2 QOR 2006
Rio Tinto PLC
19 July 2006
Second quarter 2006 operations review
• The Group's share of iron ore production was a record for the quarter,
increasing by four per cent compared with the second quarter of 2005, and by
16 per cent compared with the previous quarter, as the expansion programme
delivered additional capacity. The operations in Western Australia recovered
from the severe weather conditions experienced during the first quarter,
although the impact on iron ore production continued into the second quarter.
• HIsmelt made its first shipment to customers in the US.
• Mined copper production rose by two per cent compared with the
previous quarter, and by nine per cent compared with the second quarter of
2005, in line with increased grades at Kennecott Utah Copper and higher
production at Escondida from the Norte pit.
• Production from the Comalco Alumina Refinery increased by 25 per cent
in the second quarter compared with the first quarter, with operating levels
showing increasing stability and at times exceeding 90 per cent of original
design capacity.
• Titanium dioxide feedstock production was three per cent higher than
the previous quarter, and eight per cent above the same quarter of 2005,
reflecting the strength of current customer demand and the further expansion
of the Upgraded Slag (UGS) plant.
• US coal production reached record levels for the quarter, increasing
by seven per cent compared with the first quarter, and by ten per cent
compared with the second quarter of 2005. This was in line with the recovery
of rail capacity and the expansions of the Spring Creek and Antelope mines.
• Australian thermal coal production rose by six per cent compared with
the previous quarter consistent with the availability of port and rail
capacity. Australian hard coking coal production recovered from the first
quarter but was below the second quarter of 2005, reflecting lower customer
demand.
All currency figures in this report are US dollars unless otherwise stated
IRON ORE AND IRON
Rio Tinto share of production (000 tonnes)
Q2 06 vs Q2 05 vs Q1 06 H1 06 vs H1 05
Hamersley 23,042 +1% +13% 43,414 +5%
Robe River 7,178 +11% +20% 13,163 +1%
IOC (pellets and concentrate) 2,641 +7% +41% 4,513 +1%
Global iron ore demand remained strong in all markets during the quarter. During
May and June, Hamersley and Robe agreed a 19 per cent increase in the benchmark
price for their products, for the 2006 contract year. In June, the Iron Ore
Company of Canada agreed a 17.3 per cent increase in the price of its iron ore
concentrate and a 3.5 per cent decrease in the price of pellets.
Construction of the $1 billion Hope Downs iron ore project in Western Australia
(Rio Tinto share $685 million) began in April, following Western Australian
Government approval and the ratification of the Hope Downs Joint Venture.
Hamersley and Robe River
The effects of the very severe cyclone season experienced in the first quarter
continued into the second quarter at both Hamersley and Robe, albeit to a lesser
extent.
Notwithstanding this, Hamersley's second quarter production was 13 per cent
higher than the previous quarter and half year production was five per cent
higher than the corresponding period of 2005. This was due, in part, to the
commencement of production at the Nammuldi mine.
HIsmelt
HIsmelt made its first shipment of almost 40,000 tonnes of pig iron to the US in
June.
Iron Ore Company of Canada
Pellet and concentrate production increased by 41 per cent compared with the
first quarter, when extreme winter conditions were experienced. Concentrate
production levels were higher than the previous quarter and the corresponding
quarter of 2005.
ENERGY
US thermal coal
Rio Tinto share of production (000 tonnes)
Q2 06 vs Q2 05 vs Q1 06 H1 06 vs H1 05
Rio Tinto Energy America 31,680 +10% +7% 61,161 +5%
Production in 2006 has increased following the recovery of rail capacity from
the 2005 maintenance campaign. The Antelope mine set a new quarterly and half
year record with the expansion project continuing ahead of schedule. The $46
million expansion that is underway at the Spring Creek mine, which will raise
capacity from 12 to 16 million tonnes per annum, contributed to a new quarterly
production record.
Australian coal
Rio Tinto share of production (000 tonnes)
Q2 06 vs Q2 05 vs Q1 06 H1 06 vs H1 05
Rio Tinto Coal Australia
Hard coking coal 1,535 -21% +36% 2,661 -31%
Other coal 8,093 +11% +6% 15,711 +3%
Production of hard coking coal at Hail Creek reflected lower vessel
presentation. Production from the Hunter Valley operations was in line with the
allocation set under the Port Waratah Coal Services capacity balancing system,
contributing to a six per cent increase in thermal coal production during the
quarter.
Uranium
Second quarter uranium production declined by just over one third compared with
the first quarter, due to heavy rainfalls from a cyclone which prevented access
to high grade ore at the Ranger mine. Production was further impacted by a
reduction in the volume of ore treated due to difficulties experienced in
bringing the acid plant back to full production after a planned maintenance
shutdown.
INDUSTRIAL MINERALS
Rio Tinto share of production (000 tonnes)
Q2 06 vs Q2 05 vs Q1 06 H1 06 vs H1 05
Borates 142 -3% +9% 272 +1%
Titanium dioxide feedstocks 354 +8% +3% 699 +8%
Second quarter borates production was nine per cent higher than the previous
quarter during which a number of maintenance shutdowns took place. Production in
the first half was consistent with the first six months of 2005.
Increased production of titanium dioxide feedstocks reflected the strength of
current demand and QIT's recently completed UGS expansion to 325,000 tonnes per
annum. The UGS expansion to 375,000 tonnes per annum is proceeding as scheduled.
ALUMINIUM
Rio Tinto share of production (000 tonnes)
Q2 06 vs Q2 05 vs Q1 06 H1 06 vs H1 05
Rio Tinto Aluminium
Bauxite 3,815 +4% -1% 7,658 +8%
Alumina 854 +10% +10% 1,632 +10%
Aluminium 206.6 -3% -0% 413.7 -2%
Half year bauxite production was eight per cent higher than the comparative
period in 2005 due to the successful commissioning of the Andoom mine and
processing plant which form part of the NeWeipa project.
Second quarter production from the Comalco Alumina Refinery, at 322,000 tonnes,
was 25 per cent above the previous record quarter, with increased digestion pump
availability resulting in good production rates. There are two major shutdowns
planned for the Comalco Alumina Refinery for the third quarter. Production at
Queensland Alumina and Eurallumina was in line with the previous quarter.
