Chartbook PDF

January 2013 riotinto.
com
Chartbook 2013
Driverless trucks, Pilbara
January 2013 riotinto.com
Contact details
Investor Relations, London Mark Shannon Office: +44 (0) 20 7781 1178 Mobile: +44 (0) 7917 576597 mark.shannon@riotinto.com David Ovington Office: +44 (0) 20 7781 2051 Mobile: +44 (0) 7920 010 978 david.ovington@riotinto.com Andrew Field Office: +44 (0) 20 7781 2054 Mobile: +44 (0) 7876 791341 andrew.j.field@riotinto.com Investor Relations, Australia Christopher Maitland Office: +61 (0) 3 9283 3063 Mobile: +61 (0) 459 800 131 chris.maitland@riotinto.com Investor Relations, North America Jason Combes Office: +1 (0) 801 204 2919 Mobile: +1 (0) 801 558 2645 jason.combes@riotinto.com
Financial calendar 2013

14 February 16 April 18 April 9 May 16 July 8 August 15 October Full year results for 2012 1Q13 Operations Review Rio Tinto plc AGM London Rio Tinto Ltd AGM Sydney 2Q13 Operations Review Half year results for 2013 3Q13 Operations Review
Rio Tinto overview 1 Cautionary statement 2 Safety performance 3 Rio Tintos strategy 4 A world leader in mining 5 Where we operate 6 >85% of assets in OECD 7 Revenue by destination and commodity 8 Innovation and technology 9 2012 first half highlights 10 Earnings reconciliation 11 Cash cost performance 12 Capex prioritised on highest quality projects 13 Approved capital expenditure by country and product 14 Balancing value adding investment with returns 15 Growth map, brownfield and greenfield 16 Major capital projects underway 17 Further quality growth options Market outlook 18 Title slide 19 Chinas share of market demand 20 Chinese steel production and iron ore imports 21 Chinese aluminium production and bauxite & alumina imports 22 Chinas coal production and net exports/imports 23 Thermal coal exports by country 24 China stimulus measures 25 China steel demand and intensity 26 China crude steel demand and production 27 Chinese provinces climbing the steel intensity curve 28 Chinas forecast power generation mix (coal dominance) 29 Indias thermal coal imports 30 Long term demand curves, saturation vs GDP 31 Rio Tinto continues to benefit from Chinas rapid growth rates January 2013
Product group information Iron ore 32 Title slide 33 Highlights 34 Unrivalled expansion programme 35 Pilbara production profile 36 Pilbara iron ore: mines, products, ports, product specs 37 Sales contract portfolio pricing mechanisms 38 Challenges of bringing on new iron ore supply 39 Industry supply falls short of forecasts 40 Superior performance delivering on time and budget 41 Integrated system development to support 353 Mt/a and beyond 42 Partner cooperation enabling solid progress Simandou 43 Phased development and ramp up of Simandou 44 IOC integrated mine to port production system Aluminium 45 Highlights 46 RTA strategic focus on transforming the business 47 Significant achievements since 2007 48 Energy profile: 97% carbon free 49 On path to deliver over $1 billion EBITDA 50 Capex focused on brownfield modernisation projects 51 Focused on Tier 1 projects Copper 52 Highlights 53 Copper supply will continue to be constrained 54 Our continued focus on production at low cost 55 Kennecott, Grasberg and Escondida 56 Turquoise Hill Resources: 51% ownership 57 Oyu Tolgoi
58 Attractive longer term growth profile (La Granja, Resolution) 59 Grasberg production profile Energy 60 Highlights 61 Rio Tinto Coal Mozambique 62 Benga: first production in H1 2012 63 Mozambique coal chain capacity growth path 64 Australian coal growth options 65 Australian infrastructure
end use 74 Diamonds market share, supply and demand Corporate information 75 Title slide 76 Earnings sensitivities 77 Principal corporate activity 2005-09 78 Principal corporate activity 2010-12 79 Major capital projects (1) 80 Major capital projects (2) 81 Major capital projects (3) 82 Major capital projects (4) 83 Major capital projects (5) 84 Major capital projects (6) 85 Market capitalisation of major listed mining companies 86 Geographical analysis of Rio Tinto shareholders 87 Rio Tinto executives 88 Rio Tinto Board 89 Rio Tinto Board (contd.)
Diamonds & Minerals 66 Highlights 67 Portfolio of industry leading businesses 68 RTIT positioned to capture market growth 69 TiO 2 process flow chart 70 Rio Tinto Fer et Titane process flow chart 71 Richards Bay Minerals process flow chart 72 TiO 2 strong pricing outlook 73 Borates demand, production,
January 2013
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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 This presentation includes forward-looking statements. All statements other than statements of historical facts included in this presentation, including, without limitation, those regarding Rio Tintos financial position, business strategy, plans and objectives of management for future operations (including development plans and objectives relating to Rio Tintos products, production forecasts and reserve and resource positions), are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Rio Tinto, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forwardlooking statements. Such forward-looking statements are based on numerous assumptions regarding Rio Tintos present and future business strategies and the environment in which Rio Tinto will operate in the future. Among the important factors that could cause Rio Tintos actual results, performance or achievements to differ materially from those in the forward-looking statements include, among others, levels of actual production during any period, levels of demand and market prices, the ability to produce and transport products profitably, the impact of foreign currency exchange rates on market prices and operating costs, operational problems, political uncertainty and economic conditions in relevant areas of the world, the actions of competitors, activities by governmental authorities such as changes in taxation or regulation and such other risk factors identified in Rio Tinto's most recent Annual Report on Form 20-F filed with the United States Securities and Exchange Commission (the "SEC") or Form 6-Ks furnished to the SEC. Forward-looking statements should, therefore, be construed in light of such risk factors and undue reliance should not be placed on forward-looking statements. These forward-looking statements speak only as of the date of this presentation. Nothing in this presentation should be interpreted to mean that future earnings per share of Rio Tinto plc or Rio Tinto Limited will necessarily match or exceed its historical published earnings per share.
2012, Rio Tinto, All rights reserved
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Continued improvements in safety

Injury frequency rates 2003 October 2012
Per 200,000 hours worked
2.0
All injury frequency rate

1.8 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0.0 03 04 05 06 07 08 09 10 11 Oct-12
Lost time injury frequency rate
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Delivering on our strategy

Robust business of long-life, costcompetitive, expandable assets that are resilient throughout the cycle Aim to maintain strong balance sheet and single A credit rating Consistent delivery against a clearlydefined growth programme Disciplined investment in highreturn growth projects Completion of major projects generating new revenues over next 12-18 months Further actions taken to shape the portfolio
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Rio Tinto a world leader in mining

Aluminium
#2 in bauxite #2 in aluminium #3 in alumina
Copper
#7 in copper #5 in molybdenum
Diamonds & Minerals

#1 in titanium dioxide #2 in borates #3 in zircon #5 in diamonds
Energy
#5 in uranium #8 in export coking coal #10 in export thermal coal
Iron Ore
#2 in seaborne iron ore
2011 market share data
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Where we operate
North America
Europe Asia Africa
Key
Mines and mining projects Smelters, refineries, power facilities and processing plants remote from mine
Aluminium Copper Diamonds Energy Iron ore Minerals
South America Australasia
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>85% of assets in OECD

2011 total assets (excluding non-controlling interests) by region
Canada 25% Europe 5% US 7% Mongolia Other Asia1 2% Africa

1
5%
Other Asia mainly relates to assets in India and Oman. Total assets are calculated from information extracted from the consolidation schedules of the Company for the year ended 31 December 2011, with adjustments for non-controlling interests, cash, current and deferred tax receivables and derivatives.
1% Indonesia
3%
South America
6%
Australia/NZ 46%
2011 total assets = $95 billion
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Strength in diversity
Revenue by destination
(%)
Revenue by commodity
(%)
8 1% 13 31 1% 5%
12%
43% 9% 16 17% 16 16 11% Iron ore Uranium Copper Minerals Aluminium Diamonds Coal Other
China North America
Japan Europe
Other Asia Other
Gross sales revenue in H1 2012 = $28 billion

