Rio Tinto Plc · LSE:RIO
Rio Tinto — 20th CRU World Aluminium Conference (May 2015)
10 slides from Rio Tinto's conference presentation, May 12, 2015
Slide 1: Aluminium industry update and key challenges
12 May 2015 20th CRU World Aluminium Conference Aluminium industry update and key challenges Alf Barrios, chief executive, Aluminium
Slide 2: Aluminium contributes to a better life – driving long-term demand
2 Aluminium contributes to a better life – driving long-term demand Lower GHG emissions through lighter vehicles and buildings and through its recyclability Bringing energy efficiency for cities and buildings in an energy constrained world Preserving food and medicines through its unique barrier pro
Slide 3: Robust demand outlook
Robust demand outlook 3 Primary Aluminium Demand Demand Growth (million tonnes) (index) 120 98 100 Rest of World China 80 47 60 54 50 47 45 41 40 34 27 26 26 26 24 20 51 20 24 27 17 19 21 14 0 2009 2010 2011 2012 2013 2014 2030 Source: CRU and Rio Tinto Source: Rio Tinto ©2015, Rio Tinto, All Rights
Slide 4: Fundamentals improving
4 Fundamentals improving Primary Aluminium Balance (million tonnes) 3.5 3.0 Global Balance - actual Global Balance - forecast 2.5 Global Balance - forecast range 2.0 China RoW 1.5 1.0 0.5 0.0 -0.5 -1.0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Source: CRU and Rio Tinto ©2015, Rio T
Slide 5: Continued volatility near-term
Continued volatility near-term 5 Price Market Premiums ($US per tonne) ($US per tonne) 3,500 550 3,250 'All-In' average 500 Europe (cash DPP) LME Cash Midwest 450 3,000 Japan 400 2,750 350 2,500 300 2,250 250 2,000 200 1,750 150 1,500 100 1,250 50 1,000 0 2007 2008 2009 2010 2011 2012 2013 2014 2015
Slide 6: Strong bauxite fundamentals
Strong bauxite fundamentals 6 China Imports (million tonnes) Other India & Malaysia Australia 72 Indonesia 3 6 130 14 45 40 37 8 2 30 9 4 20 7 8 49 5 36 16 28 23 14 9 2009 2010 2011 2012 2013 2014 2025 Source: China customs and Rio Tinto ©2015, Rio Tinto, All Rights Reserved
Slide 7: Rio Tinto aluminium: clear focused strategy
7 Rio Tinto aluminium: clear focused strategy Tier one bauxite First quartile smelters Competitive Low-cost, renewable advantage Industry-leading bauxite position energy portfolio Strategic focus Market-paced growth Cash generation Alumina supply and security Key enablers Commercial excellence Strat
Slide 8: RTA leading bauxite position driving value-accretive growth
8 RTA leading bauxite position driving value-accretive growth Cape York Bauxite Leading bauxite position Global bauxite resources / reserves (Billion tonnes)1 3.5 North of Wenlock 3.0 Resources Reserves 2.5 2.0 Andoom East Weipa 1.5 1.0 0.5 South of Embley 0.0 RTA Rusal EGA BHP Alcoa Alcoa/AWAC Hari
Slide 9: RTA first quartile smelting business
9 RTA first quartile smelting business Aluminium cost curves Operating cost (US$ per tonne) 3000 2500 2000 2010 1500 2015 1000 0% 25% 50% 75% 100% Source: CRU Arvida Aluminium Smelter AP60 Technology Centre – Saguenay, Canada 1 Including the Kitimat modernisation project ©2015, Rio Tinto, All Rights
Slide 10: Rio Tinto: valued partner for the MENA aluminium industry
10 Rio Tinto: valued partner for the MENA aluminium industry • Offering support from mine to refining and smelting − Technology − Secure, high-quality bauxite supply for increasing needs − Marketing and operational excellence • Strong track record and commitment to regional social- economic developm
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