TIDMRIO
RNS Number : 7675Z
Rio Tinto PLC
16 January 2024
Rio Tinto releases fourth quarter production results
16 January 2024
Rio Tinto Chief Executive Jakob Stausholm said: "We were
fatality free for the fifth consecutive year at our managed
operations but we remain vigilant and continue to learn from safety
incidents. The Group's total copper equivalent production increased
by just over 3% from 2022, reflecting the Gudai-Darri mine in the
Pilbara reaching its nameplate capacity and deployment of our Safe
Production System. We also benefited from our increased ownership
in Oyu Tolgoi as the underground ramps up and the Kitimat aluminium
smelter returned to full capacity.
"We made real progress in shaping our portfolio for the future,
entering the recycled aluminium market in North America and
progressing the world class Simandou iron ore project in Guinea. We
have one of the most exciting exploration pipelines in years,
including our new copper joint venture with Codelco, launched in
December. We continue to work hard to transform our culture and to
invest in deep engagement and partnerships with Traditional Owners,
such as our agreement to explore renewable energy projects with the
Yindjibarndi Energy Corporation.
"There is good demand for the materials we produce, and our
purpose and long-term strategy make more sense than ever. The work
we are doing today is creating a stronger Rio Tinto for years to
come, as we invest in profitable growth while continuing to deliver
attractive shareholder returns."
Q4 vs Q4 vs Q3
Production* 2023 2022 2023 2023 vs 2022
---------------------------- --- ------ ------ ------ ------ -------
Pilbara iron ore shipments
(100% basis) Mt 86.3 -1% +3% 331.8 +3%
Pilbara iron ore production
(100% basis) Mt 87.5 -2% +5% 331.5 +2%
Bauxite Mt 15.1 +15% +8% 54.6 0%
Aluminium kt 846 +8% +2% 3,272 +9%
Mined copper (consolidated
basis) kt 160 +5% -6% 620 +2%
Titanium dioxide slag kt 275 -15% +11% 1,111 -7%
IOC** iron ore pellets
and concentrate Mt 2.7 +7% +13% 9.7 -6%
---------------------------- --- ------ ------ ------ ------ -------
*Rio Tinto share unless otherwise stated
**Iron Ore Company of Canada
Q4 2023 operational highlights and other key announcements
-- The safety, health and wellbeing of our workforce and
communities where we operate remains our priority. We achieved our
fifth consecutive year with no fatalities at our managed
operations. But we maintain a state of chronic unease as safety
incidents continued to occur at our sites, including two Permanent
Disabling Injuries in 2023. We are applying learnings from these to
enhance processes across our operations.
-- Pilbara operations produced 331.5 million tonnes (100% basis)
of iron ore, 2% higher than 2022. Improved productivity, supported
by ongoing implementation of the Safe Production System, and the
ramp up of Gudai-Darri to its nameplate capacity of 43 million
tonnes per annum, within 12 months of commissioning, more than
offset mine depletion. Shipments were 331.8 million tonnes (100%
basis), 3% higher (+10 million tonnes) than 2022 and the second
highest on record, with healthy inventory positions at
year-end.
-- On 18 October, we announced plans to increase iron ore
production capacity at Gudai-Darri by 7 million tonnes to 50
million tonnes a year through incremental productivity gains, at a
cost of around $70 million. The capacity increase is subject to
environmental, heritage and other relevant approvals.
-- Bauxite production of 54.6 million tonnes in 2023 was
unchanged from 2022. Operations saw a continued improvement in the
fourth quarter, with production 8% higher than the prior quarter,
following the challenges of higher-than-average rainfall at Weipa
in the first quarter and equipment downtime at both Weipa and Gove
in the first half.
-- Aluminium production of 3.3 million tonnes was 9% higher than
2022 after we returned to full capacity at the Kitimat smelter and
completed cell recovery efforts at Boyne during the third quarter.
All other smelters continued to demonstrate stable performance.
-- On 1 December, we announced the completion of a transaction
to form the Matalco joint venture. Following receipt of all
regulatory approvals, we acquired, and settled payment for, a 50%
equity stake from Giampaolo Group for $0.7 billion, subject to
usual closing adjustments. Matalco will remain the operator of the
joint venture's one Canadian and six US sites which have a combined
annual capacity of 900 thousand tonnes. Production from Matalco in
2023 was 582 thousand tonnes of recycled aluminium with Rio Tinto
marketing these products from 1 December 2023.
-- Mined copper production of 620 thousand tonnes (consolidated
basis) was 2% higher than 2022 reflecting first sustainable
production from Oyu Tolgoi underground in the first quarter and a
full year of increased ownership of Oyu Tolgoi. This offset
challenges at Kennecott following the conveyor failure in March,
with the concentrator not returning to full capacity until the
third quarter.
-- Refined copper production of 175 thousand tonnes was 16%
lower than 2022 as we undertook the largest rebuild of the smelter
and refinery in Kennecott's history across the second and third
quarters. With the smelter rebuild successfully completed and the
ramp-up progressing, we expect a return to stable production in the
first quarter of 2024.
-- On 8 November, we completed the acquisition of PanAmerican
Silver's stake in Agua de la Falda and entered a joint venture
(known as Nuevo Cobre) with Corporación Nacional del Cobre de Chile
(Codelco) to explore and potentially develop copper assets in
Chile's prospective Atacama region.
-- Titanium dioxide slag (TiO(2) ) production of 1,111 thousand
tonnes was 7% lower than 2022. Two furnaces at our RTIT Quebec
Operations remain offline following process safety incidents in
June and July. In the fourth quarter, we decommissioned an
additional furnace, which is due for reconstruction in 2024.
-- IOC production of 9.7 million tonnes, was 6% lower than 2022
with challenges due to the wildfires in Northern Quebec in the
second quarter, as well as extended plant downtime and conveyor
belt failures in the third quarter.
-- We are now deploying our Safe Production System at 60% of our
sites, with implementation at various stages of maturity. Key
performance highlights include a 20% yearly improvement in AIFR
globally where the Safe Production System has been deployed, as
well as a 5 million tonne uplift in iron ore production. With eight
Safe Production System deployment sites having achieved their best
ever demonstrated production in recent months, we are well
positioned to deliver our 2024 priorities, including a further 5
million tonne uplift at our Pilbara operations.
-- On 6 December, we held our Investor Seminar in Sydney where
we provided an update on our long-term strategy of investing with
discipline to strengthen operations, delivering growth in a
decarbonising world and continuing to generate attractive
shareholder returns. We gave an update on the world class Simandou
iron ore project in Guinea, as well as our decarbonisation
investments, with our commitment to halve Scope 1 and 2 emissions
by 2030 remaining unchanged.
-- The full year cash outflow from an increase in working
capital was comparable to the first half ($0.9 billion outflow in
the first half of 2023). This movement was driven by healthy stocks
in the Pilbara, still elevated in-process inventory at Kennecott
following the smelter rebuild and weaker market conditions
including for titanium dioxide feedstock. Receivables also
reflected a higher iron ore price at the end of 2023 that will be
monetised in 2024. Operating cash flow was also impacted by lower
dividends from Escondida.
-- There were four changes to the Board during the fourth quarter:
On 25 October, we announced the appointment of James "Joc"
O'Rourke as a non-executive director. Mr O'Rourke has more than 25
years of experience across the mining industry, including as former
CEO of The Mosaic Company and a range of executive roles at Barrick
Gold Corporation.
On 15 December, we confirmed that Dr Megan Clark has stepped
down as a non-executive director, having served for nine years on
the Board.
On 22 December, we announced the appointment of Martina Merz as
a non-executive director. Ms Merz brings extensive leadership and
operational experience, most recently as CEO of industrial
engineering and steel production conglomerate ThyssenKrupp. Ms Merz
has held numerous leadership roles, including at Robert Bosch.
On 22 December, we also announced the appointment of Sharon
Thorne as a non-executive director. Ms Thorne is a Chartered
Accountant and has had a 36-year career with Deloitte, becoming an
audit partner in 1998 and holding numerous Executive and Board
roles. Ms Thorne was appointed Global Chair in 2019, before
retiring in 2023.
-- On 22 November, we announced that we had reached a court
approved settlement with the Securities and Exchange Commission
(SEC) of a suit brought in 2017 concerning disclosure of the
impairment of Rio Tinto Coal Mozambique reflected in our 2012
accounts. Without admitting to or denying the SEC's allegations
related to our books, records and reporting requirements, we agreed
to pay a $28 million penalty and retain an independent consultant
to advise on our current policies, procedures, and controls related
to impairment, disclosures and project risk. With this settlement,
all investigations of Rio Tinto regarding this matter have been
finalised.
-- Subsequent to the end of the period, Dampier Salt Limited
entered into a sales agreement for the Lake MacLeod salt and gypsum
operation in Carnarvon, Western Australia with privately-owned salt
company Leichhardt Industrials Group for $251 million (A$375
million). Completion of the sale is subject to certain commercial
and regulatory conditions being satisfied.
All figures in this report are unaudited. All currency figures
in this report are US dollars, and comments refer to Rio Tinto's
share of production, unless otherwise stated.
2024 guidance
Rio Tinto production share, unless otherwise 2023 2023 2024
stated Guidance Actuals Guidance
--------------------------------------------- --------- -------- ------------
Pilbara iron ore (shipments, 100% basis) 320 to 323 to
(Mt) 335(1) 331.8 338
54 to 53 to
Bauxite (Mt) 57(2) 54.6 56
Alumina (Mt) 7.4 to 7.6 to
7.7 7.5 7.9
Aluminium (Mt) 3.1 to 3.2 to
3.3 3.3 3.4
590 to 660 to
Mined copper (kt)(3) 640 620 720
160 to 230 to
Refined copper (kt) 190 175 260
Diamonds (M carats) 3.0 to
3.8 3.3 Not provided
Titanium dioxide slag (Mt) 1.1 to 0.9 to
1.4(2) 1.1 1.1
IOC(4) iron ore pellets and concentrate 9.3 to 9.8 to
(Mt) 9.8 9.7 11.5
Boric oxide equivalent (Mt) 0.5 0.5 0.5
--------------------------------------------- --------- -------- ------------
(1) In the upper half of the range.
(2) In the lower end of the range.
(3) Mined copper for 2023 guidance and actuals includes Oyu
Tolgoi on a 100% consolidated basis following Rio Tinto's
acquisition of Turquoise Hill Resources Ltd, which completed on 16
December 2022.
(4) Iron Ore Company of Canada continues to be reported at Rio
Tinto share.
-- 2024 production guidance is unchanged since December 2023.
