitsui’s investment in Rhodes Ridge comes at a crucial time for the iron ore industry. As demand for high-grade iron ore surges—driven by China’s green steel ambitions and the global push for low-emission steelmaking technologies—projects like Rhodes Ridge are poised to play a vital role in the market.
Additionally, the venture enhances Australia’s standing as a global iron ore powerhouse, reinforcing trade partnerships and economic ties with Japan.
Environmental and Regulatory Considerations
Mining developments in Western Australia must meet stringent environmental and Indigenous land rights regulations. Rio Tinto and Mitsui have committed to engaging with the region’s Traditional Owners to ensure that the project aligns with local cultural and environmental priorities.
This proactive approach will be key in securing regulatory approvals and maintaining sustainable mining operations in the area.
A Bright Future for Rhodes Ridge
With Mitsui on board, the Rhodes Ridge project is set to become a cornerstone of future iron ore production in the Pilbara.
Leveraging its vast resource base, existing infrastructure, and strategic partnerships, the joint venture is well-positioned to meet the growing global demand for premium iron ore.
