London, July 2, 2026, 12:08 BST
- Rio Tinto dropped roughly 1.5% in London trading, but the UK blue-chip index added around 0.5%.
- Rio and Mongolia have set new terms for Oyu Tolgoi, but shares were still down with other miners and iron ore.
- Copper is still up about 19% from a year ago, even after giving back some gains this month. It’s holding as a longer-term support.
Rio Tinto plc (LON:RIO) slipped in Thursday London trade, trailing a strong FTSE 100. The company’s new terms on the $18 billion Oyu Tolgoi copper mine in Mongolia failed to offset softer iron ore prices and more signals of strain in China’s import market.
Shares changed hands near 6,989 pence, off 1.5%. The UK blue-chip index traded about 0.5% higher at 10,529.92. Trading Economics showed Rio’s market cap around £110.86 billion.
| London mining shares, July 2 | Price | Move | Read-through |
|---|---|---|---|
| Rio Tinto plc (LON:RIO) | 6,989p | -1.52% | Value at about £110.86 bln |
| BHP Group Ltd (LON:BHP) | 3,063p/3,065p sell/buy | -1.51% | Value puts market cap near £155.72 bln |
| Glencore plc (LON:GLEN) | 507.9p/508.1p sell/buy | -0.84% | Value posted at nearly £59.51 bln |
| Anglo American plc (LON:AAL) | 3,680p | -1.13% | Range for the day was 3,662p-3,695p |
Rio Tinto’s move in the stock stands out after the Mongolia deal cut a risk at its big copper project, but the market still looks at Rio mainly as an iron ore name. Rio and the Mongolian government will tweak Oyu Tolgoi’s shareholder loan interest rate, deal with Entrée lease issues, and speed up shareholder payouts. Rio owns 66% of Oyu Tolgoi, Mongolia has 34%.
Rio Tinto Copper Chief Executive Katie Jackson said the adjusted rate came from a “forward-looking assessment” of Oyu Tolgoi’s risk profile as the mine works toward more stable production. Rio kept its forecast for Oyu Tolgoi to hit an average of about 500,000 tonnes of copper a year between 2028 and 2036. Rio Tinto
The Financial Times said the updated deal has Rio cutting management fees by half and trimming interest on Mongolia’s loan by 2.5 points. That could ease political pressure, but investors now face less friction at the project alongside a smaller cut from fees and interest.
| Commodity driver | Latest data | Why it matters for Rio |
|---|---|---|
| Iron ore | $98.36/t July 1, down 1.84% on the day, down 6.44% in a month | Rio left 2026 Pilbara iron ore sales outlook at 323 mln to 338 mln tonnes |
| Copper | $6.08/lb July 2, down 0.65% on the day, up 19.38% from a year ago | Oyu Tolgoi is Rio’s big copper expansion plan for 2028 to 2036 |
China gave investors more to think about after Reuters said China Mineral Resources Group asked some mills to hold off on taking certain lower-grade Fortescue Ltd ASX:FMG iron ore starting July 15. The move targeted Fortescue, not Rio, but Reuters noted shares of BHP and Rio slipped over 1% while Fortescue was unchanged. The market seemed to see the news as raising bargaining risks for Australian iron ore.
Rio reported Q1 Pilbara iron ore sales up 2.4% to 72.4 million tonnes, a bit short of the 74.6 million tonnes Visible Alpha was looking for. Copper production climbed to 229,000 tonnes from 210,000 tonnes a year ago, with Oyu Tolgoi lifting the numbers.
Baden Moore, who heads resources and energy research at CLSA Australia, warned in April that Rio’s main operational risk for the second half is “jet fuel and diesel shortages.” He said diesel-powered gear and logistics could see issues if supply gets tighter. Rio’s next planned investor update is its 2026 half-year results, set for July 29. Reuters