-- Expectations for Pilbara iron ore shipments in 2024 remain at
323 to 338 million tonnes, unchanged since October 2023. SP10
levels are expected to remain elevated until replacement projects
are delivered. Levels are dependent on the timing of approvals for
planned mining areas, including heritage clearances.
-- Iron ore shipments and bauxite production guidance remain subject to weather impacts.
Operating costs
-- Guidance for 2024 Pilbara iron ore and Copper C1 unit cash
costs will be provided in the 2023 full year results release due on
21 February 2024.
-- Guidance for 2023 Pilbara iron ore unit cash costs is
unchanged at the lower half of our $21.0 to $22.5 per tonne range
(based on an average actual A$:US$ exchange rate for 2023 of
0.66).
-- We expect to be in the upper half of the 2023 Copper C1 unit
costs guidance range of 180 to 200 US cents/lb.
Aluminium modelling
As reported in the first half of 2023, to assist with modelling
of aluminium operating costs during a volatile price environment
for raw materials we provide the following breakdown and
sensitivities for the alumina and aluminium metal segments (Primary
Metal and Pacific Aluminium). This excludes the effect of intra and
inter segment eliminations on group profit.
Alumina refining
Production FY H1 H2 FY
cash cost (%) 22 23 23 23
--------------- --- --- --- -----
Bauxite 31 31 31 31
Conversion 32 32 36 33
Caustic 23 24 20 22
Energy 14 13 13 13
--------------- --- --- --- -----
Total 100 100 100 100
FY 23
Annual cost
H1 22 H2 22 H1 23 H2 23 sensitivity
Input costs Index Index Index Index Inventory impact on underlying
(nominal) price price price price flow(3) EBITDA
------------------ ------ ------ ------ ------ ------------ ---------------------
Caustic soda(1)
($/t) 675 595 432 369 3 - 4 months $11m per $10/t
Natural gas(2)
($/mmbtu) 6.02 7.01 2.61 2.79 0 - 1 month $4m per $0.10/GJ
Brent oil ($/bbl) 105.9 93.8 79.2 85.4 N/A $2m per $10/bbl
------------------ ------ ------ ------ ------ ------------ ---------------------
(1) North East Asia FOB | (2) Henry Hub | (3) Based on quarterly
standard costing (moving average)
Aluminium smelting
Production FY H1 H2 FY
cash cost (%) 22 23 23 23
--------------- --- --- --- ---
Alumina 41 37 38 37
Power 19 18 19 18
Conversion 17 20 22 21
Carbon 21 23 19 21
Materials 2 2 2 2
--------------- --- --- --- ---
Total 100 100 100 100
FY 23
Annual cost
H1 22 H2 22 H1 23 H2 23 sensitivity
Input costs Index Index Index Index Inventory impact on underlying
(nominal) price price price price flow(4) EBITDA
------------------ ------ ------ ---------------- ---------------- --------------- ---------------------
Alumina(1) ($/t) 395 328 349 335 1 - 2 months $60m per $10/t
Petroleum coke(2)
($/t) 695 719 636 496 2 - 3 months(5) $11m per $10/t
Coal tar pitch(3)
($/t) 1103 1476 1,399 1,130 1- 2 months $2m per $10/t
------------------ ------ ------ ---------------- ---------------- --------------- ---------------------
(1) Australia FOB | (2) US Gulf FOB | (3) North America FOB |
(4) Based on quarterly standard costing (moving average) | (5) Pet
coke flows through inventory on a two to three month basis. This
does not take into consideration the lag between market index
prices and realised cost through to EBITDA. There is an additional
lag of 1 - 3 months between price settlement and shipment date.
Investments, growth and development projects
-- Pre-tax and pre-divestment expenditure on exploration and
evaluation charged to the profit and loss account in 2023,
excluding Simandou, was $855 million, compared with $706 million in
2022 on the same basis. Approximately 30% of the spend was by
central exploration, 31% by Minerals (with the majority focusing on
lithium), 31% by Copper and 7% by Iron Ore.
-- Spend on Simandou in 2023 was $0.9 billion (on a 100%(1)
basis), compared to $0.2 billion in 2022. The 2023 spend includes
around $0.4 billion to be funded by CIOH after receiving Chinese
regulatory approvals.
Pilbara mine projects
-- Construction of our Western Range mine is currently on
schedule with civil work well advanced, while we continue to
progress primary crusher works, bulk earthworks and mine
pre-strip.
-- We advanced our next tranche of Pilbara mine replacement
project studies including Hope Downs 1 Sustaining (Hope Downs 2 and
Bedded Hilltop), Brockman 4 sustaining (Brockman Syncline 1),
Greater Nammuldi Sustaining and West Angelas Sustaining. We are
working closely with Traditional Owners and Government Regulators
on Part IV environmental approvals and heritage clearances.
-- On 5 December, we announced approval of a $77 million
pre-feasibility study (PFS) to progress development of the Rhodes
Ridge project. The PFS follows completion of an Order of Magnitude
study that considered development of an operation with initial
capacity of up to 40 million tonnes per year, subject to relevant
approvals. Completion of the PFS is expected by the end of 2025 and
will be followed by a feasibility study, with first ore expected by
the end of the decade.
Oyu Tolgoi underground project
-- We continue to see strong performance from the underground
mine, with a total of 86 drawbells opened from Panel 0, including
14 during the quarter. The operation is expected to ramp up to
deliver average mined copper production of 500ktpa (100% basis)
between 2028 and 2036(2) .
-- Sinking of ventilation shafts 3 and 4 continued to progress
well during the quarter and at the end of December reached depths
of 923 metres and 1,013 metres below ground level, respectively.
Final depths required for shafts 3 and 4 are 1,130 and 1,176 metres
respectively. Both shafts are expected to be commissioned in the
second half of 2024.
-- Construction of the conveyor to surface works continued to
plan and was 88% complete at the end of the quarter. Commissioning
remains on track for the second half of 2024.
-- Construction works for the concentrator conversion remains on
schedule. Commissioning is expected to be progressively completed
from the fourth quarter of 2024 through to the second quarter of
2025.
-- During the quarter, Rio Tinto, Oyu Tolgoi and the Government
of Mongolia continued to work together towards the implementation
of Mongolian Parliamentary Resolution 103.
Simandou iron ore project
-- During our Investor Seminar , we gave an update on Rio
Tinto's Simandou iron ore project in Guinea, which is being
progressed through the Simfer joint venture in partnership with
CIOH, a Chinalco-led consortium(3) and the Republic of Guinea.
Simandou is the world's largest untapped high-grade iron ore
deposit . We estimate our initial(4) share of capital expenditure
is approximately $6.2 billion(5) including development of the
Simfer mine, to be owned and operated by our existing Simfer joint
venture, and the co-developed rail and port infrastructure project,
to be constructed through a joint venture between our Simfer joint
venture, Winning Consortium Simandou (WCS)(6) , Baowu and the
Republic of Guinea. We expect full year expenditure for 2023 of
around $0.9 billion to progress critical path works, including
around $0.4 billion to be funded by CIOH after receiving Chinese
regulatory approvals. First production from the Simfer mine is
expected in 2025, ramping up over 30 months to an annualised
capacity of 60 million tonnes per year(7) (27 million tonnes per
year Rio Tinto share).
-- We continued to make progress through the fourth quarter
towards finalising the infrastructure joint venture arrangements
between Simfer Jersey, WCS, Baowu and the Republic of Guinea, with
a number of additional agreements signed in December. We continue
to work with our partners to finalise(8) regulatory approvals.
Chinese outbound investment approval processes are advancing and
expected in the first quarter. In the meantime, antitrust
clearances, including from China, were received in December. Full
sanction of the project by the Rio Tinto Board is subject to the
remaining conditions being met, including joint venture partner
approvals and regulatory approvals from China and Guinea. Simfer
mobilisation continued with a workforce of nearly 6,000 on site to
support critical path works to ensure progress on mine, port and
rail construction.
Other key projects and exploration and evaluation
-- At Complexe Jonquière in Quebec, Canada, we continued early
works for the expansion of our low-carbon AP60 aluminium smelter
during the quarter. Once completed, the project will add 96 new
AP60 pots, increasing capacity by approximately 160,000 metric
tonnes of primary aluminium per year. This new capacity, in
addition to 30,000 tonnes of new recycling capacity at Arvida
expected to open in the first quarter of 2025, will offset the
170,000 tonnes of capacity lost through the gradual closure of
potrooms at the Arvida smelter from 2024.
-- At Kennecott, progress on the North Rim Skarn (NRS)
underground development and infrastructure was impacted by a ground
fall event. Full underground activities have resumed, however,
production from the NRS is now forecast to commence in the first
quarter of 2025 (previously 2024).
-- At the Resolution Copper project in Arizona, the United
States Forest Service (USFS) continued work to progress the Final
Environmental Impact Statement (FEIS) and complete actions
necessary for the land exchange. We continued to advance
partnership discussions with federally-recognised Native American
Tribes who are part of the formal consultation process. We are also
monitoring the Apache Stronghold versus USFS case held in the US
Ninth Circuit Court of Appeals. While there is significant local
support for the project, we respect the views of groups who oppose
it and will continue our efforts to address and mitigate
concerns.
-- At the Winu copper-gold project in Western Australia, Project
Planning Agreements were executed with the Nyangumarta and Martu
groups, the Traditional Owners of the land on which the proposed
Winu mine and airstrip will be located. Study activities, drilling
and fieldwork progressed sufficiently to commence Winu's formal
Western Australian Environmental Protection Authority (EPA)
approval process. Work in 2024 to complete the environmental
approval deliverables and the Project Agreement negotiations with
both Traditional Owner groups remains the priority.
-- Nuton, our proprietary copper heap leaching technology
venture, announced non-dilutive financing of $33 million for an
option to enter into a joint venture agreement with Arizona Sonoran
Copper Company Inc. (ASCU). The strategic alliance aims to deploy
Nuton at ASCU's Cactus Mine and the Parks/Salyer Project in
Arizona. In addition, Nuton invested $10 million in the Yerington
project, owned by Lion Copper & Gold (LionCG) and located in
Nevada. As at the end of 2023, Nuton's portfolio comprised of six
partnerships (Cactus with ASCU, Yerington with LionCG, Johnson Camp
with Excelsior, AntaKori with Regulus, Escondida with BHP and Los
Azules with McEwen) across four countries .
-- We continue to believe that the Jadar lithium-borate project
in Serbia has the potential to be a world-class asset, that will
support the development of other future industries in Serbia,
acting as a catalyst for tens of thousands of jobs for current and
future generations, and sustainably producing materials critical to
the energy transition. We are focused on consultation with all
stakeholders to explore options related to the project's
future.