*Other commodities mainly relate to engineered products and Pacific Aluminium
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Embedding leadership in next generation step change technologies

Our Mine of the Future provides an integrated approach to unlocking value
Find Develop Mine Recover
Find future tier one ore bodies VK1 in initial flight trials Complex testing programme under way
Develop future block cave mines safer, faster, better Tunnel boring system trials to commence at Northparkes during H2 2012
Optimise resource productivity Expansion of driverless truck fleet to 150 Operations Centre Smart drilling and blasting Autonomous trains (AutoHaul)
Recover more from mineral deposits IronX iron ore recovery pilot plant to be scaled up NuWave copper sorting pilot plant being commissioned at KUC
Innovation networks created through long term strategic alliances Protection of Intellectual Property is key to sustaining competitive advantage
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2012 first half highlights

Solid financial results driven by record operational performance of iron ore division Underlying earnings of $5.2 billion Net earnings of $5.9 billion Underlying EBITDA of $10.1 billion Cash flows of $7.8 billion
$ billions Underlying EBITDA Underlying earnings Net earnings Cash flows from operations Capital expenditure Interim dividend (US cents per share) H1 2011 14.3 7.8 7.6 12.9 5.1 54.0 H1 2012 10.1 5.2 5.9 7.8 7.6 72.5 Movement -29% -34% -22% -39% +49% +34%
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10
Strong underlying earnings in a lower price environment

Underlying earnings 2011 first half vs 2012 first half
$ millions
8,000
6,000
4,000
2,000
0 7,781 H1 11 underlying earnings (1,936) Price 200 Exchange Rates 366 Volume increase (584) Volume decrease (174) (388) Energy and Other cash inflation costs (111) Explor'n, eval'n & other 5,154 5,885 H1 12 H1 12 underlying Net earnings earnings
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11
External cost pressures have reduced but remain significant

Earnings cash cost impact
$ millions
Cost increases Operational Readiness Grade and stripping One-offs Cost decreases
Operational readiness costs largely relate to preparation for Pilbara volume ramp-up Reduced impact from weather has been offset by other one-offs including Alma and Cu grades Prioritising productivity improvements
Alma
One-offs and volume related Structural cost increases Mining Inflation
Weather
Further savings expected from support and service cost reduction programme
Other -200 -100 0 100 200
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12
Capital expenditure is being prioritised on the highest quality projects

Approved capital expenditure
US$ billions
18 16 14 12 10 8 6 4 2 0
2008 2009 2010 2011 2012F 2013F 2014F 2015F 2016F
$16 billion capital expenditure approved for 2012 Rio Tintos proportionate share of capital is $13.6 billion Disciplined and rigorous capital approval process Investment focused on projects that will deliver superior returns Phased approach to major capital projects Three significant projects in three commodities to come on line within the next 18 months Flexibility around further major project approvals
Sustaining Pilbara - sustaining mines Other Approved
Pilbara - historical Pilbara - growth
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13
Approved capital expenditure diversified across geographies and products

2012 Capital expenditure by country 2012 Capital expenditure by product
5% 12% 7%
5%
11% 7% 43%
15%
61%
16%
Australia United States Other Excludes equity accounted units
Canada Mongolia
18% Iron ore Aluminium Diamonds & Minerals Excludes equity accounted units
Copper Energy Other
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14
Balancing value adding investment with returns to shareholders

Disciplined and balanced approach to capital allocation
Cash from operations
Balance sheet strength and single A credit rating prudent in a volatile environment
Cash returns to shareholders
Disciplined investment in highest value projects
Prudent balance sheet management
Progressive dividend provides sustainable long term returns to shareholders Investment programme focused on highest quality projects
$10 billion of non-sustaining investments in 2012
Single A credit Rating Average borrowing maturity of 9 years
Progressive dividend increased by 34% $7 billion buy-back completed
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15
Our growth programme is across regions, products and brownfield/greenfield

Kitimat 420ktpa Al Oyu Tolgoi 425ktpa Cu; 460kozpa Au Utah Copper 10 year life extension
Resolution 600ktpa Cu
Simandou 95mtpa iron ore Coal Mozambique Up to 25mtpa coking coal Yarwun 2 +2mtpa alumina
La Granja 500ktpa Cu
Escondida 1.3mtpa Cu
Brownfield Greenfield
Pilbara growth +133mtpa iron ore
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16
Major capital projects underway

Project timeline(1)
% Complete(2) $ Capex approved(3)
$0.9bn $2.1bn $1.7bn $9.8bn $1.1bn $5.9bn $1.0bn $0.5bn $0.9bn(6) $6.2bn $0.5bn(7) $1.4bn(6) $0.7bn $0.5bn(7) $1.1bn $3.3bn $2.0bn $2.2bn
$ Capex remaining 2012-2015(3)(4)

$0.3bn $1.3bn $1.6bn $6.8bn $0.6bn $5.4bn $1.0bn $0.3bn(7) $0.8bn $1.0bn $0.3bn(7) $1.3bn(6) $0.7bn $0.2bn $0.3bn $2.4bn $0.8bn $0.9bn
Production
+5.3Mt/a 15Mt/a(5) +4Mt/a +53Mt/a 15Mt/a(5) +70Mt/a N/a 30mlb Ph1, 60mlb Ph2 (capacity)
IOCC Ph 1 & 2 Hope Downs 4 Yandicoogina Pilbara 283 Marandoo Pilbara 353 Simandou MAP Grasberg Oyu Tolgoi Ph 1 Eagle Escondida OGP1 KUC ISAL AP 60 Kitimat Kestrel Argyle U/G
+100kt/d ore +17kt/a Ni, 13kt/a Cu 152kt/d mill, access to higher grade ore Extend LOM to 2029 +40kt/a +60kt/a +140kt/a +1.4Mt/a 20mc/a capacity
2012
2013
2014
2015
(1) Represents timing of project completion and initial production (2) As of 30 June 2012 (3) 100% unless otherwise stated (4) As of 1 January 2012. (5) Sustaining production at Pilbara total capacity (6) RT share of capex (7) Budgets and schedule are under review
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17
Further quality growth options from a rich portfolio of tier one and earlier stage projects
Iron Ore IOCC Phase 3 Pilbara major debottlenecking Oyu Tolgoi Phase 2 Resolution La Granja Weipa South of Embley AP60 Phase 2 Cameroon brownfield and greenfield Benga phase 2 and Zambeze Hail Creek expansion Hunter Valley options Valeria Mt Pleasant Winchester South Rssing heap leach ERA Ranger 3 Deeps Simandou Orissa Escondida options KUC North Rim Skarn Northparkes expansion
Copper
Aluminium
Energy
Diamonds & Minerals
Bunder (diamonds) Diavik A21 (diamonds) Jadar (borates, lithium)
Ilmenite mine expansions TiO2 smelter expansions
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18
Market outlook
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19
Chinas share of market demand

(% of total world demand)
61 60 50 43 40 30 20 12 10 0 1990 Copper Source: CRU, Brook Hunt, WBMS, Rio Tinto 2000 Aluminium Traded iron ore 2011 6 5 4 13 39
14
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20
Chinese steel production and iron ore imports

Crude steel production/iron ore imports/ domestic iron ore production
(million tonnes) 800 700 600 500 400 300 200 100 0 95 97 99 01 03 05 07 09 11 Steel production Implied domestic iron ore production (import equivalent) Iron ore imports Domestic iron ore % market share 80% 70% 60% 50% 40% 30% 20% 10% 0%
Domestic iron ore market share
Source: World Steel Association /GTIS/RTIO Analysis *H1 annualised Implied Domestic Iron Ore Production (import equivalent): Pig Iron Consumption implied Fe unit demand less imports, plus stock changes and transformed to equivalised to imported ore characteristics (moisture and Fe content).
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21
Chinese aluminium production and bauxite & alumina imports

