Rio suspends operations in Kwinana

Rio Tinto Iron Ore has confirmed it has suspended operations at its HIsmelt joint venture in Kwinana for three months on the back of falling demand for pig iron.

A Rio Tinto spokesperson told WA Business News that the miner will look to bring back the operation online in March, depending on pig iron prices which have fallen sharply over the past couple of months.

The operation has between 150 to 200 workers, including contractors, and the spokesperson said all employees have been suspended on full pay.

HIsmelt is a JV between Rio, Nucor Steel, Mitsubishi and Shougang Steel.

Additionally, the miner's iron ore operations in the north have been suspended for two weeks over the Christmas break, with the mines to come back on line in the week beginning January 5.

Shares in Rio were down 93 cents at $38.08 at 14:54 AEDT.