Strong Foundation for Growth, Decarbonisation and Shareholder Returns slide image

Strong Foundation for Growth, Decarbonisation and Shareholder Returns

Aluminium Outstanding financials with free cash flow more than doubling Operating metrics 2021 Aluminium realised price1 $2,899/t Average alumina price² $329/t 2020 comparison + 49% + 21% 2022 guidance Production - bauxite 54.3Mt - 3% 54-57Mt Production alumina 7.9Mt -2% 8.0-8.4Mt Production - aluminium 3.2Mt - 1% 3.1-3.2Mt Canadian smelters - $1,373/t + 18% hot metal cash costs³ Refer to pg.63 Financial metrics ($bn) Gross product sales 12.7 + 36% EBITDA 4.4 + 104% Margin (integrated operations) 38% + 12 pp Operating cash flow 3.6 + 87% Capex (excl. EAUS) 1.3 + 29% 2.3 + 155% Free cash flow Underlying ROCE 16% + 13 pp Substantial increase in FCF to $2.3bn, and more than double EBITDA on stable metal operations, higher sales prices and heightened demand for value-added product (VAP) Gradual restart at Kitimat in 2022 following strike action, production uplift weighted to H2 Bauxite operations struggled with system stability following severe wet weather in Q1 2021 and equipment reliability ELYSIS joint venture successfully produced aluminium at industrial scale with no direct greenhouse gas emissions Investment of $87m for 16 new smelting cells at AP60 smelter to increase its annual production by 45% 1LME plus all-in premiums (product and market) | 2 Platts Alumina PAX FOB Australia | 3 Operating costs defined as hot metal cash costs for the Canadian smelters (alumina at market price) Rio Tinto ©2022, Rio Tinto, All Rights Reserved 14
View entire presentation