Commission file number: | Commission file number: | ||||
ABN 96 004 458 404 | |||||
(Translation of registrant’s name into English) | (Translation of registrant’s name into English) | ||||
(Address of principal executive offices) | (Address of principal executive offices) |
99.1 | 31 July 2024 |
Rio Tinto plc (Registrant) | Rio Tinto Limited (Registrant) | ||||||||||||||||
By | /s/ Peter Cunningham | By | /s/ Peter Cunningham | ||||||||||||||
Name | Peter Cunningham | Name | Peter Cunningham | ||||||||||||||
Title | Chief Financial Officer | Title | Chief Financial Officer | ||||||||||||||
Date | 31 July 2024 | Date | 31 July 2024 |
2024 half year results | |||||
Directors’ report for the half year ended 30 June 2024 | |||||
Page 1 | Rio Tinto 2024 Form 6-K |
2024 half year results |
Six months ended 30 June | 2024 | 2023 | Change | ||||||||
Net cash generated from operating activities (US$ millions) | 7,056 | 6,975 | 1% | ||||||||
Purchases of property, plant and equipment and intangible assets (US$ millions) | 4,018 | 3,001 | 34% | ||||||||
Free cash flow¹ (US$ millions) | 2,843 | 3,769 | (25)% | ||||||||
Consolidated sales revenue (US$ millions) | 26,802 | 26,667 | 1% | ||||||||
Underlying EBITDA¹ (US$ millions) | 12,093 | 11,728 | 3% | ||||||||
Profit after tax attributable to owners of Rio Tinto (net earnings) (US$ millions) | 5,808 | 5,117 | 14% | ||||||||
Underlying earnings per share (EPS)¹ (US cents) | 354.3 | 352.9 | —% | ||||||||
Ordinary dividend per share (US cents) | 177.0 | 177.0 | —% | ||||||||
Underlying return on capital employed (ROCE)¹ | 19% | 20% | |||||||||
At 30 June 2024 | At 31 December 2023 | ||||||||||
Net debt¹ (US$ millions) | 5,077 | 4,231 | 20% | ||||||||
Page 2 | Rio Tinto 2024 Form 6-K |
Objective | Key achievements in the first half of 2024 | ||||
Best operator | Safety is our top priority. Tragically four colleagues and two airline crew members died in a plane crash while travelling to our Diavik diamond mine in Canada in January 2024. The investigation by the authorities is ongoing. Our team is committed to continuing our safety improvement journey by learning from these events. This remains imperative throughout 2024. Our disciplined investment in lifting the health of our assets and focus on shifting our culture and mindset is delivering results: •we are committed to having a safe work environment, preventing catastrophic events and injuries. Our All Injury Frequency Rate (AIFR) in the first half of 2024 remained stable at 0.36. •we continue to see good performance from the Oyu Tolgoi underground mine in Mongolia, with a 15% increase in mined copper production compared with first half 2023. •the deployment of the Safe Production System (SPS) has now reached 26 sites. We deepened the maturity of SPS at existing sites during the half, with three additional sites setting best throughput rates (over a 90 day period). •we achieved a 10% increase in bauxite production compared with first half 2023, which reflects implementation of SPS, especially at Weipa where we achieved higher plant utilisation and feed rates. •we are on track to deliver our targeted 5 million tonne production uplift at Pilbara Iron Ore in 2024 from SPS, which follows the 5 million tonne achieved in 2023. | ||||
Impeccable ESG | We have committed to reaching net zero Scope 1 and 2 emissions by 2050 and set ambitious interim targets relative to our 2018 equity emissions baseline: to reduce greenhouse gas (GHG) emissions by 50% by 2030. In 2024 first half, our Scope 1 and 2 emissions were 16.1Mt CO2e (16.3Mt in 2023 first half, restated to reflect market-based Scope 2 reporting and current asset ownership; 32.6Mt in 2023). Our capital expenditure on decarbonisation projects in 2024 first half was $69 million. We also made $46 million of equity investments related to our decarbonisation programs. Our related operational expenditure was $96 million. Progress during the half on decarbonising our operations and value chains included: •Rio Tinto announced drive to develop Australia’s largest solar farm at Gladstone •Australia’s leading iron ore producers partner with BlueScope on steel decarbonisation •Rio Tinto signs Australia’s largest wind power deal as it works to repower its Gladstone operations •Rio Tinto and BHP collaborate on battery-electric haul truck trials in the Pilbara •Rio Tinto to develop BioIron™ R&D facility in Western Australia to test low-carbon steelmaking •Long-term future for New Zealand’s Tiwai Point aluminium smelter secured with new power deals •Rio Tinto to install carbon free aluminium smelting cells using first ELYSIS technology licence •Richards Bay Minerals signs agreement for an additional 140 MW of renewable energy •Ngarluma and Rio Tinto to progress renewable energy project | ||||
Page 3 | Rio Tinto 2024 Form 6-K |
Excel in Development | We made significant progress with our objective to excel in development with the following key milestones in the half: •the ramp-up of the Oyu Tolgoi underground copper-gold mine in Mongolia is progressing in line with our long-term plan and is on track to reach 500 thousand tonnes1 of copper per year from 2028 to 2036. •the construction of the Simandou high-grade iron ore project in Guinea is advancing at pace. All conditions for Rio Tinto's investment to develop the deposit were satisfied in July, including the completion of necessary Guinean and Chinese regulatory approvals, and we completed our investment to co-develop the rail and port infrastructure. •development of the 3,000 tonne per annum lithium carbonate starter plant at Rincon in Argentina is on plan: we expect first production by the end of 2024. •at the Serbian Critical Raw Materials Summit on 19 July, governments, potential customers and European leaders endorsed the Jadar lithium project. This followed the Government of Serbia's reinstatement of the Jadar project spatial plan to its previously adopted form. | ||||
Social licence | We continue to strive to restore trust and rebuild relationships, particularly with Indigenous peoples as we continue to invest in cultural knowledge. In March, we officially launched a global community perception monitoring program, Local Voices. The program is an important part of our commitment to truly listen to communities so we can continually find better ways to work together. Other key highlights in the half include: •Sokhulu and RBM agree to implement trust reform and support long-term community benefit •Rio Tinto commits $10 million to boost Tom Price sports and recreation •Yinhawangka People and Rio Tinto partner to co-design ‘Living Cultures Program’ •Rio Tinto celebrates WA businesses as regional and Indigenous supplier spend grows •Rio Tinto donates $1.5 million to support the people and community of Grindavík in Iceland •Rio Tinto invests $8 million in Pilbara conservation land management |
Page 4 | Rio Tinto 2024 Form 6-K |
US$bn | |||||
2023 first half underlying EBITDA | 11.7 | ||||
Prices | (0.2) | ||||
Exchange rates | 0.2 | ||||
Volumes and mix | (0.1) | ||||
General inflation (including net impact on provisions) | (0.4) | ||||
Energy | 0.1 | ||||
Operating cash unit costs | 0.2 | ||||
Exploration and evaluation expenditure (net of profit from disposal of interests in undeveloped projects) | 0.2 | ||||
Non-cash costs/other | 0.4 | ||||
Change in underlying EBITDA | 0.4 | ||||
2024 first half underlying EBITDA | 12.1 |
Page 5 | Rio Tinto 2024 Form 6-K |
US$bn | |||||
2023 first half net earnings | 5.1 | ||||
Changes in underlying EBITDA (see above) | 0.4 | ||||
Increase in depreciation and amortisation (pre-tax) in underlying earnings | (0.4) | ||||
Decrease in interest and finance items (pre-tax) in underlying earnings | 0.3 | ||||
Increase in tax on underlying earnings | (0.1) | ||||
Increase in underlying earnings attributable to outside interests | (0.3) | ||||
Total changes in underlying earnings | — | ||||
Changes in items excluded from underlying earnings (see below) | 0.7 | ||||
Movement in impairment charges net of reversals | 0.9 | ||||
Movement in exchange differences and gains/losses on derivatives | (0.2) | ||||
2024 first half net earnings | 5.8 |
Page 6 | Rio Tinto 2024 Form 6-K |
2024 | 2023 | |||||||
Six months ended 30 June | US$bn | US$bn | ||||||
Underlying earnings | 5.8 | 5.7 | ||||||
Items excluded from underlying earnings | ||||||||
Net impairment reversal/(charges) | 0.1 | (0.8) | ||||||
Foreign exchange and derivative (losses)/gains on net debt and intragroup balances and derivatives not qualifying for hedge accounting | — | 0.2 | ||||||
Total items excluded from underlying earnings | 0.1 | (0.6) | ||||||
Net earnings | 5.8 | 5.1 |
Underlying EBITDA | Underlying earnings | |||||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | |||||||||||||||
Six months ended 30 June | US$bn | US$bn | % | US$bn | US$bn | % | ||||||||||||||
Iron Ore | 8.8 | 9.8 | (10) | % | 5.2 | 5.8 | (11) | % | ||||||||||||
Aluminium | 1.6 | 1.1 | 38 | % | 0.6 | 0.3 | 113 | % | ||||||||||||
Copper | 1.8 | 1.1 | 67 | % | 0.5 | 0.2 | 131 | % | ||||||||||||
Minerals | 0.7 | 0.7 | — | % | 0.1 | 0.2 | (57) | % | ||||||||||||
Reportable segments total | 12.9 | 12.7 | 1 | % | 6.3 | 6.4 | (3) | % | ||||||||||||
Simandou iron ore project | — | (0.3) | (98) | % | — | (0.1) | (85) | % | ||||||||||||
Other operations | 0.1 | (0.1) | — | % | (0.1) | (0.2) | (70) | % | ||||||||||||
Central pension costs, share-based payments, insurance and derivatives | (0.2) | 0.2 | (195) | % | (0.1) | 0.1 | (148) | % | ||||||||||||
Restructuring, project and one-off costs | (0.1) | (0.1) | 32 | % | (0.1) | (0.1) | 28 | % | ||||||||||||
Other central costs | (0.5) | (0.5) | (4) | % | (0.4) | (0.5) | (11) | % | ||||||||||||
Central exploration and evaluation | (0.1) | (0.1) | (15) | % | (0.1) | (0.1) | (17) | % | ||||||||||||
Net interest | 0.2 | 0.1 | 152 | % | ||||||||||||||||
Total | 12.1 | 11.7 | 3 | % | 5.8 | 5.7 | 1 | % |
Page 7 | Rio Tinto 2024 Form 6-K |
Page 8 | Rio Tinto 2024 Form 6-K |
2024 | 2023 | |||||||
Six months ended 30 June | US$bn | US$bn | ||||||
Net cash generated from operating activities | 7.1 | 7.0 | ||||||
Purchases of property, plant and equipment and intangible assets | (4.0) | (3.0) | ||||||
Lease principal payments | (0.2) | (0.2) | ||||||
Free cash flow¹ | 2.8 | 3.8 | ||||||
Dividends paid to equity shareholders | (4.1) | (3.7) | ||||||
Chalco Iron Ore Holdings (CIOH) contribution towards Simfer cash expenditures | 0.4 | — | ||||||
Other | — | (0.3) | ||||||
Movement in net debt¹ | (0.8) | (0.2) |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Purchase of property, plant and equipment and intangible assets | 4,018 | 3,001 | ||||||
Less: Equity or shareholder loan financing received/due from non-controlling interests | (349) | — | ||||||
Rio Tinto share of capital investment | 3,669 | 3,001 |
Page 9 | Rio Tinto 2024 Form 6-K |
Page 10 | Rio Tinto 2024 Form 6-K |
2024 US$bn | 2023 US$bn | |||||||
Ordinary dividend | ||||||||
Interim¹ | 2.9 | 2.9 | ||||||
Payout ratio on ordinary dividend | 50 | % | 50 | % | ||||
Ordinary dividend per share declared | 2024 | 2023 | ||||||
Rio Tinto Group | ||||||||
Interim (US cents) | 177.0 | 177.0 | ||||||
Page 11 | Rio Tinto 2024 Form 6-K |
Project (Rio Tinto 100% owned unless otherwise stated) | Total capital cost (100% unless otherwise stated) | Capital remaining to be spent from 1 July 2024 | Status/Milestones | ||||||||
Ongoing | |||||||||||
Iron ore | |||||||||||
Investment in the Western Range iron ore project, a joint venture between Rio Tinto (54%) and China Baowu Steel Group Co. Ltd (46%) in the Pilbara to sustain production of the Pilbara BlendTM from Rio Tinto's existing Paraburdoo hub. First production is anticipated in 2025. | $1.3bn (Rio Tinto share)1 | $0.5bn (Rio Tinto share) | Approved in September 2022, the mine will have a capacity of 25 million tonnes per year. The project includes construction of a primary crusher and an 18 kilometre conveyor connection to the Paraburdoo processing plant. Construction is now 70% complete, with development of the initial mining area completed during the half. First ore from the new primary crusher and conveyor system is on plan for 2025. | ||||||||
Investment in the Simandou high grade iron ore project in Guinea in partnership with CIOH, a Chinalco-led consortium (the Simfer joint venture) and co-development of the rail and port infrastructure with Winning Consortium Simandou2 (WCS), Baowu and the Republic of Guinea (the partners) for the export of up to 120 million tonnes per year of iron ore mined by Simfer's and WCS's respective mining concessions.3 The Simfer joint venture4 will develop, own and operate a 60 million tonne per year5 mine in blocks 3 & 4. WCS will construct the project's ~536 kilometre dual track main line as well as the WCS barge port, while Simfer will construct the ~70 kilometre spur line, connecting its mining concession to the main rail line, and the transshipment vessel port. | $6.2bn (Rio Tinto share) | $5.3bn (Rio Tinto share) | Announced in December 2023, first production at the Simfer mine is expected in 2025, ramping up over 30 months to a 60 million tonne per year capacity (27 million tonnes Rio Tinto share). For the Simfer mine, work on support facilities, including camps, roads, and water and waste facilities is progressing well. For the Simfer infrastructure scope, we completed preparatory work on the bridge foundations which will be used to construct the railway spur. All infrastructure contracts have now been awarded. All conditions have now been satisfied for Rio Tinto’s investment to develop the deposit, including the completion of necessary Guinean and Chinese regulatory approvals, and we have completed our investment in WCS2 to co-develop the rail and port infrastructure. | ||||||||
Aluminium | |||||||||||