-- At the Rincon lithium project in Argentina, development of
the three thousand tonne per annum lithium carbonate starter plant
is ongoing with the installation of the adsorption columns,
evaporator, main tanks and construction camp. We progressed studies
for the full-scale operation during the quarter, and the
exploration campaign to further understand Rincon's basin, brine
and water reservoirs. We continue to engage with communities, the
province of Salta and the Government of Argentina to ensure an open
and transparent dialogue with stakeholders about the works
underway. We continue to expect first production from the three
thousand tonne per annum lithium carbonate starter plant by the end
of 2024.
(1) Costs relating to the Simfer joint venture where the
Government of Guinea holds 15% and Simfer Jersey holds 85%. Simfer
Jersey is owned by Rio Tinto (53%) and Chalco Iron Ore Holdings
(CIOH) (47%).
(2) The 500ktpa copper production target (stated as recoverable
metal) for the Oyu Tolgoi underground and open pit mines for the
years 2028 to 2036 was previously reported in a release to the
Australian Securities Exchange (ASX) dated 11 July 2023 "Investor
site visit to Oyu Tolgoi copper mine, Mongolia". All material
assumptions underpinning that production target and those
production profiles continue to apply and have not materially
changed.
(3) Simfer Jersey Limited is a joint venture between the Rio
Tinto Group (53%) and Chalco Iron Ore Holdings Ltd (CIOH) (47%), a
Chinalco-led joint venture of leading Chinese SOEs (Chinalco (75%),
Baowu (20%), China Rail Construction Corporation (2.5%) and China
Harbour Engineering Company (2.5%)). Simfer S.A. is the holder of
the mining concession covering Simandou Blocks 3 & 4, and is
owned by the Guinean State (15%) and Simfer Jersey Limited (85%).
Simfer Infraco Guinée S.A.U. will deliver Simfer's scope of the
co-developed rail and port infrastructure, and is, on the date of
this notice, a wholly-owned subsidiary of Simfer Jersey Limited,
but will be co-owned by the Guinean State (15%) after closing of
the co-development arrangements. Simfer Jersey will ultimately own
42.5% of Compagnie du Transguinéen, which will own and operate the
co-developed infrastructure during operations.
(4) A true-up mechanism will apply between Simfer and WSC to
equalise their out of pocket costs of constructing the co-developed
rail and port infrastructure.
(5) Estimated numbers, subject to approval by all joint venture
partners and government authorities.
(6) WCS is currently a consortium of Singaporean company,
Winning International Group (50%), Weiqiao Aluminium (part of the
China Hongqiao Group) (50%) and United Mining Supply Group (nominal
shareholding). WCS is the holder of Simandou Blocks 1 & 2 (with
the Government of Guinea holding a 15% interest in the mining
vehicle and WCS holding 85%) and associated infrastructure. Baowu
Resources has entered into an agreement to acquire a 49% share of
WCS mine and infrastructure projects through a Baowu-led
consortium, subject to conditions including regulatory approvals.
In the case of the mine, Baowu has an option to increase to 51%
during operations.
(7) The estimated annualised capacity of approximately 60
million dry tonnes per annum iron ore for the Simandou life of mine
schedule was previously reported in a release to the Australian
Securities Exchange (ASX) dated 6 December 2023 titled "Investor
Seminar 2023". Rio Tinto confirms that all material assumptions
underpinning that production target and those production profiles
continue to apply and have not materially changed.
(8) Co-development of the rail and port infrastructure remains
subject to a number of conditions, including regulatory approvals
in Guinea and China, the entry into a number of legal agreements,
ratification of the investment framework for co-development by the
Republic of Guinea, and agreement between Simfer, WCS and the
Republic of Guinea regarding the budget for the rail and port
infrastructure.
Sustainability highlights
During 2023, we continued to implement the 26 recommendations of
the Everyday Respect rep ort . As part of this, we have invested in
developing the mindsets, behaviours and skills of all employees to
create a safe, respectful and inclusive workplace. This included
all our leaders and 81% of employees completing training on
building psychological safety and being an upstander. Twenty new
village councils are now in place and Care Hub has been launched to
help people impacted by harmful behaviours, reaching 30,000
employees, across Australia, New Zealand and Mongolia. We will be
conducting an independent progress review with Elizabeth Broderick
during 2024 which we plan to share externally.
Through 2023, we continued our work on our 2019 water targets,
which consisted of one Group and six-site based targets, and, at
year-end, remained on-track to substantially meet these. In 2023,
on World Water Day, we became the first major mining company to
release our site-by-site water usage. The interactive online map
shows surface water usage across our global network of managed
sites in 35 countries. In December 2023, we released our 2021 -
2023 Water Report for QMM which provides further detail on the
water strategy, and water quality data and performance at our
operations in Madagascar. In 2024, we will be launching our next
5-year water targets.
Other sustainability highlights for the fourth quarter
include:
12 October 2023 | Rio Tinto becomes official aluminium partner
of the Montreal Canadiens
30 October 2023 | Rio Tinto and Prysmian partner on sustainable
supply of materials
21 November 2023 | Rio Tinto starts recycling steel from
Australia's largest ever demolition project
Communities & Social Performance (CSP)
Key highlights from the quarter are provided below, with further
information available our website .
10 October 2023 | Rio Tinto to provide ad ditional funding to
the Aus tralia-Japan Innovation Fund
10 November 2023 | Rio Tinto Kennecott donates $10 million to M
useum of Utah
29 November 2023 | Rio Tinto amplifies support for domestic and
family violence prevention in Canada
4 December 2023 | UNESCO and Rio Tinto sign partnership to
support sustainable development in Mongolia
Climate change, product stewardship and our value chain
At our Investor Seminar , on 6 December, we re-iterated our
commitment to halve Scope 1 and 2 emissions by 2030 and achieve net
zero by 2050. Our decarbonisation capital spend to 2030 was revised
to $5-6bn (previously $7.5bn) including around $1.5bn from 2024 to
2026. This reflects factors including the use of commercial
partnerships outside of capital expenditure, such as renewable
power purchase agreements and biofuel contracts, to accelerate
decarbonisation, and aligning the timing of investment in the
second phase of Pilbara renewable infrastructure to beyond 2030
when it will be needed to support fleet electrification. We also
gave an update on our continued work on Scope 3, with partnerships
and technology development fundamental to helping our customers
decarbonise. As part of the update, we set out near-term Scope 3
ambitions such as a 50% reduction in Scope 3 from IOC by 2035 and
our aim to commission a BioIron(TM) Continuous Pilot Plant by 2026
(both subject to funding approval and technical feasibility). A
brief guide on BioIron(TM) from our Chief Scientist, Nigel Steward,
can be found here .
In the fourth quarter, we progressed initiatives to decarbonise
our assets and continued to develop partnerships and technologies
to decarbonise our value chains. Key developments are provided
below:
10 October 2023 | Rio Tinto Kennecott completes construction of
solar power plant
20 October 2023 | Rio Tinto and Yindjibarndi Energy sign Pilbara
renewables MOU
21 No vember 2023 | Rio Tinto partners with Aymium to trial
renewable biocarbon product
4 December 2023 | Rio Tinto approves new solar farm and battery
storage to power its Amrun bauxite operations on Cape York
5 December 2023 | Rio Tinto Kennecott to fully transition to
renewable diese l
Our markets
Commodity prices found some support during the quarter, amid
increased Chinese policy measures, lower global recession fears and
a broad slowdown in inflation. Monetary policy in advanced
economies remains tight. However, interest rates may now have
peaked. Global supply chain challenges have improved, although
risks remain on certain routes such as the Panama and Suez Canals,
while labour costs are still rising amidst tight markets in
Australia, Canada and the USA.
-- China's economy stabilised earlier in the fourth quarter.
Resilient infrastructure and manufacturing investment, and an
increase in the automotive sector and consumer goods, helped offset
the prolonged weakness in the property market. Market confidence
increased following strong fiscal easing and improvement in
manufacturing and consumption levels. Stimulus measures are
expected to drive a gradual recovery in 2024, albeit weighted
towards the second half, with the real estate sector remaining
weak.
-- The US economy is slowing down with labour markets cooling.
Consumers remain pressured by higher interest rates, tighter
lending standards and depleted savings. Inflation has eased to its
lowest level in two years, but the Federal Reserve's top priority
is still to reduce it further to the 2% target, even as the
prospect of rate cuts increases in 2024. The services sector has
held up relatively well, although industrial production growth is
subdued, while the manufacturing PMI continues to remain
contractionary.
-- The eurozone has been stagnant during the past year, driven
by the contractionary monetary policy, impact of inflation on
consumers' real income and weak external demand. A gradual recovery
later in 2024 from a low base is expected to gather momentum as
consumption improves while financial conditions ease.
-- Iron ore prices rose by 17% over the quarter, while the
average monthly price in the fourth quarter of $129/dmt (Platts CFR
62% Fe index) was 13% higher than the third quarter. Seaborne
supply increased by 1% quarter-on-quarter, which was absorbed by
the 3% quarter-on-quarter growth in China's iron ore imports and
the stabilisation of steel demand in other developed and emerging
regions. China's steel and pig iron production run-rates
decelerated in late-December, while iron ore arrivals remained
elevated in line with typical fourth quarter seasonality. China's
port inventories increased by 6 million tonnes during the quarter,
reaching 120 million tonnes by the end of the year.
-- The LME aluminium price increased by 1% over the quarter,
while the average price rose 2%, from the third quarter, to
$2,190/t. Aluminium demand in North America and Europe remained
weak, except in the transport sector. Chinese primary production
growth slowed during the quarter on renewed winter disruptions in
southern China. Low global reported inventories remained supportive
of aluminium prices. China bauxite import prices were well
supported throughout the fourth quarter. Bauxite mines in Henan and
Shanxi suspended production for several months on environmental
requirements, resulting in high import demand and robust prices. A
major fuel depot explosion in Conakry raised concerns of an
interruption to bauxite mining operations in Guinea, leading to
increased price volatility in bauxite and alumina. Guinea supplies
67% of China's total seaborne bauxite requirement.
-- The LME copper price increased by 3% over the quarter,
although the $3.70/lb average price was 2% lower than the third
quarter. Major mine supply disruptions in Central and South
America, and lower expectations for 2024 supply, have tightened the
market balance. Energy transition-related copper demand supported
growth in 2023 and helped offset weaker demand from the
construction sector.
