Rio Tinto share price rises amid latest ASX news

Here's the latest news at the mining giant.

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The Rio Tinto Ltd (ASX: RIO) share price is up 0.3% after the ASX mining share announced two pieces of ASX news.

The company announced news relating to a settlement with the Securities of Exchange (SEC) and also its latest initiative for decarbonisation.

SEC settlement

Rio Tinto said that it had reached a court-approved settlement with the SEC relating to a case brought in 2017 concerning "disclosure of the impairment of Rio Tinto Coal Mozambique reflected in Rio Tinto's 2012 year-end accounts."

Without admitting to or denying the SEC's allegations related to its books, records and reporting requirements, Rio Tinto will pay a US$28 million penalty and will pay for an independent consultant to advise on its "current policies, procedures, and controls related to impairment, disclosures and project risk."

Former chief executive Tom Albanese has also reached a settlement of a US$50,000 penalty with the SEC, without admitting to or denying the allegations related to books and records and internal controls.

Rio Tinto said that it welcomed the closure of the SEC case on "appropriate and reasonable terms."

All investigations about Rio Tinto regarding this matter "have been finalised", with the ASIC claims settled in 2022.

Decarbonisation

Rio Tinto also announced that it has partnered with Aymium to develop and trial a "renewable biocarbon product for use as an alternative resource to reduce emissions in large scale industrial processes."

This product has been successfully trialled as a replacement for anthracite used in ilmenite smelting processes by Rio Tinto at Sorel-Tracy. That facility is a producer of high-grade titanium dioxide feedstock as well as iron and steel for specialised applications.

Rio Tinto has made a further equity investment in Aymium, after participation in a funding round in 2022. The second investment is part of Rio Tinto's "support for innovations", as it aims to meet its 2030 emission reduction targets and achieve lower carbon supply chains.

Aymium and Rio Tinto said they'd be working together on options for large-scale production of a biocarbon product.

The biocarbon and biohydrogen products produced by Aymium can be used to immediately replace fossil fuels in the production of metals, energy, crops and so on. The biomass comes from recovered and unusable wood. The bioproducts are described as renewable and carbon-negative.

Rio Tinto share price snapshot

Since the beginning of 2023, the Rio Tinto share price has risen by 10.7%, as we can see on the chart below.

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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