You have to remember Rio Tinto is based in London it can buy prospects anywhere in the world. Considering it is in busness directly with China you would think lower cost projects will come up there via Africa and South America. Rio Tinto has no comitment to Australia other than profits.
All miners have a comitment to Australia in the mining act as the resource belongs to the citizens who then lease it to miner to mine responsibly and regulated on behalf of the people in W.A. by the DME. Technically it is up to the population in a democratic society to demand more royalties from the resource but it doesn't work that way in reality. The last time Labour tried to raise royalties on Gold in Western Australia politicians crossed the floor to vote it down. This was the first time in W.A history that politicians crossed the floor on any vote.
RIO will be paying much larger royalties going forward, it will be an election issue targeting companies that fail to value add significantly on bulk products namely iron ore alumina and metallurgical coal. The CEO knows the square root of f all about mining.