-- The decline in the lithium carbonate spot price continued in
the fourth quarter, having fallen 80% since early 2023, driven by
increased global mine supply and destocking along the supply chain.
Electric vehicle (EV) demand growth slowed, albeit from a higher
base. Market fundamentals for lithium remain strong over the longer
term. EV penetration rates will continue to increase as countries
decarbonise and more investment into mine supply will be required
to fill the supply gap.
-- Global TiO2 feedstock demand witnessed a small improvement in
the fourth quarter in line with rising operating rates of the TiO2
pigment industry. Underlying pigment demand remains subdued on weak
real-estate activity in the Americas, Europe and China; whereas
titanium sponge demand remains robust, driven by a recovery in the
aircraft industry.
-- Borates demand has been weak in 2023, driven by pronounced
weakness in the housing and construction markets. Macro headwinds
and latent supply capacity could put further downward pressure on
prices. Additionally boric acid inventories are particularly high
which is reducing apparent demand.
Average realised prices achieved for our major commodities
Units H1 2023 H2 2023 2023 2022
------------ ----------- ------- ------- ----- -----
Pilbara
iron ore FOB, $/wmt 98.6 100.8 99.7 97.6
Pilbara
iron ore FOB, $/dmt 107.2 109.6 108.4 106.1
Aluminium* Metal $/t 2,866 2,612 2,738 3,330
Copper** US c/lb 396 381 390 403
IOC pellets FOB $/wmt 154.7 155.2 155.0 190.3
------------ ----------- ------- ------- ----- -----
*LME plus all-in premiums (product and market).
**Average realised price for all units sold. Realised price does
not include the impact of the provisional pricing adjustments,
which positively impacted revenues in 2023 by $2 million (2022
negative impact of $175 million).
Iron Ore
Q4 vs Q4 vs Q3
Rio Tinto share of
production (Million
tonnes) 2023 2022 2023 2023 vs 2022
------------------------- ------ ------ ------ ------ -------
Pilbara Blend and SP10
Lump(1) 22.2 +4% +4% 84.3 +7%
Pilbara Blend and SP10
Fines(1) 33.5 -5% +6% 127.8 +3%
Robe Valley Lump 1.6 -3% -4% 5.9 +12%
Robe Valley Fines 2.7 +8% +12% 9.6 +16%
Yandicoogina Fines (HIY) 13.8 -9% +1% 53.0 -7%
------------------------- ------ ------ ------ ------ -------
Total Pilbara production 73.8 -3% +4% 280.5 +3%
------------------------- ------ ------ ------ ------ -------
Total Pilbara production
(100% basis) 87.5 -2% +5% 331.5 +2%
------------------------- ------ ------ ------ ------ -------
Q4 vs Q4 vs Q3
Rio Tinto share of
shipments (Million tonnes) 2023 2022 2023 2023 vs 2022
---------------------------- ------ ------ ------ ------ -------
Pilbara Blend Lump 14.5 -4% -2% 59.7 +11%
Pilbara Blend Fines 23.7 -27% -7% 105.1 -5%
Robe Valley Lump 1.5 +21% +16% 5.0 +20%
Robe Valley Fines 3.1 +5% +13% 10.5 +13%
Yandicoogina Fines (HIY) 13.6 -7% 0% 53.5 -6%
SP10 Lump(1) 4.6 +64% +11% 12.1 -5%
SP10 Fines(1) 12.2 +141% +26% 35.4 +56%
Total Pilbara shipments(2) 73.3 -2% +2% 281.4 +4%
---------------------------- ------ ------ ------ ------ -------
Total Pilbara shipments
(100% basis)(2) 86.3 -1% +3% 331.8 +3%
---------------------------- ------ ------ ------ ------ -------
Total Pilbara Shipments
(consolidated basis)(2,
3) 75.1 -2% +2% 288.4 +4%
---------------------------- ------ ------ ------ ------ -------
Production figures are sometimes more precise than the rounded
numbers shown, hence small rounding differences may appear.
(1) SP10 includes other lower grade products.
(2) Shipments includes material shipped from the Pilbara to our
portside trading facility in China which may not be sold onwards by
the group in the same period.
(3) While Rio Tinto has a 53% net beneficial interest in Robe
River Iron Associates, it recognises 65% of the assets,
liabilities, sales revenues and expenses in its accounts (as 30% is
held through a 60% owned subsidiary and 35% is held through a 100%
owned subsidiary). The consolidated basis sales reported here
include Robe River Iron Associates on a 65% basis to enable
comparison with revenue reported in the financial statements.
Pilbara operations
We produced 87.5 million tonnes (Rio Tinto share 73.8 million
tonnes) in the fourth quarter, 2% lower than the corresponding
period of 2022, and 5% higher than the prior quarter.
Shipments of 86.3 million tonnes (Rio Tinto share 73.3 million
tonnes) were 1% lower than the fourth quarter of 2022, and 3%
higher than the prior quarter. SP10 was a larger proportion of
shipments during the fourth quarter (20%(1) ).
Shipments for 2023, on a 100% basis, were 3% higher (+10 million
tonnes) than in 2022, making 2023 the second highest shipment year
on record. Improved system performance supported by a 5 million
tonne uplift from implementation of the Safe Production System, and
ramp-up of Gudai-Darri to its 43 million tonne nameplate capacity,
offset mine depletion.
Yandicoogina Fines shipments were 6% lower than in 2022 due to
progressive ore depletion. SP10 volumes accounted for 47.5 million
tonnes of 2023 shipments (or 14%(1) ).
Approximately 10% of sales in 2023 were priced by reference to
the prior quarter's average index lagged by one month. The
remainder was sold either on current quarter average, current month
average, average of two months, forward month or on the spot
market. Approximately 26% of sales in 2023 were made on a free on
board (FOB) basis, with the remainder sold including freight.
China Portside Trading
Our iron ore portside sales in China were 5.8 million tonnes in
the fourth quarter of 2023 (4.8 million tonnes in the fourth
quarter of 2022), leading to a total of 23.3 million tonnes in 2023
(24.3 million tonnes in 2022). At the end of December, inventory
levels were 6.4 million tonnes, including 3.9 million tonnes of
Pilbara product. In 2023, approximately 86% of our portside sales
were either screened or blended in Chinese ports (80% in 2022).
(1) Based on total Pilbara shipments on a 100% basis.
Aluminium
Q4 vs Q4 vs Q3
Rio Tinto share of
production ('000 tonnes) 2023 2022 2023 2023 vs 2022
-------------------------- ------------------- ------ ------ ------------------ -------
Bauxite 15,098 +15% +8% 54,619 0%
Bauxite third party
shipments 10,749 +16% +13% 37,337 -2%
Alumina 1,919 -1% +1% 7,537 0%
Aluminium 846 +8% +2% 3,272 +9%
-------------------------- ------------------- ------ ------ ------------------ -------
Bauxite
Bauxite production of 15.1 million tonnes was 15% higher than
the fourth quarter of 2022 and 8% higher than the prior quarter as
we continued to stabilise both Weipa and Gove with improvements in
equipment reliability.
We shipped 10.7 million tonnes of bauxite to third parties in
the fourth quarter, 16% higher than the same period of 2022.
Alumina
Alumina production of 1.9 million tonnes was 1% lower than the
fourth quarter of 2022 but 1% higher than the third quarter of 2023
with the Yarwun and Queensland Alumina Limited (QAL) refineries
showing improved operational stability.
As the result of QAL activation of a step-in process following
sanction measures by the Australian Government, Rio Tinto has taken
on 100% of capacity for as long as the step-in continues. This
results in use of Rusal's 20% share of capacity by Rio Tinto under
the tolling arrangement with QAL. This additional output is
excluded from the production tables in this report as QAL remains
80% owned by Rio Tinto and 20% owned by Rusal.
Aluminium
Aluminium production of 0.8 million tonnes was 8% higher than
the fourth quarter of 2022 after we returned to full capacity at
our Kitimat smelter and completed cell recovery efforts at Boyne in
the prior period. All our other smelters continued to demonstrate
stable performance during the quarter.
Production from Matalco in 2023 was 582 thousand tonnes of
recycled aluminium products with Rio Tinto marketing these products
from 1 December 2023. With this addition to our aluminium
portfolio, we are able to offer customers a full suite of aluminium
products including low-carbon primary aluminium made with
hydropower and a diverse portfolio of recycled aluminium
solutions.
Copper
Q4 vs Q4 vs Q3
Rio Tinto share of production
('000 tonnes) 2023 2022 2023 2023 vs 2022
----------------------------------- ------- ------- ------- ------ -------
Mined copper
----------------------------------- ------- ------- ------- ------ -------
Kennecott 47.8 +1% -2% 151.6 -15%
Escondida 71.6 -2% -9% 299.9 0%
Oyu Tolgoi (66% basis)(1) 26.8 +148% -3% 110.9 +156%
----------------------------------- ------- ------- ------- ------ -------
Total mined copper production 146.2 +11% -6% 562.4 +8%
Total mined copper production
(consolidated basis(2) ) 160.0 +5% -6% 619.6 +2%
----------------------------------- ------- ------- ------- ------ -------
Refined copper
----------------------------------- ------- ------- ------- ------ -------
Kennecott 32.0 -11% +73% 108.6 -27%
Escondida 14.1 -5% -10% 66.7 +9%
----------------------------------- ------- ------- ------- ------ -------
(1) Oyu Tolgoi production for 2022 reported on a 33.52% equity
share basis. Following the acquisition of Turquoise Hill Resources
Ltd on 16 December 2022, Oyu Tolgoi production for 2023 reported
on a 66% equity share basis.
(2) Includes Oyu Tolgoi and Kennecott on a 100% consolidated basis,
and Escondida on an equity share basis.
Kennecott
Mined copper production was 1% higher than the fourth quarter of
2022 with the concentrator continuing to run at full capacity,
following the recovery from a conveyor failure in March 2023.
Refined copper production was 11% lower than the fourth quarter
of 2022 as the smelter continues to ramp up following the
completion of the largest rebuild of the smelter and refinery in
Kennecott's history. The ramp up during the fourth quarter of 2023
meant that the smelter was not at full production rates leading to
reduced cathode production when compared to the fourth quarter of
2022. With the smelter rebuild successfully completed and the
ramp-up progressing, we expect a return to stable production in the
first quarter of 2024.
Escondida
Mined copper production was 2% lower than the fourth quarter of
2022 due to a 3% lower recovery in the concentrator and lower grade
on the oxide leach pad, offset by 2% higher throughput partially
due to softer ore and 3% higher head grade in the concentrator due
to mine sequencing. Refined production was 5% lower than the fourth
quarter of 2022 due to lower stacking and a lower copper grade fed
into the process.