(million tonnes)
20 18 16 14 12 10 8 6 4 2 0 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11
Alumina imports Source: CRU, GTA Bauxite imports expressed in terms of alumina content
Bauxite imports
Aluminium production
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22
Chinas coal production and net exports/imports

Chinese coal production and net exports/imports
(million tonnes)
Production (line) 100 50 0 -50 -100 -150 -200 2002 2003 2004 2005 2006 2007 Coking coal 2008 2009 2010 2011 Imports left axis Exports left axis 4000 3500 3000 2500 2000 1500 1000 500 0
Thermal coal Source: SX Coal, McCloskey
Production
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23
Thermal coal exports

(million tonnes)
350 300 250 200 150 100 50 0 1992 2000 Indonesia Source: GTIS, McCloskey 2007 Australia 2008 South Africa 2009 China 2010 2011 United States
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24
China stimulus supports Q4 demand, but near term risks remain

Eurozone debt crises and fragile US recovery create ongoing near-term uncertainty Central government launched a series of pro-growth policies since April 2012 Expect this to lead to renewed demand from fourth quarter of 2012
China stimulus measures announced since April 2012
NDRC (Federal) April 2012 May 2012 June 2012 State July 2012 July 2012 Jiangsu province Zhejiang province Hunan province City of Nanjing 30-point plan to increase consumption City of Ningbo to implement 24 stimulus measures, including a fund to support new business, tax cuts for qualified companies City of Changsha 5 year investment plan, valued at $130 billion. Involves 195 development projects including airport, subway, energy production 280 new projects approved 135 new projects approved 70 projects approved Focused on industrial innovation and clean energy Baosteel and Wuhan alone granted permission to build RMB 134 billion of new steel capacity 69 projects relate to green energy and new energy production
July 2012
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25
Chinese steel growth still has a long way to run

Total steel demand over 20-yr period
(tonnes per capita)
Steel intensity and GDP 1900-2011

(kg/capital crude steel production)
1,400
US 1960-80 1,200 Germany 1970-90 1,000 800 600 400 China 1990-2010 200 China 2010-30 0 5 10 15 20 India 0 0
Korea
Japan China (actual) 19502011 China (forecast) 20122040
Japan 1980-2000
South Korea 1990-2010
Germany USA
10,000
20,000
30,000
40,000
GDP per capita (PPP basis, $2005) Note: Stylistic representation Source: Correlates of War, Maddison, Global Insight, Rio Tinto
Source: Correlates of War, Maddison, Global Insight, Rio Tinto Note: Steel stock refers to the level of cumulative steel consumed within an economy over a 20-year period
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26
We continue to forecast Chinese crude steel production of ~1 billion tonnes p.a. towards 2030
Chinese crude steel demand forecasts
Million tonnes
1000 900 800 700 600 500 400 300 200 100 0 2000 x 2010 2020 2030 2040 2050
Industrial - Export (RT est) Construction (RT est) Wood Mackenzie est. Industrial - Domestic (RT est) CRU est. AME est.
Chinese crude steel production

Million tonnes
-1 -1
1600 1400 1200
1000 800 600 400
18
200 0 2005 2015 2025 2035
Decade average compound annual growth rate (%)
Source: Rio Tinto analysis
Source: Rio Tinto analysis, CRU (2011), AME, Wood Mackenzie
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27
Many large Chinese provinces are just beginning to climb the steel intensity curve
Chinese regional steel intensity (urban population)
Steel use per capita 2011 (kg)
2000 1800 1600 1400 Combined > 330m 1200 1000 800 600 400 200 0 2,000 3,000 4,000 5,000 6,000 7,000 8,000 GDP per capita 2011 (US$) 9,000 Shandong 54m 10,000 11,000 12,000 Sichuan 35m Jiangsu 58m Guangdong 76m Beijing 20m Shanghai 23m
Bubble size reflects 2011 population of each of the 31 Chinese provinces Source: McKinsey Global Institute, China Statistical Yearbook 2011, Rio Tinto estimates
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28
Despite the emergence of substitutes, Chinas power will continue to be predominantly generated by coal
Chinas forecast power generation mix
(TWh)
11 000 10 000 9 000 8 000 7 000 6 000 5 000 4 000 3 000 2 000 1 000 2009
Coal percentage of power generation mix
10,023
2009-2030 CAGR
Other alternatives Wind Hydro Nuclear Gas Coal 13.0% 14.8% 3.4% 11.7% 10.9% 4.0%
7,537
3,735
2020 69%
2030 68%
79%
Source: IEA World Energy Outlook 2011
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29
Indias thermal coal imports will likely more than double over the next 5 years to meet power demand
India coal-fired electricity generation capacity and thermal coal imports
India coal-fired electricity capacity
(gigawatts) 250 200 150 100 50 2010 2017 100 34 26 49 61 88 96 150 111 144 95
India thermal coal imports

(Mt) 300
Forecast
246
2x
193 250 195 161
200
Indian Government plans to double coal-fired electricity generation capacity by 2017 Nine ultra mega power stations with a capacity of 4000 megawatts each are planned for construction Smaller coal-fired power stations will be commissioned in the lead up to 2012 to support robust economic growth
Source: Wood Mackenzie, Dec 2011
50
0 2007 2009 2011 2013 2015 2017
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30
Demand growth strength in later stages of economic development

Inflection point not yet reached for many of our products Percentage of saturation level*
Titanium dioxide
Nickel Crude steel Copper Aluminium
Titanium Dioxide
Diamonds Borates
2,000 Timeframe
10,000 2010 2020
18,000 2030
26,000 2040
34,000 2050
42,000
50,000
58,000 World GDP/capita 2000 US$ PPP
*Saturation level point at which consumption per capita does not increase with income levels Source: Rio Tinto
Slide 30
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31
Rio Tinto continues to benefit from Chinas rapid growth rates

Rio Tinto sales to China
($bn)
25 28% 20 19% 24% $16..7bn 15 15% 10 8% 5 $0.9bn 0 03 04 05 Iron ore 06 Copper 07 Aluminium 08 Other 09 10 11 H1 12 $1.5bn 0% $3.1bn $4.1bn 10% $6.0bn 16% $10.8bn $10.7bn $8.5bn 10% 5% 15% 18% 31% $20.1bn 25% 20% 31% 30%
% of total global sales
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Product group information
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33
Iron ore: record Pilbara production and sales alongside major project development
Iron ore underlying results
US$ billions
10 9 8 7 6 5 4 3 2 1 0 H1 08 H1 09 H1 10 H1 11 H1 12
Record production and sales from Pilbara iron ore operations Lower prices partly offset by higher volumes 5 Mt annual capacity increase through low capex debottlenecking Poised for major expansion Scaling up deployment of innovative technologies to improve productivity
Underlying EBITDA
Underlying earnings
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34
Unrivalled global iron ore expansion programme

Capital expenditure on time and on local currency budget Further 5mt at end of Q1 2012: increased Pilbara capacity to 230Mt/a 283 Mt/a expansion fully approved 353 Mt/a expansion port and rail infrastructure fully approved Pilbara mineralisation to last > 50 years even on elevated production volumes Capital intensity from 220 Mt/a to 353 Mt/a expected around mid US$150/t on a 100% basis, with our share of capital intensity expected around mid US$130/t
Car dumpers (x2) CD1 car dumper replacement (20 Mt/a) Existing Cape Lambert Port 1.8 km 2.5 km
Tug harbour
1st 53 Mt/a 2nd 50 Mt/a 1.8 km
Each berth 400 m
Cape Lambert expansion
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35
Unrivalled global iron ore expansion programme

Expected Pilbara production (100 per cent)
Million tonnes
400 350 300 250 200 150 100 50 0 2011 2012F 2013F 2014F 2015F 2016F 283 Mt/a first ore in Q4 2013 353 Mt/a first ore in H1 2015
Pilbara expansion remains on time and local currency budget Dredging now complete Phase one piling for 283Mt/a capacity 85% complete Potential expansions beyond 353 Mt/a through major debottlenecking Progressive investment at Simandou a further step towards development and ramp up
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36
Our world-class Pilbara iron ore product