Production at the aluminium smelters was slightly behind the first quarter of
2006, primarily due to cells being taken out of circuit at Tiwai Point, because
of low rainfall in the hydropower catchment area.
COPPER
Rio Tinto share of production (000 tonnes)
Q2 06 vs Q2 05 vs Q1 06 H1 06 vs H1 05
Kennecott Utah Copper
Mined copper (000 tonnes) 68.7 +21% +11% 130.3 +10%
Refined copper (000 tonnes) 67.7 +63% -5% 138.5 +40%
Molybdenum (000 tonnes) 3.5 +8% -21% 7.9 +11%
Mined gold (000 ozs) 149 +50% +12% 282 +29%
Refined gold (000 ozs) 141 +85% +19% 259 +56%
Escondida
Mined copper (000 tonnes) 105.9 +12% -1% 213.1 +19%
Grasberg JV
Mined copper (000 tonnes) 10.2 -54% -14% 22.1 -54%
Mined gold (000 ozs) 19 -86% +107% 28 -91%
Kennecott Utah Copper
The optimisation of mine production in favour of molybdenum continued, although
lower grades during the quarter accounted for lower molybdenum production. Mined
copper production and gold contained in copper concentrate were higher compared
with the previous quarter and the same quarter in 2005, in line with higher
grades.
Refined copper and gold production was significantly higher in the second
quarter compared with the same period of 2005 due to strong operational
performance at the smelter and a 17 day planned maintenance shutdown in May
2005. The smelter will undergo a 45 day planned maintenance shutdown in
September and October 2006.
Escondida
Second quarter mined copper production was 12 per cent higher than the second
quarter of 2005 as a result of the commissioning of the Norte pit in September
2005 and the commencement of sulphide leaching in 2006.
Grasberg
Lower grades for copper, gold and silver as a result of mine sequencing led to
significantly lower production for all three metals compared with the same
quarter of 2005.
Other copper operations
Total mill throughput remained in line with the previous quarter at Palabora
with a significant improvement in daily ore production. Levels of concentrate
smelted and anodes produced increased from the first quarter following the
completion of the scheduled shutdown. Increased production at Northparkes
reflected the continued mining of higher grade ore from the Lift 2 area,
operational performance exceeded design capacity and mill recoveries averaged in
excess of 90 per cent.
DIAMONDS
Rio Tinto share of production (000 carats)
Q2 06 vs Q2 05 vs Q1 06 H1 06 vs H1 05
Argyle 7,509 -20% +44% 12,722 -29%
Diavik 1,632 +8% +52% 2,705 +6%
Argyle
Carat production recovered in the second quarter following adverse weather
conditions earlier in the year. Continuing variability in production levels can
be expected as the mine reaches the end of the open-pit life, and transitions to
an underground operation.
Diavik
Throughput at Diavik recovered from the previous quarter, in line with the
seasonally expected profile. Grades were higher than the previous quarter with a
relatively constant mix from higher grade A154S ore and lower grade A154N ore.
EXPLORATION AND EVALUATION
Pre-tax expenditure on exploration and evaluation charged to the profit and loss
account in the first half of 2006 was $113 million compared with $93 million in
the first half of 2005. $26 million of this expenditure was charged against
business unit earnings.
Exploration drilling was sustained on copper targets in Chile, Argentina, Mexico
and the US. Exploration in Russia ramps up as part of the RioNor Joint Venture.
Diamond exploration remained focused on targets in Canada, Botswana, Mauritania,
India and Brazil. Iron ore exploration continued in Western Australia and in
west Africa. Exploration for thermal and coking coal opportunities continued in
southern Africa, North America, South America and Mongolia.
Brownfield exploration is underway at a number of Rio Tinto businesses,
including the Pilbara, Kennecott Utah Copper, the Freeport and Cortez Joint
Ventures, Greens Creek and Northparkes.
Evaluation work continued on a number of projects including Eagle (nickel/
copper, US), Resolution (copper/gold, US), Potasio Rio Colorado (potash,
Argentina), La Granja (copper, Peru) and Simandou (iron ore, Guinea). Rio Tinto
has taken a 9.9 per cent equity position in Northern Dynasty Minerals which
controls the Pebble copper-gold-molybdenum deposit in Alaska. Contract of Work
negotiations continue at La Sampala nickel in Indonesia.
CAPITAL MANAGEMENT PROGRAMME
During the first half of 2006, the Group bought back $1,027 million of Rio Tinto
plc shares under the 2006/2007 $2.5 billion share buyback programme announced on
2 February 2006. In addition, a special dividend of $1.5 billion was paid on 6
April, bringing the total returned to shareholders to date under the 2006/07
programme to $2,527 million.
