19th Apr 2007 07:01
Rio Tinto PLC19 April 2007 First quarter 2007 operations review • Rio Tinto's share of iron ore production increased by 12 per cent compared with the first quarter of 2006, reflecting continued production growth from the Group's $5 billion iron expansion programme in Western Australia. There was some impact on production in the first quarter from a succession of cyclones in the Pilbara region. • Mined copper production decreased by three per cent compared with the first quarter of 2006, mainly due to lower grades and recoveries at Kennecott Utah Copper. • Refined copper production increased by 19 per cent compared with the first quarter of 2006 mostly due to higher production at the Escondida leach plant. The Kennecott Utah Copper smelter operated at targeted levels during the quarter following the scheduled maintenance shutdown in the fourth quarter of 2006. • The Yarwun alumina refinery increased production by 15 per cent compared with the first quarter of 2006 although Rio Tinto's total share of alumina production decreased by 15 per cent quarter on quarter following the sale of its interest in Eurallumina in the fourth quarter of 2006. • Aluminium metal production rose by two per cent compared with the first quarter of 2006. • Hard coking coal production increased by 28 per cent compared with the first quarter of 2006, in line with an improvement in market conditions. • Australian thermal coal production declined by eight per cent compared with the first quarter of 2006 as a result of shipping congestion at the ports. • Uranium production increased by three per cent at Rossing compared with the same quarter of 2006 but overall the Group's share of production decreased by 16 per cent following high rainfall which impeded operations at the Ranger mine and plant. • Diamond production at Diavik increased by 45 per cent compared with the first quarter of 2006 from access to higher grade ore, whilst Group production was 20 per cent lower attributable to low feed grade at Argyle. All currency figures in this report are US dollars unless otherwise stated IRON ORE AND IRON Rio Tinto share of production (000 tonnes) Q1 07 vs Q1 06 vs Q4 06 Hamersley 23,911 +17% -3%Robe River 6,460 +8% -12%IOC (pellets and concentrate) 1,413 -24% -44% An active cyclone season interrupted production during the period, impactingport and rail capacity and limiting supply. Further infrastructure capacityincreases were announced in February 2007 for the Cape Lambert port. Since 2003,Rio Tinto's total committed expenditure on mining and infrastructure projects inthe Pilbara, to expand capacity to 220 million tonnes per annum by the fourthquarter of 2008, is now just under $5 billion (on a 100 per cent basis). Hamersley Compared with the same period in 2006, Hamersley Iron production was up 17 percent, however it was down three per cent on the previous quarter. This was inpart due to a 17 day planned shutdown at the Tom Price mine to complete themajor upgrade associated with the brownfields expansion. The ramp-up is nowproceeding smoothly and on schedule. Capacity expansions progressed largely on time and within budget during thequarter. Robe River Production at Robe River's West Angelas mine was up 25 per cent on the firstquarter of 2006 and four per cent on the previous quarter. Pannawonicaproduction was down five per cent on the same period last year but