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Rio Tinto says it has begun progressively restarting underground operations at Mongolia’s Oyu Tolgoi mine, one day after a seismic event caused a rockfall. Three employees were injured; two remain under treatment for non-life-threatening injuries. Rio has not disclosed lost production or a timetable for completing the restart.
Rio Tinto has begun progressively restarting underground operations at Mongolia’s Oyu Tolgoi copper mine, a day after a seismic event caused a rockfall that stopped production at the operation. Three employees were injured, and two were still receiving treatment for non-life-threatening injuries, the company said Friday.
Rio said the rockfall was confined to a temporary storage zone beside the production area. The company said it completed safety reviews and found no structural impact to the underground cave or its operating infrastructure. Those findings have allowed the phased restart to begin, though Rio has not said when operations will be fully restored.
The company did not quantify lost production or provide a schedule for the restart. The incident’s effect on output, shipments or Rio’s production guidance was not specified in the report. The number of employees who were injured was three; two continued to receive treatment, while the report did not give further details about the third employee.
Oyu Tolgoi is a major contributor to Rio’s copper growth plans. The mine produced copper at an annualized rate of about 450,000 tonnes during the third quarter, according to CEO Simon Trott in an October 14 production update. Rio shares fell 1.8% to $81.76 in New York trading Friday morning, according to the report; that market movement does not establish how investors assessed the incident specifically.
Why Oyu Tolgoi’s Restart Matters
The interruption affects a mine that has become a central source of growth in Rio’s copper business. Oyu Tolgoi’s copper production rose 27% year over year in the third quarter and 29% over the first nine months, while Rio’s consolidated copper production increased only 1% over the first nine months. The contrast underscores the operation’s weight in the group’s efforts to expand copper output.
Rio had reaffirmed a target for Oyu Tolgoi’s open-pit and underground operations to average about 500,000 tonnes of recoverable copper annually from 2028 through 2036. It expects the mine to become the world’s fourth-largest copper mine by 2030. Those are company targets and expectations, not outcomes guaranteed by the current restart. A longer interruption could affect production, but Rio has not reported a quantified impact or revised its plans.
The incident also comes while the mine faces border restrictions that recently curtailed copper concentrate exports by 70%, according to the source report. The rockfall and export restrictions are separate operational challenges: the report does not say the rockfall caused the border limits or that the restart resolves them. Together, they make the mine’s operating and delivery performance relevant to Rio’s copper production and sales.
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Oyu Tolgoi’s Underground Expansion
Located in Mongolia’s South Gobi region, Oyu Tolgoi is managed by Rio Tinto, which owns 66%; the Mongolian government owns the remaining 34%. Open-pit mining began in 2011, followed by copper concentrate production in 2013. Sustainable underground production began in March 2023, opening access to the deposit’s deeper mineralization.
The underground mine uses block caving: rock is removed beneath an orebody so material fractures and collapses under its own weight, then ore is collected and transported for processing. Rio says more than 80% of the deposit’s total value lies underground. That makes the underground system central to the mine’s long-term development, while also making safety and operating continuity important to its production plans.
Rio increased its ownership from about 34% to 66% in December 2022, acquiring the remaining minority interests in Turquoise Hill Resources. The transaction consolidated Rio’s stake ahead of the start of sustainable underground production. The current restart concerns underground operations; the report does not describe a shutdown of the open pit.
“No structural impact to the cave or its operating infrastructure.”
— Rio Tinto, in a Friday statement
Production Losses and Safety Details
Rio has not stated how much production was lost, how long the underground operation was stopped, or when the restart is expected to be complete. It has not provided an updated output forecast tied to the incident. The source report also does not give details about the circumstances of the three employees’ injuries or the condition of the employee no longer described as receiving treatment.
The company reported that its safety reviews were completed and that there was no structural impact to the cave or operating infrastructure. The available information does not describe the reviews’ scope, the cause of the seismic event, or whether further monitoring or restrictions will affect the pace of the restart. It is also unclear whether Rio’s production guidance will change once the operational impact is assessed.
Monitoring the Phased Restart
The immediate next development is whether Rio can move from a progressive restart to normal underground operations. The company has not announced a completion date, so readers will need to watch for updates on operating status, employee safety and production levels.
Rio may also clarify the incident’s effect on output and whether it changes its production outlook. Until the company provides those details, the size of any production shortfall and its duration remain unknown. The mine’s performance should also be distinguished from the separate export restrictions affecting copper concentrate shipments.
Key Questions
What happened at Oyu Tolgoi?
A seismic event caused a rockfall on Thursday, stopping underground production at the Mongolian copper mine. Rio Tinto said the rockfall was confined to a temporary storage zone beside the production area and began progressively restarting underground operations the next day.
Were workers injured?
Yes. Rio said three employees were injured. Two were still receiving treatment for non-life-threatening injuries when the company reported the incident Friday. Further details about the injuries were not provided.
Was the mine’s underground structure damaged?
Rio said safety reviews found no structural impact to the cave or its operating infrastructure. The rockfall was reported in a temporary storage zone beside the production area.
When will Oyu Tolgoi return to full production?
No timetable has been announced. Rio described the restart as progressive and did not say when underground operations would be fully restored.
How much copper production was lost?
Rio did not quantify production lost during the shutdown or provide an incident-specific update to its output outlook. The financial and production effect remains unclear.
Source: northernminer.com
