Berenberg Expects Investor Focus on Rio Tinto's Simandou Project in H2; Price Target Up

07:01 AM EDT, 09/30/2026 (MT Newswires) -- Berenberg expects Rio Tinto Group's (RIO.L) Simandou project in Guinea to be a key focus for investors in the second half, alongside the company's cost discipline and portfolio simplification. "[We] anticipate much investor attention on iron ore volumes produced at Simandou over H2 - following a slower-than-anticipated ramp-up in H1 caused by a worker fatality - with first ore through the primary crusher expected in Q4," analysts wrote a Metals & Mining report published Wednesday. "Further, we watch for updates across its copper and lithium divisions, including the ongoing ramp-up at Oyu Tolgoi underground and construction of the Rincon full-scale lithium plant. Lastly, we look for commentary from management regarding the proposed expansion of its marketing operations into greater third-party metals trading - which follows its merger bid for Glencore earlier in the year." For the fiscal third quarter, Rio Tinto's Australian iron ore volumes are anticipated to remain broadly stable, while lithium is projected to see a ramp-up in volumes. The research firm also made changes to its commodity price deck while continuing to take a "constructive" view on the long-term outlook for the mining sector amid volatile markets due to the current geopolitical backdrop. Taking these into account, the price target was increased to 87 pounds sterling from 86 pounds, while the stock's buy rating was reaffirmed.