down 23 percent compared with the previous quarter due to the cyclone impacts. Robe Riversubsequently declared force majeure on some deliveries. In February, a $860 million (Rio Tinto share $456 million) Cape Lambert portexpansion was announced, increasing rated annual port capacity from 55 to 80million tonnes. At the completion of the project in early 2009, the combinedHamersley Iron and Robe River mine capacities will be matched to theirrespective infrastructure capacities. HIsmelt HIsmelt produced 21,400 tonnes of pig iron during the quarter. As ramp-upcontinues, peak hot metal production achieved for a shift was 67 per cent ofnameplate capacity. Iron Ore Company of Canada First quarter production was impacted by a strike of unionised employees whichcommenced on 9 March 2007. Prior to this strike, saleable production wasslightly above 2006 rates. ENERGY US thermal coal Rio Tinto share of production (000 tonnes) Q1 07 vs Q1 06 vs Q4 06 Kennecott Energy 30,357 +3% -7% Production was three per cent above the first quarter of 2006 mainly due to thecontinued expansion of the Spring Creek mine. A severe snow storm in late Marchclosed most Powder River Basin mines for several days, causing productiondisruption. Australian coal Rio Tinto share of production (000 tonnes) Q1 07 vs Q1 06 vs Q4 06Rio Tinto Coal Australia Hard coking coal 1,438 +28% -5% Other coal 7,041 -8% -10% Production of hard coking coal at Hail Creek benefited from an improvement inthe coking coal market. Significant shipping congestion at the Port ofNewcastle has adversely affected sales volumes and demurrage, leading to lowerproduction volumes of other coal. Based on allocated port capacity, it is anticipated that production and salesthrough the Port of Newcastle for the remainder of 2007 will be in line withproduction rates and sales levels achieved in the last two quarters. Uranium Rio Tinto share of production (000 tonnes) Q1 07 vs Q1 06 vs Q4 06 Energy Resources of Australia 684 -27% -41%Rossing 586 +3% -16% Production at the Ranger mine was constrained by high rainfall that led to theshutdown of the mining operation and processing plant in late February. Miningresumed after eight days and the plant was operational after 12 days. ERAdeclared force majeure on its sales contracts on 7 March as a result of theheavy rainfall. Production at Rossing was 16 per cent lower than in the previous quarter due tolower head grade from the open pit. INDUSTRIAL MINERALS Rio Tinto share of production (000 tonnes) Q1 07 vs Q1 06 vs Q4 06 Borates 129 +1% -11%Titanium dioxide feedstock 351 +2% -7% First quarter borates production was similar to the prior year. Production wasbelow the fourth quarter of 2006 in line with customer deliveries which wereimpacted by a slowing US housing market. Increased production of titanium dioxide feedstocks compared with the firstquarter of 2006 reflected continued strong demand in the chloride sector andQIT's recently completed UGS expansion to 375,000 tonnes per annum. ALUMINIUM Rio Tinto share of production (000 tonnes) Q1 07 vs Q1 06 vs Q4 06Rio Tinto Aluminium Bauxite 4,229 +10% -5% Alumina 661 -15% -17% Aluminium 211.7 +2% -2% Bauxite production was ten per cent higher than the comparative period in 2006reflecting severe weather conditions that occurred in the prior year. First quarter production from Yarwun was 15 per cent higher than the firstquarter of 2006 in