Oyu Tolgoi
Mined copper production on a 100% basis increased 26% from the
fourth quarter of 2022 as the ramp-up in underground production
continued to plan, delivering average copper head grades of 0.53%.
During the quarter, we delivered 0.9 million tonnes of ore milled
from the underground mine at an average copper head grade of 1.59%
and 8.7 million tonnes from the open pit with an average grade of
0.42%.
Oyu Tolgoi LLC received a tax assessment on 20 December 2023
from the Mongolian Tax Authority of approximately US$80 million.
This relates to a tax audit covering the 2019 and 2020 income
years. Oyu Tolgoi has paid more than MNT9.9 trillion (US$4.2
billion) in taxes, royalties and fees in Mongolia since 2010 and
will continue to make all payments required under the relevant
Mongolian legislation and Investment Agreement.
Provisional pricing
At 31 December 2023, the Group had approximately 243 million
pounds of copper sales that were provisionally priced at 381 cents
per pound. The final price of these sales will be determined during
the first half of 2024. This compares with 221 million pounds of
open shipments at 31 December 2022, provisionally priced at 368
cents per pound. Provisional pricing adjustments positively
impacted revenues in 2023 by $2 million (2022 negative impact of
$175 million).
Minerals
Q4 vs Q4 vs Q3
Rio Tinto share of
production (million
tonnes) 2023 2022 2023 2023 vs 2022
-------------------------- ------------------- ------ ------ ------------------ -------
Iron ore pellets and
concentrate
-------------------------- ------------------- ------ ------ ------------------ -------
IOC 2.7 +7% +13% 9.7 -6%
-------------------------- ------------------- ------ ------ ------------------ -------
Q4 vs Q4 vs Q3
Rio Tinto share of
production ('000 tonnes) 2023 2022 2023 2023 vs 2022
-------------------------- ------------------- ------ ------ ------------------ -------
Minerals
-------------------------- ------------------- ------ ------ ------------------ -------
Borates - B(2) O(3)
content 111 -21% -12% 495 -7%
Titanium dioxide slag 275 -15% +11% 1,111 -7%
-------------------------- ------------------- ------ ------ ------------------ -------
Q4 vs Q4 vs Q3
Rio Tinto share of
production ('000 carats) 2023 2022 2023 2023 vs 2022
-------------------------- ------------------- ------ ------ ------------------ -------
Diavik 659 -50% -13% 3,340 -28%
-------------------------- ------------------- ------ ------ ------------------ -------
Iron Ore Company of Canada (IOC)
Iron ore production was 7% higher than the fourth quarter of
2022 and 13% higher than the prior quarter, due to improved
equipment reliability at the concentrator, pellet plant and ore
delivery system.
Shipments were 16% higher than the fourth quarter of 2022,
driven by improved production.
Borates
Borates production in the fourth quarter was 21% lower than the
corresponding period of 2022 due to a scheduled shut in
December.
Iron and Titanium
Titanium dioxide slag production was 15% lower than the fourth
quarter of 2022. Two furnaces at our RTIT Quebec Operations remain
offline following process safety incidents in June and July. In the
fourth quarter, we decommissioned an additional furnace that
reached the end of its useful life and is due for reconstruction in
2024. As a result, we enter 2024 with six out of nine furnaces
operating at our RTIT Quebec Operations and three out of four
online at Richards Bay Minerals (RBM).
Diamonds
At Diavik, our share of carats was 50% lower than the fourth
quarter of 2022 due to lower ore mined as a result of the closure
of the A418 underground and A21 open pit kimberlite pipes earlier
in 2023, partially offset by improvements in A154N underground ore
deliveries.
Exploration and evaluation
Pre-tax and pre-divestment expenditure on exploration and
evaluation charged to the profit and loss account in 2023,
excluding Simandou, was $855 million, compared with $706 million in
2022 on the same basis. Approximately 30% of the spend was by
Central Exploration, 31% by Minerals (with the majority focusing on
lithium), 31% by Copper and 7% by Iron Ore.
Exploration highlights
Rio Tinto has a strong portfolio of projects with activity in 18
countries across eight commodities in early exploration and studies
stages. The bulk of the exploration expenditure in the fourth
quarter focused on copper in Australia, Colombia, Chile, and
Namibia, nickel in Peru and Brazil, heavy mineral sands in South
Africa, and potash in Canada. Rio Tinto recently partnered with
Codelco on the Nuevo Cobre copper project in the prospective
Atacama region in Chile and with Charger Metals on the Lake
Johnston lithium project in the Yilgarn, Western Australia. Rio
Tinto divested its interest in the Amargosa bauxite project in
Brazil. Greenfield exploration for copper continues in Zambia, US,
Angola, Kazakhstan, Peru, Australia, Laos and Papua New Guinea.
Greenfield exploration for lithium continues in Australia, Canada,
Chile, Finland, Rwanda and US and for nickel in Australia, Brazil,
Canada, Finland and Peru. Mine lease exploration continued on Rio
Tinto managed businesses including Bingham Canyon in the US and
Pilbara Iron Ore in Australia.
A summary of activity for the quarter is as follows:
Greenfield/ Brownfield
Commodities Studies Stage Advanced projects programmes
----------------- ------------------------- ------------------ ------------------------------
Melville Island,
Australia
Bauxite Cape York, Australia
----------------- ------------------------- ------------------ ------------------------------
Nickel Greenfield:
Australia, Brazil,
Canada, Finland,
Peru
Lithium Greenfield:
Australia, Brazil,
Rincon Lithium, Argentina Canada, Chile,
Lithium borates: China, Finland,
Jadar, Serbia Rwanda, US
Nickel: Tamarack, Lithium borates
Battery Materials US (3rd party operated) Brownfield: US
----------------- ------------------------- ------------------ ------------------------------
Copper Greenfield:
Angola, Australia,
Brazil, Canada,
Chile, China, Colombia,
Finland, Kazakhstan,
Namibia, Laos,
Copper: La Granja, Peru, Papua New
Copper/molybdenum: Peru Pribrezhniy, Guinea, Serbia,
Resolution, US Kazakhstan US, Zambia
Copper/Gold: Winu, Calibre-Magnum, Copper Brownfield:
Copper Australia Australia US
----------------- ------------------------- ------------------ ------------------------------
Diamonds Greenfield:
Diamonds Falcon, Canada(1) Angola
----------------- ------------------------- ------------------ ------------------------------
Greenfield and
Pilbara, Australia Brownfield: Pilbara,
Iron Ore Simandou, Guinea Pilbara, Australia Australia
----------------- ------------------------- ------------------ ------------------------------
Heavy mineral sands
Potash: KL262(2) Greenfield: Australia,
, Canada South Africa Rutile-graphite:
Heavy mineral sands: Malawi Potash Greenfield:
Minerals Mutamba, Mozambique Canada
----------------- ------------------------- ------------------ ------------------------------
(1) The Falcon Project in Saskatchewan, Canada, is currently in
care and maintenance whilst Rio Tinto considers alternative
commercial options, including potential exit.
(2) Limited activity during the quarter.
Forward-looking statement
This announcement includes "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of
1995. All statements other than statements of historical facts
included in this announcement, including, without limitation, those
regarding Rio Tinto's financial position, business strategy, plans
and objectives of management for future operations (including
development plans and objectives relating to Rio Tinto's products,
production forecasts and reserve and resource positions and any
statements related to the ongoing impact of the COVID-19 pandemic),
are forward-looking statements. The words "intend", "aim",
"project", "anticipate", "estimate", "plan", "believes", "expects",
"may", "would", "should", "could", "will", "target", "set to",
"seek", "risk" or similar expressions, commonly identify such
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 forward-looking
statements. Such forward-looking statements are based on numerous
assumptions regarding Rio Tinto's 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
Tinto's actual results, performance or achievements to differ
materially from those in the forward-looking statements are 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, the risks and uncertainties associated
with the ongoing impacts of COVID-19 or other pandemic and such
other risk factors identified in Rio Tinto's most recent Annual
report and accounts in Australia and the United Kingdom and the
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, or filed with, the SEC. The above list is not
exhaustive. Forward-looking statements should, therefore, be
construed in light of such risk factors and undue reliance should
not be placed on forward-looking statements, particularly in light
of the current economic climate and the significant volatility,
uncertainty and disruption caused by the outbreak of COVID-19.
These forward-looking statements speak only as of the date of this
announcement. Rio Tinto expressly disclaims any obligation or
undertaking (except as required by applicable law, the UK Listing
Rules, the Disclosure Guidance and Transparency Rules of the
Financial Conduct Authority and the Listing Rules of the Australian
Securities Exchange) to release publicly any updates or revisions
to any forward-looking statement contained herein to reflect any
change in Rio Tinto's expectations with regard thereto or any
change in events, conditions or circumstances on which any such
statement is based.
Nothing in this announcement 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.
Contacts Please direct all enquiries to
media.enquiries@riotinto.com
Media Relations, UK Media Relations, Australia
Matthew Klar Matt Chambers
M +44 7796 630 637 M +61 433 525 739
David Outhwaite Jesse Riseborough
M +44 7787 597 493 M +61 436 653 412
Media Relations, Americas
Simon Letendre
M +1 514 796 4973
Malika Cherry
M +1 418 592 7293
-------------------------- ------------------------------
Investor Relations, UK Investor Relations, Australia
Menno Sanderse Tom Gallop
M +44 7825 195 178 M +61 439 353 948
David Ovington Amar Jambaa
M +44 7920 010 978 M +61 472 865 948
Laura Brooks
M: +44 7826 942 797
-------------------------- ------------------------------
Rio Tinto plc Rio Tinto Limited
6 St James's Square Level 43, 120 Collins Street
London SW1Y 4AD Melbourne 3000
United Kingdom Australia
T +44 20 7781 2000 T +61 3 9283 3333
Registered in England Registered in Australia
No. 719885 ABN 96 004 458 404
-------------------------- ------------------------------
This announcement is authorised for release to the market by
Andy Hodges, Rio Tinto's Group Company Secretary.
