RIO rio tinto limited

(Adds CEO comment, details on quarterly output) July 17...

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    (Adds CEO comment, details on quarterly output)

    July 17 (Reuters) - Rio Tinto (RIO) on Friday reported a 1.5% rise in iron ore shipments for the second quarter and said demand for the steelmaking ingredient was improving in China as the economy recovers from the coronavirus outbreak.

    The world's largest iron ore miner shipped 86.7 million tonnes of the commodity in the quarter ended June 30, compared with 85.4 million tonnes a year earlier.

    Demand for iron ore has remained resilient this year, even in the face of an unfolding global recession, as Beijing ramps up infrastructure spending to combat the shock from the COVID-19 crisis.

    "Our iron ore assets are performing well in a strong pricing environment and we are on track to meet our 2020 iron ore guidance," Chief Executive Officer Jean-Sébastien Jacques said.

    Iron ore typically accounts for more than 80% of Rio's underlying earnings.

    The miner said conditions in China had improved across the second quarter and appeared to be stabilising, with construction and infrastructure sectors performing well.

    Rio, however, cautioned that a second wave of infections remains a key threat for advanced economies.

    The global miner reported a 3% drop in quarterly production of mined copper, while iron ore output stood at 83.2 million tonnes, 4% higher from a year earlier.

 
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