line with the ramp up to full capacity but was 18 per centlower than the previous quarter, attributable to maintenance shutdowns inFebruary. Rio Tinto's share of alumina production in the first quarter fell by15 per cent when compared with the corresponding quarter last year following thesale of Eurallumina in October 2006. Production at the aluminium smelters increased by two per cent compared with thesame quarter of 2006. COPPER Rio Tinto share of production (000 tonnes) Q1 07 vs Q1 06 vs Q4 06Kennecott Utah Copper Mined copper (000 tonnes) 54.1 -12% -19% Refined copper (000 tonnes) 69.7 -2% +187% Molybdenum (000 tonnes) 4.7 +6% +12% Mined gold (000 ozs) 108 -19% -11% Refined gold (000 ozs) 115 -2% +72% Escondida Mined copper (000 tonnes) 111.5 +4% +12% Refined copper (000 tonnes) 19.9 +148% +17% Grasberg JV Mined copper (000 tonnes) 5.6 -52% -64% Mined gold (000 ozs) 67 +626% +13% Kennecott Utah Copper Lower grades and recoveries led to decreased volumes of mined copper and gold,whilst production of molybdenum increased compared with the first and lastquarters of 2006 as a result of improved recovery rates at the concentrator. The Kennecott Utah Copper smelter produced at targeted levels despite incurringtwo minor maintenance shutdowns. Metal production from the plant is runningover ten per cent above the past five year average and is approaching recordproduction levels set in 2002. Escondida First quarter mined copper production was four per cent higher than the firstquarter of 2006 as a result of higher mill throughput. Higher grades comparedwith the previous quarter led to a 12 per cent increase in production. Refinedcopper production increased by 148 per cent compared with the first quarter of2006 as sulphide leach production commenced in the latter half of 2006. Grasberg First quarter data for Grasberg represents planned amounts from Freeport's fiveyear plan as Freeport's March 2007 quarter results have not yet been published. Other Copper Ore hoisted at the underground mine at Palabora increased by six per centcompared with the corresponding quarter of 2006, averaging in excess of 32,000tonnes per day. DIAMONDS Rio Tinto share of production (000 carats) Q1 07 vs Q1 06 vs Q4 06 Argyle 3,470 -33% -57%Diavik 1,551 +45% +4% Argyle Low feed grade at Argyle resulted in lower production in the first quarter.Variability in feed grade and production rates will continue as the open pitoperation approaches the end of its life and transitions to the undergroundoperation. Diavik Higher grades were experienced at Diavik during the first quarter resulting inhigher production as a result of nearly all the ore being sourced from the A154South pipe. EXPLORATION AND EVALUATION Pre-tax expenditure on exploration and evaluation charged to the profit and lossaccount in the first quarter of 2007 was $72 million compared with $57 millionin same period in 2006. $10 million of this expenditure was charged againstbusiness unit earnings. The following exploration projects and programmes were progressed during theperiod: Commodity Projects of note Greenfield programmes Iron ore Pilbara projects including Caliwingina West Africa and Western Australia North: resource estimation work underway Thermal and coking Chapudi project: order of magnitude study Colombia, North America, South Africa andcoal underway Mongolia Industrial minerals Jarandol project, Serbia (borates): Many