London, June 13, 2026, 19:07 (PKT)
- Rio Tinto PLC gained 2.90% to close at 7,814p on Friday, beating the FTSE 100’s 1.63% rise.
- Rio Tinto and China Baowu ran industrial-scale tests with Pilbara Blend ore in a hydrogen-based direct reduction process, which could help back Rio’s iron ore business longer term.
- Rio Tinto’s 2026 Second Quarter Operations Review is set for July 15, ahead of its half-year results on July 29.
Rio Tinto PLC shares climbed Friday as mining stocks drew buyers and new company news suggested support for its main profit driver, Pilbara iron ore. The stock finished up 2.90% at 7,814p in London trading. The FTSE 100 added 1.63%. Rio Tinto remains 14.29% off its 52-week peak of 9,117p touched May 27, MarketWatch reported.
Rio Tinto and China Baowu wrapped up large-scale pelletisation and furnace trials using Pilbara Blend iron ore in China. The companies said they tested Rio’s ore for producing direct reduced iron, or DRI, for steelmaking. DRI, which can swap hydrogen for coal in the process, was produced with pellets made up of a third Pilbara Blend ore at Baowu’s Zhanjiang site. The material then went through a basic oxygen furnace at industrial scale and a test in a small electric smelting furnace.
Rio’s share price is in focus since most of its Pilbara ore is mid-grade, while steel decarbonisation efforts have often boosted demand for higher-grade ore. Being able to run mid-grade Pilbara Blend in lower-emission processes could help Rio hold onto demand as the sector looks to cut carbon. Vice President for Iron Ore Sales and Marketing Ramona Sim at Rio Tinto called the trials “an important technical milestone” and said they show Pilbara ore can fit into lower-carbon steel production. Rio Tinto
Commodity sentiment gave short-term support. Reuters said Friday Canada’s materials group climbed 3.1% as copper prices jumped and hopes for a Middle East peace deal boosted global mood. This matters for Rio, which leads in iron ore and has growing copper exposure, including the Oyu Tolgoi project.
Rio’s story for bulls is still about iron ore bringing in cash, with copper, aluminium, and lithium adding some growth. In its Q1 update, Rio reported copper-equivalent production up 9% year over year. The copper-equivalent (CuEq) number converts commodities to a copper value using long-term pricing. Pilbara iron ore output climbed 13% on the year, with sales up 2%. Copper production grew 9% to 229,000 tonnes. Guidance for 2026 stayed the same across the main products.
Rio Tinto still faces big risk from China’s steel demand. Reuters reported iron ore held near $105 a tonne on the Singapore exchange in 2026, but pointed out official data showed China’s May iron ore imports dropped 6% from April. Steel production fell 4.1% over the first four months. Inventories at Chinese ports were up 21% from a year ago in early June. All of this signals that even if Rio boosts production, earnings might not see a lift if China’s iron ore market slows or prices dip.
Rio Tinto’s valuation is looking more balanced than cheap. Investors Chronicle data puts the median 12-month price target from 20 analysts at 7,576.34p. That’s just under Friday’s 7,814p close. Price targets are estimates, not guarantees, of future trading levels. So after the rally, shares look fairly valued. Any further upside likely relies on copper, progress on guidance, and whether low-carbon steel production can keep Pilbara ore in demand.
Next up for Rio Tinto is the 2026 Second Quarter Operations Review, slated for July 15, with half-year results set for July 29, according to the company’s financial calendar. Investors are focused on the recovery of Pilbara shipments after recent cyclones, copper output growth, and whether full-year guidance stays steady. Main external issues are commodity prices and demand from China.