For further information, please contact:
LONDON AUSTRALIA
Media Relations Media Relations
Nick Cobban Ian Head
Office: +44 (0) 20 7753 2305 Office: +61 (0) 3 9283 3620
Mobile: +44 (0) 7920 041 003 Mobile: +61 (0) 408 360 101
Investor Relations Investor Relations
Nigel Jones Dave Skinner
Office: +44 (0) 20 7753 2401 Office: +61 (0) 3 9283 3628
Mobile: +44 (0) 7917 227 365 Mobile: +61 (0) 408 335 309
David Ovington Susie Creswell
Office: +44 (0) 20 7753 2326 Office: +61 (0) 3 9283 3639
Mobile: +44 (0) 7920 010 978 Mobile: +61 (0) 418 933 792
Website: www.riotinto.com
High resolution photographs available at: www.newscast.co.uk
RIO TINTO PRODUCTION SUMMARY
RIO TINTO SHARE OF PRODUCTION
QUARTER HALF YEAR % CHANGE
2005 2006 2006 2005 2006 Q206 Q206 H106
Q2 Q1 Q2 H1 H1 vs vs vs
Principal Commodities Q106 Q205 H105
Alumina ('000 t) 779 778 854 1,490 1,632 10% 10% 10%
Aluminium ('000 t) 213.3 207.1 206.6 421.6 413.7 0% -3% -2%
Borates ('000 t) 146 130 142 268 272 9% -3% 1%
Coal - hard coking coal ('000 t) 1,952 1,126 1,535 3,855 2,661 36% -21% -31%
Coal - other Australian ('000 t) 7,298 7,618 8,093 15,290 15,711 6% 11% 3%
Coal - US ('000 t) 28,916 29,481 31,680 58,156 61,161 7% 10% 5%
Copper - mined ('000 t) 190.1 203.4 207.4 378.3 410.8 2% 9% 9%
Copper - refined ('000 t) 62.0 85.6 83.9 139.8 169.5 -2% 35% 21%
Diamonds ('000 cts) 10,954 6,324 9,206 20,688 15,530 46% -16% -25%
Gold - mined ('000 ozs) 420 220 240 881 460 9% -43% -48%
Gold - refined ('000 ozs) 76 118 141 166 259 19% 85% 56%
Iron ore ('000 t) 32,166 28,668 33,316 59,784 61,985 16% 4% 4%
Titanium dioxide ('000 t) 328 344 354 649 699 3% 8% 8%
feedstock
Other Metals & Minerals
Bauxite ('000 t) 3,674 3,843 3,815 7,117 7,658 -1% 4% 8%
Lead - mined ('000 t) 3.3 3.0 2.2 6.7 5.2 -27% -34% -22%
Molybdenum ('000 t) 3.3 4.4 3.5 7.1 7.9 -21% 8% 11%
Pig Iron ('000 t) - 2.4 16.6 - 19.0 584% - -
Salt ('000 t) 1,392 1,209 1,441 2,776 2,650 19% 4% -5%
Silver - mined ('000 ozs) 3,726 3,180 3,270 7,746 6,450 3% -12% -17%
Silver - refined ('000 ozs) 1,138 1,398 1,008 1,893 2,406 -28% -11% 27%
Talc ('000 t) 365 381 346 690 727 -9% -5% 5%
Uranium (tonnes) 1,434 1,508 998 3,050 2,506 -34% -30% -18%
Zinc - mined ('000 t) 10.4 8.6 7.1 20.4 15.6 -17% -32% -23%
Throughout this report, figures in italics indicate adjustments made since the
figure was previously quoted on the equivalent page.
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 half year figures.
RIO TINTO SHARE OF PRODUCTION
Rio Tinto 2Q 3Q 4Q 1Q 2Q 1H 1H
interest 2005 2005 2005 2006 2006 2005 2006
ALUMINA
Production ('000 tonnes)
Comalco Alumina Refinery 100% 228 191 220 257 322 425 578
Eurallumina 56% 150 150 153 152 152 298 304
Queensland Alumina 39% 401 384 375 369 381 767 750
Rio Tinto total alumina production 779 725 748 778 854 1,490 1,632
ALUMINIUM
Refined production ('000 tonnes)
Anglesey 51% 18.2 18.3 18.7 18.5 18.1 36.4 36.6
Bell Bay 100% 43.5 43.9 43.6 43.2 43.7 86.3 86.9
Boyne Island 59% 81.6 82.4 82.7 80.4 80.9 161.1 161.3
Tiwai Point 79% 70.0 72.0 70.6 65.0 63.9 137.8 128.9
Rio Tinto total aluminium production 213.3 216.6 215.6 207.1 206.6 421.6 413.7
BAUXITE
Production ('000 tonnes)
Weipa 100% 3,674 3,781 4,576 3,843 3,815 7,117 7,658
BORATES
Borates ('000 tonnes B2O3 content)
Rio Tinto total borate production 100% 146 141 151 130 142 268 272
COAL - HARD COKING
Rio Tinto Coal Australia (a) ('000 tonnes)
Hail Creek Coal 82% 1,223 1,208 1,270 617 797 2,360 1,414
Kestrel Coal 80% 729 547 315 508 739 1,495 1,247
Rio Tinto total hard coking coal production 1,952 1,755 1,585 1,126 1,535 3,855 2,661
COAL - OTHER *
Rio Tinto Coal Australia (a) ('000 tonnes)
Bengalla 30% 386 366 622 330 426 819 755
Blair Athol Coal 71% 1,789 1,994 1,876 1,730 1,778 3,681 3,509
Hunter Valley Operations 76% 2,292 2,259 2,293 2,124 2,639 4,817 4,763
Kestrel Coal 80% 227 143 89 125 232 387 357
Mount Thorley Operations 61% 648 664 491 763 549 1,245 1,312
Tarong Coal 100% 1,334 1,804 1,549 1,803 1,685 3,118 3,488
Warkworth 42% 622 766 657 744 784 1,224 1,528
Total Australian other coal 7,298 7,996 7,576 7,618 8,093 15,290 15,711
Rio Tinto Energy America (b) ('000 tonnes)
Antelope 100% 6,788 7,287 6,413 7,501 7,849 13,474 15,349
Colowyo (c) 1,315 1,219 1,477 1,468 1,497 2,629 2,965
Cordero Rojo 100% 8,736 7,687 8,642 8,675 9,121 17,905 17,796
Decker 50% 872 841 890 776 807 1,412 1,583
Jacobs Ranch 100% 8,188 8,014 8,590 8,513 8,879 17,219 17,392
Spring Creek 100% 3,018 3,243 3,122 2,549 3,527 5,516 6,076
Total US coal 28,916 28,290 29,135 29,481 31,680 58,156 61,161
Rio Tinto total other coal production 36,214 36,286 36,710 37,099 39,773 73,446 76,872
COPPER
Mine production ('000 tonnes)
Bingham Canyon 100% 56.7 50.2 51.6 61.6 68.7 118.8 130.3
Escondida 30% 94.1 101.7 100.4 107.2 105.9 179.0 213.1
Grasberg - Joint Venture (d) 40% 22.0 23.6 38.2 11.9 10.2 47.8 22.1
Northparkes 80% 9.5 11.8 13.3 15.5 16.5 18.1 32.1
Palabora (e) 46% 7.7 8.2 7.2 7.2 6.1 14.6 13.3
Rio Tinto total mine production 190.1 195.4 210.7 203.4 207.4 378.3 410.8
Refined production ('000 tonnes)
Escondida 30% 11.2 10.2 10.4 8.0 6.1 22.5 14.1
Kennecott Utah Copper 100% 41.5 68.1 65.1 70.9 67.7 98.7 138.5
Palabora (e) 46% 9.3 10.8 9.9 6.7 10.2 18.6 16.8
Rio Tinto total refined production 62.0 89.2 85.5 85.6 83.9 139.8 169.5
DIAMONDS
Production ('000 carats)
Argyle 100% 9,393 5,995 6,455 5,214 7,509 18,026 12,722
Diavik 60% 1,509 1,306 1,098 1,073 1,632 2,558 2,705
Murowa 78% 52 48 44 38 66 104 103
Rio Tinto total diamond production 10,954 7,349 7,598 6,324 9,206 20,688 15,530
Mine production figures for metals refer to the total quantity of metal produced
in concentrates or dore bullion irrespective of whether these products are then
refined on-site.
