Rio Sees ‘Fuel Left’ in China’s Growth After Iron Ore Windfall
- No. 2 miner wins higher profits, extends returns on prices
- Producer books $800 million impariment on key Mongolia project
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Rio Tinto Group sees prospects for a controlled slowdown in China, the top commodities consumer, as the No. 2 miner shared an earnings windfall from iron ore’s price surge to extend a run of bumper returns to investors.
“China is slowing down, but it is totally controlled and they have lots of ways to maintain it,” Chief Executive Officer Jean-Sebastien Jacques told reporters Thursday on a conference call. A June meeting in China with Premier Li Keqiang and other business leaders had offered reassurance on the outlook and “gives me confidence there is lots of fuel in the tank,” he said.