Rio Tinto Plc · LSE:RIO
Rio Tinto — Informa Iron Ore Conference June 2012
16 slides from Rio Tinto's conference presentation, June 2012
Slide 1: Driving global growth
1 Driving global growth Alan Davies, President International Operations, Rio Tinto Iron Ore June 2012
Slide 2: Cautionary statement
Informa iron ore conference June 2012 | 2 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 followin
Slide 3: Our belief in the long term demand story is unchanged
Informa iron ore conference June 2012 | 3 Our belief in the long term demand story is unchanged Demand for metals increases Global copper supply vs. demand outlook1 in line with increasing income (Mine output, kt Cu) 2011 population Expenditure per capita distribution World average US$ (2011 terms)
Slide 4: Population growth and urbanisation to drive steel demand for coming decades
Informa iron ore conference June 2012 | 4 Population growth and urbanisation to drive steel demand for coming decades World urban population growth Building height categories (Billion people) (Steel intensity, floors kg/m2) 7.5 250 Floors < 100 F 200 7.0 0.5 150 < 50 F 6.5 100 < 32 F The world is se
Slide 5: The China steel story has a long way left to run, with India and others to follow
Informa iron ore conference June 2012 | 5 The China steel story has a long way left to run, with India and others to follow Steel intensity and GDP 1900 – 2010* Number of years of steel production above (Kg/capita crude steel production) 500 kg/capita 1,400 China on track to exceed 500 kg/capita Kor
Slide 6: Chinese domestic iron ore has increased market share in recent times due to seaborne delays
Informa iron ore conference June 2012 | 6 Chinese domestic iron ore has increased market share in recent times due to seaborne delays Announced and completed iron ore production capacity • Over the next 7 years, global supply (global) additions need to be at the rate of at least (million tonnes) 100
Slide 7: In iron ore, our global production will approach 450 Mt/a in the next 5 years
Informa iron ore conference June 2012 | 7 In iron ore, our global production will approach 450 Mt/a in the next 5 years Global iron ore production (100%) • Production to become more (Million tonnes) geographically diversified 450 • Additional Pilbara production step 400 change to 353 Mt/a 350 • IOC
Slide 8: In the Pilbara we are building upon an integrated network of mines, rail and ports
| In the Pilbara we are building upon an integrated network of mines, rail and ports • 14 mines • 1,500km of rail • 3 port terminals • 9 berths • 3 power stations • Other associated infrastructure • Expansion to 283Mt currently underway • Further plans to expand to 353Mtpa 8 ©2012, Rio Tinto, All ri
Slide 9: We are demonstrating superior performance in delivering projects on time and on budget
Informa Iron Ore Conference June 2012 | 9 We are demonstrating superior performance in delivering projects on time and on budget WA construction projects performance Cost (% of budget) Over budget 250% behind 40 schedule RTIO projects Non RTIO projects 200% 30 Months over budget 20 150% 10 100% 10 5
Slide 10: We are making solid progress at Simandou
Informa iron ore conference June 2012 | 10 We are making solid progress at Simandou • Fast-tracking the approach to project delivery • Development of railway, mine and port for first shipment of ore by Convoys arriving to site mid-2015 • Progressive production ramp up from 2015 • Tenders for the rai
Slide 11: A unique development partnership
| A unique development partnership • Joint Venture with Chalco Mine established paving the way for full Govt. Guinea IFC Rio Tinto/ Chalco cooperation with all partners 25% 3.75% 71.25% • Development of a robust infrastructure investment framework Simfer SA with the Government of Guinea is a key pri
Slide 12: IOC is a sustainable, high quality growth option
Informa iron ore conference June2012 | 12 IOC is a sustainable, high quality growth option • High grade resource base in excess of 2 billion tonnes1, with an extensive 2012 drill programme • Currently commissioning CEP 1 to take production to 22Mtpa • Products are among the best quality with lowest
Slide 13: Orissa 1 will capitalise on India's growing steel demand
Informa iron ore conference June2012 | 13 Orissa1 will capitalise on India’s growing steel demand • Largest merchant lease in an under- explored and under-developed region • Completion of studies pending highest level of state approvals • Subject to Board approval, Phase 1 to deliver 3 Mt/a for init
Slide 14: Implementation of innovative technologies is a key differentiator for Rio Tinto
BoAML conference May 2012 | 14 Implementation of innovative technologies is a key differentiator for Rio Tinto Our Mine of the FutureTM is shaped by four significant value levers Find Develop Mine Recover • Find future tier one • Develop future block • Optimise resource • Recover more from ore bodie
Slide 15: A global iron ore business without equal
Informa iron ore conference June 2012 | 15 A global iron ore business without equal • Fully integrated, global production platform with a diversified sales and marketing strategy • Pilbara 353 Mt/a expansions remain in scope, on budget and on time, with further optionality to 453 Mt/a • Iron Ore Com
Slide 16: Driving global growth
16 Driving global growth Alan Davies, President International Operations, Rio Tinto Iron Ore June 2012