Rio Tinto (ASX:RIO) has issued cost guidance for its Pilbara unit for the year 2023.

The cost is estimated to be between $21.0 and $22.5 per wet metric tonne.

The company remained consistent on this projection.

In addition, Rio Tinto provided a guidance for its Pilbara iron ore shipments for the year 2024, estimating a shipment volume between 323 to 338 million tonnes.

Rio Tinto has also set a mid-term goal to reduce iron ore unit costs to $20 per tonne.

The company plans to continue disciplined investments in their Pilbara iron ore operations, expecting an average sustaining capital of $1.8 billion per year from 2024 to 2026.

The company also anticipates its effective equity share of Pilbara free cash flow will remain stable at about 85% following the Rhodes Ridge ramp up operation.

Rio Tinto (ASX:RIO) is a world-leading mining and exploration company with a primary focus on essential minerals and metals.