Rio Tinto CEO, iron ore boss step down over Juukan Gorge cave scandal

The boss of Rio Tinto will leave the mining giant after it destroyed two 46,000-year-old caves that were hugely significant to the traditional landowners.

Rio Tinto has succumbed to the pressures of a shareholder revolt over its scandalous decision to destroy ancient Indigenous heritage sites in Western Australia, with its chief executive and two other top corporates stepping down.

In an announcement to the Australian Securities Exchange on Friday, Rio Tinto chief executive Jean-Sebastien Jacques said he would leave “by mutual agreement” but remain in the top job until a successor was found or March 31, whichever was earlier.

Iron ore chief Chris Salisbury has stepped down immediately but will be paid until December 31 when the head of corporate relations Simone Niven will depart after “completing an orderly transition of her responsibilities”.

Rio Tinto blew up two caves at Juukan Gorge in Western Australia’s Pilbara region in a bid to extract an estimated $135 million worth of iron ore as it expanded its Brockman 4 mine in May.

The company had been granted permission to interfere with the site by the State Government in 2013 – a year before archaeological surveys revealed evidence of human occupation from more than 46,000 years ago.

Rio Tinto chief executive Jean-Sebastien Jacques will step down over the scandal. Picture: Simon Dawson/Bloomberg

It emerged the traditional owners, the Puutu Kunti Kurrama and Pinikura people, learnt about the planned detonation 11 days earlier and tried to have it stopped or at least minimise the damage, but the charges had already been laid and could not safely be removed.

“What happened at Juukan was wrong, and we are determined to ensure that the destruction of a heritage site of such exceptional archaeological and cultural significance never occurs again at a Rio Tinto operation,” chairman Simon Thompson said.

“We are also determined to regain the trust of the Puutu Kunti Kurrama and Pinikura people and other traditional owners.

“I know that all three individuals, like the rest of the board, deeply regret the destruction of the Juukan rock shelters.”

Rio Tinto iron ore boss Chris Salisbury, pictured with WA Premier Mark McGowan, will also leave the company.

Ivan Vella, currently Rio Tinto Iron Ore’s managing director for rail, port and core services, will replace Mr Salisbury on an interim basis following a handover period.

The company has appointed Simon McKeon as its senior independent director, a new role it says is to enhance board engagement in Australia.

Rio Tinto has always been criticised its board is too London-centric.

Rio Tinto destroyed ancient rock shelters at Juukan Gorge in Western Australia’s Pilbara region.

A Joint Standing Committee on Northern Australia is investigating the destruction of the caves, but the inquiry has been deferred due to COVID-19 travel restrictions.

The Puutu Kunti Kurrama and Pinikura people said on Thursday they felt “robbed of a voice” and were extremely disappointed, distressed and frustrated by the indefinite deferral, given Rio Tinto and others already had an opportunity to speak with the inquiry.

The destruction of the mine was to extract more than $130 million worth of iron ore. Picture: Supplied

“The same courtesy has been denied to us by this delay,” PKKP Aboriginal Corporation chair John Ashburton said.

Rio Tinto initially only apologised for causing the traditional owners distress, then later broadened its contrite statements and launched a review into its cultural management protocols.

“We are determined to learn the lessons from Juukan and to re-establish our reputation as a leader in communities and heritage management,” Mr Thompson said.

Mr Jacques, Mr Salisbury and Ms Niven were stripped of $7 million in short-term bonuses due to the scandal.

The WA Government is in the process of reforming its 48-year-old Aboriginal heritage laws, removing the section of the act that allowed Juukan Gorge to be destroyed, but any other consents that have been granted under that section cannot be revoked.

Premier Mark McGowan said it was a “very disappointing set of events” and described the caves as priceless pieces of Australian history.

“It was very unfortunate this took place and obviously these caves and this history can’t be replaced.”

Asked if Rio Tinto had taken the matter seriously enough, Mr McGowan said: “Well clearly today they have.”