
Rio Tinto and Hancock Prospecting have announced a joint investment of $1.6bn to advance the Hope Downs 2 iron ore project in the Pilbara region of Western Australia.
The project development involves mining the Hope Downs 2 and Bedded Hilltop deposits, with all required approvals from state and federal governments now secured.
Hope Downs 2 will establish two above-water-table iron ore pits, collectively offering an annual production capacity of 31 million tonnes, ensuring continued output from the Hope Downs joint venture.
Rio Tinto has collaborated with the Nyiyaparli, Banjima, and Ngarlawangga Peoples alongside government entities to responsibly manage heritage and environmental considerations for the project.
Hope Downs 2 forms part of a 50:50 joint venture between Rio Tinto and Hancock Prospecting, which was initiated in 2006, drawing on a partnership history dating back to the early 1960s. The venture has previously seen successful operations at Hope Downs 1, which began production in 2007, and Hope Downs 4, which delivered its first ore in 2013.
Rio Tinto iron ore chief executive Simon Trott said: “Approval of Hope Downs 2 is a key milestone for Rio Tinto, as we invest in the next generation of iron ore mines in the Pilbara.
“These projects are part of our strategy to continue investing in Australian iron ore and to sustain Pilbara production for decades to come, supporting jobs, local businesses and the state and national economies.
“The Pilbara has been critical to global steel supply for more than 60 years, and we are committed to ensuring it remains so well into the future.”
The capital outlay for the Hope Downs 2 iron ore project is accounted for within Rio Tinto’s replacement capital framework. The development plan includes constructing new infrastructure precincts, railway crossings, haul roads, and adjusting a 6km segment of the Great Northern Highway.
Ore from the new sites will be processed at Hope Downs 1 facilities, with first production anticipated in 2027. The construction phase is expected to generate over 950 jobs, while ongoing operations will sustain approximately 1,000 full-time roles within Greater Hope Downs.
In addition to mining activities, the proposal encompasses a strategic realignment of part of the Great Northern Highway to facilitate mineral access. Located near Newman, on traditional lands of the Nyiyaparli, Ngarlawangga, and Banjima Peoples, Hope Downs 2 will be integrated into Rio Tinto’s portfolio of replacement projects aimed at supporting long-term commitments in the Pilbara.
Between 2025 and 2027, Rio Tinto plans to allocate over $13bn towards new mines, plant installations, and equipment enhancements within its Pilbara iron ore division. This initiative aligns with ongoing efforts to maintain system capacity between 345 to 360 million tonnes per annum, supported by a pre-feasibility study on Rhodes Ridge, an undeveloped iron ore deposit in the Pilbara region.