Rio Tinto will invest US$1.9 billion to develop the Kangwinan bauxite project on Western Cape York Peninsula in Queensland, the company has confirmed. The decision secures the long-term future of its Weipa Operations and the feed supply to its international customers and Australian alumina refineries (plants that convert bauxite into alumina, the precursor to aluminium).

The brownfield investment (an expansion of an existing industrial site rather than a new one) will add 20 million tonnes per year of bauxite production capacity at Weipa. First output is targeted in 2029, with full production expected by 2032, according to the company's announcement.

What does the investment change for Weipa?

Kangwinan will replace production from the Andoom mine near Weipa, which reaches the end of its life this decade. Annual capacity at Weipa Operations will rise to approximately 44 million tonnes, from current production of around 38 million tonnes per year. The project will also help compensate for the planned end of production at the Gove mine in the Northern Territory in 2029.

Early works at Kangwinan began in 2025. The project will establish a new bauxite production centre 15 km south-east of Rio Tinto's Amrun mine, which sits 40 km south of the town of Weipa. A 15 km conveyor will move ore from Kangwinan to expanded stockyard facilities and the existing Amrun wharf.

The wharf will be enlarged to accommodate larger capesize vessels (bulk carriers too large for the Panama and Suez canals), improving supply-chain efficiency and reducing freight costs.

How significant is the project for Queensland?

Rio Tinto Aluminium & Lithium Chief Executive Jérôme Pécresse called the project a landmark commitment for the state. "The project represents the most significant new mining investment in Queensland in recent years and is a sign of Rio Tinto's long-term commitment to its bauxite business, the State, and our integrated mine-to-metal aluminium value chain," Pécresse said.

He framed the decision as broader than tonnage. "Kangwinan is a strong vote of confidence in Weipa, in the quality of its bauxite, the capability of its workforce, and the future of the communities and businesses closely connected to our operations," he said.

Construction will ramp up in 2027 and is expected to support more than 1,300 construction jobs. Over the longer term, the project will help sustain Rio Tinto's residentially based workforce of around 1,500 people in the Western Cape.

Pécresse said the investment would support jobs, create opportunities for local and regional businesses, and help the company continue supplying customers with high-quality bauxite "they have relied on for decades." He also pointed to the company's six decades of operating history in Western Cape York and its relationships with Traditional Owners and local communities.

What comes after Kangwinan?

The investment sits alongside a second, adjacent deal. Last month, Rio Tinto agreed to acquire the Aurukun Bauxite Project from current owners Glencore (70 per cent) and Mitsubishi (30 per cent), subject to government approvals. The acquisition is intended to support long-term growth plans in Western Cape York by using existing and planned infrastructure.

Taken together, the combined Amrun, Kangwinan and Aurukun operations are expected to support Weipa Operations well beyond the middle of this century, according to the company.

Pécresse signalled that community partnership remains central to the execution plan. "Cultivating and expanding that ongoing partnership will be critical to the long-term success of our operations," he said, adding that Rio Tinto would "keep listening and working together to create lasting value for Western Cape York, while respecting the connection Traditional Owners have to Country."

The company said the project reflects continued application of its disciplined capital allocation framework and leverages its project execution capability. Kangwinan sustains Rio Tinto's position as one of the world's leading producers of high-quality bauxite and underlines its continued commitment to mining in Australia.