Rio Tinto bauxite expansion in Queensland secures long-term supply

Rio Tinto, Australia

Rio Tinto bauxite expansion in Queensland will extend Weipa’s life and bolster global alumina supply. The miner approved a $180mn Norman Creek access project that unlocks near-mine reserves and supports Amrun’s 22.8mn t/yr operation. As a result, the Rio Tinto bauxite expansion in Queensland strengthens security for smelters and refiners.

Norman Creek opens a new mining area from 2027

Rio Tinto will build a 19km haul road, camp accommodation, and a communications tower. The Norman Creek area holds about half of Amrun’s 978mn t of declared ore reserves. Production will start in 2027, with full construction finishing in 2028. Therefore, Amrun can sustain output at or above nameplate rates for years.

Kangwinan project aims to replace closing capacity

The company will decide on the 20mn t/yr Kangwinan mine in 2025. If approved, Kangwinan would start producing in 2029. It would replace volumes from the 13mn t/yr Gove mine and Andoom, which are nearing closure. Meanwhile, Amrun delivered above-nameplate output in April–June, supporting near-term shipments.

The Rio Tinto bauxite expansion in Queensland improves supply chain resilience. It supports alumina refineries in Asia and the Middle East. It also aligns with OEM demand for low-risk raw materials. Furthermore, concentrated logistics near Weipa reduce unit costs and carbon intensity per tonne hauled.

Miners and buyers should watch contract tenors and index linkages. New supply can pressure delivered premiums, especially into China. However, replacement of legacy mines will limit net global surplus. Therefore, long-term contracts may still price in freight and quality advantages.

The Metalnomist Commentary

Rio Tinto bauxite expansion in Queensland signals disciplined, replacement-led growth. Norman Creek and Kangwinan shift the portfolio toward lower-risk, infrastructure-adjacent ore. Expect stronger negotiating leverage on multi-year offtakes as Gove and Andoom wind down.