Investment to expand the low-carbon AP60 aluminium smelter at the Complexe Jonquière in Quebec. The investment includes up to $113 million of financial support from the Quebec government. Commissioning is expected in the first half of 2026, with the smelter fully ramped up by the end of that year. Once completed, it is expected to be in the first quartile of the industry operating cost curve. | $1.1bn | $0.9bn | Approved in June 2023, AP60 expansion construction activities progressed, with the first prefabricated steel structures delivered to site. Once completed, the project will add 96 new AP60 pots, increasing capacity by approximately 160,000 metric tonnes of primary aluminium per year by the end of 2026. This new capacity, in addition to 30,000 tonnes of new recycling capacity at Arvida expected to open in the fourth quarter of 2025, will offset the 170,000 tonnes of capacity lost through the gradual closure of potrooms at the Arvida smelter from 2024. | ||||||||
Copper | |||||||||||
Phase two of the south wall pushback to extend mine life at Kennecott in Utah by a further six years. | $1.8bn | $1.1bn | Approved in December 2019, the investment will further extend strip waste rock mining and support additional infrastructure development. This will allow mining to continue into a new area of the orebody between 2026 and 2032. In March 2023, a further $0.3 billion was approved to primarily mitigate the risk of failure in an area of geotechnical instability known as Revere, necessary to both protect open pit value and enable underground development. |
Page 12 | Rio Tinto 2024 Form 6-K |
Project (Rio Tinto 100% owned unless otherwise stated) | Total capital cost (100% unless otherwise stated) | Capital remaining to be spent from 1 July 2024 | Status/Milestones | ||||||||
Investment in the Kennecott underground development of the North Rim Skarn (NRS) area. | $0.5bn | $0.5bn | Approved in June 2023, production from NRS6 is expected to commence around mid-year 2025 and is expected to ramp up over two years, to deliver around 250,000 tonnes of additional mined copper over the next 10 years7 alongside open cut operations. | ||||||||
Development of the Oyu Tolgoi underground copper-gold mine in Mongolia (Rio Tinto 66%), which is expected to produce (from the open pit and underground) an average of ~500,000 tonnes8 of copper per year from 2028 to 2036. | $7.06bn | $0.7bn | We delivered first sustainable underground production from Panel 0 in March 2023. The commissioning of infrastructure for ramp-up to full capacity remains on target: we expect shafts 3 and 4 and the conveyor to surface in the second half of 2024, while the concentrator conversion is expected to be progressively completed from the fourth quarter of 2024 through to the second quarter of 2025. Construction of primary crusher 2 commenced in December 2023 and is due to be complete by the end of 2025. | ||||||||
Page 13 | Rio Tinto 2024 Form 6-K |
Status | |||||
Iron Ore: Pilbara brownfields | |||||
Over the medium term, our Pilbara system capacity remains between 345 and 360 million tonnes per year. Meeting this range, and the planned product mix, will require the approval and delivery of the next tranche of replacement mines over the next five years. | We continue to work closely with local communities, Traditional Owners and governments to progress approvals for these new mining projects. We are advancing our next tranche of Pilbara mine replacement studies including the Hope Downs 1 (Hope Downs 2 and Bedded Hilltop), Brockman 4 (Brockman Syncline 1), Greater Nammuldi and West Angelas projects. Early works have commenced at Hope Downs 1. Project timelines remain subject to timing of approvals and heritage clearances with the Greater Nammuldi project starting to diverge from the original development schedule. | ||||
Iron Ore: Rhodes Ridge | |||||
In October 2022, Rio Tinto (50%) and Wright Prospecting Pty Ltd (50%) agreed to modernise the joint venture covering the Rhodes Ridge project in the Eastern Pilbara, providing a pathway for development utilising Rio Tinto’s rail, port and power infrastructure. | In December 2023, we announced approval of a $77 million pre-feasibility study (PFS). The PFS continues to progress with good engagement with Traditional Owners and government. The PFS, which is targeting an initial capacity of up to 40 million tonnes per year, subject to relevant approvals, is expected to be completed in 2025. First ore is expected by the end of the decade. Longer term, the resource could support a world-class mining hub with a potential capacity of more than 100 million tonnes of high-quality iron ore a year. | ||||
Lithium: Jadar | |||||
Development of the greenfield Jadar lithium-borates project in Serbia will include an underground mine with associated infrastructure and equipment, as well as a beneficiation chemical processing plant. The Board committed funding in July 2021, subject to receiving all relevant approvals, permits and licences. The studies and capital estimates will need to be updated before project approval. | On 16 July 2024, the Constitutional Court of Serbia issued a decision stating the 2022 decree by the Government of Serbia to abolish the Jadar project spatial plan was unconstitutional and illegal. Subsequently, the Government of Serbia has reinstated the spatial plan to its previously adopted form. Following the decisions, we have continued to focus on consultation with all key stakeholders, including providing comprehensive factual information about the project. To support a public dialogue, the Jadar project released the draft Environmental Impact Assessment (EIA) studies which provide insights into the project’s potential environmental impacts and the proposed mitigation actions. Independent Serbian and international experts have confirmed the Jadar Project can be implemented safely in line with the highest environmental standards. The Jadar project will be subject to stringent environmental requirements in compliance with Serbian and EU regulations. This includes having to progress through an extended phase of legal, EIA and permitting procedures, as well as public consultations, and further business evaluations, before implementation of the project. | ||||
Lithium: Rincon | |||||
We completed the acquisition of the Rincon Lithium project in Salta province, Argentina in March 2022. Studies are continuing on the full-scale plant, which will have benefits of economies of scale, with the capital intensity, based on current stage of studies, forecast to be in line with regional lithium industry benchmarks. In July 2022, we approved $140 million of investment and $54 million for early works to support a full-scale operation. To date, the majority of costs have been expensed through exploration and evaluation expenditure. In July 2023, we approved a further $195 million to complete the starter plant. Following approval by the Argentine Congress of the new "RIGI" legislation (Law 27,742), we intend to capitalise qualifying Rincon expenditure from 1 July 2024. | Development of the 3,000 tonne per annum battery-grade lithium carbonate starter plant continues to progress to plan with civil concrete work completed and all steel, cable and piping on site, and being progressively installed. An additional 400-bed camp facility has also been constructed, bringing the total number of new beds on site to 900. Commissioning planning is advancing and we continue to expect first production from the starter plant by the end of 2024. We expect to complete the feasibility study for the full-scale operation in the third quarter of 2024. 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. | ||||
Mineral Sands: Zulti South | |||||
Development of the Zulti South project at Richards Bay Minerals (RBM) in South Africa (Rio Tinto 74%). | Approved in April 2019 to underpin RBM’s supply of zircon and ilmenite over the life of the mine. The project remains on indefinite suspension, while a feasibility study refresh is underway. |
Page 14 | Rio Tinto 2024 Form 6-K |
Copper: Resolution | |||||
The Resolution Copper project is a proposed underground copper mine in the Copper Triangle, in Arizona, US (Rio Tinto 55%). It has the potential to supply up to 25% of US copper demand. The United States Forest Service (USFS) continued work to progress the Final Environmental Impact Statement (FEIS) and complete actions necessary for the land exchange. | The Ninth Circuit Court of Appeals denied Apache Stronghold’s request to further hear their case to stop the land exchange between Resolution Copper and the federal government. It is anticipated that Apache Stronghold will file a petition in the second half of 2024 for the case to be heard by the U.S. Supreme Court. We continue to progress the FEIS with the USFS, but they have yet to advise on the date of re-publication. We also advanced partnership discussions with federally-recognised Native American Tribes who are part of the formal consultation process. 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. | ||||
Copper: Winu | |||||
In late 2017, we discovered copper-gold mineralisation at the Winu project in the Paterson Province in Western Australia. In 2021, we reported our first Indicated Mineral Resource. The pathway remains subject to regulatory and other required approvals. In parallel, we continue to explore options aimed at enhancing project value, including further optimisation of the current pathway and alternative development models and partnerships. | We continue to work with the Traditional Owners to progress the Winu copper-gold project, which remains subject to all of the required approvals. Drilling, studies and fieldwork to advance the key environmental permitting and Project Agreement negotiations with Nyangumarta and the Martu remain our priority. | ||||
Copper: La Granja | |||||
In August 2023, we completed a transaction to form a joint venture with First Quantum Minerals that will work to unlock the development of the La Granja project in Peru, one of the largest undeveloped copper deposits in the world, with potential to be a large, long-life operation. | First Quantum Minerals acquired a 55% stake in the project for $105 million and will invest up to a further $546 million into the joint venture to sole fund capital and operational costs to take the project through a feasibility study and toward development. All subsequent expenditures will be applied on a pro-rata basis in line with shared ownership. | ||||
Aluminium: ELYSIS | |||||
ELYSIS, our joint venture with Alcoa, supported by Apple, the Government of Canada and the Government of Quebec, is developing a breakthrough inert anode technology that eliminates all direct greenhouse gases from the aluminium smelting process. | We will install carbon free aluminium smelting cells at our Arvida smelter in Quebec using the first technology licence issued by the ELYSIS joint venture. We will design, engineer and build a demonstration plant equipped with ten pots operating at 100 kiloamperes (kA), for a total investment of $285 million (Rio Tinto $179 million, Government of Quebec $106 million). The plant will have an annual capacity of 2,500 tonnes of commercial quality aluminium, with first production targeted by 2027. The joint venture is continuing its R&D program to scale up the ELYSISTM technology. It has begun commissioning the larger prototype 450 kA cells at the Alma smelter, with the start-up sequence set to begin in 2024. |
Page 15 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 | 2023 | Change | ||||||||
Pilbara production (million tonnes — 100%) | 157.4 | 160.5 | (2) | % | |||||||
Pilbara shipments (million tonnes — 100%) | 158.3 | 161.7 | (2) | % | |||||||
Salt production (million tonnes — Rio Tinto share)¹ | 3.0 | 3.1 | (4) | % | |||||||
Segmental revenue (US$ millions) | 15,206 | 15,600 | (3) | % | |||||||
Average realised price (US$ per dry metric tonne, FOB basis) | 105.8 | 107.2 | (1) | % | |||||||
Underlying EBITDA (US$ millions) | 8,807 | 9,792 | (10) | % | |||||||
Pilbara underlying FOB EBITDA margin² | 67 | % | 69 | % | |||||||
Underlying earnings (US$ millions) | 5,170 | 5,787 | (11) | % | |||||||
Net cash generated from operating activities (US$ millions) | 6,312 | 6,782 | (7) | % | |||||||
Capital expenditure (US$ millions)3 | (1,258) | (1,094) | 15 | % | |||||||
Free cash flow (US$ millions) | 5,029 | 5,639 | (11) | % | |||||||
Underlying return on capital employed4 | 55 | % | 63 | % |
Page 16 | Rio Tinto 2024 Form 6-K |
Page 17 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 | 2023 | Change | ||||||||
Bauxite production ('000 tonnes — Rio Tinto share) | 28,142 | 25,581 | 10 | % | |||||||
Alumina production ('000 tonnes — Rio Tinto share) | 3,540 | 3,720 | (5) | % | |||||||
Aluminium production ('000 tonnes — Rio Tinto share) | 1,650 | 1,598 | 3 | % | |||||||
Segmental revenue (US$ millions) | 6,486 | 6,263 | 4 | % | |||||||
Average realised aluminium price (US$ per tonne) | 2,746 | 2,866 | (4) | % | |||||||
Underlying EBITDA (US$ millions) | 1,577 | 1,140 | 38 | % | |||||||
Underlying EBITDA margin (integrated operations) | 27 | % | 21 | % | |||||||
Underlying earnings (US$ millions) | 555 | 260 | 113 | % | |||||||
Net cash generated from operating activities (US$ millions) | 1,112 | 777 | 43 | % | |||||||
Capital expenditure — excluding EAUs (US$ millions)1 | (705) | (597) | 18 | % | |||||||
Free cash flow (US$ millions) | 390 | 165 | 136 | % | |||||||
Underlying return on capital employed2 | 7 | % | 4 | % |
Page 18 | Rio Tinto 2024 Form 6-K |
Page 19 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 | 2023 | Change | ||||||||
Mined copper production ('000 tonnes — consolidated basis) | 327 | 290 | 13 | % | |||||||
Refined copper production ('000 tonnes — Rio Tinto share) | 125 | 95 | 32 | % | |||||||