areas of the world including Europe, drilling continued southern Africa and South America Bauxite Brazil, Australia Copper and base metals Lakeview project, US (nickel/copper): US, Mexico, Chile, Peru, Argentina and definition drilling southern Africa Diamonds Bunder project, India: order of magnitude India, Brazil, Canada, Russia, Botswana, study continued Mauritania and Mali Exploration work continued in Russia under the RioNor Joint Venture. Anagreement was exercised to purchase the Namekara vermiculite deposit in Uganda. Brownfield exploration is underway at a number of Rio Tinto businesses includingEnergy Resources of Australia, Rossing, Kennecott Utah Copper, Pilbara iron oreoperations, Northparkes and Greens Creek. Evaluation work progressed on a number of projects including Eagle (nickel/copper, US), Resolution (copper/gold, US), Potasio Rio Colorado (potash,Argentina), La Granja (copper, Peru), Simandou (iron ore, Guinea) variousPilbara iron ore deposits, Sweetwater (uranium, US) and Kintyre (uranium,Australia). Rio Tinto continues to monitor the work by Northern DynastyMinerals at the Pebble copper-gold-molybdenum deposit in Alaska. Contract ofWork negotiations advanced for the Sulawesi nickel project in Indonesia. Ivanhoe Mines and Rio Tinto have reached agreement in principle with thegovernment of Mongolia on a draft investment agreement for the development ofthe Oyu Tolgoi copper-gold project in Mongolia's South Gobi Region. The draftagreement remains subject to review and approval by all three parties. For further information, please contact: LONDON AUSTRALIA Media Relations Media RelationsChristina Mills Ian HeadOffice: +44 (0) 20 8080 1306 Office: +61 (0) 3 9283 3620Mobile: +44 (0) 7825 275 605 Mobile: +61 (0) 408 360 101 Nick CobbanOffice: +44 (0) 20 8080 1305Mobile: +44 (0) 7920 041 003 Investor Relations Investor RelationsNigel Jones Dave SkinnerOffice: +44 (0) 20 7753 2401 Office: +61 (0) 3 9283 3628Mobile: +44 (0) 7917 227 365 Mobile: +61 (0) 408 335 309 David Ovington Susie CreswellOffice: +44 (0) 20 7753 2326 Office: +61 (0) 3 9283 3639Mobile: +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 OPERATIONAL DATA FULL Rio Tinto 1Q 2Q 3Q 4Q 1Q YEAR interest 2006 2006 2006 2006 2007 2006ALUMINIUM Rio Tinto Aluminium Weipa mine 100.0%Queensland, AustraliaBeneficiated bauxite production ('000 tonnes) 3,843 3,815 4,036 4,444 4,229 16,139Metal grade bauxite shipments ('000 tonnes) 3,788 3,596 4,023 4,451 4,263 15,857Calcined bauxite production ('000 tonnes) 47 40 49 43 43 180 Eurallumina refinery (a) 0.0%Sardinia, ItalyAlumina production ('000 tonnes) 271 270 281 92 - 914 Queensland Alumina refinery 38.6%Queensland, AustraliaAlumina production ('000 tonnes) 956 986 936 993 945 3,871 Yarwun alumina refinery (b) 100.0%Queensland, AustraliaAlumina production ('000 tonnes) 257 322 302 360 296 1,240 Anglesey Aluminium smelter 51.0%United KingdomPrimary aluminium production ('000 tonnes) 36.2 35.5 36.6 35.4 35.2 143.8 Bell Bay smelter 100.0%Tasmania, AustraliaPrimary aluminium production ('000 tonnes) 43.2 43.7 45.1 45.5 43.6 177.5 Boyne Island smelter 59.4%Queensland, AustraliaPrimary aluminium production ('000 tonnes) 134.7 135.9 138.0 136.5 136.1 545.1 Tiwai Point smelter 79.4%New ZealandPrimary aluminium production ('000 tonnes) 81.6 79.9 86.5 89.3 86.7 337.3 Rio Tinto Aluminium shareShare of primary aluminium sales ('000 tonnes) 