riotinto.com
LEI: 213800YOEO5OQ72G2R82
Classification: 3.1 Additional regulated information required to
be disclosed under the laws of a Member State
Rio Tinto production summary
Rio Tinto share of production
Quarter Full Year % change
Q4 23 Q4 23 2023
2022 2023 2023 vs vs vs
Q4 Q3 Q4 2022 2023 Q4 22 Q3 23 2022
---------------------- ------ ------ ------ ------ ------- ------- ------ ------ ------
Principal commodities
('000
Alumina t) 1,941 1,897 1,919 7,544 7,537 -1% +1% 0%
('000
Aluminium t) 783 828 846 3,009 3,272 +8% +2% +9%
('000
Bauxite t) 13,181 13,940 15,098 54,618 54,619 +15% +8% 0%
('000
Borates t) 141 127 111 532 495 -21% -12% -7%
('000
Copper - mined t) 131.3 155.1 146.2 521.1 562.4 +11% -6% +8%
('000
Copper - refined t) 51.0 34.1 46.1 209.2 175.2 -10% +35% -16%
('000
Iron Ore t) 78,415 73,241 76,514 283,247 290,171 -2% +4% +2%
Titanium dioxide ('000
slag t) 323 247 275 1,200 1,111 -15% +11% -7%
---------------------- ------ ------ ------ ------ ------- ------- ------ ------ ------
Other Metals &
Minerals
('000
Diamonds cts) 1,319 757 659 4,651 3,340 -50% -13% -28%
('000
Gold - mined oz) 55.7 80.2 75.6 235.0 281.5 +36% -6% +20%
('000
Gold - refined oz) 30.3 12.4 20.6 113.9 74.2 -32% +67% -35%
('000
Molybdenum t) 1.1 0.6 0.8 3.3 1.8 -30% +21% -46%
('000
Salt t) 1,458 1,434 1,438 5,757 5,973 -1% 0% +4%
('000
Silver - mined oz) 1,042 1,001 1,100 3,940 3,811 +6% +10% -3%
('000
Silver - refined oz) 512 240 406 1,950 1,407 -21% +69% -28%
---------------------- ------ ------ ------ ------ ------- ------- ------ ------ ------
Throughout this report, figures in italics indicate adjustments
made since the figure was previously quoted on the equivalent page
or reported for the first time. Production figures are sometimes
more precise than the rounded numbers shown, hence small
differences may result between the total of the quarter figures and
the year to date figures.
Rio Tinto share of production
Rio Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
------------------------------------- ---------- ------ ------ ------ ------ ------ ------ ------
ALUMINA
Production ('000 tonnes)
Jonquière (Vaudreuil) 100% 368 371 346 325 349 1,364 1,392
Jonquière (Vaudreuil)
specialty Alumina plant 100% 29 25 27 28 29 114 109
Queensland Alumina 80% 678 632 677 720 664 2,740 2,693
São Luis (Alumar) 10% 97 94 66 88 90 377 338
Yarwun 100% 769 739 745 736 786 2,949 3,006
Rio Tinto total alumina production 1,941 1,860 1,861 1,897 1,919 7,544 7,537
ALUMINIUM
Production ('000 tonnes)
Australia - Bell Bay 100% 48 45 46 47 47 185 186
Australia - Boyne Island 59% 68 70 73 76 76 267 295
Australia - Tomago 52% 76 75 75 77 77 302 304
Canada - six wholly owned 100% 360 367 389 398 410 1,341 1,565
Canada - Alouette (Sept-Îles) 40% 63 62 63 64 64 251 253
Canada - Bécancour 25% 29 29 29 28 30 115 117
Iceland - ISAL (Reykjavik) 100% 52 51 52 52 54 202 209
New Zealand - Tiwai Point 79% 68 66 66 66 67 267 265
Oman - Sohar 20% 20 20 20 20 20 79 80
Rio Tinto total aluminium
production 783 785 814 828 846 3,009 3,272
BAUXITE
Production ('000 tonnes)
(a)
Gove 100% 2,874 2,579 2,739 3,015 3,234 11,510 11,566
Porto Trombetas (b) 22% 391 275 327 391 509 1,332 1,502
Sangaredi (c) 1,588 1,744 1,614 1,524 1,544 7,252 6,425
Weipa 100% 8,328 7,492 8,813 9,010 9,811 34,525 35,126
Rio Tinto total bauxite production 13,181 12,089 13,492 13,940 15,098 54,618 54,619
------------------------------------- ---------- ------ ------ ------ ------ ------ ------ ------
(a) Mine production figures for metals refer to the total
quantity of metal produced in concentrates, leach liquor or doré
bullion irrespective of whether these products are then refined
onsite, except for the data for bauxite and iron ore which
represent production of marketable quantities of ore plus
concentrates and pellets.
(b) On 30 November 2023, Rio Tinto's ownership interest in Porto
Trombetas increased from 12% to 22%. Production is reported
including this change from 1 December 2023.
(c) Rio Tinto has a 22.95% shareholding in the Sangaredi mine
but benefits from 45.0% of production.
Rio Tinto share of production
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
--------------- ---------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
BORATES
Production
('000 tonnes
B(2) O(3)
content)
Rio Tinto
Borates -
borates 100% 141 124 133 127 111 532 495
--------------- ---------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
COPPER
Mine production
('000
tonnes) (a)
Bingham
Canyon 100% 47.5 30.3 24.8 48.8 47.8 179.2 151.6
Escondida 30% 73.0 72.3 77.4 78.6 71.6 298.6 299.9
Oyu Tolgoi
(b) 66% 10.8 28.1 28.3 27.7 26.8 43.4 110.9
Rio Tinto total
mine
production 131.3 130.7 130.5 155.1 146.2 521.1 562.4
Rio Tinto total
mine
production -
consolidated
basis 152.8 145.2 145.0 169.4 160.0 607.2 619.6
--------------- ---------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
Refined
production
('000
tonnes)
Escondida 30% 14.9 15.2 21.7 15.6 14.1 60.9 66.7
Kennecott (c) 100% 36.1 43.6 14.4 18.5 32.0 148.3 108.6
Rio Tinto total
refined
production 51.0 58.9 36.2 34.1 46.1 209.2 175.3
--------------- ---------- ----------- ----------- ----------- ----------- ----------- ----------- -----------
(a) Mine production figures for metals refer to the total
quantity of metal produced in concentrates, leach liquor or doré
bullion irrespective of whether these products are then refined
onsite, except for the data for bauxite and iron ore which
represent production of marketable quantities of ore plus
concentrates and pellets.
(b) On 16 December 2022, Rio Tinto completed the acquisition of
100% of Turquoise Hill Resources Ltd, increasing our ownership in
Oyu Tolgoi from 33.52% to 66%. From 1 January 2023, our share of
production has been updated to reflect this change.
(c) We continue to process third party concentrate to optimise
smelter utilisation. There was no cathode produced from purchased
concentrate in 2023 year-to-date. Purchased and tolled copper
concentrates are excluded from reported production figures and
production guidance. Sales of cathodes produced from purchased
concentrate are included in reported revenues.
DIAMONDS
Production ('000 carats)
Diavik 100% 1,319 954 970 757 659 4,651 3,340
GOLD
Mine production ('000
ounces) (a)
Bingham Canyon 100% 29.7 20.6 18.7 32.0 33.5 122.7 104.8
Escondida 30% 14.5 14.7 16.1 14.4 14.6 50.6 59.7
Oyu Tolgoi (b) 66% 11.5 29.1 26.6 33.8 27.5 61.6 117.0
Rio Tinto total mine
production 55.7 64.4 61.4 80.2 75.6 235.0 281.5
Refined production ('000
ounces)
Kennecott 100% 30.3 22.0 19.2 12.4 20.6 113.9 74.2
------------------------- ----- ----- ---- ---- ---- ---- ----- -----
(a) Mine production figures for metals refer to the total
quantity of metal produced in concentrates, leach liquor or doré
bullion irrespective of whether these products are then refined
onsite, except for the data for bauxite and iron ore which
represent production of marketable quantities of ore plus
concentrates and pellets.
(b) On 16 December 2022, Rio Tinto completed the acquisition of
100% of Turquoise Hill Resources Ltd, increasing our ownership in
Oyu Tolgoi from 33.52% to 66%. From 1 January 2023, our share of
production has been updated to reflect this change.
Rio Tinto share of production
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
IRON ORE
Production ('000 tonnes) (a)
Hamersley mines (b) 61,339 54,433 55,004 57,322 59,138 218,304 225,898
Hope Downs 50% 5,945 5,885 5,763 5,519 6,074 24,425 23,241
Iron Ore Company of Canada 59% 2,530 2,526 2,063 2,384 2,703 10,312 9,676
Robe River - Pannawonica (Mesas
J and A) 53% 4,178 3,123 3,897 4,106 4,330 13,546 15,456
Robe River - West Angelas 53% 4,424 3,816 3,905 3,910 4,269 16,660 15,899
Rio Tinto iron ore production
('000 tonnes) 78,415 69,784 70,632 73,241 76,514 283,247 290,171
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Breakdown of Production:
Pilbara Blend and SP10 Lump
(c) 21,443 19,612 21,042 21,418 22,228 79,152 84,301
Pilbara Blend and SP10 Fines
(c) 35,097 30,851 31,750 31,700 33,485 123,587 127,786
Robe Valley Lump 1,645 1,136 1,488 1,665 1,592 5,264 5,882
Robe Valley Fines 2,533 1,987 2,409 2,441 2,739 8,281 9,574
Yandicoogina Fines (HIY) 15,168 13,672 11,880 13,633 13,768 56,650 52,952
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Pilbara iron ore production
('000 tonnes) 75,886 67,258 68,569 70,857 73,811 272,934 280,495
IOC Concentrate 1,186 1,241 1,120 1,137 1,298 4,667 4,796
IOC Pellets 1,343 1,285 943 1,247 1,405 5,646 4,880
IOC iron ore production ('000
tonnes) 2,530 2,526 2,063 2,384 2,703 10,312 9,676
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Breakdown of Shipments:
Pilbara Blend Lump 15,089 15,689 14,691 14,812 14,533 53,883 59,725
Pilbara Blend Fines 32,659 28,528 27,474 25,375 23,706 111,110 105,083
Robe Valley Lump 1,244 1,051 1,152 1,297 1,506 4,171 5,005
Robe Valley Fines 2,896 2,262 2,489 2,706 3,054 9,329 10,511
Yandicoogina Fines (HIY) 14,661 13,689 12,558 13,669 13,628 56,880 53,544
SP10 Lump (c) 2,824 1,686 1,652 4,180 4,620 12,753 12,137
SP10 Fines (c) 5,062 6,832 6,613 9,699 12,208 22,672 35,353
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Pilbara iron ore shipments
('000 tonnes) (d) 74,435 69,738 66,629 71,736 73,255 270,798 281,358
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Pilbara iron ore shipments - consolidated
basis ('000 tonnes) (d) (f) 76,303 71,505 68,322 73,553 75,058 277,613 288,438
--------------------------------------------- ------ ------ ------ ------ ------ ------- -------
IOC Concentrate 1,174 984 1,247 1,232 1,196 4,174 4,659
IOC Pellets 1,036 1,143 1,352 1,066 1,369 5,375 4,929
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
IOC Iron ore shipments ('000
tonnes) (d) 2,210 2,127 2,599 2,298 2,565 9,548 9,588
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Rio Tinto iron ore shipments
('000 tonnes) (d) 76,645 71,864 69,228 74,034 75,820 280,346 290,947
Rio Tinto iron ore sales ('000
tonnes) (e) 75,337 74,273 71,678 74,488 76,269 287,871 296,707
---------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
(a) Mine production figures for metals refer to the total
quantity of metal produced in concentrates, leach liquor or doré
bullion irrespective of whether these products are then refined
onsite, except for the data for bauxite and iron ore which
represent production of marketable quantities of ore plus
concentrates and pellets.