Segmental revenue (US$ millions) | 4,408 | 3,487 | 26 | % | |||||||
Average realised copper price (US cents per pound)¹ | 419 | 396 | 6 | % | |||||||
Underlying EBITDA (US$ millions) | 1,804 | 1,082 | 67 | % | |||||||
Underlying EBITDA margin (product group operations) | 53 | % | 43 | % | |||||||
Underlying earnings (US$ millions) | 457 | 198 | 131 | % | |||||||
Net cash generated from operating activities (US$ millions)² | 1,101 | 409 | 169 | % | |||||||
Capital expenditure — excluding EAUs³ (US$ millions) | (970) | (917) | 6 | % | |||||||
Free cash flow (US$ millions) | 127 | (512) | |||||||||
Underlying return on capital employed (product group operations)⁴ | 7 | % | 4 | % |
Page 20 | Rio Tinto 2024 Form 6-K |
Page 21 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 | 2023 | Change | ||||||||
Iron ore pellets and concentrates production¹ (million tonnes — Rio Tinto share) | 4.8 | 4.6 | 4 | % | |||||||
Titanium dioxide slag production ('000 tonnes — Rio Tinto share) | 492 | 589 | (16) | % | |||||||
Borates production ('000 tonnes — Rio Tinto share) | 246 | 257 | (4) | % | |||||||
Diamonds production ('000 carats — Rio Tinto share) | 1,441 | 1,924 | (25) | % | |||||||
Segmental revenue (US$ millions) | 2,738 | 2,889 | (5) | % | |||||||
Underlying EBITDA (US$ millions) | 687 | 689 | — | % | |||||||
Underlying EBITDA margin (product group operations) | 34 | % | 30 | % | |||||||
Underlying earnings (US$ millions) | 77 | 179 | (57) | % | |||||||
Net cash generated from operating activities (US$ millions) | 267 | 89 | 200 | % | |||||||
Capital expenditure (US$ millions)2 | (271) | (304) | (11) | % | |||||||
Free cash flow (US$ millions) | (19) | (229) | (92) | % | |||||||
Underlying return on capital employed (product group operations)3 | 12 | % | 13 | % |
Page 22 | Rio Tinto 2024 Form 6-K |
Page 23 | Rio Tinto 2024 Form 6-K |
Page 24 | Rio Tinto 2024 Form 6-K |
Interim financial statements | Page number | ||||
Group income statement | |||||
Group statement of comprehensive income | |||||
Group cash flow statement | |||||
Group balance sheet | |||||
Group statement of changes in equity |
Selected explanatory notes to the interim financial statements | ||||||||
1 | Basis of preparation | |||||||
2 | Changes in accounting policies | |||||||
3 | Segmental information | |||||||
4 | Segmental information – additional information | |||||||
5 | Impairment | |||||||
6 | Taxation | |||||||
7 | Acquisitions and disposals | |||||||
8 | Cash and cash equivalents | |||||||
9 | Close-down, restoration and environmental provisions | |||||||
10 | Financial instruments | |||||||
11 | Commitments and contingencies | |||||||
12 | Events after the balance sheet date | |||||||
Page 25 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | Note | 2024 US$m | 2023 US$m | ||||||||
Consolidated operations | |||||||||||
Consolidated sales revenue | 3, 4 | ||||||||||
Net operating costs (excluding items disclosed separately) | ( | ( | |||||||||
Net impairment reversals/(charges) | 5 | ( | |||||||||
Exploration and evaluation expenditure (net of profit from disposal of interests in undeveloped projects) | ( | ( | |||||||||
Operating profit | |||||||||||
Share of profit after tax of equity accounted units | |||||||||||
Profit before finance items and taxation | |||||||||||
Finance items | |||||||||||
Net exchange gains on external net debt and intragroup balances | |||||||||||
(Losses)/gains on derivatives not qualifying for hedge accounting | ( | ||||||||||
Finance income | |||||||||||
Finance costs | ( | ( | |||||||||
Amortisation of discount on provisions | ( | ( | |||||||||
( | ( | ||||||||||
Profit before taxation | |||||||||||
Taxation | 6 | ( | ( | ||||||||
Profit after tax for the period | |||||||||||
– attributable to owners of Rio Tinto (net earnings) | |||||||||||
– attributable to non-controlling interests | ( | ||||||||||
Basic earnings per share | |||||||||||
Diluted earnings per share |
Page 26 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 US$m | 2023 US$m | |||||||||
Profit after tax for the period | |||||||||||
Other comprehensive income/(loss) | |||||||||||
Items that will not be reclassified to the income statement: | |||||||||||
Re-measurement gains/(losses) on pension and post-retirement healthcare plans | ( | ||||||||||
Changes in the fair value of equity investments held at fair value through other comprehensive income (FVOCI) | ( | ( | |||||||||
Tax relating to these components of other comprehensive income | ( | ||||||||||
Share of other comprehensive income/(loss) of equity accounted units, net of tax | ( | ||||||||||
( | |||||||||||
Items that have been/may be subsequently reclassified to the income statement: | |||||||||||
Currency translation adjustment(a) | ( | ( | |||||||||
Fair value movements: | |||||||||||
– Cash flow hedge gains | |||||||||||
– Cash flow hedge losses/(gains) transferred to the income statement | ( | ||||||||||
Net change in costs of hedging reserve | |||||||||||
Tax relating to these components of other comprehensive loss | ( | ( | |||||||||
Share of other comprehensive (loss)/income of equity accounted units, net of tax | ( | ||||||||||
( | ( | ||||||||||
Total other comprehensive (loss) for the period, net of tax | ( | ( | |||||||||
Total comprehensive income for the period | |||||||||||
– attributable to owners of Rio Tinto | |||||||||||
– attributable to non-controlling interests | ( |
Page 27 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | Note | 2024 US$m | 2023 US$m | ||||||||
Cash flows from consolidated operations(a) | |||||||||||
Dividends from equity accounted units | |||||||||||
Cash flows from operations | |||||||||||
Net interest paid | ( | ( | |||||||||
Dividends paid to holders of non-controlling interests in subsidiaries | ( | ( | |||||||||
Tax paid | ( | ( | |||||||||
Net cash generated from operating activities | |||||||||||
Cash flows from investing activities | |||||||||||
Purchases of property, plant and equipment and intangible assets | ( | ( | |||||||||
Sales of property, plant and equipment and intangible assets | |||||||||||
Acquisitions of subsidiaries, joint ventures and associates | ( | ||||||||||
Purchases of financial assets | ( | ( | |||||||||
Sales of financial assets(b) | |||||||||||
Net funding of equity accounted units | ( | ( | |||||||||
Other investing cash flows | |||||||||||
Net cash used in investing activities | ( | ( | |||||||||
Cash flows before financing activities | |||||||||||
Cash flows from financing activities | |||||||||||
Equity dividends paid to owners of Rio Tinto | ( | ( | |||||||||
Proceeds from additional borrowings(c) | |||||||||||
Repayment of borrowings and associated derivatives | ( | ( | |||||||||
Lease principal payments | ( | ( | |||||||||
Proceeds from issue of equity to non-controlling interests(d) | |||||||||||
Purchase of non-controlling interest | ( | ||||||||||
Other financing cash flows | |||||||||||
Net cash used in financing activities | ( | ( | |||||||||
Effects of exchange rates on cash and cash equivalents | ( | ( | |||||||||
Net (decrease)/increase in cash and cash equivalents | ( | ||||||||||
Opening cash and cash equivalents less overdrafts | |||||||||||
Closing cash and cash equivalents less overdrafts | 8 | ||||||||||
(a) Cash flows from consolidated operations | 2024 US$m | 2023 US$m | |||||||||||||||
Profit after tax for the period | |||||||||||||||||
Adjustments for: | |||||||||||||||||
– Taxation | 6 | ||||||||||||||||
– Finance items | |||||||||||||||||
– Share of profit after tax of equity accounted units | ( | ( | |||||||||||||||
– Net impairment (reversals)/charges | 5 | ( | |||||||||||||||
– Depreciation and amortisation | |||||||||||||||||
– Provisions (including exchange differences on provisions) | ( | ||||||||||||||||
Utilisation of other provisions | ( | ( | |||||||||||||||
Utilisation of provisions for close-down and restoration | 9 | ( | ( | ||||||||||||||
Utilisation of provisions for post-retirement benefits and other employment costs | ( | ( | |||||||||||||||
Change in inventories | ( | ( | |||||||||||||||
Change in receivables and other assets | ( | ||||||||||||||||
Change in trade and other payables | ( | ( | |||||||||||||||
Other items(e) | ( | ( | |||||||||||||||
Page 28 | Rio Tinto 2024 Form 6-K |
Page 29 | Rio Tinto 2024 Form 6-K |
Note | 30 June 2024 US$m | 31 December 2023 US$m | |||||||||
Non-current assets | |||||||||||
Goodwill | |||||||||||
Intangible assets | |||||||||||
Property, plant and equipment | |||||||||||
Investments in equity accounted units | |||||||||||
Inventories | |||||||||||
Deferred tax assets | |||||||||||
Receivables and other assets | |||||||||||
Other financial assets | |||||||||||
Current assets | |||||||||||
Inventories | |||||||||||
Receivables and other assets | |||||||||||
Tax recoverable | |||||||||||
Other financial assets | |||||||||||
Cash and cash equivalents | 8 | ||||||||||
Total assets | |||||||||||
Current liabilities | |||||||||||
Borrowings | ( | ( | |||||||||
Leases | ( | ( | |||||||||
Other financial liabilities | ( | ( | |||||||||
Trade and other payables | ( | ( | |||||||||
Tax payable | ( | ( | |||||||||
Close-down, restoration and environmental provisions | 9 | ( | ( | ||||||||
Provisions for post-retirement benefits and other employment costs | ( | ( | |||||||||
Other provisions | ( | ( | |||||||||
( | ( | ||||||||||
Non-current liabilities | |||||||||||
Borrowings | ( | ( | |||||||||
Leases | ( | ( | |||||||||
Other financial liabilities | ( | ( | |||||||||
Trade and other payables | ( | ( | |||||||||
Tax payable | ( | ( | |||||||||
Deferred tax liabilities | ( | ( | |||||||||
Close-down, restoration and environmental provisions | 9 | ( | ( | ||||||||
Provisions for post-retirement benefits and other employment costs | ( | ( | |||||||||
Other provisions | ( | ( | |||||||||
( | ( | ||||||||||
Total liabilities | ( | ( | |||||||||
Net assets | |||||||||||
Capital and reserves | |||||||||||
Share capital(a) | |||||||||||
– Rio Tinto plc | |||||||||||
– Rio Tinto Limited | |||||||||||
Share premium account | |||||||||||
Other reserves | |||||||||||
Retained earnings | |||||||||||
Equity attributable to owners of Rio Tinto | |||||||||||
Attributable to non-controlling interests | |||||||||||
Total equity |
Page 30 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June 2024 | Attributable to owners of Rio Tinto | ||||||||||||||||||||||
Share capital US$m | Share premium account US$m | Other reserves US$m | Retained earnings US$m | Total US$m | Non-controlling interests US$m | Total equity US$m | |||||||||||||||||
Opening balance | |||||||||||||||||||||||
Total comprehensive income for the period(a) | — | — | ( | ||||||||||||||||||||
Currency translation arising on Rio Tinto Limited's share capital | ( | — | — | — | ( | — | ( | ||||||||||||||||
Dividends(b) | — | — | — | ( | ( | ( | ( | ||||||||||||||||
Own shares purchased from Rio Tinto shareholders to satisfy share awards to employees(c) | — | — | ( | ( | ( | — | ( | ||||||||||||||||
Change in equity interest held by Rio Tinto | — | — | — | ( | ( | ||||||||||||||||||
Equity issued to holders of non-controlling interests | — | — | — | — | — | ||||||||||||||||||
Employee share awards charged to the income statement | — | — | — | ||||||||||||||||||||
Closing balance | |||||||||||||||||||||||
Six months ended 30 June 2023 | Attributable to owners of Rio Tinto | ||||||||||||||||||||||
Share capital US$m | Share premium account US$m | Other reserves US$m | Retained earnings US$m | Total US$m | Non-controlling interests US$m | Total equity US$m | |||||||||||||||||
Opening balance | |||||||||||||||||||||||
Total comprehensive income for the period(a) | — | — | ( | ( | |||||||||||||||||||
Currency translation arising on Rio Tinto Limited's share capital | ( | — | — | — | ( | — | ( | ||||||||||||||||
Dividends(b) | — | — | — | ( | ( | ( | ( | ||||||||||||||||
Own shares purchased from Rio Tinto shareholders to satisfy share awards to employees(c) | — | — | ( | ( | ( | — | ( | ||||||||||||||||
Treasury shares reissued and other movements | — | — | — | — | |||||||||||||||||||
Equity issued to holders of non-controlling interests | — | — | — | — | — | ||||||||||||||||||
Employee share awards charged to the income statement | — | — | — | ||||||||||||||||||||
Closing balance | |||||||||||||||||||||||
Six months ended 30 June | 2024 US$ | 2023 US$ | |||||||||
Dividends per share: Ordinary - paid during the period | |||||||||||
Ordinary dividends per share: announced with the results for the period | |||||||||||
Page 31 | Rio Tinto 2024 Form 6-K |
Page 32 | Rio Tinto 2024 Form 6-K |
Page 33 | Rio Tinto 2024 Form 6-K |
Page 34 | Rio Tinto 2024 Form 6-K |
Reportable segment | Principal activities | ||||
Iron Ore | Iron ore mining and salt and gypsum production in Western Australia. | ||||
Aluminium | Bauxite mining; alumina refining; aluminium smelting and recycling. | ||||
Copper | Mining and refining of copper, gold, silver, molybdenum, other by-products and licencing of extraction technologies. | ||||
Minerals | Includes mining and processing of borates, titanium dioxide feedstock and iron concentrate and pellets from the Iron Ore Company of Canada. Also includes diamond mining, sorting and marketing and development projects for battery materials, such as lithium. |
Page 35 | Rio Tinto 2024 Form 6-K |
2024 | 2023 | |||||||||||||||||||
Six months ended 30 June | Segmental revenue(a) US$m | Underlying EBITDA(b) US$m | Capital expenditure(c) US$m | Segmental revenue(a) US$m | Underlying EBITDA(b) US$m | Capital expenditure(c) US$m | ||||||||||||||
Iron Ore | ||||||||||||||||||||
Aluminium | ||||||||||||||||||||
Copper | ||||||||||||||||||||
Minerals | ||||||||||||||||||||
Reportable segments total | ||||||||||||||||||||
Other operations | ( | |||||||||||||||||||