200.2 208.0 208.5 233.3 195.5 850.0 (a) Rio Tinto sold its 56.2% share in Eurallumina with an effective date of 31 October 2006 and production data are shown up to that date. (b) Yarwun alumina refinery was previously known as Comalco Alumina Refinery. BORATESRio Tinto Minerals - borates 100.0%California, US and ArgentinaBorates ('000 tonnes) (a) 129 142 137 145 129 553 (a) Production is expressed as B2O3 content. Rio Tinto percentage interest shown above is at 31 March 2007. The data represent full production and sales on a 100% basis unless otherwise stated. RIO TINTO OPERATIONAL DATA Rio Tinto 1Q 2Q 3Q 4Q 1Q FULL YEAR interest 2006 2006 2006 2006 2007 2006COALRio Tinto Coal Australia Bengalla mine 30.3%New South Wales, AustraliaThermal coal production ('000 tonnes) 1,088 1,406 1,618 1,433 1,315 5,544 Blair Athol Coal mine 71.2%Queensland, AustraliaThermal coal production ('000 tonnes) 2,429 2,496 2,583 2,682 2,341 10,190 Hail Creek Coal mine 82.0%Queensland, AustraliaHard coking coal production ('000 tonnes) 753 971 1,365 1,455 1,371 4,544 Hunter Valley Operations 75.7%New South Wales, AustraliaThermal coal production ('000 tonnes) 2,386 3,136 2,435 2,264 2,316 10,221Semi-soft coking coal production ('000 tonnes) 419 350 419 616 331 1,804 Kestrel Coal mine 80.0%Queensland, AustraliaThermal coal production ('000 tonnes) 156 290 266 151 189 863Hard coking coal production ('000 tonnes) 635 923 766 404 392 2,729 Mount Thorley Operations 60.6%New South Wales, AustraliaThermal coal production ('000 tonnes) 969 582 494 857 657 2,902Semi-soft coking coal production ('000 tonnes) 291 325 253 125 163 993 Tarong Coal mine 100.0%Queensland, AustraliaThermal coal production ('000 tonnes) 1,803 1,685 1,713 1,778 1,736 6,979 Warkworth mine 42.1%New South Wales, AustraliaThermal coal production ('000 tonnes) 1,759 1,766 1,803 1,686 1,343 7,014Semi-soft coking coal production ('000 tonnes) 11 96 90 130 51 327 Total hard coking coal production ('000 tonnes) 1,388 1,895 2,131 1,859 1,763 7,273Total hard coking coal sales ('000 tonnes) 1,220 1,471 1,779 1,962 1,776 6,432Total other coal production ('000 tonnes) (a) 11,309 12,133 11,673 11,722 10,443 46,837Total other coal sales ('000 tonnes) (b) (c) 11,860 11,882 11,845 11,173 11,127 46,760 Total coal production ('000 tonnes) 12,698 14,027 13,804 13,581 12,206 54,110Total coal sales ('000 tonnes) 13,080 13,353 13,624 13,135 12,903 53,193 Rio Tinto Coal Australia shareShare of hard coking coal sales ('000 tonnes) 994 1,196 1,450 1,603 1,447 5,243Share of other coal sales ('000 tonnes) (b) (c) 7,986 8,022 7,743 7,525 7,523 31,276 (a) Other coal production includes thermal coal and semi-soft coking coal. (b) Other coal sales includes thermal coal, semi-soft coking coal and semi-hard coking coal (a mixture of thermal coal and coking coal). (c) Sales relate only to coal mined by the operations and exclude traded coal. Rio Tinto Energy America Antelope mine 100.0%Wyoming, USThermal coal production ('000 tonnes) 7,501 7,849 7,760 7,640 7,691 30,749 Colowyo mine (a)Colorado, USThermal coal production ('000 tonnes) 1,468 1,497 1,431 1,358 1,224 5,754 Cordero Rojo mine 100.0%Wyoming, USThermal coal production ('000 tonnes) 8,675 9,121 8,775 9,524 9,060 36,094 Decker mine 50.0%Montana, USThermal coal production ('000 tonnes) 1,552 1,614 1,551 1,733 1,488 6,449 Jacobs Ranch mine 100.0%Wyoming, USThermal coal production ('000 