Rio Tinto says long-term future of Boyne aluminium smelter is secured with new A$2bn deal
Rio Tinto Ltd (LSE:RIO, ASX:RIO, OTC:RTNTF) told investors that a A$2 billion funding partnership with the Queensland and Commonwealth governments will help secure the long-term future of the Boyne aluminium smelter in Gladstone, keeping the operation internationally competitive beyond its...
Rio Tinto Ltd(LSE:RIOASX:RIOOTC:RTNTF) View Price & Profile Rio Tinto says long-term future of Boyne aluminium smelter is secured with new A$2bn deal
Published: 04:01 25 Mar 2026 EDT
Rio Tinto Ltd (LSE:RIO, ASX:RIO, OTC:RTNTF) told investors that a A$2 billion funding partnership with the Queensland and Commonwealth governments will help secure the long-term future of the Boyne aluminium smelter in Gladstone, keeping the operation internationally competitive beyond its current power contract.
The 10-year deal, running to 2040, is set to support the smelter’s shift to long-term competitive power and keep aluminium production running after Boyne’s existing electricity contract ends in 2029.
Rio said the arrangement also supports manufacturing jobs in Central Queensland and forms part of the Federal Government’s Future Made in Australia initiative.
The agreement builds on power purchase agreements Rio has signed in recent years to underwrite A$7.5 billion of new renewable energy and storage in Queensland. The group has also agreed to take 40% of Lightsource bp’s Lower Wonga solar and battery hybrid project near Gympie, equivalent to 112MWac of solar capacity and about three hours of battery storage.
Rio noted that it has now contracted more than 2.8GW of new renewable power and more than 600MW of storage capacity in Queensland since January 2024. Boyne Smelters Limited, in which Rio holds a 73.5% stake, is Australia’s second-largest aluminium smelter.