* Coal - other includes thermal coal and semi-soft coking coal.
See footnotes on page 10.
RIO TINTO SHARE OF PRODUCTION (continued)
Rio 2Q 3Q 4Q 1Q 2Q 1H 1H
Tinto
interest 2005 2005 2005 2006 2006 2005 2006
GOLD
Mine production ('000 ounces)
Barneys Canyon 100% 4 4 4 4 3 9 7
Bingham Canyon 100% 95 92 99 129 146 210 274
Cortez/Pipeline 40% 110 89 74 35 27 198 62
Escondida 30% 13 13 13 12 15 29 27
Grasberg - Joint Venture (d) 40% 140 122 248 9 19 300 28
Greens Creek 70% 14 11 12 11 9 29 20
Kelian (f) 90% 8 - - - - 38 -
Lihir (g) 0% 19 28 - - - 33 -
Northparkes 80% 11 12 13 15 16 21 31
Rawhide 51% 5 3 4 4 3 10 7
Others - 2 2 2 2 2 3 4
Rio Tinto total mine production 420 376 469 220 240 881 460
Refined production ('000 ounces)
Kennecott Utah Copper 100% 76 92 110 118 141 166 259
IRON ORE & IRON
Production ('000 tonnes)
Channar 60% 1,311 1,371 980 1,211 1,486 2,835 2,697
Corumba 100% 372 371 290 440 455 749 895
Eastern Range (h) 1,831 1,897 1,536 1,756 2,021 3,126 3,777
Hamersley 100% 19,704 18,915 19,931 17,404 19,536 35,540 36,940
Iron Ore Company of Canada (i) 59% 2,459 2,292 2,424 1,871 2,641 4,472 4,513
Robe River 53% 6,489 7,341 7,362 5,986 7,178 13,061 13,163
Rio Tinto total mine production 32,166 32,187 32,522 28,668 33,316 59,784 61,985
Pig iron production ('000 tonnes)
HIsmelt(R) (j) 60% - - 5 2 17 - 19
LEAD
Mine production ('000 tonnes)
Greens Creek 70% 3.3 2.5 2.7 3.0 2.2 6.7 5.2
MOLYBDENUM
Mine production ('000 tonnes)
Bingham Canyon 100% 3.3 3.9 4.6 4.4 3.5 7.1 7.9
SALT
Production ('000 tonnes)
Dampier Salt 65% 1,392 1,121 1,610 1,209 1,441 2,776 2,650
SILVER
Mine production ('000 ounces)
Bingham Canyon 100% 1,050 884 884 1,036 1,217 2,190 2,252
Escondida 30% 439 505 593 457 565 872 1,021
Grasberg - Joint Venture (d) 40% 249 280 718 19 30 366 49
Greens Creek 70% 1,797 1,313 1,562 1,451 1,231 3,916 2,682
Others - 193 216 226 216 228 402 445
Rio Tinto total mine production 3,726 3,197 3,982 3,180 3,270 7,746 6,450
Refined production ('000 ounces)
Kennecott Utah Copper 100% 1,138 830 814 1,398 1,008 1,893 2,406
TALC
Production ('000 tonnes)
Luzenac Group 100% 365 328 346 381 346 690 727
TITANIUM DIOXIDE FEEDSTOCK
Production ('000 tonnes)
Rio Tinto Iron & Titanium 100% 328 327 335 344 354 649 699
URANIUM
Production (tonnes U3O8)
Energy Resources of Australia 68% 936 1,035 1,040 938 376 1,962 1,314
Rossing 69% 497 712 745 569 622 1,089 1,192
Rio Tinto total uranium production 1,434 1,747 1,785 1,508 998 3,050 2,506
ZINC
Mine production ('000 tonnes)
Greens Creek 70% 10.4 8.1 8.7 8.6 7.1 20.4 15.6
Mine production figures for metals refer to the total quantity of metal produced
in concentrates or dore bullion irrespective of whether these products are then
refined on-site, except for the data for iron ore which represent production of
saleable quantities of ore plus pellets.
See footnotes on page 10.
RIO TINTO SHARE OF PRODUCTION (continued)
Production data notes
(a) Rio Tinto Coal Australia manages all the operations below; including the
mines which were previously reported separately under the Coal & Allied name.
(b) Rio Tinto Energy America was previously known as Kennecott Energy.
(c) In view of Rio Tinto Energy America's responsibilities under a
management agreement for the operation of the Colowyo mine, all of Colowyo's
output is included in Rio Tinto's share of production.
(d) Through a joint venture agreement with Freeport-McMoRan Copper & Gold
(FCX), Rio Tinto is entitled to 40% of additional material mined as a
consequence of expansions and developments of the Grasberg facilities since
1998.
(e) During the second half of 2005, the conversion of debentures into
ordinary shares resulted in a dilution of Rio Tinto's shareholding in Palabora
from 49.2% to 47.2%. The conversions continued during the first half of 2006 and
the Rio Tinto shareholding on 30 June 2006 was 46.4%.
(f) Kelian ceased processing ore on 7 February 2005 and the final gold
pour was on 27 May 2005.