tonnes) 8,513 8,879 9,220 9,646 8,537 36,258 Spring Creek mine 100.0%Montana, USThermal coal production ('000 tonnes) 2,549 3,527 3,341 3,764 3,100 13,181 Total coal production ('000 tonnes) 30,257 32,487 32,077 33,664 31,101 128,484Total coal sales ('000 tonnes) 30,257 32,487 32,077 33,661 31,101 128,482 (a) 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 31 March 2007. The data represent full production and sales on a 100% basis unless otherwise stated. RIO TINTO OPERATIONAL DATA Rio 1Q 2Q 3Q 4Q 1Q FULL Tinto YEAR interest 2006 2006 2006 2006 2007 2006COPPER & GOLDEscondida 30.0%ChileSulphide ore to concentrator ('000 tonnes) 21,843 21,473 18,258 22,585 23,450 84,158Average copper grade (%) 1.62 1.63 1.55 1.55 1.62 1.59Mill production (metals in concentrates): Contained copper ('000 tonnes) 302.8 295.9 234.0 289.4 319.1 1,122.2 Contained gold ('000 ounces) 40 49 35 46 45 170 Contained silver ('000 ounces) 1,522 1,882 1,464 1,777 1,877 6,646Ore to leach ('000 tonnes) (a) 16,158 15,536 14,712 9,659 15,509 56,064Average copper grade (%) 0.34 0.37 0.25 0.45 0.34 0.34Contained copper in leachate/mined material ('000 55 57 36 43 52 191tonnes)Refined production from leach plants: Copper cathode production ('000 tonnes) 27 20 30 57 66 134 Freeport-McMoRan Copper & GoldGrasberg mine (a) 0.0%Papua, IndonesiaOre treated ('000 tonnes) 19,512 20,353 21,170 22,681 20,077 83,716Average mill head grades: Copper (%) 0.72 0.72 0.85 1.08 1.20 0.85 Gold (g/t) 0.92 0.67 0.83 0.95 1.92 0.85 Silver (g/t) 4.21 3.84 3.46 3.87 3.15 3.84Production of metals in concentrates: Copper in concentrates ('000 tonnes) 115.9 121.7 152.9 220.3 219.3 610.8 Gold in concentrates ('000 ounces) 485 336 471 589 1,060 1,880 Silver in concentrates ('000 ounces) 903 1,170 1,453 2,083 1,180 5,609Sales of payable metals in concentrates: (b) Copper in concentrates ('000 tonnes) 114.0 108.8 155.5 211.3 193.9 589.7 Gold in concentrates ('000 ounces) 486 294 487 564 1,009 1,831 Silver in concentrates ('000 ounces) 711 844 1,167 1,592 822 4,315 (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. The first quarter 2007 data represent budgeted amounts from FCX's 2007 five year plan, because FCX will not have reported its results prior to the publication of this quarterly operations review. (b) Net of smelter deductions. Rio Tinto percentage interest shown above is at 31 March 2007. The data represent full production and sales on a 100% basis unless otherwise stated. RIO TINTO OPERATIONAL DATA Rio Tinto 1Q 2Q 3Q 4Q 1Q FULL YEAR interest 2006 2006 2006 2006 2007 2006COPPER & GOLD (continued)Kennecott Minerals CompanyCortez/Pipeline mine 40.0%Nevada, USOre treated Milled ('000 tonnes) 756 745 956 842 763 3,298 Leached ('000 tonnes) 3,812 4,464 7,452 7,312 11,007 23,040 Sold for roasting ('000 tonnes) 35 - - - - 35Average ore grade: gold Milled (g/t) 2.33 2.13 2.89 2.64 2.49 2.52 Leached (g/t) 0.39 0.37 0.43 0.42 0.52 0.41 Sold for roasting (g/t) 6.50 - - - - 6.50Gold produced ('000 ounces) 87 68 136 153 113 444 Greens Creek mine 70.3%Alaska, USOre treated ('000 tonnes) 158 157 162 187 166 664Average ore grades: Gold (g/t) 4.54 3.97 4.39 4.82 4.44 4.45 Silver (g/t) 533 471 619 540 562 541 Zinc (%) 10.0 8.4 8.9 10.1 9.5 9.4 Lead (%) 4.0 3.1 4.0 3.6 3.6 3.7Metals produced in concentrates: Gold ('000 ounces) 16 13 16 19 16 63 Silver ('000 ounces) 2,065 1,751 2,553 2,497 2,371 8,866 Zinc ('000 tonnes) 