By Rhiannon Hoyle
Rio Tinto plans to reduce production at its Yarwun alumina refinery in Australia's Queensland state by 40% to give it more time to find a new long-term solution for the waste it produces there.
The miner will scale back output at the Yarwun refinery in Gladstone from October 2026, cutting annual alumina output by around 1.2 million metric tons and eliminating roughly 180 jobs, it said Tuesday. The refinery currently employs around 725 staff and produces about 3 million tons of alumina annually, which is fed to Rio Tinto's aluminum smelters and sold to customers globally.
At current production rates, Yarwun's tailings facility, which stores waste produced in the refining process, is expected to reach capacity by 2031, and the company hasn't yet found an alternative solution, it said. By cutting output, Rio Tinto can keep Yarwun in operation until 2035 while it explores options.
That could include "innovative tailings solutions," such as using centrifuges to produce dry tailings, the miner said.
Rio Tinto has been shipping alumina from Yarwun since 2004 and expanded the operation in 2012 to double production.
"While we have extensively explored options to develop a second tailings facility for Yarwun over a number of years, the scale of investment required is substantial and not currently economically viable," said Rio Tinto Aluminium Pacific Operations Managing Director Armando Torres.
"Reducing production from October 2026 enables us to continue alumina production until 2035 and trial pathways to secure the longer-term future of Yarwun," Torres said.
Rio Tinto said it will prioritize redeploying staff whose roles are no longer needed. There will be no impact on customer requirements or Rio Tinto's other operations, with its bauxite mines and aluminum smelters continuing to operate at full capacity, it added.
Write to Rhiannon Hoyle at rhiannon.hoyle@wsj.com
(END) Dow Jones Newswires
11-17-25 1922ET