(g) On 30 November 2005, Rio Tinto sold its interest in Lihir Gold; it had
agreed in September 2005 to relinquish the management agreement for Lihir. The
production data are shown up to 30 September 2005, from which date the Rio Tinto
interest in Lihir was held as an investment rather than being equity accounted.
(h) Rio Tinto's share of production includes 100% of the production from 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.
(i) Rio Tinto sold its 19% interest in the Labrador Iron Ore Royalty
Income Fund on 23 March 2005. The Fund has a shareholding in Iron Ore Company of
Canada but this was not included in the calculation of tonnage attributable to
Rio Tinto.
(j) HIsmelt(R) commenced production during September 2005.
Where Rio Tinto's beneficial interest in an operation has changed, as indicated
above, the share of production has been calculated using the weighted average
interest over the relevant periods. Rio Tinto percentage interest shown above is
at 30 June 2006.
RIO TINTO OPERATIONAL DATA
Rio Tinto 2Q 3Q 4Q 1Q 2Q 1H 1H
interest 2005 2005 2005 2006 2006 2005 2006
ALUMINIUM
Rio Tinto Aluminium
Weipa mine 100.0%
Queensland, Australia
Beneficiated bauxite production ('000 tonnes) 3,674 3,781 4,576 3,843 3,815 7,117 7,658
Metal grade bauxite shipments ('000 tonnes) 3,472 3,979 4,034 3,788 3,596 6,938 7,384
Calcined bauxite production ('000 tonnes) 42 34 22 47 40 74 87
Comalco Alumina Refinery 100.0%
Queensland, Australia
Alumina production ('000 tonnes) 228 191 220 257 322 425 578
Eurallumina refinery 56.2%
Sardinia, Italy
Alumina production ('000 tonnes) 267 267 273 271 270 531 541
Queensland Alumina refinery 38.6%
Queensland, Australia
Alumina production ('000 tonnes) 1,038 995 972 956 986 1,986 1,942
Anglesey Aluminium smelter 51.0%
United Kingdom
Primary aluminium production ('000 tonnes) 35.8 35.8 36.7 36.2 35.5 71.3 71.7
Bell Bay smelter 100.0%
Tasmania, Australia
Primary aluminium production ('000 tonnes) 43.5 43.9 43.6 43.2 43.7 86.3 86.9
Boyne Island smelter 59.4%
Queensland, Australia
Primary aluminium production ('000 tonnes) 136.1 137.9 138.4 134.7 135.9 268.5 270.6
Tiwai Point smelter 79.4%
New Zealand
Primary aluminium production ('000 tonnes) 87.7 90.2 88.1 81.6 79.9 173.1 161.5
Rio Tinto Aluminium share
Share of primary aluminium sales ('000 tonnes) 215.3 221.6 225.0 200.2 208.0 412.0 408.2
BORATES
Rio Tinto Borax 100.0%
California, US and Argentina
Borates ('000 tonnes) (a) 146 141 151 130 142 268 272
(a) Production is expressed as B2O3 content.
Rio Tinto percentage interest shown above is at 30 June 2006. The data represent
full production and sales on a 100% basis unless otherwise stated.
RIO TINTO OPERATIONAL DATA
Rio Tinto 2Q 3Q 4Q 1Q 2Q 1H 1H
interest 2005 2005 2005 2006 2006 2005 2006
COAL
Rio Tinto Coal Australia (a)
Bengalla mine 30.3%
New South Wales, Australia
Thermal coal production ('000 tonnes) 1,274 1,208 2,053 1,088 1,406 2,704 2,494
Blair Athol Coal mine 71.2%
Queensland, Australia
Thermal coal production ('000 tonnes) 2,512 2,799 2,634 2,429 2,496 5,167 4,925
Hail Creek Coal mine 82.0%
Queensland, Australia
Hard coking coal production ('000 tonnes) 1,492 1,473 1,549 753 971 2,878 1,724
Hunter Valley Operations 75.7%
New South Wales, Australia
Thermal coal production ('000 tonnes) 2,497 2,429 2,651 2,386 3,136 5,262 5,522
Semi-soft coking coal production ('000 tonnes) 530 555 378 419 350 1,101 769
Kestrel Coal mine 80.0%
Queensland, Australia
Thermal coal production ('000 tonnes) 283 179 112 156 290 483 446
Hard coking coal production ('000 tonnes) 912 683 393 635 923 1,869 1,559
Mount Thorley Operations 60.6%
New South Wales, Australia
Thermal coal production ('000 tonnes) 612 836 529 969 582 1,330 1,551
Semi-soft coking coal production ('000 tonnes) 458 261 281 291 325 725 615
Tarong Coal mine 100.0%
Queensland, Australia
Thermal coal production ('000 tonnes) 1,334 1,804 1,549 1,803 1,685 3,118 3,488
Warkworth mine 42.1%
New South Wales, Australia
Thermal coal production ('000 tonnes) 1,335 1,736 1,495 1,759 1,766 2,715 3,525
Semi-soft coking coal production ('000 tonnes) 145 85 67 11 96 195 107
Total hard coking coal production ('000 tonnes) 2,403 2,157 1,943 1,388 1,895 4,746 3,283
Total hard coking coal sales ('000 tonnes) 2,312 1,557 1,684 1,220 1,471 4,285 2,691
Total other coal production ('000 tonnes) (b) 10,979 11,891 11,746 11,309 12,133 22,800 23,442
Total other coal sales ('000 tonnes) (c) (d) 10,813 12,424 11,816 11,860 11,882 23,222 23,742
Total coal production ('000 tonnes) 13,382 14,048 13,689 12,698 14,027 27,547 26,725
Total coal sales ('000 tonnes) 13,126 13,981 13,500 13,080 13,353 27,507 26,433
Rio Tinto Coal Australia share
Share of hard coking coal sales ('000 tonnes) 1,881 1,268 1,374 994 1,196 3,489 2,189
Share of other coal sales ('000 tonnes) (c) (d) 7,241 8,399 7,719 7,986 8,022 15,547 16,008
(a) Rio Tinto Coal Australia manages all the operations below; the mines in
New South Wales were previously reported separately under the Coal & Allied
name.
(b) Other coal production includes thermal coal and semi-soft coking coal.
