Rio Tinto Iron Ore in H1 2026 Hits Highest Since 2018

July 15, global mining giant Rio Tinto officially released its production and operating report for Q2 and H1 2026:

In the core Pilbara region of Australia,

production: H1 total Pilbara production was 162.3 million mt, marking the best half-year performance since the record year of 2018. The ongoing rollout of equipment efficiency improvements and logistics optimization plans across all mines helped offset short-term disruptions from cyclones and maintenance.
Shipments: Q2 global iron ore sales totaled 88.8 million mt, up 5% YoY; quarterly Pilbara sales were 85.3 million mt, surging 7% YoY and up 18% QoQ, setting a peak for quarterly shipments since 2020.

Cost side: The surge in diesel prices pushed up unit cash costs. It is estimated that for every $10/barrel increase in crude oil, Pilbara ore cash cost per mt rises by $0.15. The full-year Pilbara FOB cash cost guidance remains unchanged at $23.5–25/wmt.

The full-year sales volume target remains unchanged: global iron ore of 343–366 million mt, Pilbara at 323–338 million mt.

At the IOC iron ore operation in Canada,

affected by pit modifications and replacement of train unloading equipment, Q2 production and sales fell 31% YoY. The full-year sales guidance of 15–18 million mt remains unchanged, with Canadian wildfires continuing to be a short-term variable of disruption.

Major breakthrough at Simandou (Guinea)

Construction completion of the SimFer mine and port infrastructure at Simandou exceeded 75%, and the full railway line completed commissioning for train operations in Q1. Raw ore production at the mine steadily resumed in Q2, with total H1 shipments of 4.2 million mt, all sent to China. Key industry characteristic: Simandou ore requires three-stage crushing in China, creating a 2–3 month lag from mine output to actual sales. As of month-end June, raw ore stockpiles awaiting crushing at the mine site stood at 7.6 million mt, with total system inventory at 9.6 million mt. The concentrated release of this growth in H2 will significantly increase global supply of low-alumina, high-grade iron ore.