12.2 10.1 10.8 14.5 12.5 47.5 Lead ('000 tonnes) 4.3 3.1 4.6 4.8 4.2 16.9 Rawhide mine (a) 51.0%Nevada, USMetals produced in dore: Gold ('000 ounces) 7 6 7 6 5 26 Silver ('000 ounces) 63 55 64 50 51 232 (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 CopperBarneys Canyon mine (a) 100.0%Utah, USGold produced ('000 ounces) 4 3 5 3 2 15(a) Mining operations ceased in the first quarter of 2002. Gold continues to be recovered from leachpads. Bingham Canyon mine 100.0%Utah, USOre treated ('000 tonnes) 11,702 11,739 12,333 12,083 11,922 47,857Average ore grade: Copper (%) 0.62 0.67 0.62 0.63 0.56 0.63 Gold (g/t) 0.52 0.56 0.47 0.44 0.43 0.49 Silver (g/t) 3.73 3.98 3.22 3.09 3.14 3.50 Molybdenum (%) 0.060 0.055 0.057 0.055 0.056 0.057Copper concentrates produced ('000 tonnes) 242 263 269 245 202 1,019Average concentrate grade (% Cu) 25.3 26.1 25.5 27.1 26.7 26.0Production of metals in copper concentrates: Copper ('000 tonnes) (b) 61.6 68.7 68.9 66.4 54.1 265.6 Gold ('000 ounces) 129 146 131 118 106 523 Silver ('000 ounces) 1,036 1,217 1,033 928 856 4,214Molybdenum concentrates produced ('000 tonnes): 8.2 6.3 8.3 7.4 8.3 30.2 Molybdenum in concentrates ('000 tonnes) 4.4 3.5 4.7 4.2 4.7 16.8 Kennecott smelter & refinery 100.0%Copper concentrates smelted ('000 tonnes) 270 272 220 156 272 918Copper anodes produced ('000 tonnes) (c) 66.4 65.7 50.4 33.3 69.0 215.8Production of refined metal: Copper ('000 tonnes) 70.9 67.7 55.1 24.2 69.7 217.9 Gold ('000 ounces) (d) 118 141 137 67 115 462 Silver ('000 ounces) (d) 1,398 1,008 1,148 598 870 4,152 (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 31 March 2007. The data represent full production and sales on a 100% basis unless otherwise stated. RIO TINTO OPERATIONAL DATA Rio Tinto 1Q 2Q 3Q 4Q 1Q FULL YEAR interest 2006 2006 2006 2006 2007 2006COPPER & GOLD (continued)Northparkes Joint Venture 80.0%New South Wales, AustraliaOre treated ('000 tonnes) 1,425 1,438 1,427 1,499 1,367 5,789Average ore grades: Copper (%) 1.45 1.53 1.57 1.57 1.38 1.53 Gold (g/t) 0.56 0.58 0.69 0.71 0.78 0.64Copper concentrates produced ('000 tonnes) 48.4 52.5 52.4 54.2 42.2 207.4Contained copper in concentrates: Saleable production ('000 tonnes) 19.4 20.7 21.0 22.2 17.2 83.3 Sales ('000 tonnes) (a) 14.3 17.1 14.4 15.6 16.3 61.4Contained gold in concentrates: Saleable production ('000 ounces) 19.6 19.9 29.3 26.0 25.6 94.7 Sales ('000 ounces) (a) 13.3 16.4 16.1 17.0 19.1 62.7 (a) Rio Tinto's 80% share of material from the Joint Venture. Palabora (a) 57.7%Palabora mineSouth AfricaOre treated ('000 tonnes) 2,646 2,633 2,668 2,783 2,886 10,730Average ore grade: copper (%) 0.71 0.70 0.72 0.72 0.71 0.71Copper concentrates produced ('000 tonnes) 51.5 43.0 53.4 61.0 82.1 208.9Average concentrate grade: copper (%) 29.9 30.5 29.4 28.5 27.4 29.4Copper in concentrates ('000 tonnes) 15.4 13.1 15.7 17.4 22.5 61.5 Palabora smelter/refineryNew concentrate smelted on site ('000 tonnes) 42.0 83.3 87.7 75.5 73.6 288.5New copper anodes produced ('000 tonnes) 10.0 24.0 22.4 22.2 21.2 78.6Refined new copper produced ('000 tonnes) 14.3 21.9 22.9 22.1 20.8 81.2 By-products:Magnetite concentrate ('000 tonnes) 251 296 299 281 262 1,127Refined nickel sulphate (tonnes) 35 28 25 32 21 120 Vermiculite plantVermiculite produced ('000 tonnes) 48 48 52 50 50 198 (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, which continued during 2006, were completed