(c) Other coal sales includes thermal coal, semi-soft coking coal and
semi-hard coking coal (a mixture of thermal coal and coking coal).
(d) Sales relate only to coal mined by the operations and exclude traded
coal.
Rio Tinto Energy America (a)
Antelope mine 100.0%
Wyoming, US
Thermal coal production ('000 tonnes) 6,788 7,287 6,413 7,501 7,849 13,474 15,349
Colowyo mine (b)
Colorado, US
Thermal coal production ('000 tonnes) 1,315 1,219 1,477 1,468 1,497 2,629 2,965
Cordero Rojo mine 100.0%
Wyoming, US
Thermal coal production ('000 tonnes) 8,736 7,687 8,642 8,675 9,121 17,905 17,796
Decker mine 50.0%
Montana, US
Thermal coal production ('000 tonnes) 1,745 1,683 1,781 1,552 1,614 2,825 3,166
Jacobs Ranch mine 100.0%
Wyoming, US
Thermal coal production ('000 tonnes) 8,188 8,014 8,590 8,513 8,879 17,219 17,392
Spring Creek mine 100.0%
Montana, US
Thermal coal production ('000 tonnes) 3,018 3,243 3,122 2,549 3,527 5,516 6,076
Total coal production ('000 tonnes) 29,789 29,131 30,025 30,257 32,487 59,568 62,744
Total coal sales ('000 tonnes) 29,789 29,131 30,025 30,257 32,487 59,568 62,744
(a) Rio Tinto Energy America was previously known as Kennecott Energy.
(b) In view of Rio Tinto Energy America's responsibilities under a
management agreement for the operation of the Colowyo mine, all of Colowyo's
output is included in Rio Tinto's share of production.
Rio Tinto percentage interest shown above is at 30 June 2006. The data represent full production and sales on a 100%
basis unless otherwise stated.
RIO TINTO OPERATIONAL DATA
Rio Tinto 2Q 3Q 4Q 1Q 2Q 1H 1H
interest 2005 2005 2005 2006 2006 2005 2006
COPPER & GOLD
Escondida 30.0%
Chile
Sulphide ore to concentrator ('000 tonnes) 21,725 22,255 22,161 21,843 21,473 41,638 43,315
Average copper grade (%) 1.51 1.59 1.58 1.62 1.63 1.46 1.63
Mill production (metals in
concentrates):
Contained copper ('000 tonnes) 277.8 304.4 304.0 302.8 295.9 519.0 598.7
Contained gold ('000 ounces) 44 42 43 40 49 98 89
Contained silver ('000 ounces) 1,462 1,682 1,975 1,522 1,882 2,908 3,405
Ore to leach ('000 tonnes) (a) 4,218 4,214 4,261 16,158 15,536 8,455 31,693
Average copper grade (%) 0.85 0.82 0.72 0.34 0.37 0.92 0.35
Contained copper in leachate/mined material
('000 tonnes) 36 35 31 55 57 78 112
Refined production from leach plants:
Copper cathode production ('000 tonnes) 37.2 34.1 34.8 26.8 20.3 75.1 47.1
(a) Escondida has recently commenced leaching of sulphide ore. The figures
for 2006 show aggregate feed to and production from both the oxide and sulphide
leach processes.
Freeport-McMoRan Copper & Gold (a)
Grasberg mine 0.0% (40.0% of the expansion)
Papua, Indonesia
Ore treated ('000 tonnes) 19,271 19,899 21,791 19,512 20,353 37,217 39,865
Average mill head grades:
Copper (%) 0.98 1.06 1.31 0.72 0.72 1.06 0.72
Gold (g/t) 1.43 1.16 2.33 0.92 0.67 1.52 0.79
Silver (g/t) 4.54 4.36 5.36 4.21 3.84 4.89 4.02
Production of metals in
concentrates:
Copper in concentrates ('000 164.1 185.5 260.8 115.9 121.7 347.6 237.6
tonnes)
Gold in concentrates ('000 750 609 1,400 485 336 1,537 821
ounces)
Silver in concentrates ('000 1,576 1,662 2,489 903 1,170 3,380 2,073
ounces)
Sales of payable metals in concentrates: (b)
Copper in concentrates ('000 164.4 179.9 249.0 114.0 108.8 337.4 222.8
tonnes)
Gold in concentrates ('000 759 594 1,342 486 294 1,502 780
ounces)
Silver in concentrates ('000 1,257 1,284 1,897 711 844 2,614 1,555
ounces)
(a) Through a joint venture agreement with Freeport-McMoRan Copper & Gold
(FCX), Rio Tinto is entitled to 40% of additional material mined as a
consequence of expansions and developments of the Grasberg facilities since
1998.
(b) Net of smelter deductions.
Kelian Equatorial Mining (a) 90.0%
East Kalimantan, Indonesia
Ore treated ('000 tonnes) - - - - - 826 -
Average ore grades:
Gold (g/t) - - - - - 1.68 -
Silver (g/t) - - - - - 2.29 -
Production:
Gold ('000 ounces) 8 - - - - 43 -
Silver ('000 ounces) 4 - - - - 32 -
Sales:
Gold ('000 ounces) 10 - - 42 - 100 42
Silver ('000 ounces) 304 - - - - 304 -
(a) Kelian ceased processing ore on 7 February 2005 and the final gold pour
was on 27 May 2005. Mine closure programmes including reclamation,
rehabilitation and sustainable monitoring continue.
Rio Tinto percentage interest shown above is at 30 June 2006. The data represent full production and sales on a 100%
basis unless otherwise stated.