Pilbara iron ore: mines, products, ports and product specifications
Banded Iron Formation derived Iron Deposits
Channel Iron Deposits
Ore group Mines Ore-types
Paraburdoo (inc. Channar Eastern Range) B
Brockman 2 B
Brockman 4 B
Mt Tom Price B & MM
Marandoo MM
Nammuldi MM
West Angelas MM
Hope Downs 1 MM
Yandicoogina PIS
Mesa Mesa A J PIS
Products
L&F
Pilbara Blend (PB)

L&F
HIY F RV
L&F
Ports
Dampier
Cape Lambert
Ore-types B = Brockman Iron Formation MM = Marra Mamba Iron Formation PIS = Yandicoogina pisolite PIS = Robe Valley pisolite
Product characteristics Pilbara Blend Lump Pilbara Blend Fines Robe Valley Lump Robe Valley Fines Yandicoogina Fines
Fe (dry basis) 62.5% 61.5% 57.0% 57.0% 58.5%
Moisture 4.0% 8.5% 6.0% 7.0% 9.0%
Slide 36
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37
Continued evolution of our sales contract portfolio

Rio Tinto iron ore sales contract portfolio
(Proportion of pricing mechanisms)
FY 2010 Spot
About 60% of global products to China and about 35% to Japan, Korea and Taiwan Our contract portfolio focuses on: Diversification of markets and customer segments Matching products to segments that value them the most Ensuring full offtake
Quarter Lag
Current
Monthly
Quarter Lag
Approximately 40% of sales priced by reference to average index for previous quarter with 1 month lag
Quarter Actual
*Includes HI, HD, RR + IOC contract tonnes
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38
Challenges of bringing on new iron ore supply

Announced and completed iron ore production capacity (global) (Million tonnes)
1000 800 600 400 200 0 Announced for 2008-10 Certain 1000 800 600 400 200 0 Announced for 2011-13 Completed by Q1 2012 Probable Completed by Q4 2010 Possible Rio Tinto Other
Announcements from others do not necessarily translate to supply capacity Competition for labour with oil/ gas Reduced sources of project financing Protracted approvals processes Shortage of specialist mining skills Difficulty working in remote locations High cost Chinese domestic supply required to meet demand in the short to medium term
Source: UNCTAD, Rio Tinto
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39
Iron ore: supply continues to fall short of forecasts

Major iron ore production*
(million tonnes)
1000
Rio Tinto Pilbara iron ore

(million tonnes)
400
800
-158 Mt
300 -31 Mt
600
200
400 2007 2008 2009 2010 2011 2012 2013 Actual
100 2007 2009 2011 2013 2015 Actual
2007-8 forecast
2011-12 forecast
Jun-08 forecast Source: Deutsche Bank, Rio Tinto
Nov-11 forecast
*Data set comprises Rio Tinto Pilbara, BHP Billiton and Vale Source: Deutsche Bank, Rio Tinto
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40
We have demonstrated superior performance in delivering Pilbara projects on time and on budget
Western Australian construction projects performance Cost (% of local currency budget)
250% 60
RTIO projects
200%
Non RTIO projects

50 40 30
Over budget behind schedule
150%
20 10
100%
0 -10
50%
-20 Under budget -30 ahead of schedule -40
0% Source: Pit Crew Management Consulting Services, Rio Tinto
Months over budget
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41
Integrated system development to support 353 Mt/a and beyond
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42
Strong co-operation with our partners is enabling solid progress to be made at Simandou
Mine
Govt. Guinea 35% IFC 3.25% Rio Tinto/ Chalco 61.75%
Largest integrated mining project in Africa Secured tenure and full support of Government of Guinea and Chalco Establishing a robust infrastructure investment framework with Government of Guinea JV with Chalco finalised, triggering the earn-in payment of US$1.35 bn
46.5% Rio Tinto/ Chalco
Simfer SA
Rail and Port Services Agreement
Tariff
Infrastructure SPV
51% Govt. Guinea
2.5% IFC
Infrastructure
Indicative ownership shares as of December 2031. Assumes the Government of Guinea exercise their 10% at cost option and 10% option at market value.
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43
Phased development and ramp up of Simandou

Further progressive commitment of US$0.5 billion (100% basis $1.0 billion) Rail line works and marine structures to enable 2015 ore exports Complete definitive engineering 4 logistic supply centres and 22 camps along the railway line
Summary of Simandou spend to date ($bn) Spend prior to Chalco earn-in Government settlement Chalco earn-in June 12 announcement (RT share) Total Rio Tinto commitment Government infrastructure share Net Rio Tinto commitment $1.9 $0.7 $(1.3) $0.5 $1.8 $(0.5) $1.3
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44
IOC integrated mine to port production system
Mine
Expandable high quality resource base with significant exploration potential Concentrator capacity of 22 Mt/a (23.3 Mt/a post CEP2 expansion), pellet plant capacity 12.5 Mt/a Ore upgraded often in excess of 65% Fe concentrate Majority of concentrate converted to pellets (pellet plant capacity 12.5 Mt/a) Product transported to port via ~400 km QNS&L railway Rail capacity +80Mt/a, current fleet capacity of 35 Mt/a Year round, expandable deep water port Vessel capacity currently 255kt Port capacity currently 28Mt/a, expansion potential to ~200Mt/a
Plant
Rail
Port
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45
Aluminium: continued focus on productivity and business improvement

Aluminium underlying results
US$ billions
2.5 2.0 1.5 1.0 0.5 0.0 -0.5 -1.0 H1 08 H1 09 H1 10 H1 11 H1 12
2011 Onwards Excludes Pacific Aluminium, Lynemouth, Sebree, Gardanne refinery, and European specialty alumina
Challenging market conditions and operating environment 15% lower LME price half on half Continued high input costs Alma lock-out now resolved Accelerating cost reduction efforts Limiting growth projects in line with market conditions Increased bauxite production driven by strong demand Expansion of Yarwun alumina refinery complete, full capacity in Q3 2013
Underlying EBITDA
Underlying earnings
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46
Rio Tinto Alcan: strategic focus on transforming the aluminium business

Disciplined portfolio management Deliver cost and productivity improvements Focus on high return production creep and modernisation projects Focused strategy will reshape the aluminium business Best bauxite and energy positions in the aluminium industry Lowest carbon footprint Modern, large-scale, long-life assets First and second quartile positions on the industry cost curve Leading AP Technology position
Yarwun refinery, Australia
Kitimat smelter, Canada
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Significant achievements since 2007 with a clear pathway forward

Portfolio management 13 assets identified for divestment or closure Lynemouth smelter closed on 29 March 2012 Continued portfolio discipline
Phase 2
Business improvement
Over $1 billion EBITDA improvement via cost and production efficiencies, capacity creep, optimisation of product mix
40% EBITDA margin
Investment
Focused capital investment on high-return brownfield projects and modernisation
Phase 1
Integration and synergies
$1.1 billion of synergies achieved into 2009
Strategic decisions during global financial crisis
Sold Ningxia, Brockville, Ghana Bauxite Company Closed Beauharnois and Anglesey
Chart Book |
48
Energy profile: 97% carbon free

Positioned for almost 85% clean hydropower, lowest cost quartile power for smelting
Current power sources
Enhanced cost position with almost 65% selfgenerated power versus 34% industry average
Current power sources
Post-divestments and closures
Post-divestments and closures
Note: Post divestment and closures charts excludes Pacific Aluminium and other assets separated from Rio Tinto Alcans perimeter
Chart Book |
49
$250 million annual run rate on path to deliver over $1 billion EBITDA from our operations
Business improvement initiatives
Per cent of total EBITDA improvement
Annual EBITDA improvement