Inter-segment transactions | ( | ( | ( | |||||||||||||||||
Share of equity accounted units(d) | ( | ( | ||||||||||||||||||
Central pension costs, share-based payments, insurance and derivatives | ( | |||||||||||||||||||
Restructuring, project and one-off costs | ( | ( | ||||||||||||||||||
Central costs | ( | ( | ||||||||||||||||||
Central exploration and evaluation expenditures | ( | ( | ||||||||||||||||||
Proceeds from disposal of property, plant and equipment | ||||||||||||||||||||
Other items | ||||||||||||||||||||
Consolidated sales revenue | ||||||||||||||||||||
Purchases of property, plant and equipment and intangible assets | ||||||||||||||||||||
Underlying EBITDA |
Page 36 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Profit after tax for the period | ||||||||
Taxation | ||||||||
Profit before taxation | ||||||||
Depreciation and amortisation in subsidiaries, excluding capitalised depreciation(a) | ||||||||
Depreciation and amortisation in equity accounted units | ||||||||
Finance items in subsidiaries | ||||||||
Taxation and finance items in equity accounted units | ||||||||
Gains on embedded commodity derivatives not qualifying for hedge accounting (including foreign exchange) | ( | ( | ||||||
Net impairment (reversals)/charges(b) | ( | |||||||
Change in closure estimates (non-operating and fully impaired sites)(c) | ( | ( | ||||||
Underlying EBITDA |
Page 37 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 % | 2023 % | 2024 US$m | 2023 US$m | ||||||||||
Greater China | ||||||||||||||
United States of America | ||||||||||||||
Asia (excluding Greater China and Japan) | ||||||||||||||
Japan | ||||||||||||||
Europe (excluding UK) | ||||||||||||||
Canada | ||||||||||||||
Australia | ||||||||||||||
UK | ||||||||||||||
Other countries | ||||||||||||||
Consolidated sales revenue |
Six months ended 30 June | Revenue from contracts with customers 2024 US$m | Other revenue(a) 2024 US$m | Consolidated sales revenue 2024 US$m | Revenue from contracts with customers 2023 US$m | Other revenue(a) 2023 US$m | Consolidated sales revenue 2023 US$m | ||||||||||||||
Iron ore | ( | |||||||||||||||||||
Aluminium, alumina and bauxite | ( | |||||||||||||||||||
Copper | ( | |||||||||||||||||||
Industrial minerals (comprising titanium dioxide slag, zircon, borates and salt) | ( | ( | ||||||||||||||||||
Gold | ||||||||||||||||||||
Diamonds | ||||||||||||||||||||
Other products and freight services(b) | ( | |||||||||||||||||||
Consolidated sales revenue | ( | ( | ||||||||||||||||||
Page 38 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | Pre-tax amount 2024 US$m | Taxation 2024 US$m | Non-controlling interest 2024 US$m | Net Amount 2024 US$m | Pre-tax amount 2023 US$m | ||||||||||||
Aluminium – Tiwai Point | |||||||||||||||||
Aluminium – Porto Trombetas (MRN) | ( | ( | |||||||||||||||
Aluminium – Alumina refineries | ( | ||||||||||||||||
Net impairment reversals/(charges) | ( | ||||||||||||||||
Allocated as: | |||||||||||||||||
Property, plant and equipment | ( | ||||||||||||||||
Share of profit after tax of equity accounted units | ( | ||||||||||||||||
Net impairment reversals/(charges) | ( | ||||||||||||||||
Comprising: | |||||||||||||||||
Impairment reversals/(charges) of consolidated balances | ( | ||||||||||||||||
Impairment charges related to EAUs (pre-tax) | ( | ||||||||||||||||
Net impairment reversals/(charges) in the financial information by business unit (page 51) | ( | ||||||||||||||||
Taxation | |||||||||||||||||
Non-controlling interests | |||||||||||||||||
Net impairment reversals/(charges) in the income statement | ( |
Page 39 | Rio Tinto 2024 Form 6-K |
Page 40 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Profit before taxation(a) | ||||||||
Prima facie tax payable at UK rate of | ||||||||
Higher rate of taxation of 30% on Australian earnings (2023: 30%) | ||||||||
Other tax rates applicable outside the UK and Australia | ( | ( | ||||||
Tax effect of profit from equity accounted units and related expenses(a) | ( | ( | ||||||
Impact of changes in tax rates | ( | |||||||
Resource depletion allowances | ( | ( | ||||||
Recognition of previously unrecognised deferred tax assets | ( | ( | ||||||
Write-down of previously recognised deferred tax assets | ||||||||
Utilisation of previously unrecognised deferred tax assets | ( | ( | ||||||
Unrecognised current period operating losses(c) | ||||||||
Adjustments in respect of prior periods | ( | |||||||
Other items | ( | ( | ||||||
Total taxation charge |
Page 41 | Rio Tinto 2024 Form 6-K |
Closing cash and cash equivalents less overdrafts | 30 June 2024 | 31 December 2023 | 30 June 2023 | ||||||||
US$m | US$m | US$m | |||||||||
Balance per Group balance sheet | |||||||||||
Bank overdrafts repayable on demand (unsecured) | ( | ( | ( | ||||||||
Balance per Group cash flow statement | |||||||||||
Page 42 | Rio Tinto 2024 Form 6-K |
30 June 2024(a) | 31 December 2023 | |||||||
US$m | US$m | |||||||
Opening balance | ||||||||
Adjustment on currency translation | ( | |||||||
Adjustments to mining properties/right of use assets: | ||||||||
– changes to existing and new provisions | ||||||||
– change in discount rate(b) | ( | ( | ||||||
Charged/(credited) to profit: | ||||||||
– increases to existing and new provisions | ||||||||
– change in discount rate(b) | ( | ( | ||||||
– decreases and unused amounts reversed | ( | ( | ||||||
– exchange losses/(gains) on provisions | ( | |||||||
– amortisation of discount | ||||||||
Utilised in the period | ( | ( | ||||||
Transfers and other movements | ( | ( | ||||||
Closing balance | ||||||||
Balance sheet analysis: | ||||||||
Current | ||||||||
Non-current | ||||||||
Total | ||||||||
Page 43 | Rio Tinto 2024 Form 6-K |
30 June 2024 | 31 December 2023 | |||||||||||||||||||||||||||||||
Held at fair value | Held at amortised cost US$m | Total US$m | Held at fair value | Held at amortised cost US$m | Total US$m | |||||||||||||||||||||||||||
Level 1(a) US$m | Level 2(b) US$m | Level 3(c) US$m | Level 1(a) US$m | Level 2(b) US$m | Level 3(c) US$m | |||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||
Cash and cash equivalents(d) | ||||||||||||||||||||||||||||||||
Investments in equity shares and funds(e) | ||||||||||||||||||||||||||||||||
Other investments, including loans(f) | ||||||||||||||||||||||||||||||||
Trade and other financial receivables(g) | ||||||||||||||||||||||||||||||||
Forward, option and embedded derivatives contracts, not designated as hedges(h) | ||||||||||||||||||||||||||||||||
Derivatives related to net debt(i) | ||||||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||
Trade and other financial payables(j) | ( | ( | ( | ( | ( | ( | ||||||||||||||||||||||||||
Forward, option and embedded derivatives contracts, designated as hedges(h) | ( | ( | ( | ( | ||||||||||||||||||||||||||||
Forward, option and embedded derivatives contracts, not designated as hedges(h) | ( | ( | ( | ( | ( | ( | ||||||||||||||||||||||||||
Derivatives related to net debt(i) | ( | ( | ( | ( | ||||||||||||||||||||||||||||
Page 44 | Rio Tinto 2024 Form 6-K |
30 June 2024 | 31 December 2023 | |||||||
Level 3 financial assets and liabilities | US$m | US$m | ||||||
Opening balance | ||||||||
Currency translation adjustments | ( | ( | ||||||
Total realised gains/(losses) included in: | ||||||||
– consolidated sales revenue | ||||||||
– net operating costs | ( | ( | ||||||
Total unrealised gains/(losses) included in: | ||||||||
– net operating costs | ||||||||
Total unrealised gains/(losses) transferred into other comprehensive income through cash flow hedges | ( | |||||||
Additions to financial assets/(liabilities) | ||||||||
Disposals/maturity of financial instruments | ( | ( | ||||||
Closing balance | ||||||||
Net gains included in the income statement for assets and liabilities held at period end |
Page 45 | Rio Tinto 2024 Form 6-K |
30 June 2024 | 31 December 2023 | |||||||||||||
Description | Fair value US$m | Fair value US$m | Valuation technique | Significant Inputs | ||||||||||
Level 2 | ||||||||||||||
Interest rate swaps | ( | ( | Discounted cash flows | •Applicable market quoted swap yield curves •Credit default spread | ||||||||||
Cross currency interest rate swaps | ( | ( | Discounted cash flows | •Applicable market quoted swap yield curves •Credit default spread •Market quoted FX rate | ||||||||||
Provisionally priced receivables | Closely related listed product | •Applicable forward quoted metal price | ||||||||||||
Level 3 | ||||||||||||||
Renewable power purchase agreements | ( | Discounted cash flows | •Forward electricity price •Energy volume | |||||||||||
Derivatives embedded in electricity contracts | ( | ( | Option pricing model | •LME forward aluminium price •Midwest premium and billet premium | ||||||||||
Royalty receivables | Discounted cash flows | •Forward commodity price •Mine production |
Page 46 | Rio Tinto 2024 Form 6-K |
30 June 2024 | 31 December 2023 | |||||||||||||
Carrying value US$m | Fair value US$m | Carrying value US$m | Fair value US$m | |||||||||||
Listed bonds | ||||||||||||||
Oyu Tolgoi project finance | ||||||||||||||
Other | ||||||||||||||
Total borrowings (including overdrafts) |
Page 47 | Rio Tinto 2024 Form 6-K |
Litigation matter | Latest update | ||||
2011 Contractual payments in Guinea | In 2023, we resolved a previously self-disclosed investigation by the SEC into certain contractual payments totalling US$ At 30 June 2024, the outcome of this investigation remains uncertain, but it could ultimately expose the Group to material financial cost. No provision has been recognised for the investigation. We believe this case is unwarranted and will defend the allegation vigorously. |
Page 48 | Rio Tinto 2024 Form 6-K |
Page 49 | Rio Tinto 2024 Form 6-K |
Page 50 | Rio Tinto 2024 Form 6-K |
Segmental revenue(a) | Underlying EBITDA(a) | Depreciation and amortisation | Underlying earnings(a) | ||||||||||||||||||||||||||
Six months ended 30 June | Rio Tinto interest % | 2024 US$m | 2023 US$m | 2024 US$m | 2023 US$m | 2024 US$m | 2023 US$m | 2024 US$m | 2023 US$m | ||||||||||||||||||||
Iron Ore | |||||||||||||||||||||||||||||
Pilbara | (b) | 14,398 | 14,705 | 8,856 | 9,541 | 1,087 | 1,036 | 5,295 | 5,712 | ||||||||||||||||||||
Dampier Salt | 68.4 | 199 | 192 | 61 | 54 | 11 | 10 | 21 | 22 | ||||||||||||||||||||
Evaluation projects/other | (c) | 1,649 | 1,356 | (246) | 59 | — | — | (248) | (50) | ||||||||||||||||||||
Intra-segment | (c) | (1,040) | (653) | 136 | 138 | — | — | 102 | 103 | ||||||||||||||||||||
Total Iron Ore Segment | 15,206 | 15,600 | 8,807 | 9,792 | 1,098 | 1,046 | 5,170 | 5,787 | |||||||||||||||||||||
Aluminium | |||||||||||||||||||||||||||||
Bauxite | (d) | 1,407 | 1,091 | 513 | 279 | 203 | 189 | 198 | 18 | ||||||||||||||||||||
Alumina | (e) | 1,510 | 1,406 | 175 | 36 | 66 | 105 | 63 | (70) | ||||||||||||||||||||
North American Aluminium | (f) | 3,435 | 3,457 | 811 | 779 | 397 | 349 | 308 | 315 | ||||||||||||||||||||
Pacific Aluminium | (g) | 1,368 | 1,303 | 182 | 111 | 76 | 69 | 69 | 55 | ||||||||||||||||||||
Intra-segment and other | (1,576) | (1,456) | (20) | 12 | — | 1 | (19) | 1 | |||||||||||||||||||||
Integrated operations | 6,144 | 5,801 | 1,661 | 1,217 | 742 | 713 | 619 | 319 | |||||||||||||||||||||
Other product group items | 342 | 462 | 10 | 10 | — | — | 6 | 6 | |||||||||||||||||||||
Product group operations | 6,486 | 6,263 | 1,671 | 1,227 | 742 | 713 | 625 | 325 | |||||||||||||||||||||
Evaluation projects/other | — | — | (94) | (87) | — | — | (70) | (65) | |||||||||||||||||||||
Total Aluminium Segment | 6,486 | 6,263 | 1,577 | 1,140 | 742 | 713 | 555 | 260 | |||||||||||||||||||||
Copper | |||||||||||||||||||||||||||||
Kennecott | 100.0 | 1,250 | 832 | 456 | 139 | 382 | 213 | 25 | (93) | ||||||||||||||||||||
Escondida | 30.0 | 1,676 | 1,427 | 1,128 | 863 | 216 | 173 | 501 | 411 | ||||||||||||||||||||
Oyu Tolgoi | 66.0 | 1,022 | 826 | 509 | 320 | 178 | 146 | 167 | 55 | ||||||||||||||||||||
Product group operations | 3,948 | 3,085 | 2,093 | 1,322 | 776 | 532 | 693 | 373 | |||||||||||||||||||||
Evaluation projects/other | 460 | 402 | (289) | (240) | 3 | 3 | (236) | (175) | |||||||||||||||||||||
Total Copper Segment | 4,408 | 3,487 | 1,804 | 1,082 | 779 | 535 | 457 | 198 | |||||||||||||||||||||
Minerals | |||||||||||||||||||||||||||||
Iron Ore Company of Canada | 58.7 | 1,333 | 1,221 | 540 | 399 | 113 | 101 | 172 | 120 | ||||||||||||||||||||
Rio Tinto Iron & Titanium | (h) | 839 | 1,011 | 348 | 287 | 104 | 101 | 160 | 118 | ||||||||||||||||||||
Rio Tinto Borates | 100.0 | 388 | 401 | 96 | 102 | 33 | 30 | 42 | 56 | ||||||||||||||||||||
Diamonds | (i) | 149 | 250 | (63) | 70 | 19 | 17 | (65) | 44 | ||||||||||||||||||||
Product group operations | 2,709 | 2,883 | 921 | 858 | 269 | 249 | 309 | 338 | |||||||||||||||||||||
Evaluation projects/other | 29 | 6 | (234) | (169) | — | — | (232) | (159) | |||||||||||||||||||||
Total Minerals Segment | 2,738 | 2,889 | 687 | 689 | 269 | 249 | 77 | 179 | |||||||||||||||||||||
Reportable segments total | 28,838 | 28,239 | 12,875 | 12,703 | 2,888 | 2,543 | 6,259 | 6,424 | |||||||||||||||||||||
Simandou iron ore project | (j) | — | — | (7) | (318) | — | — | (17) | (114) | ||||||||||||||||||||
Other operations | (k) | 49 | 97 | 92 | (77) | 157 | 137 | (52) | (173) | ||||||||||||||||||||
Inter-segment transactions | (107) | (154) | 10 | (17) | 4 | (18) | |||||||||||||||||||||||
Central pension costs, share-based payments, insurance and derivatives | (158) | 167 | (71) | 147 | |||||||||||||||||||||||||
Restructuring, project and one-off costs | (111) | (84) | (77) | (60) | |||||||||||||||||||||||||
Central costs | (494) | (512) | 51 | 43 | (405) | (453) | |||||||||||||||||||||||
Central exploration and evaluation | (114) | (134) | (95) | (114) | |||||||||||||||||||||||||
Net interest | 204 | 81 | |||||||||||||||||||||||||||