RIO TINTO OPERATIONAL DATA
Rio Tinto 2Q 3Q 4Q 1Q 2Q 1H 1H
interest 2005 2005 2005 2006 2006 2005 2006
COPPER & GOLD (continued)
Kennecott Minerals Company
Cortez/Pipeline mine 40.0%
Nevada, US
Ore treated
Milled ('000 tonnes) 868 759 798 756 745 1,690 1,501
Leached ('000 tonnes) 5,962 5,725 3,352 3,812 4,464 13,983 8,276
Sold for roasting ('000 tonnes) 72 90 73 35 - 114 35
Average ore grade: gold
Milled (g/t) 5.62 4.81 4.71 2.33 2.13 5.21 2.23
Leached (g/t) 0.60 0.49 0.49 0.39 0.37 0.64 0.38
Sold for roasting (g/t) 6.52 6.73 8.89 6.50 - 6.79 6.50
Gold produced ('000 ounces) 274 223 186 87 68 495 155
Greens Creek mine 70.3%
Alaska, US
Ore treated ('000 tonnes) 178 154 151 158 157 346 315
Average ore grades:
Gold (g/t) 5.22 4.71 5.02 4.54 3.97 5.34 4.26
Silver (g/t) 608 527 615 533 471 670 502
Zinc (%) 10.5 9.6 10.4 10.0 8.4 10.7 9.2
Lead (%) 4.1 3.6 3.9 4.0 3.1 4.2 3.6
Metals produced in concentrates:
Gold ('000 ounces) 20 15 17 16 13 41 29
Silver ('000 ounces) 2,557 1,869 2,222 2,065 1,751 5,573 3,817
Zinc ('000 tonnes) 14.7 11.6 12.4 12.2 10.1 29.0 22.3
Lead ('000 tonnes) 4.7 3.5 3.8 4.3 3.1 9.5 7.4
Rawhide mine (a) 51.0%
Nevada, US
Metals produced in dore:
Gold ('000 ounces) 9 7 8 7 6 20 13
Silver ('000 ounces) 88 63 67 63 55 191 118
(a) Mining operations were completed in October 2002 and processing of
stockpiled ores was completed in May 2003. Residual gold and silver production
continues from the leach pads.
Kennecott Utah Copper
Barneys Canyon mine (a) 100.0%
Utah, US
Gold produced ('000 ounces) 4 4 4 4 3 9 7
(a) Mining operations ceased in the first quarter of 2002. Gold continues to
be recovered from leach pads.
Bingham Canyon mine 100.0%
Utah, US
Ore treated ('000 tonnes) 11,757 11,875 11,369 11,702 11,739 23,421 23,440
Average ore grade:
Copper (%) 0.53 0.47 0.51 0.62 0.67 0.56 0.64
Gold (g/t) 0.35 0.34 0.38 0.52 0.56 0.38 0.54
Silver (g/t) 3.36 2.81 3.02 3.73 3.98 3.55 3.85
Molybdenum (%) 0.057 0.052 0.058 0.060 0.055 0.060 0.058
Copper concentrates produced ('000 tonnes) 231 193 213 242 263 475 505
Average concentrate grade (% Cu) 24.4 26.0 24.1 25.3 26.1 25.0 25.7
Production of metals in copper concentrates:
Copper ('000 tonnes) (b) 56.7 50.2 51.6 61.6 68.7 118.8 130.3
Gold ('000 ounces) 95 92 99 129 146 210 274
Silver ('000 ounces) 1,050 884 884 1,036 1,217 2,190 2,252
Molybdenum concentrates produced ('000 tonnes): 6.3 7.6 8.6 8.2 6.3 13.3 14.5
Molybdenum in concentrates ('000 tonnes) 3.3 3.9 4.6 4.4 3.5 7.1 7.9
Kennecott smelter & refinery 100.0%
Copper concentrates smelted ('000 tonnes) 224 300 300 270 272 442 542
Copper anodes produced ('000 tonnes) (c) 43.1 68.6 67.3 66.4 65.7 93.5 132.1
Production of refined metal:
Copper ('000 tonnes) 41.5 68.1 65.1 70.9 67.7 98.7 138.5
Gold ('000 ounces) (d) 76 92 110 118 141 166 259
Silver ('000 ounces) (d) 1,138 830 814 1,398 1,008 1,893 2,406
(b) Includes a small amount of copper in precipitates.
(c) New metal excluding recycled material.
(d) Includes gold and silver in intermediate products.
Rio Tinto percentage interest shown above is at 30 June 2006. The data represent full production and sales on a 100%
basis unless otherwise stated.
RIO TINTO OPERATIONAL DATA
Rio Tinto 2Q 3Q 4Q 1Q 2Q 1H 1H
interest 2005 2005 2005 2006 2006 2005 2006
COPPER & GOLD (continued)
Lihir Gold (a) 0.0%
Papua New Guinea
Ore treated ('000 tonnes) 1,051 917 - - - 1,854 -
Average ore grade: gold (g/t) 4.41 7.15 - - - 4.41 -
Gold produced ('000 ounces) (b) 130 193 - - - 231 -
(a) On 30 November 2005, Rio Tinto sold its interest in Lihir Gold; it had
agreed in September 2005 to relinquish the management agreement for Lihir. The
production data are shown up to 30 September 2005, from which date the Rio Tinto
interest in Lihir was held as an investment rather than being equity accounted.
(b) Gold production represents quantity of gold poured.
Northparkes Joint Venture 80.0%
New South Wales, Australia
Ore treated ('000 tonnes) 1,360 1,372 1,421 1,425 1,438 2,660 2,862
Average ore grades:
Copper (%) 0.97 1.17 1.27 1.45 1.53 1.01 1.49
Gold (g/t) 0.43 0.47 0.49 0.56 0.58 0.44 0.57
Copper concentrates produced ('000 tonnes) 33.7 39.5 43.9 48.4 52.5 63.8 100.8
Contained copper in concentrates:
Saleable production ('000 tonnes) 11.9 14.7 16.7 19.4 20.7 22.6 40.1
Sales ('000 tonnes) (a) 9.8 11.0 13.1 14.3 17.1 19.2 31.4
Contained gold in concentrates:
Saleable production ('000 ounces) 13.4 15.0 16.1 18.6 19.9 25.9 38.5
Sales ('000 ounces) (a) 9.0 10.6 14.7 13.3 16.4 24.6 29.7
(a) Rio Tinto's 80% share of material from the Joint Venture.
