Rio Tinto Plc · LSE:RIO
Rio Tinto — Investor Presentation (April 2013)
16 slides from Rio Tinto's investor presentation, April 2013
Slide 1: Rio Tinto Iron & Titanium: Long-lasting commitment
Rio Tinto Iron & Titanium Long-lasting commitment April 2013
Slide 2: Cautionary statement
Cautionary statement This presentation has been prepared by Rio Tinto plc and Rio Tinto Limited (“Rio Tinto”) and consisting of the slides for a presentation concerning Rio Tinto. By reviewing/attending this presentation you agree to be bound by the following conditions. Forward-looking statements T
Slide 3: Overview
Overview • Safety • Long-life assets • Productivity & products • Facing the changing markets • Our agility Slide 3 ©2013 Rio Tinto, All Rights Reserved
Slide 4: Safety is our most important priority
Safety is our most important priority RTIT Injury frequency rates – January 2001 to March 2013 4.5 4.0 12 Monthly Rolling AIFR per 200,000 Hours Worked 3.5 3.0 2.5 2.0 1.5 1.0 0.5 0.0 Jan 01 Jan 02 Jan 03 Jan 04 Jan 05 Jan 06 Jan 07 Jan 08 Jan 09 Jan 10 Jan 11 Jan 12 Jan 13 Rio Tinto 12 month rollin
Slide 5: Committed to serving the TiO2 industry
Committed to serving the TiO2 industry 2009 - QMM Madagascar 1950 - RTFT 1976 - RBM Canada South Africa Technology Centre Slide 5 ©2013 Rio Tinto, All Rights Reserved
Slide 6: Maximizing the long-life potential of our mines
Maximizing the long-life potential of our mines Decades of mining under our belt with sufficient reserves to sustain production for decades to come RTFT (+35 year LOM) • C$800m planned investment over 5 years to extend mine life and improve efficiency. Two major projects are on- going: • Lowering su
Slide 7: Improving productivity at our smelting operations
Improving productivity at our smelting operations Realizing the full potential of our assets in producing a variety of consistent quality high grade feedstocks • Proprietary smelting technology 1. Long furnace life 2. Large scale furnaces 3. Continuous charging • Maximize the combination of our expe
Slide 8: Product development
Product development Delivering value from higher grades Decades of knowledge & product development 70% TiO2 72% TiO2 Historical Sorelslag® 78% TiO2 80% TiO2 Sorelslag® 85% TiO2 RBM chloride slag 90% TiO2 RTCSTM 95% TiO2 UGS® Slide 8 ©2013 Rio Tinto, All Rights Reserved
Slide 9: Life cycle analysis of TiO2 value chain
Life cycle analysis of TiO2 value chain Built cradle-to-gate life cycle Overall environmental impact of pigment production analysis (LCA) models Environmental impacts include: 1. Global warming potential 2. Primary energy demand 3. Solid waste generation Work audited and approved by PE International
Slide 10: Co-products provide a significant value proposition
Co-products provide a significant value proposition Co-products Iron & Titanium revenue by product line US$ billions, 100% basis 3 • Leveraging technology to create valuable products 2.5 instead of waste 2 • Provides greater flexibility to respond to changing 1.5 market environment 1 • Diverse knowl
Slide 11: Long run demand fundamentals are strong for TiO2
Long run demand fundamentals are strong for TiO2 Pigment consumption per capita 1995-2011 Pigment production accounts for 90% of TiO2 use • Global demand underpinned by Approximate population in growth of intensity of use in large 2020 shown developing markets • Chinese middle class growing to 70% b
Slide 12: Evolution of Chinese TiO2 sector remains pivotal
Evolution of Chinese TiO2 sector remains pivotal China: TiO2 feedstock imports (2002 to 2012), kt • Large growth in sulphate pigment 2000 production and feedstock imports 1000 • Chloride pigment capacity under 0 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 construction LG Sulphate HG Sulph
Slide 13: Agility demonstrated through recent actions
Agility demonstrated through recent actions Short-term actions On-going actions Well-positioned to rapidly adapt: Ability to rebalance our portfolio • 2 furnace rebuilds according to demand trends in • UGS different market segments • TIO4 Slide 13 ©2013 Rio Tinto, All Rights Reserved
Slide 14: Partner of choice
Partner of choice Security of supply • Mining industry leader • Combining large resources and operations with back-up options • Master TiO2 smelting technology Reliability, consistent product quality Wide product range Technical support at customer sites Sustainable development policy Slide 14 ©2013
Slide 15: In brief
In brief • Safety must remain our top priority • Maximizing our long-life assets • Belief in medium and long term demand dynamics • Improving productivity, reducing costs and strengthening resilience • Delivering value from high grades • Third party positioning: strong advantage in the value chain ©
Slide 16: Thank you!
Thank you! ©2013 Rio Tinto, All Rights Reserved Slide 16