Underlying EBITDA/earnings | 12,093 | 11,728 | 5,750 | 5,720 | |||||||||||||||||||||||||
Items excluded from underlying EBITDA/earnings | 59 | 141 | 58 | (603) | |||||||||||||||||||||||||
Reconciliation to Group income statement | |||||||||||||||||||||||||||||
Share of equity accounted unit sales and intra-subsidiary/equity accounted unit sales | (1,978) | (1,515) | |||||||||||||||||||||||||||
Net impairment reversals/(charges) | (l) | 6 | (1,175) | ||||||||||||||||||||||||||
Depreciation and amortisation in subsidiaries excluding capitalised depreciation | (2,719) | (2,405) | |||||||||||||||||||||||||||
Depreciation and amortisation in equity accounted units | (275) | (238) | (275) | (238) | |||||||||||||||||||||||||
Taxation and finance items in equity accounted units | (483) | (373) | |||||||||||||||||||||||||||
Finance items | (566) | (748) | |||||||||||||||||||||||||||
Consolidated sales revenue/profit before taxation/depreciation and amortisation/net earnings | 26,802 | 26,667 | 8,115 | 6,930 | 2,821 | 2,485 | 5,808 | 5,117 |
Page 51 | Rio Tinto 2024 Form 6-K |
Capital expenditure(a)(m) for the six months ended 30 June | Operating assets(n) as at | ||||||||||||||||
Rio Tinto interest % | 2024 US$m | 2023 US$m | 30 June 2024 US$m | 31 December 2023 US$m | |||||||||||||
Iron Ore | |||||||||||||||||
Pilbara | (b) | 1,247 | 1,085 | 18,260 | 17,959 | ||||||||||||
Dampier Salt | 68.4 | 11 | 9 | 158 | 146 | ||||||||||||
Evaluation projects/other | (c) | — | — | 736 | 780 | ||||||||||||
Intra-segment | (c) | — | — | (141) | (243) | ||||||||||||
Total Iron Ore Segment | 1,258 | 1,094 | 19,013 | 18,642 | |||||||||||||
Aluminium | |||||||||||||||||
Bauxite | (d) | 71 | 79 | 2,440 | 2,649 | ||||||||||||
Alumina | (e) | 130 | 151 | 1,167 | 1,315 | ||||||||||||
North American Aluminium | (f) | 457 | 314 | 10,622 | 10,582 | ||||||||||||
Pacific Aluminium | (g) | 47 | 53 | 321 | 340 | ||||||||||||
Intra-segment and other | — | — | 867 | 997 | |||||||||||||
Total Aluminium Segment | 705 | 597 | 15,417 | 15,883 | |||||||||||||
Copper | |||||||||||||||||
Kennecott | 100.0 | 332 | 327 | 2,465 | 2,606 | ||||||||||||
Escondida | 30.0 | — | — | 2,893 | 2,844 | ||||||||||||
Oyu Tolgoi | 66.0 | 635 | 585 | 16,200 | 15,334 | ||||||||||||
Product group operations | 967 | 912 | 21,558 | 20,784 | |||||||||||||
Evaluation projects/other | 3 | 5 | 199 | 262 | |||||||||||||
Total Copper Segment | 970 | 917 | 21,757 | 21,046 | |||||||||||||
Minerals | |||||||||||||||||
Iron Ore Company of Canada | 58.7 | 117 | 120 | 1,298 | 1,347 | ||||||||||||
Rio Tinto Iron & Titanium | (h) | 97 | 107 | 3,330 | 3,386 | ||||||||||||
Rio Tinto Borates | 100.0 | 23 | 25 | 465 | 502 | ||||||||||||
Diamonds | (i) | 34 | 37 | 87 | 29 | ||||||||||||
Product group operations | 271 | 289 | 5,180 | 5,264 | |||||||||||||
Evaluation projects/other | — | 15 | 878 | 873 | |||||||||||||
Total Minerals Segment | 271 | 304 | 6,058 | 6,137 | |||||||||||||
Reportable segments total | 3,204 | 2,912 | 62,245 | 61,708 | |||||||||||||
Simandou iron ore project | (j) | 742 | — | 1,192 | 738 | ||||||||||||
Other operations | (k) | 12 | 32 | (2,359) | (2,634) | ||||||||||||
Inter-segment transactions | 21 | 20 | |||||||||||||||
Other items | 43 | 49 | (769) | (1,015) | |||||||||||||
Total | 4,001 | 2,993 | 60,330 | 58,817 | |||||||||||||
Add back: Proceeds from disposal of property, plant and equipment | 17 | 8 | |||||||||||||||
Total purchases of property, plant & equipment and intangibles as per cash flow statement | 4,018 | 3,001 | |||||||||||||||
Add: Net debt | (5,077) | (4,231) | |||||||||||||||
Equity attributable to owners of Rio Tinto | 55,253 | 54,586 |
Page 52 | Rio Tinto 2024 Form 6-K |
Page 53 | Rio Tinto 2024 Form 6-K |
Page 54 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Underlying EBITDA | 12,093 | 11,728 | ||||||
Consolidated sales revenue | 26,802 | 26,667 | ||||||
Share of equity accounted unit sales and inter-subsidiary/equity accounted unit sales eliminations | 1,978 | 1,515 | ||||||
28,780 | 28,182 | |||||||
Underlying EBITDA margin | 42 | % | 42 | % |
Page 55 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Pilbara | ||||||||
Underlying EBITDA | 8,856 | 9,541 | ||||||
Pilbara segmental revenue | 14,398 | 14,705 | ||||||
Less: Freight revenue | (1,145) | (913) | ||||||
Pilbara segmental revenue, excluding freight revenue | 13,253 | 13,792 | ||||||
Pilbara underlying FOB EBITDA margin | 67 | % | 69 | % |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Aluminium | ||||||||
Underlying EBITDA - integrated operations | 1,661 | 1,217 | ||||||
Segmental revenue - integrated operations | 6,144 | 5,801 | ||||||
Underlying EBITDA margin from integrated operations | 27 | % | 21 | % |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Copper | ||||||||
Underlying EBITDA - product group operations | 2,093 | 1,322 | ||||||
Segmental revenue - product group operations | 3,948 | 3,085 | ||||||
Underlying EBITDA margin - product group operations | 53 | % | 43 | % |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Minerals | ||||||||
Underlying EBITDA - product group operations | 921 | 858 | ||||||
Segmental revenue - product group operations | 2,709 | 2,883 | ||||||
Underlying EBITDA margin - product group operations | 34 | % | 30 | % |
Page 56 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | Pre-tax 2024 US$m | Taxation 2024 US$m | Non-controlling interests 2024 US$m | Net amount 2024 US$m | Net amount 2023 US$m | ||||||||||||
Net earnings | 8,115 | (2,225) | (82) | 5,808 | 5,117 | ||||||||||||
Items excluded from underlying earnings | |||||||||||||||||
Impairment (reversals)/charges(a) | (18) | (37) | — | (55) | 828 | ||||||||||||
Foreign exchange and derivative losses/(gains): | |||||||||||||||||
– Exchange gains on external net debt, intragroup balances and derivatives(b) | (38) | 6 | 2 | (30) | (98) | ||||||||||||
– Losses/(gains) on currency and interest rate derivatives not qualifying for hedge accounting(c) | 69 | 4 | 2 | 75 | (24) | ||||||||||||
– Gains on embedded commodity derivatives not qualifying for hedge accounting(d) | (3) | (1) | (3) | (7) | (76) | ||||||||||||
Change in closure estimates (non-operating and fully impaired sites)(e) | (44) | 3 | — | (41) | (27) | ||||||||||||
Total excluded from underlying earnings | (34) | (25) | 1 | (58) | 603 | ||||||||||||
Underlying earnings | 8,081 | (2,250) | (81) | 5,750 | 5,720 | ||||||||||||
Page 57 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 | 2023 | ||||||
Net earnings (US$ million) | 5,808 | 5,117 | ||||||
Weighted average number of shares (millions) | 1,622.7 | 1,621.0 | ||||||
Basic earnings per ordinary share (cents) | 357.9 | 315.7 | ||||||
Items excluded from underlying earnings per share (cents)(a) | (3.6) | 37.2 | ||||||
Basic underlying earnings per ordinary share (cents) | 354.3 | 352.9 |
Six months ended 30 June | 2024 | 2023 | ||||||
(58.0) | 603.0 | |||||||
Weighted average number of shares (millions) | 1,622.7 | 1,621.0 | ||||||
Items excluded from underlying earnings per share (cents) | (3.6) | 37.2 |
Page 58 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Profit before taxation | 8,115 | 6,930 | ||||||
Add back | ||||||||
Finance income | (272) | (245) | ||||||
Finance costs | 381 | 536 | ||||||
Share of profit after tax of equity accounted units | (422) | (431) | ||||||
Items excluded from underlying earnings | (34) | 899 | ||||||
Add: Dividends from equity accounted units | 421 | 287 | ||||||
Calculated earnings | 8,189 | 7,976 | ||||||
Finance income | 272 | 245 | ||||||
Finance costs | (381) | (536) | ||||||
Add: Amounts capitalised | (222) | (120) | ||||||
Total net finance costs before capitalisation | (331) | (411) | ||||||
Interest cover | 25 | 19 |
Six months ended 30 June | 2024 (cents) | 2023 (cents) | ||||||
Interim dividend declared per share | 177.0 | 177.0 | ||||||
Underlying earnings per share | 354.3 | 352.9 | ||||||
Payout ratio | 50 | % | 50 | % |
Page 59 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Purchase of property, plant and equipment and intangible assets | 4,018 | 3,001 | ||||||
Less: Equity or shareholder loan financing received/due from non-controlling interests(a) | (349) | — | ||||||
Rio Tinto share of capital investment | 3,669 | 3,001 |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Net cash generated from operating activities | 7,056 | 6,975 | ||||||
Less: Purchase of property, plant and equipment and intangible assets | (4,018) | (3,001) | ||||||
Less: Lease principal payments | (212) | (213) | ||||||
Add: Sales of property, plant and equipment and intangible assets | 17 | 8 | ||||||
Free cash flow | 2,843 | 3,769 |
Page 60 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June 2024 | ||||||||||||||||||||
Financial liabilities | Other assets | |||||||||||||||||||
Borrowings excluding overdrafts (a) US$m | Lease liabilities(b) US$m | Derivatives related to net debt (c) US$m | Cash and cash equivalents including overdrafts (a) US$m | Other investments (d) US$m | Net debt US$m | |||||||||||||||
At 1 January | (13,000) | (1,351) | (429) | 9,672 | 877 | (4,231) | ||||||||||||||
Foreign exchange adjustment | 37 | 22 | (21) | (30) | — | 8 | ||||||||||||||
Cash movements excluding exchange movements | 15 | 212 | (2) | (389) | (422) | (586) | ||||||||||||||
Other non-cash movements | 69 | (300) | (43) | — | 6 | (268) | ||||||||||||||
At 30 June | (12,879) | (1,417) | (495) | 9,253 | 461 | (5,077) |
30 June 2024 US$m | 31 December 2023 US$m | |||||||
Net debt | (5,077) | (4,231) | ||||||
Net debt | (5,077) | (4,231) | ||||||
Total equity | (57,164) | (56,341) | ||||||
Net debt plus total equity | (62,241) | (60,572) | ||||||
Net gearing ratio | 8 | % | 7 | % |
Page 61 | Rio Tinto 2024 Form 6-K |
Six months ended 30 June | 2024 US$m | 2023 US$m | ||||||
Profit after tax attributable to owners of Rio Tinto (net earnings) | 5,808 | 5,117 | ||||||
Items added back to derive underlying earnings | (58) | 603 | ||||||
Underlying earnings | 5,750 | 5,720 | ||||||
Add/(deduct): | ||||||||
Finance income per the income statement | (272) | (245) | ||||||
Finance costs per the income statement | 381 | 536 | ||||||
Tax on finance cost | (105) | (191) | ||||||
Non-controlling interest share of net finance costs | (236) | (207) | ||||||
Net interest cost in equity accounted units (Rio Tinto share) | 28 | 26 | ||||||
Net interest | (204) | (81) | ||||||
Adjusted underlying earnings | 5,546 | 5,639 | ||||||
Annualised adjusted underlying earnings | 11,092 | 11,278 | ||||||
Equity attributable to owners of Rio Tinto - beginning of the period | 54,586 | 50,634 | ||||||
Net debt - beginning of the period | 4,231 | 4,188 | ||||||
Operating assets - beginning of the period | 58,817 | 54,822 | ||||||
Equity attributable to owners of Rio Tinto - end of the period | 55,253 | 51,625 | ||||||
Net debt - end of the period | 5,077 | 4,350 | ||||||
Operating assets - end of the period | 60,330 | 55,975 | ||||||
Average operating assets | 59,574 | 55,399 | ||||||
Underlying return on capital employed | 19 | % | 20 | % |
Page 62 | Rio Tinto 2024 Form 6-K |
Page 63 | Rio Tinto 2024 Form 6-K |
Page 64 | Rio Tinto 2024 Form 6-K |
Contacts | Please direct all enquiries to media.enquiries@riotinto.com |
Media Relations, United Kingdom Matthew Klar M +44 7796 630 637 David Outhwaite M +44 7787 597 493 | Media Relations, Australia Matt Chambers M +61 433 525 739 Alyesha Anderson M +61 434 868 118 Michelle Lee M + 61 458 609 322 | Media Relations, Americas Simon Letendre M +1 514 796 4973 Malika Cherry M +1 418 592 7293 Vanessa Damha M +1 514 715 2152 | ||||||
Investor Relations, United Kingdom David Ovington M +44 7920 010 978 Laura Brooks M +44 7826 942 797 Weiwei Hu M +44 7825 907 230 | Investor Relations, Australia Tom Gallop M +61 439 353 948 Amar Jambaa M +61 472 865 948 | |||||||
Rio Tinto plc 6 St James’s Square London SW1Y 4AD United Kingdom T +44 20 7781 2000 Registered in England No. 719885 | Rio Tinto Limited Level 43, 120 Collins Street Melbourne 3000 Australia T +61 3 9283 3333 Registered in Australia ABN 96 004 458 404 |
Cover page |
6 Months Ended |
---|---|
Jun. 30, 2024 | |
Document Information [Line Items] | |
Document Type | 6-K |
Entity File Number | 001-10533 |
Entity Registrant Name | Rio Tinto plc |
Entity Address, Address Line One | 6 St James’s Square |
Entity Address, City or Town | London |
Entity Address, Postal Zip Code | SW1Y 4AD |
Entity Address, Country | GB |
Amendment Flag | false |
Document Fiscal Year Focus | 2024 |
Document Fiscal Period Focus | Q2 |
Entity Central Index Key | 0000863064 |
Current Fiscal Year End Date | --12-31 |
Document Period End Date | Jun. 30, 2024 |
Rio Tinto Limited | |
Document Information [Line Items] | |
Entity File Number | 001-34121 |
Entity Registrant Name | Rio Tinto Limited |
Entity Address, Address Line One | Level 43, 120 Collins Street |
Entity Address, City or Town | Melbourne |
Entity Address, Postal Zip Code | Victoria 3000 |
Entity Address, Country | AU |
Group statement of comprehensive income (Parenthetical) - USD ($) $ in Millions |
6 Months Ended | |
---|---|---|
Jun. 30, 2024 |
Jun. 30, 2023 |
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Statement of comprehensive income [abstract] | ||
Currency translation charge | $ 99 | $ 66 |
Group cash flow statement - USD ($) $ in Millions |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2024 |
Jun. 30, 2023 |
