Rio Tinto Plc · LSE:RIO
Rio Tinto — Investor Presentation (November 2015)
14 slides from Rio Tinto's investor presentation, Nov 5, 2015
Slide 1: Transforming our Iron Ore business
Transforming our Iron Ore business Andrew Harding, chief executive - Iron Ore, Australia, China, and Korea 5 November 2015
Slide 2: Cautionary statement
2 Cautionary statement This presentation has been prepared by Rio Tinto plc and Rio Tinto Limited (“Rio Tinto”). By accessing/attending this presentation you acknowledge that you have read and understood the following statement. In this presentation all figures are US dollars unless stated otherwise
Slide 3: Our Pilbara context - the world's most advanced mining assets
3 Our Pilbara context- the world’s most advanced mining assets • +12,500 workforce • 5 towns, 3000 houses • 15 iron ore mines, 1700km of rail, 4 port terminals • ~100 global customers • 24hrs/day from the Operations Centre in Perth • First- mover automation advantage • 61% FOB EBITDA margin in H1 20
Slide 4: Business success fundamentals
4 Business success fundamentals Vision: “The best iron ore producer in the world” The way we work: Accountability Integrity Teamwork Respect Strategic Pillars: Production at the right cost Value-driven growth Maximising portfolio value
Slide 5: Transformational times and actions
5 Transformational times and actions • Scenarios change rapidly and transformation is required • Build a case and ensure it is understood • Leaders needs to be involved and accountable • Make a martial art out of paying attention • Be ‘action ready’ and never give up
Slide 6: Leadership transformation
6 Leadership transformation A critical step toward zero fatalities Indigenous participation Every Every Supporting attraction, development critical risk operational person and retention General Manager Manager Supervisor Operator/Maintainer/ Contractors Ensuring like never before that work ~1000 ind
Slide 7: Leadership transformation
7 Leadership transformation Mental health and wellbeing Inclusion and diversity Prioritising employee wellbeing: Greater diversity and inclusiveness leads to: - Mindfulness and health - Increased resilience - Improved engagement - Increased collaboration - Improved capability - Fewer blind spots and
Slide 8: Technology & innovation: first-mover advantage
Technology & innovation: first- mover advantage 2008 2008 2010/11 2012 2012 2014 2014 Atlas Copco Autonomous Autonomous Drilling Cab-less Advanced Launch of the Deployment of Alliance train trial System (ADS) trial Drill Survey Processing Excellence RTVis™ Centre in Brisbane 2007 2009/10 2010 2011 2
Slide 9: High-performing environment
9 High- performing environment The future workforce will be different The right business structure • Direct accountability • Clear communication • Faster decision making High performing teams • Know your job • Know your accountabilities • Know what the business expects • Know what the business stand
Slide 10: Rapid improvement projects delivering results
10 Rapid improvement projects delivering results Iron ore material Rehandle reduced by 16 Mt in 2014 Heavy Equipment Life Extension - $60 million major component opex saving FasTrack 35 - $90 million 2015 capex 35 hrs cycle time target deferrals Cycle time improvement to date ~11.0% & aiming for ~20
Slide 11: Market intelligence and interpretation
11 Market intelligence and interpretation • World steel demand around 3 billion tonnes by 2030 • In 2030, China will remain the largest demand region, followed by India and then ASEAN • Rest of world steel demand to increase by 65% by 2030 • Australia is competing with the world • We can’t regulate
Slide 12: Ground-breaking achievements
12 Ground-breaking achievements
Slide 13: Some final thoughts
Some final thoughts 2 iS} =| =! 6
Slide 14: Questions
14 Questions © 2015, Rio Tinto, All Rights Reserved