Rio Tinto's underlying cash profits slip as prices dip

It might seem disingenuous to suggest that Rio Tinto (RIO) is moving through an expansionary phase given its £89bn market capitalisation. But its half-year figures show that the mining group is intent on redefining its asset portfolio, a point borne out by its recent move into the North American aluminium recycling industry or by progress at its Simandou iron ore project in Guinea. That’s to say nothing of the Oyu Tolgoi underground mine in Mongolia, a development which has had its problems in terms of delays and cost overruns, but one which will vastly expand Rio’s copper production at a time when many mining analysts are pointing to a looming structural deficit in global supply.