during the third quarter when Rio Tinto also participated. DIAMONDSArgyle Diamonds 100.0%Western AustraliaAK1 ore processed ('000 tonnes) 1,956 2,131 2,162 2,192 2,168 8,441AK1 diamonds produced ('000 carats) 5,214 7,509 8,330 8,026 3,470 29,078 Diavik Diamonds 60.0%Northwest Territories, CanadaOre processed ('000 tonnes) 492 608 722 509 520 2,331Diamonds recovered ('000 carats) 1,788 2,720 2,829 2,492 2,585 9,829 Murowa Diamonds 77.8%ZimbabweOre processed ('000 tonnes) 66 61 44 47 30 216Diamonds recovered ('000 carats) 48 85 57 50 15 240 Rio Tinto percentage interest shown above is at 31 March 2007. The data represent full production and sales on a 100% basis unless otherwise stated. RIO TINTO OPERATIONAL DATA Rio 1Q 2Q 3Q 4Q 1Q FULL Tinto YEAR interest 2006 2006 2006 2006 2007 2006IRON ORE & IRONHamersley IronWestern AustraliaSaleable iron ore production ('000 tonnes): Paraburdoo, Mount Tom Price, Marandoo, Yandicoogina, Brockman and Nammuldi 100.0% 17,404 19,536 21,304 20,964 20,161 79,208 Channar 60.0% 2,018 2,476 2,652 2,652 2,641 9,798 Eastern Range (a) 1,756 2,021 2,326 2,112 2,166 8,215 Total production ('000 tonnes) 21,178 24,033 26,282 25,728 24,968 97,221 Total sales ('000 tonnes) (b) 20,982 22,611 26,680 27,830 23,770 98,103 (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 AustraliaPig iron production ('000 tonnes) 4 28 26 31 21 89 Iron Ore Company of Canada 58.7%Newfoundland & Labrador and Quebec in CanadaSaleable iron ore production: Concentrates ('000 tonnes) 341 1,291 983 747 82 3,362 Pellets ('000 tonnes) 2,846 3,205 3,124 3,543 2,325 12,718Sales: Concentrate ('000 tonnes) 316 555 651 1,392 436 2,914 Pellets ('000 tonnes) 2,150 3,282 3,198 4,305 1,791 12,935 Rio Tinto BrasilCorumba mine 100.0%Mato Grosso do Sul, BrazilSaleable iron ore production ('000 tonnes) (a) 440 455 538 549 460 1,982Sales ('000 tonnes) 418 413 462 479 347 1,771(a) Production includes by-product fines. Robe River Iron AssociatesPannawonica mine 53.0%Western AustraliaSaleable iron ore production ('000 tonnes) 6,481 7,273 7,501 8,018 6,168 29,273Sales ('000 tonnes) 6,756 7,135 7,619 7,607 5,938 29,118 West Angelas mine 53.0%Western AustraliaSaleable iron ore production ('000 tonnes) 4,813 6,270 6,781 5,795 6,020 23,659Sales ('000 tonnes) 4,745 5,833 6,117 6,621 5,143 23,316 Rio Tinto percentage interest shown above is at 31 March 2007. The data represent full production and sales on a 100% basis unless otherwise stated. RIO TINTO OPERATIONAL DATA Rio 1Q 2Q 3Q 4Q 1Q FULL Tinto YEAR interest 2006 2006 2006 2006 2007 2006SALTRio Tinto Minerals - salt 64.9%Western AustraliaSalt production ('000 tonnes) 1,862 2,219 2,229 2,013 1,719 8,323 TALCRio Tinto Minerals - talc 100.0%Australia, Europe, and North AmericaTalc production ('000 tonnes) 381 346 340 325 352 1,392 TITANIUM DIOXIDE FEEDSTOCKRio Tinto Iron & Titanium 100.0%Canada and South Africa(Rio Tinto share)Titanium dioxide feedstock production ('000 tonnes) 344 353 338 380 351 1,415 URANIUMEnergy Resources of Australia LtdRanger mine 68.4%Northern Territory, AustraliaProduction (tonnes U3O8) 1,372 550 1,097 1,685 1,000 4,704 Rossing Uranium Ltd 68.6%NamibiaProduction (tonnes U3O8) 830 908 865 1,014 854 3,617 Rio Tinto percentage interest shown above is at 31 March 2007. The data represent full production and sales on a 100% basis unless otherwise stated. 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