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Statement of cash flows [abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash flows from consolidated operations | [1] | $ 9,673 | $ 9,435 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends from equity accounted units | 421 | 287 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash flows from operations | 10,094 | 9,722 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest paid | (305) | (286) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends paid to holders of non-controlling interests in subsidiaries | (91) | (46) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Tax paid | (2,642) | (2,415) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net cash generated from operating activities | 7,056 | 6,975 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash flows from investing activities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases of property, plant and equipment and intangible assets | (4,018) | (3,001) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sales of property, plant and equipment and intangible assets | 17 | 8 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisitions of subsidiaries, joint ventures and associates | 0 | (15) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases of financial assets | (53) | (16) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sales of financial assets | [2] | 424 | 862 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net funding of equity accounted units | (36) | (88) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other investing cash flows | 122 | 14 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net cash used in investing activities | (3,544) | (2,236) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash flows before financing activities | 3,512 | 4,739 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash flows from financing activities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity dividends paid to owners of Rio Tinto | (4,121) | (3,691) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Proceeds from additional borrowings | [3] | 62 | 1,858 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Repayment of borrowings and associated derivatives | (76) | (272) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lease principal payments | (212) | (213) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Proceeds from issue of equity to non-controlling interests | [4] | 445 | 61 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchase of non-controlling interest | 0 | (23) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other financing cash flows | 1 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net cash used in financing activities | (3,901) | (2,280) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Effects of exchange rates on cash and cash equivalents | (30) | (59) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net (decrease)/increase in cash and cash equivalents | (419) | 2,400 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Opening cash and cash equivalents less overdrafts | 9,672 | 6,774 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Closing cash and cash equivalents less overdrafts | $ 9,253 | $ 9,174 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Group cash flow statement (Parenthetical) - USD ($) $ in Millions |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 07, 2023 |
Jun. 30, 2024 |
Jun. 30, 2023 |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash flows from consolidated operations | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Profit after tax for the period | $ 5,890 | $ 4,947 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
– Taxation | 2,225 | 1,983 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for finance income (cost) | 566 | 748 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
– Share of profit after tax of equity accounted units | (422) | (431) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
– Net impairment (reversals)/charges | (41) | 1,175 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
– Depreciation and amortisation | 2,821 | 2,485 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
– Provisions (including exchange differences on provisions) | (41) | 63 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Utilisation of other provisions | (51) | (44) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Utilisation of provisions for close-down and restoration | (361) | (333) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Utilisation of provisions for post-retirement benefits and other employment costs | (61) | (115) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Change in inventories | (41) | (293) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Change in receivables and other assets | 107 | (6) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Change in trade and other payables | (751) | (628) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other items | [1] | (167) | (116) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash flows from consolidated operations | [2] | 9,673 | 9,435 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net proceeds from sale and purchase of investments | [3] | 424 | 862 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Proceeds from issue of equity to non-controlling interests | [4] | 445 | 61 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Not Designated As Hedging Instrument | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for (losses) gains on change in fair value of derivatives | (78) | 32 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rio Tinto Finance (USA) plc Bonds Five Percentage Due Two Thousand And Thirty Three | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Notional amount | $ 650 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowings, interest rate | 5.00% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rio Tinto Finance (USA) plc Bonds Five Percentage Due Two Thousand And Thirty Three | Fixed interest rate | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowings term | 10 years | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rio Tinto Finance (USA) plc Bonds Five Point One Two Five Percentage Due Two Thousand And Fifty Three | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Notional amount | $ 1,100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowings, interest rate | 5.125% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rio Tinto Finance (USA) plc Bonds Five Point One Two Five Percentage Due Two Thousand And Fifty Three | Fixed interest rate | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowings term | 30 years | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fixed Income Instruments | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments for: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net proceeds from sale and purchase of investments | $ 422 | $ 801 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Group balance sheet - USD ($) $ in Millions |
Jun. 30, 2024 |
Dec. 31, 2023 |
||
---|---|---|---|---|
Non-current assets | ||||
Goodwill | $ 785 | $ 797 | ||
Intangible assets | 3,773 | 4,389 | ||
Property, plant and equipment | 66,579 | 66,468 | ||
Investments in equity accounted units | 4,454 | 4,407 | ||
Inventories | 202 | 214 | ||
Deferred tax assets | 3,435 | 3,624 | ||
Receivables and other assets | 1,665 | 1,659 | ||
Other financial assets | 572 | 481 | ||
Total non-current assets | 81,465 | 82,039 | ||
Current assets | ||||
Inventories | 6,517 | 6,659 | ||
Receivables and other assets | 3,884 | 3,945 | ||
Tax recoverable | 196 | 115 | ||
Other financial assets | 569 | 1,118 | ||
Cash and cash equivalents | 9,256 | 9,673 | ||
Total current assets | 20,422 | 21,510 | ||
Total assets | 101,887 | 103,549 | ||
Current liabilities | ||||
Borrowings | (767) | (824) | ||
Leases | (332) | (345) | ||
Other financial liabilities | (305) | (273) | ||
Trade and other payables | (7,689) | (8,238) | ||
Tax payable | (227) | (542) | ||
Close-down, restoration and environmental provisions | (1,737) | (1,523) | ||
Provisions for post-retirement benefits and other employment costs | (362) | (361) | ||
Other provisions | (615) | (637) | ||
Total current liabilities | (12,034) | (12,743) | ||
Non-current liabilities | ||||
Borrowings | (12,115) | (12,177) | ||
Leases | (1,085) | (1,006) | ||
Other financial liabilities | (524) | (513) | ||
Trade and other payables | (564) | (596) | ||
Tax payable | (30) | (31) | ||
Deferred tax liabilities | (2,443) | (2,584) | ||
Close-down, restoration and environmental provisions | (14,134) | (15,627) | ||
Provisions for post-retirement benefits and other employment costs | (1,080) | (1,197) | ||
Other provisions | (714) | (734) | ||
Total non-current liabilities | (32,689) | (34,465) | ||
Total liabilities | (44,723) | (47,208) | ||
Net assets | 57,164 | 56,341 | ||
Capital and reserves | ||||
Share premium account | 4,324 | 4,324 | ||
Other reserves | 7,295 | 8,328 | ||
Retained earnings | 40,149 | 38,350 | ||
Equity attributable to owners of Rio Tinto | 55,253 | 54,586 | ||
Attributable to non-controlling interests | 1,911 | 1,755 | ||
Total equity | 57,164 | 56,341 | ||
Rio Tinto Plc | ||||
Capital and reserves | ||||
Share capital | [1] | 207 | 207 | |
Rio Tinto Limited | ||||
Capital and reserves | ||||
Share capital | [1] | $ 3,278 | $ 3,377 | |
|
Group balance sheet (Parenthetical) shares in Millions |
Jun. 30, 2024
shares
|
---|---|
Rio Tinto Plc | Shares Held By Public | |
Statements [Line Items] | |
Number of shares outstanding | 1,252.6 |
Rio Tinto Limited | |
Statements [Line Items] | |
Number of shares issued and fully paid | 371.2 |
Group statement of changes in equity - USD ($) $ in Millions |
Total |
Total |
Share capital |
Share premium account |
Other reserves |
Retained earnings |
Non-controlling interests |
||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Opening balance at Dec. 31, 2022 | $ 52,741 | $ 50,634 | $ 3,537 | $ 4,322 | $ 7,755 | $ 35,020 | $ 2,107 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total comprehensive income for the period | [1] | 4,524 | 4,698 | (379) | 5,077 | (174) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation arising on Rio Tinto Limited's share capital | (66) | (66) | (66) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends | [2] | (3,953) | (3,691) | (3,691) | (262) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Own shares purchased from Rio Tinto shareholders to satisfy share awards to employees | [3] | (6) | (6) | (3) | (3) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Treasury shares reissued and other movements | 2 | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity issued to holders of non-controlling interests | 61 | 61 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Employee share awards charged to the income statement | 54 | 54 | 27 | 27 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Closing balance at Jun. 30, 2023 | 53,357 | 51,625 | 3,471 | 4,324 | 7,400 | 36,430 | 1,732 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Opening balance at Dec. 31, 2023 | 56,341 | 54,586 | 3,584 | 4,324 | 8,328 | 38,350 | 1,755 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total comprehensive income for the period | [1] | 4,866 | 4,846 | (1,050) | 5,896 | 20 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation arising on Rio Tinto Limited's share capital | (99) | (99) | (99) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends | [2] | (4,431) | (4,121) | (4,121) | (310) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Own shares purchased from Rio Tinto shareholders to satisfy share awards to employees | [3] | (14) | (14) | (12) | (2) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Change in equity interest held by Rio Tinto | 0 | (1) | (1) | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity issued to holders of non-controlling interests | 445 | 445 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Employee share awards charged to the income statement | 56 | 56 | 29 | 27 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Closing balance at Jun. 30, 2024 | $ 57,164 | $ 55,253 | $ 3,485 | $ 4,324 | $ 7,295 | $ 40,149 | $ 1,911 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Group statement of changes in equity (Parenthetical) - $ / shares |
6 Months Ended | |
---|---|---|
Jun. 30, 2024 |
Jun. 30, 2023 |
|
Dividends per share: Ordinary - paid during the period (USD per share) | $ 2.580 | $ 2.250 |
Final Dividends | ||
Ordinary dividends per share: announced with the results for the period (in USD per share) | $ 1.770 | $ 1.770 |
Basis of preparation |
6 Months Ended |
---|---|
Jun. 30, 2024 | |
Basis Of Presentation [Abstract] | |
Basis of preparation | Basis of preparation The unaudited condensed consolidated interim financial statements included in this report have been prepared in accordance with International Accounting Standards (IAS) 34 "Interim Financial Reporting" as issued by the International Accounting Standards Board (IASB). These unaudited condensed consolidated interim financial statements do not include all of the information required for a full annual financial report and are to be read in conjunction with the Group’s annual financial statements for the year ended 31 December 2023. The 2023 annual financial statements were prepared on a going concern basis in accordance with International Financial Reporting Standards (IFRS) as issued by the IASB and interpretations issued from time to time by the IFRS Interpretations Committee (IFRS IC) which were mandatory at 31 December 2023. The above accounting standards and interpretations are collectively referred to as 'IFRS' in this report and contain the principles we use to create our accounting policies. Where necessary, adjustments are made to the locally reported assets, liabilities, and results of subsidiaries, joint arrangements and associates to bring their accounting policies in line with ours for consistent reporting. Going concern Management has prepared detailed cash flow forecasts for the next 18 months and has updated life-of-mine plan models with longer-term cash flow projections. These forecasts demonstrate that the Group has sufficient cash, other liquid resources and undrawn credit facilities to enable it to meet its obligations as they fall due. As such, the Directors considered it appropriate to adopt the going concern basis of accounting in preparing the interim financial information.
