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Unpalatable truth about Rio's iron ore prospects

It’s easy to overlook worries about prospects for Rio Tinto’s most profitable business: its Pilbara iron ore operations in Western Australia are “the beating heart” of the Anglo/Australian company, as one banker put it.

Unpalatable truth about Rio's iron ore prospects Unpalatable truth about Rio's iron ore prospects Unpalatable truth about Rio's iron ore prospects Unpalatable truth about Rio's iron ore prospects Unpalatable truth about Rio's iron ore prospects

Iron ore contributes about two-thirds of Rio's earnings and the soaring price of the metal has meant it has spewed out cash in ever-increasing quanties, enabling it to pay out giant-sized dividends.