US$ millions
Acceleration of cost reduction and continued creep in 20122015 steepens improvement curve Cost reduction comprises 50 % of EBITDA improvement: further reductions in SG&A additional procurement efficiencies Revenue contributions are driven by volume creep, bauxite export and VAP margins
Note: All data reflects the period 2011-2015 inclusive
Chart Book |
50
Capital expenditure focused on brownfield modernisation projects

2012 Capital expenditure
$ Billions $0.1 $0.8 $0.3
$0.2
Yarwun expansion to 3.4mt will reach full capacity in Q3 2013 with 90% of the capacity delivered by year end 2012 Kitimat modernisation will move production to first decile of industry cost curve ISAL to increase production by 20%, improve cost curve position and add new value added product cast house
$0.8
$0.4
AP60 is R&D platform for AP Technology commercialisation
Sustaining ISAL
Kitimat Yarwun 2
AP60 Shipshaw
(1) Excludes equity accounted units.
Chart Book |
51
Focused investment in Tier 1 projects

Approved
Project timeline(1)
Current status
Total capex (100%)
Capacity Capex remaining expansion (2) (100%)
ISAL
Under construction Under construction
$0.5bn
$0.2bn
40+ ktpa
AP 60 Phase 1
$1.1bn
$0.3bn
60 ktpa Increase from 282 ktpa to 420+ ktpa 2 mtpa
Kitimat
Under construction
$3.3bn
$2.4bn
Yarwun 2
Complete
$2.3bn
South of Embley
Feasibility study
<$2bn
100%
22.5 mtpa
2012
12 2013
24
2014 36
2015 48
As at 1 July 2012
Represents timing of project completion and initial production
Chart Book |
52
Copper: supply constraints continue

Copper underlying results
US$ billions
3
Lower volumes due to temporary grade decline Copper production expected to increase from second half 2012 Brownfield investment to extend life of KUC mine, increase Escondida production Acquired majority stake in Turquoise Hill (formerly Ivanhoe)
0 H1 08 H1 09 H1 10 H1 11 H1 12
Underlying EBITDA
Underlying earnings
Chart Book |
53
Copper supply will continue to be constrained

Disruption rates will continue
(% of planned production) 8 7 6 5 4 3 2 1 0 2004 2005 2006 2007 2008 2009 2010 2011
Sovereign risk
Copper supply location (%) 9% 41% 47%
36%
62%
54%
44% 2020 Lower risk
2000 Higher risk
2010 Medium risk
Increasing depths
Indicative depth of discoveries
Declining grades
Average head grade treated (% Copper)
Sources: Brook Hunt A Wood Mackenzie company
Chart Book |
54
Our continued focus on production at low cost

Production profile
2011- 2015 Production forecast
Kt Cu/ Koz Au 1,350 1,200 1,050 900 750 600 450 300 150 0 2010 A 2011 2012 2013 2014 Moly (Mlbs) 2015 10 0 Rio Tinto Xstrata Freeport Codelco BHP Billiton 30 50 40 95 30 66 20 37 Mlbs Mo 70 60
Continued focus at low cost

C1 costs 2010 (c/lb)*
100
Copper (Kt)
Gold (Koz)
Source: Rio Tinto *Brook Hunts quoted C1 cash costs (C1 costs = cash costs net of by products)
Chart Book |
55
Kennecott, Grasberg and Escondida

Kennecott Moly Autoclave Process progressing Seven year LOM extension, south wall push back Tunnel boring and sorting technologies tested Grasberg Pre-production construction of Block Cave Deep Mill Level Zone underground mines From 2021 entitled to 40% of all production Escondida Organic Growth 1 Project (OGP 1) Oxide Leach Area Project (OLAP) Ore access, bioleach and de-bottlenecking projects Los Colorados concentrator relocation
Escondida, Chile
Grasberg, Indonesia
Chart Book |
56
Turquoise Hill Resources: majority, 51% ownership

Equity financing US$1.8 Billion Rights offering completed 19 July 2012, yielding $1.8 billion in gross proceeds No shares purchased under Rio Tinto standby commitment Ensuring Oyu Tolgoi development remains on track In addition to US $1.8 billion interim financing facility, $1.8 billion drawn as at the end of July 2012 $3 $4 billion Proceeds to repay bridge loan and interim finance facility Target agreement by end of 2012 Rio Tinto nominated 11 of 13 board members Majority of board remains independent Rio Tinto Senior Leadership team, including CEO and CFO Own 74.2 million Series D Warrants exercisable for three years at US$10.37 per share Quantity and price of Warrants adjusted for the rights issue and per the MOA
Bridge loan US$1.5 Billion
Project financing
Board and management changes
Warrants
Chart Book |
57
Oyu Tolgoi: a world class asset

A top five copper producer and major gold producer1 Average annual production of 425kt of copper and 460koz of gold
Phase 1
Large Open pit mine 100,000 tonne per day concentrator Preliminary development of UG mine Long life
3.1bt resource and 1.4bt reserve Potential for > 50 year mine life Highly prospective region with further exploration potential
Phase 2
Complete development of UG mine Low cost Mill expansion to 160,000 tonnes per day Power station
Significant by-product credits from gold Expected to have first quartile net unit cash costs
Note: 1 Ranked using 2013 Brook Hunt mine production data and Oyu Tolgois full capacity production. Source: Brook Hunt a Wood Mackenzie Company, Rio Tinto, Oyu Tolgoi LLC
Chart Book |
58
Attractive longer term growth profile

La Granja (100%) #7 Worlds seventh largest undeveloped copper resource La Granja staged development plan
Conceptual development plan
Copper (Ktpa) 600 500 400 300 200 100 0 0 Year Mill Source: Rio Tinto Leach Ore processed 9 Processing capacity (Mtpa) 160 140 120 100 80 60 40 20 0
Resolution (55%) #3 Worlds third largest undeveloped copper resource
Potential 500ktpa Cu for 40+ years Investment decision

expected ~2014 for phase 1 development Starter mine conceptually planned to commence 2016 First cathode product from heap leach 2017
High quality resource
1.47% copper with significant molybdenum Potential 600ktpa Cu with initial production ~2021 Prefeasibility and negotiations for land exchange are ongoing
Chart Book |
59
Grasberg metal strip

Cu (m lbs) 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021* 1,035 1,066 1,066 1,057 1,044 1,008 1,008 1,024 1,027 699 Au (000 oz) 1,283 1,471 1,461 1,493 1,529 1,589 1,589 1,589 1,593 872 Ag (000 oz) 4,010 4,268 4,277 4,156 3,768 3,359 3,359 3,396 3,405 2,196
Rio Tinto is entitled to 40% of all production in excess of the metal strip 2012 production not expected to reach amount set out in metal sharing agreement Due to planned mine sequencing in lower grade areas Accordingly, our share of production is expected to be zero throughout 2012
*Revisions were made to the 2021 metal strip following the industrial dispute in 2011.
Chart Book
60
Energy: challenging market and cost environment

Energy underlying results
US$ billions
1.5
Earnings impacted by lower prices and Australian cost inflation Significant unseasonal wet weather in Australia continued into July Closure of Blair Athol by end of 2012 First shipment of coking coal from Benga in June $227 million net gain on sale of Extract and Kalahari interests
0.5
0 H1 08 H1 09 H1 10 H1 11 H1 12
Underlying EBITDA
Underlying earnings
H1 2010 includes $0.4 billion (pre-tax) and $0.2 billion (post-tax) profit on disposal from Maules Creek and Vickery. H1 2012 earnings and EBITDA includes $0.2 billion and $0.3 billion respectively for the profit on the sale of Extract and Kalahari interests.
Chart Book |
61
Rio Tinto Coal Mozambique: a tier one resource

Tier one resource with expansion options; Moatize Basin is a 50yr+ opportunity Strategic potential to grow beyond 40mtpa coal Benga Mine officially opened May 2012; first shipment of coking coal June 2012. Rio Tinto Coal Mozambique has been integrated into Rio Tinto Developing cohesion and alignment of resource development/assessment plans CEO and senior management team in place Rio Tinto standards for Health, Safety, Environment and Community
Chart Book |
62
Benga: first production in H1 2012