|
Changes in accounting policies |
6 Months Ended |
---|---|
Jun. 30, 2024 | |
Basis Of Presentation [Abstract] | |
Changes in accounting policies | Changes in accounting policies The unaudited condensed consolidated interim financial statements have been prepared on the basis of accounting policies, methods of computation and presentation consistent with those applied in the financial statements for the year ended 31 December 2023, except for the accounting requirements set out below, effective as at 1 January 2024. New standards and amendments applicable for the current period Classification of liabilities as current or non-current liabilities with covenants (Amendments to IAS 1 "Presentation of Financial Statements") We adopted the Amendments to IAS 1 which specify the requirements for classifying liabilities as current or non-current. The amendments clarify that a right to defer settlement must exist at the end of the reporting period and that classification is unaffected by the likelihood that an entity will exercise its deferral right. In addition, a requirement has been introduced whereby an entity must disclose when a liability arising from a loan agreement is classified as non-current and the entity’s right to defer settlement is contingent on compliance with future covenants within twelve months. The amendments do not have a material impact on the Group. 2.Changes in accounting policies (continued) Lease liability in a sale and leaseback (Amendments to IFRS 16 “Leases”) We adopted the Amendments to IFRS 16 which specify the requirements that a seller-lessee uses in measuring the lease liability arising in a sale and leaseback transaction. The amendments do not have an impact on the Group. Supplier finance arrangements (Amendments to IAS 7 “Statement of Cash Flows” and IFRS 7 “Financial Instruments: Disclosures”) We adopted the Amendments to IAS 7 and IFRS 7 which clarify the characteristics of supplier finance arrangements and require additional disclosure of such arrangements. The amendments do not have a material impact on the Group. We have applied a transition exemption not to provide the disclosures in the interim period in the year of initial application. New standards or amendments issued but not yet effective During the six months ended 30 June 2024, we have not early adopted any amendments, standards or interpretations that have been issued but are not yet effective.
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Segmental information |
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Disclosure of operating segments [abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segmental information | 3. Segmental information Our management structure is based on product groups (PG) together with global support functions whose leaders make up the Executive Committee. The Executive Committee members each report directly to our Chief Executive who is the chief operating decision maker (CODM) and is responsible for allocating resources and assessing performance of the operating segments. The CODM’s primary measure of profit is underlying EBITDA (as defined on page 37). Our reportable segments are as follows:
Management responsibility for the Simandou iron ore project in Guinea ('Simandou') during the build phase of the project falls under the Chief Technical Officer and, therefore, is included in "Other Operations", which is below reportable segments in our segmental analysis. 3. Segmental information (continued)
(a)Segmental revenue includes consolidated sales revenue plus the equivalent sales revenue of equity accounted units in proportion to our equity interest (after adjusting for sales to/from subsidiaries). Segmental revenue measures revenue on a basis that is comparable to our underlying EBITDA metric. (b)Underlying EBITDA (calculated on page 37) is reported to provide greater understanding of the underlying business performance of Rio Tinto's operations. (c)Capital expenditure for reportable segments includes the net cash outflow on purchases less disposals of property, plant and equipment, capitalised evaluation costs and purchases less disposals of other intangible assets. The details provided include 100% of subsidiaries’ capital expenditure and Rio Tinto’s share of the capital expenditure of joint operations. (d)Consolidated sales revenue includes subsidiary sales of US$121 million (30 June 2023: US$21 million) to equity accounted units which are not included in segmental revenue. Segmental revenue includes the Group’s proportionate share of product sales by equity accounted units (after adjusting for sales to subsidiaries) of US$2,099 million (30 June 2023: US$1,536 million) which are not included in consolidated sales revenue. 3. Segmental information (continued) Reconciliation of profit after tax to underlying EBITDA Underlying EBITDA represents profit before taxation, net finance items, depreciation and amortisation adjusted to exclude the EBITDA impact of items which do not reflect the underlying performance of our reportable segments. Items excluded from profit after tax are those gains and losses that, individually or in aggregate with similar items, are of a nature and size to require exclusion in order to provide additional insight into the underlying business performance. The following items are excluded from profit after tax in arriving at underlying EBITDA in each period irrespective of materiality: –Depreciation and amortisation in subsidiaries, excluding capitalised depreciation; –Depreciation and amortisation in equity accounted units; –Taxation and finance items in subsidiaries; –Taxation and finance items in equity accounted units; –Unrealised gains/(losses) on embedded derivatives not qualifying for hedge accounting; –Net gains/(losses) on disposal of interests in subsidiaries; –Impairment charges net of reversals; –The underlying EBITDA of discontinued operations; –Adjustments to closure provisions where the adjustment is associated with an impairment charge and for legacy sites where the disturbance or environmental contamination relates to the pre-acquisition period. In addition, there is a final judgmental category which includes, where applicable, other credits and charges that, individually or in aggregate if of a similar type, are of a nature or size to require exclusion in order to provide additional insight into underlying business performance. For the periods ended 30 June 2024 and 30 June 2023, there were no items in this category.
(a)Depreciation and amortisation in subsidiaries for the period ended 30 June 2024 is net of capitalised depreciation of US$102 million (30 June 2023: US$80 million). (b)Refer to note 5 for allocation of net impairment (reversals)/charges between consolidated amounts and share of profit in EAUs. (c)For the period ended 30 June 2024, the credit to the income statement relates to the impact of a change in discount rate, expressed in real-terms, from 2.0% to 2.5% (30 June 2023: from 1.5% to 2.0%) as applied to provisions for close-down, restoration and environmental liabilities at legacy sites where the environmental damage preceded ownership by Rio Tinto.
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Segmental information - additional information |
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Disclosure of operating segments [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segmental information - additional information | 4. Segmental information - additional information Consolidated sales revenue by destination(a)
(a)Consolidated sales revenue by geographical destination is based on the ultimate country of the product's destination, if known. Where the ultimate destination is not known, we have defaulted to the shipping address of the customer. Rio Tinto is domiciled in both the UK and Australia. Consolidated sales revenue by product
(a)Consolidated sales revenue includes both revenue from contracts with customers, accounted for under IFRS 15 “Revenue from Contracts with Customers”, and subsequent movements in provisionally priced receivables, accounted for under IFRS 9, and included in “Other revenue” above. (b)“Other products and freight services” includes metallic co-products, molybdenum, silver and other commodities.
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Impairment |
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Disclosure of impairment loss and reversal of impairment loss [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impairment | 5. Impairment
30 June 2024 Aluminium - Tiwai Point, New Zealand On 30 May 2024, we signed 20-year power arrangements with electricity generators Meridian Energy, Contact Energy and Mercury NZ to set pricing for an aggregate of 572 megawatts of electricity to meet the smelter's electricity needs. These new arrangements have been identified as an impairment reversal trigger as they give us confidence that the smelter can continue operations competitively beyond the existing supply arrangement which ran to December 2024. An impairment reversal is limited by the amount of depreciation that would have been charged had the previous impairments not occurred. In this case, as the previous depreciation period was until December 2024, the impairment reversal is limited to US$41 million. The recoverable amount for the cash-generating unit, based on value-in-use assumptions aligned with the near-term business plan, comfortably exceeds the carrying value incorporating an impairment reversal amount and, therefore, the previous impairments have been reversed to the maximum extent possible. This impairment reversal also resulted in the recognition of deferred tax assets of US$37 million due to the improved forecast for taxable profits. Aluminium - Porto Trombetas (MRN), Brazil In preparing the local accounts for the year to 31 December 2023, after the publication of the 2023 Form 20-F, the directors of Mineração Rio do Norte S.A. (MRN) recorded a local impairment charge triggered by cost increases, unfavourable exchange rates and declining sales prices. The Rio Tinto share of that impairment is US$35 million pre-tax and US$23 million post-tax, and is included within the current period share of profit after tax of equity accounted units. Rio Tinto's share of bauxite produced by MRN is vertically integrated into our Quebec Smelter cash-generating unit included in North America Aluminium operations. We reviewed the carrying value of the investment in equity accounted unit as part of this cash-generating unit and did not identify indicators of impairment. 30 June 2023 Aluminium - Alumina refineries, Australia The Gladstone alumina refineries are responsible for more than half of our scope 1 carbon dioxide emissions in Australia and therefore have been a key focus as we evaluate options to decarbonise our assets. In March 2023, the Australian Parliament legislated to introduce a requirement for large heavy industrial carbon emitters to purchase carbon credits based on their scope 1 emissions with a reducing baseline for these emissions. The challenging market conditions facing these assets, together with our improved understanding of the capital requirements for decarbonisation and the legislated cost escalation for carbon emissions, were identified as impairment triggers during the six months ended 30 June 2023. Using a fair value less cost of disposal methodology and discounting real-terms post-tax cash flows at 6.6%, we recognised a pre-tax impairment charge of US$1,175 million (post-tax US$828 million). This represented a full impairment of the property, plant and equipment at the Yarwun alumina refinery (US$948 million) and an impairment of US$227 million for the property, plant and equipment of Queensland Alumina Limited ('QAL'). These impairments reflect market participant assumptions and the difficult trading conditions for these assets which have operated below our planned output during the first half of 2023. For QAL, the recoverable amount (net present value of US$325 million) was represented by future cash flows attributable to the double digestion project. This major capital project improves the energy efficiency of the alumina production process and significantly reduces carbon emissions. These cash flows were risk adjusted to reflect the pre-feasibility study stage of project evaluation. If investment in the double digestion project was not approved, the post-tax impairment charge would have been US$325 million greater and result in a full impairment of QAL. Impact of climate change on our business - Gladstone alumina refineries We are committed to the decarbonisation of our assets to reduce Scope 1 and 2 emissions by 50% by 2030 and to net zero emissions by 2050 relative to our 2018 equity baseline. We anticipate that further carbon action may be necessary to align with the goals of the Paris agreement to limit temperature increases to 1.5oC. To illustrate the sensitivity of the refinery valuations to the cost of carbon credits, we modelled a 10% increase in those unit costs across all years, before the impact of decarbonisation projects with all other inputs to the 30 June 2023 impairment valuation remaining constant. For QAL, this sensitivity indicated a reduction in the pre-tax value by US$99 million; however, this was expected to be largely mitigated by decarbonisation projects, including double digestion. There was no impact at Yarwun as all property, plant and equipment was already fully impaired.
