Rio Tinto releases first quarter production performance: aluminium records decent growth

Rio Tinto releases solid first quarter production performance 21 April 2015 Rio Tinto chief executive Sam Walsh said “We continue to drive efficiency in all aspects of our business, which is reflected in our solid production performance during the first quarter. By making best use of our high quality assets, low cost base and operating and commercial capability our aim is to protect our margins in the face of declining prices and maximise returns for shareholders throughout the cycle.”

Below are the highlights of Rio Tinto’s first quarter production performance for aluminum section:

Bauxite
Bauxite production set a new first quarter record and was four per cent higher than the first quarter of 2014, primarily due to a strong performance at Weipa which continued to ramp up. Production from the Gove mine has now reached a run-rate of seven million tonnes per annum and is gearing up to reach an eight million tonne per annum run-rate by the fourth quarter of 2015, as infrastructure constraints continue to be addressed.

Alumina
Excluding the Gove refinery, alumina production was up by two per cent compared with the first quarter of 2014, reflecting stronger production at Queensland Alumina. The curtailment of the Gove refinery was completed in May 2014. It remains on care and maintenance.

Aluminium
First quarter aluminium production was in line with the same period of 2014, as capacity creep across the smelter portfolio, combined with restarted capacity at the Boyne smelter in Australia, offset lower production from Kitimat where preparations continue for first hot metal at the modernised smelter by mid- 2015.

2015 guidance
Rio Tinto’s share of production remains unchanged and is expected to be 43 million tonnes of bauxite, 8 million tonnes of alumina and 3.3 million tonnes of aluminium. As for new explorations are concerned, In Brazil, field mapping and drilling continued across several targets. In Laos, auger drilling across the project continues. In Cape York, preparation for the upcoming field season commenced.