Benga: 65% Rio Tinto, 35% Tata Steel Stage 1 production 2Mt of in-pit coal currently uncovered Plant commissioned early 2012 2012 is constrained by lack of coal chain capacity (target 800kt sales). Stage 1 potential (when coal chain capacity in place): 5.3Mtpa Run of Mine (ROM) 1.5Mtpa hard coking coal product 0.9Mtpa thermal coal product Power supply from the national grid Stage 2 production Growth potential up to 20Mtpa ROM (total mine hard coking coal to 6Mtpa and 4Mtpa thermal coal) Potential for 2015 commissioning first additional module dependent on coal chain capacity Zambeze: 100% Rio Tinto Potential production profile First production 2016 dependent on coal chain capacity Potential growth to 40mtpa (ROM) Mining concession application submitted to Mozambique Government 20,000t bulk sample collected to further coal quality test work programme Environmental and social impact assessment underway
Chart Book |
63
Mozambique coal chain capacity growth path

Barging options First Coal
June 2012 1-2 Mtpa RTCM capacity Sena Line to Port of Beira RTCM rail operations Capacity for 3Mtpa, growing to 10Mtpa+ River barging on Zambeze River, and transloaded to OGV off shore
Greenfield Rail & Port

2018+ Potential to 100+Mtpa (RTCM share to be negotiated) New infrastructure built on new alignment
Expand existing rail and port export corridors

2015+ Up to 40Mtpa across various corridors (RTCM share to be negotiated)
Chart Book |
64
Significant growth options across the Australian portfolio

2012 production increase through NSW brownfield expansions ongoing Clermont Mine business improvement programme Hail Creek expanded to 8Mtpa nameplate rate Kestrel Mine Extension Extends life to 2032, low cost, coking coal production to start 2013 incremental production (+1Mt) Capital cost increased to $2bn: 50% FX, 20% inflation, 30% delay/scope creep Investment decision to be made on Mount Pleasant an 8.5Mtpa operation
Bengalla, New South Wales
Chart Book |
65
Australian infrastructure
QLD
QLD Sufficient port/rail until greenfield expansions come online 2017 Northern Missing Link completed December 2011 Port capacity options post 2017 NSW Port allocation at NCIG and PWCS to meet growth needs New rail access undertaking approved Additional rail haulage being negotiated
NSW
Legend
Operating sites Undeveloped projects Growth options
Chart Book |
66
Diamonds and Minerals: strong fundamentals drive price, earnings growth

Diamonds and Minerals1 results
US$ millions
600 500 400 300 200 100 0 H1 2010 H2 2010 H1 2011 H2 2011 H1 2012 EBITDA Earnings
Strong earnings growth in titanium dioxide will continue as supply tightens and long term priced contracts unwind Sustained price growth for borates expected Doubled stake in RBM to drive further earnings growth Strong long term fundamentals for diamonds seeking to extract more value through different ownership structure
1. Includes RTIT, RTM, RTD, DSL, Talc (until disposal in mid 2011).
Portfolio of industry leading businesses
Chart Book | 67
Titanium dioxide
Minerals
Diamonds
Salt
#1 producer of TiO2
feedstocks
#2 producer of
refined borates
#3 rough diamond
producer globally
#1 exporter of solar
salt
#2 producer of zircon Mines in South

Africa, Canada, Madagascar with significant expansion potential
Tier one mine in

California with expansion optionality
Leader in the
production of coloured diamonds
JV between Rio
Tinto (68%), Marubeni (22%), Sojitz (10%)
Jadar lithium-borate
project in Serbia
Mines in Australia,
Canada, Zimbabwe
3 mines in Western
Australia
Portfolio optimised
through proprietary production technology and expertise
Potash Exploration
JV in Saskatchewan
Project in India Strategic review

underway
Slide 67
Chart Book | 68
RTIT is well positioned to capture market growth

TiO2 demand development Million tonnes, pigment (LHS), crude steel (RHS)
Future wealth and demographic profiles translate to an unprecedented surge in demand for TiO2 in pigment Little investment in new mine and smelting capacity in past two decades
Continuing to replace long-term price

contracts, increasing exposure to current market prices
Studies to expand mining and refining

Committed supply and demand growth kmt TiO2 feedstock
10,000 9,000 8,000 7,000 6,000 5,000 2005 2007 2009 2011 2013 2015 2017 2019
capacity by up to 50% launched in May 2012 and aims to capture more than 20% of demand growth out to 2020
Expected TIO4 supply contribution
Strong resource position to capture further

demand upside
Industry leader in reliability, furnace life,

energy efficiency and scale
Online supply
Committed projects
Demand
Source: Rio Tinto, World Steel Association

Slide 68
Building blocks for the growing middle class

Ilmenite mining (33 60% TiO2 feedstocks)
Chart Book | 69
Upgrading (80 - 95% TiO2 feedstocks)
Fluxes and welding rods (5% of production) Industrial uses
TiO2 pigments (90% of production) Paints and coatings (58%) Plastics (22%) Paper (9%) Other, eg inks, fabrics, cosmetics (11%)
Titanium metals (5% of production) Industrial (51%) Aerospace (29%) Military (11%) Automotive/medical/sporting goods (9%)
Sources: Rio Tinto, TZ Minerals International
Slide 69
Proprietary processes and products (RTFT)
Chart Book | 70
QMM Ilmenite (mineral sands)
RTFT Ilmenite (hard rock)
Sorelflux = crushed and screened lump ilmenite ore used by steelmakers to combat blast furnace hearth erosion
Sorelslag (80% TiO2) sulphate pigment process RTCS slag (90% TiO2) chloride pigment process
Smelter 9 furnaces
Liquid iron
TiO2 feedstocks (capacity = ~1.2 mtpa)
Sorelmetal: highpurity iron-carbon alloy used to produce castings with high impact resistance (capacity = 300 ktpa)
UGS plant UGS (95% TiO2) UGS plant chloride pigment process and titanium metal
Steel plant Sorelsteel billets for high quality wire and seamless tubes (capacity = 500 ktpa)
Metal powder plant Iron powders (capacity = 40 ktpa) and steel powders (capacity = 110 ktpa) used by the automotive industry
Slide 70
Chart Book | 71
Proprietary processes and products (RBM)
Dredge and Floating Concentrator Plant Heavy mineral concentrate Mineral separation plant Rutile and zircon Ilmenite
Dryer
Smelter 4 furnaces
Liquid iron
Electrostatic separation
Titanium dioxide slag (85% TiO2) chloride pigment process (capacity = ~1 mtpa)
Pig iron used to produce castings with high impact resistance (capacity = 500 ktpa)
Rutile used primarily in pigment manufacture (capacity = 100 ktpa)
Zircon used in ceramics and refractories (capacity = 300 ktpa)
Slide 71
Chart Book | 72
TiO2 pricing outlook remains strong

Price progression estimates from TZMI and brokers US$ nominal Previous multi-year pricing mechanisms have guaranteed volumes, but limited exposure to market pricing These are being replaced with new long-term contracts with shorter-term pricing (quarterly or per shipment) Some customers prefer to secure longer term volumes by reopening existing contracts early Price negotiations held to date have reflected tight market conditions Short term pricing exposure limits downside risk of under-selling Price discovery mechanisms include auctions (zircon) and negotiations (TiO2)
RTIT revenue by product line (US$bn, 100% basis)
2.5 2 1.5 1 0.5

Source: TZMI and broker reports
TiO2 contract volumes 2011 2015 (kt)

2500 2000 1500 1000 500 0 2011 2012 2013 2014 2015 Longer-term pricing
Source: Rio Tinto
0 2007 2008 2009 2010 2011
Shorter-term pricing
Co-product revenue TiO2 revenue Slide 72
Driving productivity and performance in borates