(b) Includes 100% of production from Paraburdoo, Mt Tom Price,
Western Turner Syncline, Marandoo, Yandicoogina, Brockman,
Nammuldi, Silvergrass, Channar, Gudai-Darri and the Eastern Range
mines. Whilst Rio Tinto owns 54% of the Eastern Range mine, under
the terms of the joint venture agreement, Hamersley Iron manages
the operation and is obliged to purchase all mine production from
the joint venture and therefore all of the production is included
in Rio Tinto's share of production.
(c) SP10 includes other lower grade products.
(d) Shipments includes material shipped to our portside trading
facility in China which may not be sold onwards in the same
period.
(e) Represents the difference between amounts shipped to
portside trading and onward sales from portside trading, and third
party volumes sold.
(f) While Rio Tinto has a 53% net beneficial interest in Robe
River Iron Associates, it recognises 65% of the assets,
liabilities, sales revenues and expenses in its accounts (as 30% is
held through a 60% owned subsidiary and 35% is held through a 100%
owned subsidiary). The consolidated basis sales reported here
include Robe River Iron Associates on a 65% basis to enable
comparison with revenue reported in the financial statements.
Rio Tinto share of production
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
---------------------- --------- ----- ----- ----- ----- ------ ---- -----
MOLYBDENUM
Mine production ('000
tonnes) (a)
Bingham Canyon 100% 1.1 0.1 0.3 0.6 0.8 3.3 1.8
---------------------- --------- ----- ----- ----- ----- ------ ---- -----
(a) Mine production figures for metals refer to the total
quantity of metal produced in concentrates, leach liquor or doré
bullion irrespective of whether these products are then refined
onsite, except for the data for bauxite and iron ore which
represent production of marketable quantities of ore plus
concentrates and pellets.
SALT
Production ('000 tonnes)
Dampier Salt 68% 1,458 1,450 1,652 1,434 1,438 5,757 5,973
-------------------------------- ----- ----- ----- ----- ----- ----- ----- -----
SILVER
Mine production ('000
ounces) (a)
Bingham Canyon 100% 521 356 296 462 504 2,057 1,618
Escondida 30% 453 404 302 350 420 1,590 1,476
Oyu Tolgoi (b) 66% 68 176 177 189 176 292 717
-------------------------------- ----- ----- ----- ----- ----- ----- ----- -----
Rio Tinto total mine production 1,042 935 775 1,001 1,100 3,940 3,811
-------------------------------- ----- ----- ----- ----- ----- ----- ----- -----
Refined production ('000
ounces)
Kennecott 100% 512 432 329 240 406 1,950 1,407
-------------------------------- ----- ----- ----- ----- ----- ----- ----- -----
(a) Mine production figures for metals refer to the total
quantity of metal produced in concentrates, leach liquor or doré
bullion irrespective of whether these products are then refined
onsite, except for the data for bauxite and iron ore which
represent production of marketable quantities of ore plus
concentrates and pellets.
(b) On 16 December 2022, Rio Tinto completed the acquisition of
100% of Turquoise Hill Resources Ltd, increasing our ownership in
Oyu Tolgoi from 33.52% to 66%. From 1 January 2023, our share of
production has been updated to reflect this change.
TITANIUM DIOXIDE SLAG
Production ('000 tonnes)
Rio Tinto Iron & Titanium
(a) 100% 323 285 303 247 275 1,200 1,111
---------------------------- ----- --- --- --- --- --- ----- -----
(a) Quantities comprise 100% of Rio Tinto Fer et Titane and Rio
Tinto's 74% interest in Richards Bay Minerals (RBM).
Production figures are sometimes more precise than the rounded
numbers shown, hence small differences may result between the total
of the quarter figures and the year to date figures.
Rio Tinto percentage interest shown above is at 31 December
2023.
Rio Tinto operational data
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
------------------------------- ---------- ------ ------ ------ ------ ------ ----- -----
ALUMINA
Smelter Grade Alumina
- Aluminium Group
Alumina production ('000
tonnes)
Australia
Queensland Alumina Refinery
- Queensland 80% 847 790 846 900 830 3,425 3,366
Yarwun refinery - Queensland 100% 769 739 745 736 786 2,949 3,006
Brazil
São Luis (Alumar)
refinery 10% 975 936 657 883 899 3,771 3,375
Canada
Jonquière (Vaudreuil)
refinery - Quebec (a) 100% 368 371 346 325 349 1,364 1,392
(a) Jonquière's (Vaudreuil's) production shows smelter grade
alumina only and excludes hydrate produced and used for specialty
alumina.
Speciality Alumina - Aluminium
Group
Speciality alumina production
('000 tonnes)
Canada
Jonquière (Vaudreuil)
plant - Quebec 100% 29 25 27 28 29 114 109
Rio Tinto percentage interest shown above is at 31 December
2023. The data represents production and sales on a 100% basis
unless otherwise stated.
Rio Tinto operational data
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
------------------------------- --------- ----- ----- ----- ----- ------ ----- -----
ALUMINIUM
Primary Aluminium
Primary aluminium production
('000 tonnes)
Australia
Bell Bay smelter - Tasmania 100% 48 45 46 47 47 185 186
Boyne Island smelter -
Queensland 59% 114 117 123 127 128 450 496
Tomago smelter - New South
Wales 52% 147 145 146 149 149 586 589
Canada
Alma smelter - Quebec 100% 122 120 121 121 123 482 484
Alouette (Sept-Îles)
smelter - Quebec 40% 158 156 159 159 160 628 634
Arvida smelter - Quebec 100% 44 43 43 43 43 171 172
Arvida AP60 smelter - Quebec 100% 15 14 14 15 15 58 59
Bécancour smelter
- Quebec 25% 116 115 118 114 119 459 465
Grande-Baie smelter - Quebec 100% 58 57 57 58 58 232 229
Kitimat smelter - British
Columbia 100% 57 72 92 103 109 145 377
Laterrière smelter
- Quebec 100% 64 61 62 59 62 253 244
Iceland
ISAL (Reykjavik) smelter 100% 52 51 52 52 54 202 209
New Zealand
Tiwai Point smelter 79% 85 83 83 83 85 336 334
Oman
Sohar smelter 20% 100 98 99 100 100 395 398
Rio Tinto percentage interest shown above is at 31 December
2023. The data represents production and sales on a 100% basis
unless otherwise stated.
Rio Tinto operational data
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
--------------------------------- --------- ------ ------ ------ ------ ------ ------ ------
BAUXITE
Bauxite production ('000 tonnes)
Australia
Gove mine - Northern Territory 100% 2,874 2,579 2,739 3,015 3,234 11,510 11,566
Weipa mine - Queensland 100% 8,328 7,492 8,813 9,010 9,811 34,525 35,126
Brazil
Porto Trombetas (MRN) mine
(a) 22% 3,256 2,288 2,724 3,258 3,202 11,100 11,472
Guinea
Sangaredi mine (b) 23% 3,530 3,876 3,586 3,387 3,430 16,115 14,278
Rio Tinto share of bauxite
shipments
Share of total bauxite shipments
('000 tonnes) 13,561 12,264 13,603 13,954 15,513 54,784 55,335
Share of third party bauxite shipments
('000 tonnes) 9,233 7,880 9,159 9,550 10,749 38,016 37,337
(a) On 30 November 2023, Rio Tinto's ownership interest in Porto
Trombetas increased from 12% to 22%. Production is reported
including this change from 1 December 2023.
(b) Rio Tinto has a 22.95% shareholding in the Sangaredi mine
but benefits from 45.0% of production.
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
---------------------------- ---------- -------- -------- -------- -------- -------- ------------ ------------
BORATES
Rio Tinto Borates - borates 100%
US
Borates ('000 tonnes) (a) 141 124 133 127 111 532 495
(a) Production is expressed as B(2) O(3) content.
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
----------------------------- --------- -------- -------- -------- -------- -------- ------------ ------------
COPPER & GOLD
Escondida 30%
Chile
Sulphide ore to concentrator
('000 tonnes) 33,911 33,309 30,749 33,332 34,752 131,358 132,143
Average copper grade (%) 0.76 0.78 0.93 0.85 0.77 0.82 0.83
Mill production (metals in
concentrates):
Contained copper ('000
tonnes) 212.8 210.0 228.9 225.7 217.6 858.4 882.1
Contained gold ('000
ounces) 48.4 49.0 53.5 48.1 48.6 168.7 199.2
Contained silver ('000
ounces) 1,510 1,346 1,008 1,168 1,401 5,301 4,921
Recoverable copper in ore stacked
for leaching ('000 tonnes) (a) 30.4 31.0 29.1 36.4 21.0 136.9 117.5
Refined production from leach
plants:
Copper cathode production
('000 tonnes) 49.7 50.8 72.4 52.0 46.9 203.1 222.2
(a) The calculation of copper in material mined for leaching is
based on ore stacked at the leach pad.
Rio Tinto percentage interest shown above is at 31 December
2023. The data represents production and sales on a 100% basis
unless otherwise stated.
