Rio Tinto has announced that it will cut production at the Yarwun alumina refinery in Gladstone, Australia, by 40%, starting from October 2026. 

The move is intended to keep the site operating through 2035, providing time to assess and pursue modernisation and potential life-extension initiatives. 

At current output levels, Yarwun’s tailings storage is projected to reach capacity by 2031.  

By reducing production, the refinery gains roughly four additional years to identify and advance technical solutions that could support continued operations beyond that point. 

Rio Tinto Aluminium Pacific Operations managing director Armando Torres said: “While we have extensively explored options to develop a second tailings facility for Yarwun over a number of years, the scale of investment required is substantial and not currently economically viable. 

“Reducing production from October 2026 enables us to continue alumina production until 2035 and trial pathways to secure the longer-term future of Yarwun.” 

The production curtailment is expected to impact approximately 180 roles at the refinery. 

Rio Tinto has stated that redeployment planning is under way across its Gladstone operations. 

Alumina output at Yarwun will be reduced by around 1.2 million tonnes per annum (mtpa).  

However, the company said that there will be no impact on customer requirements and other Rio Tinto operations, with bauxite mines and aluminium smelters continuing to operate at full capacity. 

Yarwun remains a significant operation for Rio Tinto, with ongoing focus on advanced tailings solutions including neutralisation and centrifuge-based dry tailings.  

The company is also prioritising decarbonisation technologies at the site, such as switching from coal and gas in boilers to biofuels and advancing the hydrogen calcination project, an initiative backed by Australian Renewable Energy Agency funding. 

Yarwun employs around 725 people and produces approximately 3mtpa of alumina.  

The alumina produced is used as feedstock for Rio Tinto’s aluminium smelters and supplied to international customers. 

Torres added: “We are committed to our alumina and aluminium operations in Gladstone and will work closely with employees, contractors and suppliers to manage this transition. 

“It is a difficult but necessary decision that preserves future options for the site and supports continued economic contribution.”