Borate demand drivers Cumulative kmt boric oxide B2O3 equivalent
1000 800 600 400 200 0 2007 2009 Urbanisation 2011 2013 Energy Efficiency 2015 2017 Agriculture 11%
CAGR
Chart Book | 73
Demand growth driven by energy efficiency,

food supply, consumer trends
5.9% 6.4%
Tier 1 orebody at Boron, California, with

consistent product quality and supply reliability
Options for incremental capacity expansion

through strategic production planning at low capital intensity
Production B203 kmt
Jadar lithium borate project can deliver two

high value product streams from one mine
2011 borate demand by end use
Source: Rio Tinto

2012, RioTinto, Tinto, All rights reserved 2012 Rio All Rights Reserved
Slide 73
Significant presence in the diamonds industry

Global share of production by value (2011)
9% 28% 16%
Alrosa
Chart Book |
74
Production of 11.7 million carats and revenue of

US$726 million in 2011
Third largest rough diamond producer globally

by volume, behind Alrosa and De Beers
7% 3% 2% 2%
Supplies all major markets with a leadership

position in emerging markets
10% 24%
Expected significant growth in production over

the next five years
CAGR (2010-20) 6.1%
Source: Rio Tinto
Supply demand balance (US$bn)

30 25 20 15 10 5 0 2010 2012 2014 2016 2018 2020 Rough Demand value (US$b) Rough Supply value (US$b)
Source: Rio Tinto
The worlds largest producer of coloured

diamonds
Supplier of more than 90% of the worlds rare

pink diamonds
CAGR (2010-20) 0.8%
Chart Book
75
Corporate information
76
Modelling earnings
2012 first half average price / rate Impact on full year underlying earnings ($m)
Earnings sensitivity
10% Change
Copper Aluminium Gold Iron ore Coal* A$ C$

*For both thermal and coking coal
367c/lb $2,081/t $1,652/oz
+/-37c/lb +/-$208/t +/-$165/oz +/-10% +/-10%
234 399 32 1,073 186 981 256
103 Usc 99 Usc
+/-US10.3c +/-US9.9c
Chart Book |
77
Principal corporate activity 2005 to 2009

2005
Buy-back of Rio Tinto Limited shares (off-market) Buy-back of Rio Tinto Plc shares
2006
$774m $103m $2,370m $303m $1,624m $37,481m $750m $1,695m $495m $850m $814m $764m $741m $14.8bn $388m $349m
Buy-back of Rio Tinto Plc shares (up to 31st December 2006) Purchase of 9.95% shareholding in Ivanhoe Mines
2007
Buy-back of Rio Tinto Plc shares Acquisition of Alcan

2008
Sale of 70.3% interest in Greens Creek Sale of 40% interest in Cortez gold mine Sale of Kintyre uranium project
2009
Sale of potash projects in Argentina (Potasio Rio Colorado) and Canada Sale of Corumb mine in Brazil Sale of Jacobs Ranch coal mine in US Cloud Peak IPO and related debt offering Net equity raised via rights issues to shareholders Increase in stake in Ivanhoe Mines to 19.7% Sale of Alcan Composites
Chart Book |
78
Principal corporate activity 2010 to 2012

2010

2011
Sale of majority of Alcan Packaging to Amcor Sale of Coal & Allied undeveloped properties (Maules Creek and Vickery) Rio Tinto share Sale of Alcan Packaging Food Americas to Bemis Inc Increase in stake in Ivanhoe Mines to 40.1% Sale of remaining 48% stake in Cloud Peak Energy Increase in stake in Ivanhoe Mines to 42.1% and participation in rights offering Increase in stake in Ivanhoe Mines to 46.5% Acquisition of Riversdale Mining Ltd (net of cash acquired) Sale of talc business to Imerys enterprise value Increase in stake in Ivanhoe Mines from 46.5% to 49% Increase in holding in Coal and Allied from 75.7% to 80% Acquisition of Hathor Buy-back of Rio Tinto plc shares (up to 31 December 2011) Purchase of remaining shares in Hathor Increase in stake in Ivanhoe Mines from 49% to 51% Buy-back of Rio Tinto plc shares (up to 26 March 2012) Increase in stake in Richards Bay Minerals from 37% to 74%
$1,948m $306m $1,200m $1,591m $573m $751m $502m $3,690m $340m $607m $266m $536m $5.5bn $76m $308m $1.5bn $1.7bn

2012
Note: only selected transactions are shown.
Chart Book |
79
Ongoing major capital projects (1 of 6)

All numbers on 100% basis (US$) Iron ore Two phased expansion of Iron Ore Company of Canada (IOC) (Rio Tinto 58.7%) from 18 to 22 Mt/a and then to 23.3Mt/a Iron ore Expansion of the Pilbara mines, ports and railways from 230Mt/a to 283Mt/a. Rio Tintos share of capex is $8.4 bn. Iron ore Expansion of the Pilbara port and rail capacity to 353Mt/a. Rio Tintos share of capex is $3.5 bn. Approved capital cost $0.8m Status Phase one is currently being commissioned as planned. Phase two is progressing with first production expected in late 2012. The phase one expansion to 283Mt/a is due to come onstream by the end of 2013. Dredging at Cape Lambert is complete and pilings are 85 per cent complete. The phase two expansion to 353Mt/a is expected to come onstream in the first half of 2015. This includes the port and rail elements which are now fully approved and an investment in autonomous trains. The key component of the project still requiring approval is further mine production capacity. Approved in August 2010, first production is expected in 2013. The new mine is anticipated to have a capacity of 15 Mt/a and a capital cost of $1.6 billion (Rio Tinto share $0.8 billion). Rio Tinto is funding the $0.5 billion for the rail spur, rolling stock and power infrastructure.
$9.8bn
$5.9bn
Iron ore Development of Hope Downs 4 mine in the Pilbara (Rio Tinto 50%) to sustain production at 230 Mt/a
$2.1bn
Chart Book |
80

All numbers on 100% basis (US$) Iron ore Phase two of the Marandoo mine expansion in the Pilbara to sustain production at 230 Mt/a Iron ore Investment to extend the life of the Yandicoogina mine in the Pilbara to 2021 and expand its nameplate capacity from 52 Mt/a to 56 Mt/a. Iron ore Investment in detailed design studies, early works and longlead items at the Simandou iron ore project in Guinea, West Africa. Approved capital cost $1.1bn Status Approved in February 2011, the mine will extend Marandoo at 15 Mt/a by 16 years to 2030. Approved in June 2012, the investment includes a wet processing plant to maintain product specification levels and provide a platform for future potential expansion. Approved in June 2012, the investment (Rio Tinto share $501 million) is primarily for rail and port infrastructure with first commercial production planned for mid-2015. Timing of the ramp up is dependent on receiving necessary approvals from the Government of Guinea and on the Government of Guinea progressing and finalising its financing strategy.
$1.7bn
$1.0bn
Chart Book |
81

All numbers on 100% basis (US$) Aluminium Construction of a new 225MW turbine at the Shipshaw power station in Quebec, Canada Aluminium Modernisation of ISAL smelter in Iceland Approved capital cost $0.3bn Status Approved in October 2008, the project remains on track to be completed in December 2012. An additional $40m was approved in 2011 due to currency impacts and scope changes. Approved in September 2010, the project is expected to increase production from 190kt to 230kt by the third quarter of 2014. The new casting facility produced its first billet in the second quarter of 2012 Approved in December 2010, first hot metal is expected in February 2013. A further amount of $2.7bn was approved in December 2011. This was in addition to the cumulative spend of $550m. It will increase capacity from 280ktpa to 420ktpa. Expected to come onstream in first half of 2014.
$0.5bn
Aluminium 60kt per annum AP60 plant in Quebec, Canada Aluminium Modernisation and expansion of Kitimat smelter in British Columbia
$1.1 bn $3.3bn
Chart Book |
82

