The Simandou project in Guinea is transforming the country into a major iron ore exporter, positioning Guinea as a key supplier in the Atlantic basin and diversifying global supply sources.

A 600-kilometer heavy haul railway, which began operations in October 2025, is central to the project, connecting the deposits to Atlantic shipping routes and enabling the export of high-grade ore.

This development is expected to significantly boost Guinea's economy, with projections of a 26% increase in GDP by 2030, driven by employment, infrastructure, and regional growth.

The project operates through two consortiums—Rio Tinto with Chalco, responsible for Blocks 3 & 4, and Winning International with Weiqiao, responsible for Blocks 1 & 2—with initial exports planned for late 2025.

Recent milestones include Rio Tinto’s successful ore loading onto the railway in October 2025, with first shipments to China scheduled for mid-November, marking the transition from development to commercial production.

Ownership involves a complex partnership structure, notably a joint venture between Rio Tinto and Chinese state-owned companies, reflecting China's strategic interest in securing resources from Africa.

Simandou's high-grade ore, averaging 65% iron content, offers operational advantages such as reduced energy use and emissions, positioning it favorably in the market, especially for Chinese steelmakers.

The project is strategically timed to meet China's demand for high-quality ore amid environmental regulations and global decarbonization trends, supporting long-term market demand.

Full capacity production is projected to reach 120 million tons annually by 2028, with phased development starting from late 2025, influencing global supply and prices.

Simandou demonstrates innovative mining logistics solutions, setting a precedent for unlocking high-grade deposits worldwide and increasing industry competition.

The project is expected to challenge higher-cost producers in Australia and Brazil, potentially displacing some supply and exerting downward pressure on global iron ore prices, with geopolitical factors playing a role.

Guinea's political stability and relations, particularly with China, are critical to the project's ongoing success and regional security.