Palabora (a) 46.4%
South Africa
Ore treated ('000 tonnes) 2,459 2,572 2,349 2,646 2,633 4,615 5,279
Average ore grade: copper (%) 0.71 0.71 0.72 0.71 0.70 0.71 0.70
Copper concentrates produced ('000 tonnes) 48.4 52.9 47.8 51.5 43.0 96.4 94.5
Average concentrate grade: copper (%) 32.2 31.3 31.2 29.9 30.5 30.8 30.1
Copper in concentrates ('000 tonnes) 15.6 16.6 14.9 15.4 13.1 29.7 28.5
Palabora smelter/refinery
New concentrate smelted on site ('000 tonnes) 71.7 75.2 82.2 42.0 83.3 147.0 125.3
New copper anodes produced ('000 tonnes) 19.4 22.7 22.4 10.0 24.0 39.3 34.0
Refined new copper produced ('000 tonnes) 19.0 22.1 20.6 14.3 21.9 37.7 36.2
By-products:
Magnetite concentrate ('000 tonnes) 189 267 231 251 296 390 547
Refined nickel sulphate (tonnes) 57 37 57 35 28 91 63
Vermiculite plant
Vermiculite produced ('000 tonnes) 54 53 55 48 48 102 95
(a) During the second half of 2005, the conversion of debentures into
ordinary shares resulted in a dilution of Rio Tinto's shareholding in Palabora
from 49.2% to 47.2%. The conversions continued during the first half of 2006 and
the Rio Tinto shareholding on 30 June 2006 was 46.4%.
DIAMONDS
Argyle Diamonds 100.0%
Western Australia
AK1 ore processed ('000 tonnes) 2,358 2,111 2,158 1,956 2,131 4,700 4,087
AK1 diamonds produced ('000 carats) 9,393 5,995 6,455 5,214 7,509 18,026 12,722
Diavik Diamonds 60.0%
Northwest Territories, Canada
Ore processed ('000 tonnes) 612 619 497 492 608 1,106 1,100
Diamonds recovered ('000 carats) 2,515 2,177 1,831 1,788 2,720 4,264 4,508
Murowa Diamonds 77.8%
Zimbabwe
Ore processed ('000 tonnes) 28 49 73 66 61 57 126
Diamonds recovered ('000 carats) 67 61 57 48 85 133 133
Rio Tinto percentage interest shown above is at 30 June 2006. The data represent full production and sales on a 100%
basis unless otherwise stated.
RIO TINTO OPERATIONAL DATA
Rio Tinto 2Q 3Q 4Q 1Q 2Q 1H 1H
interest 2005 2005 2005 2006 2006 2005 2006
IRON ORE & IRON
Hamersley Iron
Western Australia
Saleable iron ore production ('000 tonnes):
Paraburdoo, Mount Tom Price, Marandoo,
Yandicoogina, Brockman and Nammuldi
100.0% 19,704 18,915 19,931 17,404 19,536 35,540 36,940
Channar 60.0% 2,185 2,284 1,634 2,018 2,476 4,725 4,494
Eastern Range (a) 1,831 1,897 1,536 1,756 2,021 3,126 3,777
Total production ('000 tonnes) 23,720 23,097 23,101 21,178 24,033 43,392 45,211
Total sales ('000 tonnes) (b) 21,885 22,387 25,793 20,982 22,611 41,909 43,593
(a) 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) Sales represent iron ore exported from Western Australian ports.
HIsmelt(R) (a) 60.0%
Western Australia
Pig iron production ('000 tonnes) - - 9 4 28 - 32
(a) HIsmelt(R) commenced production during September 2005.
Iron Ore Company of Canada
Newfoundland & Labrador and Quebec in Canada
Carol Lake operations 58.7%
Saleable iron ore production:
Concentrates ('000 tonnes) 745 581 683 341 1,292 1,052 1,633
Pellets ('000 tonnes) 3,442 3,322 3,445 2,846 3,206 6,564 6,052
Sales:
Concentrate ('000 tonnes) 612 552 755 316 555 816 871
Pellets ('000 tonnes) 3,326 2,951 4,230 2,150 3,282 5,670 5,432
Rio Tinto Brasil
Corumba mine 100.0%
Mato Grosso do Sul, Brazil
Saleable iron ore production ('000 tonnes) (a) 372 371 290 440 455 749 895
Sales ('000 tonnes) 243 391 276 418 413 636 831
(a) Production includes by-product fines.
Robe River Iron Associates
Pannawonica mine 53.0%
Western Australia
Saleable iron ore production ('000 7,574 8,076 7,998 6,481 7,273 14,907 13,754
tonnes)
Sales ('000 tonnes) 7,118 7,802 8,203 6,756 7,135 15,057 13,892
West Angelas mine 53.0%
Western Australia
Saleable iron ore production ('000 4,670 5,775 5,891 4,813 6,270 9,737 11,082
tonnes)
Sales ('000 tonnes) 4,469 5,902 6,187 4,745 5,833 9,401 10,578
Rio Tinto percentage interest shown above is at 30 June 2006. The data represent full production and sales on a 100%
basis unless otherwise stated.
RIO TINTO OPERATIONAL DATA
Rio Tinto 2Q 3Q 4Q 1Q 2Q 1H 1H
interest 2005 2005 2005 2006 2006 2005 2006
SALT
Dampier Salt 64.9%
Western Australia
Salt production ('000 tonnes) 2,144 1,726 2,480 1,862 2,219 4,274 4,081
TALC
The Luzenac Group 100.0%
Australia, Europe, and North America
Talc production ('000 tonnes) 365 328 346 381 346 690 727
TITANIUM DIOXIDE FEEDSTOCK
Rio Tinto Iron & Titanium 100.0%
Canada and South Africa
(Rio Tinto share)
Titanium dioxide feedstock production ('000 tonnes) 328 327 335 344 354 649 699
URANIUM
Energy Resources of Australia Ltd
Ranger mine 68.4%
Northern Territory, Australia
Production (tonnes U3O8) 1,369 1,514 1,521 1,372 550 2,868 1,922
Rossing Uranium Ltd 68.6%
Namibia
Production (tonnes U3O8) 725 1,038 1,086 830 908 1,587 1,738
Rio Tinto percentage interest shown above is at 30 June 2006. The data represent full production and sales on a 100%
basis unless otherwise stated.
This information is provided by RNS
The company news service from the London Stock Exchange