All numbers on 100% basis (US$) Molybdenum Investment in the Moly Autoclave Process (MAP) in Utah, United States to enable lower-grade molybdenum concentrate to be processed more efficiently than conventional roasters and allow improved recoveries Nickel Construction of the Eagle nickel and copper mine in Michigan, United States. Copper Construction of phase one of Oyu Tolgoi copper/ gold mine in Mongolia. In 2012, Rio Tinto increased its stake in Ivanhoe to 51%. Ivanhoe owns 66 % of OT. Approved capital cost $0.5bn Status The facility is due to come onstream by the second quarter of 2013 followed by a 12 month period to reach full capacity
$0.5bn
Approved in June 2010, first production is expected in early 2014. The mine will produce an average of 16kt and 13kt per year of nickel and copper metal respectively over seven years. The Oyu Tolgoi project was 90 per cent complete at 30 June 2012. First commercial production is expected in the first half of 2013. Turquoise Hill is due to release its second quarter results on 14 August 2012.
$5.9bn
Chart Book |
83

All numbers on 100% basis (US$) Copper Development of Organic Growth Project 1 and the Oxide Leach Area Project at Escondida (RT share 30%), Chile. Approved capital cost $1.4bn (RT share) Status Approved in February 2012, OGP1 primarily relates to replacing the Los Colorados concentrator with a new 152kt per day plant, allowing access to high grade ore. Construction of the new plant is expected to be complete within three years. OLAP maintains oxide leaching capacity. Investment to continue the pre-production construction of the Grasberg Block Cave, the Deep Mill Level Zone underground mines, and the associated common infrastructure. Rio Tintos final share of capital expenditure will in part be influenced by its share of production over the 2012 to 2016 period. The project was approved in June 2012. Ore from the south wall push back will be processed through existing mill facilities. The investment will enable production at an average of 180kt of copper, 185koz of gold and 13.8kt of molybdenum a year from 2019 through 2029.
Copper Grasberg project funding for 2012 to 2016
$0.9bn (RT share)
Copper - Investment over next seven years to extend mine life at Kennecott Utah Copper, United States from 2018 to 2029.
$0.7bn
Chart Book |
84

All numbers on 100% basis (US$) Thermal coal 20 year extension and expansion from 4.3 Mt/a to 5.7 Mt/a at Kestrel (Rio Tinto 80%), Queensland, Australia Diamonds Argyle Diamond mine underground project, extending the mine life to at least 2019. (Originally approved in 2005, the project was slowed in 2009 and restarted in September 2010.) Approved capital cost $2.0bn Status The investment will extend the life of the mine to 2031 and is expected to come onstream in the second quarter of 2013. Capital cost increased from $1.1bn: 50% of the increase relates to exchange rates, 20% from higher inflation and 30% due to delays and scope changes. An additional $0.6bn was approved in November 2011, primarily reflecting the impact of a record 2010/11 wet season and adverse exchange movements. Production is expected to commence in the first half of 2013 with full production in 2014.
$2.2bn
Chart Book |
85
Market capitalisation of major listed mining companies

At 15 August 2012
(US$bn)
BHP Billiton Vale Rio Tinto Shenhua Anglo American Xstrata Potash Corp Barrick Gold Glencore Freeport Norilsk Goldcorp Southern Copper Co Mosaic Grupo Mexico Newmont Mining Teck Cominco Newcrest Antofagasta Fresnillo 0 159.5 105 90.5 71.1 44.3 39.6 37.7 34.8 34.1 31.5 30.9 27.6 26 23.4 22.6 22.6 17.4 16.6 16.4 16.1 50 100 150
Chart Book |
86
Geographical analysis of Rio Tinto shareholders

At 13 August 2012
(%)
16
37 9
19
19 UK North America Australia Europe Asia
Chart Book |
87
Rio Tinto executives

Chairman
Chairman Jan du Plessis
Group executive / directors

CEO Sam Walsh
CFO Guy Elliott
ExCo
Aluminium Montreal Copper London Diamonds & Minerals London Alan Davies Energy Brisbane Iron Ore Perth Technology People & & Innovation Organisation Salt Lake London Preston Chiaro Hugo Bague Legal & External Affairs London Debra Valentine Business Support & Operations London Bret Clayton
Jacynthe Ct
Andrew Harding
Harry KenyonSlaney
Paul Shannon(1)
(1) Acting head of Iron Ore, as of 17 January 2013
Chart Book |
88
Rio Tinto Boards diverse, operational experience

Role Chairman Executive Director Executive Director Non-executive Directors Name Jan du Plessis Sam Walsh Guy Elliott Robert Brown Vivienne Cox Michael Fitzpatrick Ann Godbehere Sector experience Finance former chairman of BAT plc CEO since 2013, CEO Rio Tinto Iron Ore since 2004, CEO Aluminium 2001-2004, Rio Tinto since 1991 Rio Tinto since 1980, CFO since 2002 Aerospace Chairman of Groupe Aeroplan Inc. Joined Boards on 1 April 2010 Oil and Gas Head of Gas Power, Renewables and Trading, BP plc Finance Founder and former director of Hastings Fund Management Finance former CFO of Swiss Re. Joined Boards on 9 February 2010. Chairman of the Audit committee
Chart Book |
89
Rio Tinto Boards diverse, operational experience (contd)

Role Non-executive Directors Name Richard Goodmanson Lord Kerr Sector experience Chemicals ex COO of DuPont Govt/Foreign Affairs Head of UK Diplomatic Service, Ambassador in USA/EU. Deputy Chairman of Royal Dutch Shell plc Mining and metals former CFO of BHP Billiton and formerly group president Carbon Steel Materials. Prior to this he spent 20 years with Alcoa Inc. Currently chief executive officer of Transurban Group. Aluminium / Government former non-executive director of Alcan, former CEO of Bombardier and Cabinet Secretary to Government of Canada Finance former CEO of Barclays. Chairman of the Remuneration Committee. Current non-executive directorships at AstraZeneca plc and BlackRock Inc. He remains a senior advisor to Barclays.
Chris Lynch
Paul Tellier
John Varley

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January 2013 riotinto.

Driverless trucks, Pilbara

January 2013 riotinto.com

Financial calendar 2013

2012, Rio Tinto, All rights reserved

Continued improvements in safety

All injury frequency rate

Lost time injury frequency rate

2012, Rio Tinto, All rights reserved

Delivering on our strategy

2012, Rio Tinto, All rights reserved

Rio Tinto a world leader in mining

Diamonds & Minerals

2011 market share data

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Europe Asia Africa

Aluminium Copper Diamonds Energy Iron ore Minerals

South America Australasia

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>85% of assets in OECD

Canada 25% Europe 5% US 7% Mongolia Other Asia1 2% Africa

2011 total assets = $95 billion

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China North America

Other Asia Other

Gross sales revenue in H1 2012 = $28 billion

Embedding leadership in next generation step change technologies

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2012 first half highlights

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Strong underlying earnings in a lower price environment

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External cost pressures have reduced but remain significant

One-offs and volume related Structural cost increases Mining Inflation

Other -200 -100 0 100 200

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Capital expenditure is being prioritised on the highest quality projects

Sustaining Pilbara - sustaining mines Other Approved

Pilbara - historical Pilbara - growth

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Approved capital expenditure diversified across geographies and products

Australia United States Other Excludes equity accounted units

Copper Energy Other

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Balancing value adding investment with returns to shareholders

Disciplined investment in highest value projects

Prudent balance sheet management

$10 billion of non-sustaining investments in 2012

Single A credit Rating Average borrowing maturity of 9 years

Progressive dividend increased by 34% $7 billion buy-back completed

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Our growth programme is across regions, products and brownfield/greenfield

Pilbara growth +133mtpa iron ore

Major capital projects underway

$ Capex remaining 2012-2015(3)(4)

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Diamonds & Minerals

Bunder (diamonds) Diavik A21 (diamonds) Jadar (borates, lithium)

Ilmenite mine expansions TiO2 smelter expansions

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Chinas share of market demand

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Chinese steel production and iron ore imports