Rio Tinto operational data
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
---------------------- --------- --------- --------- --------- --------- --------- ------------- -------------
COPPER & GOLD
(continued)
Kennecott
Bingham Canyon mine 100%
Utah, US
Ore treated ('000
tonnes) 10,449 7,405 5,339 9,804 10,579 37,565 33,126
Average ore grade:
Copper (%) 0.52 0.47 0.52 0.56 0.50 0.53 0.51
Gold (g/t) 0.14 0.12 0.16 0.16 0.14 0.16 0.15
Silver (g/t) 2.20 2.16 2.36 2.10 2.10 2.36 2.16
Molybdenum (%) 0.020 0.012 0.018 0.018 0.019 0.020 0.017
Copper concentrates
produced
('000 tonnes) 184 116 92 180 191 688 579
Average concentrate
grade
(% Cu) 25.6 26.1 26.8 26.8 25.0 26.0 26.1
Production of metals
in copper
concentrates:
Copper ('000 tonnes)
(a) 47.5 30.3 24.8 48.8 47.8 179.2 151.6
Gold ('000 ounces) 29.7 20.6 18.7 32.0 33.5 122.7 104.8
Silver ('000 ounces) 521 356 296 462 504 2,057 1,618
Molybdenum
concentrates produced
('000 tonnes): 2.0 0.1 0.6 1.4 1.6 6.8 3.7
Molybdenum in
concentrates
('000 tonnes) 1.1 0.1 0.3 0.6 0.8 3.3 1.8
Kennecott smelter &
refinery 100%
Copper concentrates
smelted
('000 tonnes) 194 200 41 59 187 725 486
Copper anodes produced
('000
tonnes) (b) 24.5 55.1 18.2 1.4 44.1 144.5 118.9
Production of refined
metal:
Copper ('000 tonnes)
(c) 36.1 43.6 14.4 18.5 32.0 148.3 108.6
Gold ('000 ounces)
(d) 30.3 22.0 19.2 12.4 20.6 113.9 74.2
Silver ('000 ounces)
(d) 512 432 329 240 406 1,950 1,407
(a) Includes a small amount of copper in precipitates.
(b) New metal excluding recycled material.
(c) We continue to process third party concentrate to optimise
smelter utilisation. There was no cathode produced from purchased
concentrate in 2023 year-to-date. Purchased and tolled copper
concentrates are excluded from reported production figures and
production guidance. Sales of cathodes produced from purchased
concentrate are included in reported revenues.
(d) Includes gold and silver in intermediate products.
Rio Tinto percentage interest shown above is at 31 December
2023. The data represents production and sales on a 100% basis
unless otherwise stated.
Rio Tinto operational data
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
------------------- --------- ---------- ---------- ---------- ---------- ---------- ------------ ------------
COPPER & GOLD
(continued)
Oyu Tolgoi mine (a) 66%
Mongolia
Ore Treated ('000
tonnes)
- Open Pit 8,900 9,613 8,809 8,789 8,714 37,586 35,924
Ore Treated ('000
tonnes)
- Underground 510 675 900 900 888 1,776 3,363
Ore Treated ('000
tonnes)
- Total 9,411 10,288 9,709 9,689 9,602 39,361 39,288
Average mill head
grades:
Open Pit
Copper (%) 0.41 0.43 0.41 0.39 0.42 0.40 0.41
Gold (g/t) 0.20 0.21 0.19 0.25 0.22 0.25 0.22
Silver (g/t) 1.14 1.16 1.10 1.19 1.24 1.20 1.17
Underground
Copper (%) 1.03 1.36 1.56 1.73 1.59 0.75 1.57
Gold (g/t) 0.29 0.35 0.38 0.37 0.37 0.24 0.37
Silver (g/t) 2.54 3.26 3.67 3.94 3.42 2.00 3.59
Total
Copper (%) 0.45 0.49 0.52 0.52 0.53 0.42 0.51
Gold (g/t) 0.21 0.22 0.21 0.26 0.23 0.25 0.23
Silver (g/t) 1.21 1.30 1.34 1.44 1.44 1.24 1.38
Copper concentrates
produced
('000 tonnes) 151.9 201.8 200.3 197.6 196.0 615.8 795.7
Average
concentrate
grade
(% Cu) 21.3 21.1 21.4 21.3 20.8 21.0 21.1
Production of
metals in
concentrates:
Copper in
concentrates
('000 tonnes) 32.3 42.6 42.8 42.0 40.7 129.5 168.1
Gold in
concentrates
('000
ounces) 34.2 44.1 40.3 51.2 41.7 183.8 177.3
Silver in
concentrates
('000 ounces) 204 266 268 287 266 871 1,086
Sales of metals in
concentrates:
Copper in
concentrates
('000 tonnes) 25.3 41.4 43.2 42.7 38.4 132.3 165.7
Gold in
concentrates
('000
ounces) 26.2 44.0 40.4 48.7 41.5 207.5 174.6
Silver in
concentrates
('000 ounces) 152 242 257 269 240 836 1,008
(a) On 16 December 2022, Rio Tinto completed the acquisition of
100% of Turquoise Hill Resources Ltd, increasing our ownership in
Oyu Tolgoi from 33.52% to 66%. From 1 January 2023, our share of
production has been updated to reflect this change.
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
--------------------- --------- ---------- ---------- ---------- ---------- ---------- ----------- -----------
DIAMONDS
Diavik Diamonds 100%
--------------------- --------- ---------- ---------- ---------- ---------- ---------- ----------- -----------
Northwest
Territories,
Canada
Ore processed ('000
tonnes) 535 427 446 427 388 2,158 1,688
Diamonds recovered
('000
carats) 1,319 954 970 757 659 4,651 3,340
Rio Tinto percentage interest shown above is at 31 December
2023. The data represents production and sales on a 100% basis
unless otherwise stated.
Rio Tinto operational data
Rio Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
IRON ORE
Rio Tinto Iron Ore
Western Australia
Pilbara Operations
Saleable iron ore production
('000 tonnes)
Hamersley mines (a) 61,339 54,433 55,004 57,322 59,138 218,304 225,898
Hope Downs 50% 11,891 11,771 11,527 11,037 12,148 48,850 46,482
Robe River - Pannawonica
(Mesas J and A) 53% 7,882 5,892 7,353 7,747 8,171 25,558 29,162
Robe River - West Angelas 53% 8,347 7,200 7,368 7,377 8,054 31,435 29,999
Total production ('000 tonnes) 89,458 79,296 81,251 83,484 87,511 324,146 331,542
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Breakdown of total production:
Pilbara Blend and SP10 Lump
(b) 25,251 23,196 24,910 25,268 26,308 94,758 99,682
Pilbara Blend and SP10 Fines
(b) 41,158 36,537 37,108 36,836 39,264 147,180 149,745
Robe Valley Lump 3,103 2,143 2,808 3,142 3,004 9,932 11,097
Robe Valley Fines 4,779 3,748 4,544 4,605 5,167 15,625 18,065
Yandicoogina Fines (HIY) 15,168 13,672 11,880 13,633 13,768 56,650 52,952
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Breakdown of total shipments:
Pilbara Blend Lump 18,153 18,733 17,757 17,785 17,355 66,682 71,629
Pilbara Blend Fines 38,835 35,349 33,668 31,008 29,840 137,179 129,866
Robe Valley Lump 2,348 1,983 2,173 2,447 2,842 7,870 9,444
Robe Valley Fines 5,464 4,268 4,696 5,105 5,762 17,602 19,832
Yandicoogina Fines (HIY) 14,661 13,689 12,558 13,669 13,628 56,880 53,544
SP10 Lump (b) 2,824 1,686 1,652 4,180 4,620 12,753 12,137
SP10 Fines (b) 5,062 6,832 6,613 9,699 12,208 22,672 35,353
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Total shipments ('000 tonnes)
(c) 87,347 82,540 79,118 83,892 86,255 321,636 331,805
Rio Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Iron Ore Company of Canada 59%
Newfoundland & Labrador and Quebec
in Canada
Saleable iron ore production:
Concentrates ('000 tonnes) 2,020 2,113 1,908 1,936 2,210 7,947 8,167
Pellets ('000 tonnes) 2,288 2,189 1,605 2,124 2,393 9,615 8,311
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
IOC Total production ('000
tonnes) 4,308 4,302 3,513 4,060 4,603 17,562 16,478
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
Shipments:
Concentrates ('000 tonnes) 1,999 1,676 2,124 2,098 2,037 7,108 7,934
Pellets ('000 tonnes) 1,764 1,947 2,302 1,815 2,331 9,153 8,394
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
IOC Total Shipments ('000
tonnes) (c) 3,763 3,622 4,426 3,913 4,368 16,261 16,329
Global Iron Ore Totals
Iron Ore Production ('000
tonnes) 93,766 83,599 84,764 87,543 92,114 341,708 348,020
Iron Ore Shipments ('000
tonnes) 91,110 86,162 83,543 87,805 90,623 337,897 348,134
Iron Ore Sales ('000 tonnes)
(d) 89,650 88,490 85,601 88,030 91,072 344,641 353,193
------------------------------- --------- ------ ------ ------ ------ ------ ------- -------
(a) Includes 100% of production from Paraburdoo, Mt Tom Price,
Western Turner Syncline, Marandoo, Yandicoogina, Brockman,
Nammuldi, Silvergrass, Channar, Gudai-Darri and the Eastern Range
mines. Whilst Rio Tinto owns 54% of the Eastern Range mine, under
the terms of the joint venture agreement, Hamersley Iron manages
the operation and is obliged to purchase all mine production from
the joint venture and therefore all of the production is included
in Rio Tinto's share of production.
(b) SP10 includes other lower grade products.
(c) Shipments includes material shipped to our portside trading
facility in China which may not be sold onwards in the same
period.
(d) Include Pilbara and IOC sales adjusted for portside trading
movements and third party volumes sold.
Rio Tinto percentage interest shown above is at 31 December
2023. The data represents production and sales on a 100% basis
unless otherwise stated.
Rio Tinto operational data
Rio
Tinto Q4 Q1 Q2 Q3 Q4
interest 2022 2023 2023 2023 2023 2022 2023
SALT
Dampier Salt 68%
Western Australia
Salt production
('000 tonnes) 2,133 2,121 2,416 2,097 2,103 8,422 8,737
--------------------- --------- ---------- ---------- ---------- ---------- ---------- ----------- -----------
TITANIUM DIOXIDE SLAG
Rio Tinto Iron &
Titanium 100%
Canada and South
Africa
(Rio Tinto share)
(a)
Titanium dioxide
slag ('000
tonnes) 323 285 303 247 275 1,200 1,111
--------------------- --------- ---------- ---------- ---------- ---------- ---------- ----------- -----------
(a) Quantities comprise 100% of Rio Tinto Fer et Titane and Rio
Tinto's 74% interest in Richards Bay Minerals' production. Ilmenite
mined in Madagascar is being processed in Canada.
Rio Tinto percentage interest shown above is at 31 December
2023. The data represents production and sales on a 100% basis
unless otherwise stated.
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END
DRLSFUEFIELSESF
(END) Dow Jones Newswires
January 16, 2024 02:00 ET (07:00 GMT)
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