Jakob Stausholm

JAKOB Stausholm distanced Rio Tinto from M&A last year, saying that deals the scale of BHP’s proposed takeover of Anglo American would “derail” his company. “I have no fear of missing out,” he said in August. That did not stop Rio Tinto from unveiling the $6.7bn takeover of Arcadium Lithium two months later or, in fact, discussing a merger with Glencore, although a deal doesn’t seem to have progressed beyond the concept stage. Regarding Arcadium Lithium, however, the transaction — completed at a 90% premium — propels Rio Tinto into the top three of world lithium producers, the mineral used in electric vehicle batteries. 

Rio Tinto’s main profit driver, however, remains the ‘old order’ mineral, iron ore. It received final permitting for Simandou, the 120-million-ton-a-year Guinea iron ore project due to kick off this year. Elsewhere in Africa, Rio had been investing in bits and bobs suggesting it’s very much a company on the prowl. For instance, it increased its stake in Sovereign Metals, which is developing rutile and graphite in Malawi. It will also this year listen to an updated feasibility on the Zulti North expansion of its 74%-owned Richards Bay Minerals in South Africa.

 Stausholm received disappointing news towards year-end, however. A progress report on efforts to improve company culture showed an increase in sexual assault rather than a reduction as targeted three years ago. In addition, a third of employees – many women – still reported bullying. Stausholm declared himself “disturbed”, before adding of his targets: “We are not going to let go.”