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Taxation |
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Major components of tax expense (income) [abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Taxation | 6. Taxation Prima facie tax reconciliation
(a)The Group profit before tax includes profit after tax of equity accounted units. Consequently, the tax effect on the profit from equity accounted units is included as a separate reconciling item in this prima facie tax reconciliation. (b)As a UK headquartered and listed Group, the reconciliation of expected tax on accounting profit to tax charge uses the UK corporate tax rate to calculate the prima facie tax payable. In 2024, the UK tax rate for the period was 25% (2023: 23.5%) due to the previously reported increase in the UK corporation tax rate from 19% to 25% effective 1 April 2023. Rio Tinto is also listed in Australia, and the reconciliation includes the impact of the higher tax rate in Australia where a significant proportion of the Group's profits are currently earned. The impact of other tax rates applicable outside the UK and Australia is also included. The weighted average statutory corporate tax rate on profit before tax is approximately 29% (30 June 2023: 30%) (c)Unrecognised current period operating losses include tax losses around the Group for which no tax benefit is currently recognised due to uncertainty regarding whether suitable taxable profits will be earned in the future to obtain value from the tax losses. Future tax developments We continue to monitor and evaluate the domestic implementation by relevant countries of the Organisation for Economic Co-operation and Development’s (OECD) Pillar Two which seeks to apply a 15% global minimum tax. Pillar Two was substantively enacted by the United Kingdom on 20 June 2023, with application from 1 January 2024. We estimate that the exposure to additional taxation under Pillar Two is immaterial for the Group. Our reported tax charge of US$2,225 million includes US$1 million current tax expense related to Pillar Two measures. We apply the IAS 12 temporary mandatory exception from deferred tax accounting for Pillar Two.
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Acquisition and disposals |
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Jun. 30, 2024 | |
Disclosure Of Acquisitions And Disposals [Abstract] | |
Acquisition and disposals | 7. Acquisition and disposals There were no material acquisitions and disposals during the six months to 30 June 2024 or the six months to 30 June 2023. In the second half of 2023, we completed the acquisition of a 57.7% share in Agua de la Falda establishing the Nuevo Cobre exploration and evaluation project and acquired a 50% interest in the Matalco aluminium recycling joint venture. We also completed the sale of a 55% interest in the undeveloped La Granja project in Peru. These transactions are described in the 2023 Form 20-F and did not have a material impact on profit or loss in the periods presented.
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Cash and cash equivalents |
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Subclassifications of assets, liabilities and equities [abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | 8. Cash and cash equivalents Closing cash and cash equivalents less overdrafts for the purposes of the cash flow statement differs from cash and cash equivalents on our balance sheet as per the following reconciliation:
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Close-down, restoration and environmental provisions |
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Disclosure of other provisions [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Close-down, restoration and environmental provisions | 9. Close-down, restoration and environmental provisions
(a)Close-down, restoration and environmental provisions at 30 June 2024 have not been adjusted for closure-related receivables amounting to US$364 million (31 December 2023: US$366 million) due from the ERA trust fund and other financial assets held for the purposes of meeting closure obligations. These are included within “Receivables and other assets” on the balance sheet. (b)Close-down, restoration and environmental provisions of US$15,871 million (31 December 2023: US$17,150 million) are based on risk-adjusted cash flows expressed in real terms. The recent upward trajectory in interest rates has resulted in expectations of higher yields from long-dated bonds, including the 30-year US Treasury Inflation Protected Securities, which is a key input to our closure provision discount rate. On 30 June 2024, we revised the closure discount rate from 2.0% to 2.5% (30 June 2023: from 1.5% to 2.0%), applied prospectively from that date. This assumption is based on the currency in which we plan to fund the closures and our expectation of long-term interest rate and exchange rate parity in the locations of our operations.
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Financial instruments |
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Disclosure of detailed information about financial instruments [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial instruments | 10. Financial instruments Valuation hierarchy of financial instruments carried at fair value on a recurring basis The table below shows the classifications of our financial instruments by valuation method in accordance with IFRS 13 “Fair Value Measurement” at 30 June 2024 and 31 December 2023. All instruments shown as being held at fair value have been classified as fair value through the profit and loss unless specifically footnoted.
(a)Valuation is based on unadjusted quoted prices in active markets for identical financial instruments. (b)Valuation is based on inputs that are observable for the financial instruments, which include quoted prices for similar instruments or identical instruments in markets which are not considered to be active, or inputs, either directly or indirectly based on observable market data. 10. Financial instruments (continued) (c)Valuation is based on inputs that cannot be observed using market data (unobservable inputs). The change in valuation of our level 3 instruments for the period to 30 June 2024 and 31 December 2023 is as follows:
(d)Our Cash and cash equivalents of US$9,256 million (31 December 2023: US$9,673 million), includes US$4,129 million (31 December 2023: US$2,722 million) relating to money market funds which are treated as fair value through profit or loss (FVPL) under IFRS 9 with the fair value movements reported as finance income. (e)Investments in equity shares and funds include US$192 million (31 December 2023: US$157 million) of equity shares, not held for trading, where we have irrevocably elected to present fair value gains and losses on revaluation in other comprehensive income (FVOCI). The election is made at an individual investment level. (f)Other investments, including loans, covers cash deposits in rehabilitation funds, government bonds, managed investment funds and royalty receivables. (g)Trade receivables include provisionally priced invoices. The related revenue is initially based on forward market selling prices for the quotation periods stipulated in the contracts with changes between the provisional price and the final price recorded separately within “Other revenue”. The selling price can be measured reliably for the Group's products, as it operates in active and freely traded commodity markets. At 30 June 2024, US$1,080 million (31 December 2023: US$1,362 million) of provisionally priced receivables were recognised. (h)Level 3 derivatives mainly consist of derivatives embedded in electricity purchase contracts linked to the LME, midwest premium and billet premium with terms expiring between 2025 and 2036 (31 December 2023: 2025 and 2036). Derivatives related to renewable power purchase agreements are linked to forward electricity prices with terms expiring between 2053 and 2054. (i)Net debt derivatives include interest rate swaps and cross-currency swaps. As part of the International Swaps and Derivatives Association (ISDA) Fallbacks Protocol, on 1 July 2023 we completed the transition of our US LIBOR derivatives to SOFR on cessation of US LIBOR at 30 June 2023. There was no impact on our hedging arrangements after taking into account the IFRS 9 ‘Financial Instruments’ LIBOR reform reliefs. (j)Trade and other financial payables comprise trade payables, other financial payables, accruals and amounts due to equity accounted units. There were no material transfers between level 1 and level 2, or between level 2 and level 3 in the current or prior period. 10. Financial instruments (continued) Valuation techniques and inputs The techniques used to value our more significant fair value assets/(liabilities) categorised under level 2 and level 3 are summarised below:
Sensitivity analysis in respect of level 3 financial instruments For assets/(liabilities) classified under level 3, the effect of changing the significant unobservable inputs on carrying value has been calculated using a movement that we deem to be reasonably probable. Net derivative liabilities related to our renewable power purchase agreements have a fair value of US$7 million at 30 June 2024 (31 December 2023: nil). The fair value is calculated as the present value of the future contracted cash flows using risk-adjusted forecast prices including credit adjustments. A 10% increase in forecast electricity prices over the remaining term of the contract would result in a US$221 million increase in fair value and a 10% decrease in forecast electricity prices would result in a US$221 million decrease in fair value. To value the long-term aluminium embedded power derivatives, we use unobservable inputs when the term of the derivative extends beyond observable market prices. Changing the level 3 inputs to reasonably possible alternative assumptions does not change the fair value significantly, taking into account the expected remaining term of contracts for either reported period. The fair value of these derivatives is a net liability of US$157 million at 30 June 2024 (31 December 2023: US$186 million). 10. Financial instruments (continued) Royalty receivables include amounts arising from our divested coal businesses with a carrying value of US$279 million (31 December 2023: US$214 million). These are classified as “Other investments, including loans” within "Other financial assets". The fair values are determined using level 3 unobservable inputs. These royalty receivables include US$97 million from forecast production beyond 2030. These have not been adjusted for potential changes in production rates that could occur due to climate change targets impacting the operator. The main unobservable input is the long-term coal price used over the life of these royalty receivables. A 15% increase in the coal spot price would result in a US$26 million increase (31 December 2023: US$64 million increase) in the carrying value. A 15% decrease in the coal spot price would result in a US$81 million decrease (31 December 2023: US$39 million decrease) in the carrying value. We have used a 15% assumption to calculate our exposure as it represents the annual coal price movement that we deem to be reasonably probable (on an annual basis over the long run). Fair values disclosure of financial instruments The following table shows the carrying value and fair value of our borrowings including those which are not carried at an amount which approximates their fair value 30 June 2024 and 31 December 2023. The fair values of some of our financial instruments approximate their carrying values because of their short maturity, or because they carry floating rates of interest.
Borrowings relating to listed bonds are categorised as level 1 in the fair value hierarchy while those relating to project finance drawn down by Oyu Tolgoi use a number of level 3 valuation inputs. In the prior period, we refinanced the Oyu Tolgoi project finance on 16 February 2023 with a syndicate of international financial institutions, export credit agencies and commercial lenders. The lenders agreed to a deferral of the principal repayments by three years to June 2026 and to an extension of the final maturity date by five years from 2030 to 2035. As part of refinancing, the debt transitioned to the SOFR benchmark to which we applied the Phase 2 IBOR reform relief under IFRS 9. The refinancing did not result in a derecognition of the drawn down amount, however we recognised an accounting loss on modification of US$123 million related to changes other than the benchmark transition and capitalised transaction costs incurred of US$50 million. Our remaining borrowings have a fair value measured by discounting estimated cash flows with an applicable market quoted yield, and are categorised as level 2 in the fair value hierarchy. Our borrowings are subject to a number of financial and non-financial covenants. The Group complied with these covenants during the period ending 30 June 2024 and expects to comply with these covenants for at least 12 months after the reporting date.
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Commitments and contingencies |
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Jun. 30, 2024 | |||||||||||||||||||
Capital commitments [abstract] | |||||||||||||||||||
Commitments and contingencies | 11. Commitments and contingencies Contingent liabilities (subsidiaries, joint operations, joint ventures and associates) Contingent liabilities, indemnities and other performance guarantees represent the potential outflow of funds from the Group for the satisfaction of obligations, including those under contractual arrangements (for example, undertakings related to supplier agreements) not provided for on the balance sheet, where the likelihood of the contingent liabilities, guarantees or indemnities being called is assessed as possible rather than probable or remote. Contingent liabilities, indemnities and other performance guarantees were US$445 million at 30 June 2024 (31 December 2023: US$435 million). There were no material contingent liabilities arising in relation to the Group’s joint ventures and associates. We have not established provisions for certain additional legal claims in cases where we have assessed that a payment is either not probable or cannot be reliably estimated. A number of our companies are, and will likely continue to be, subject to various legal proceedings and investigations that arise from time to time. As a result, the Group may become subject to substantial liabilities that could affect our business, financial position and reputation. Litigation is inherently unpredictable and large judgments may at times occur. The Group may in the future incur judgments or enter into settlements of claims that could lead to material cash outflows. We do not believe that any of these proceedings will have a materially adverse effect on our financial position. Contingent liabilities - not quantifiable The current status of contingent liabilities where it is not practicable to provide a reliable estimate of possible financial exposure is: Litigation disputes
Other contingent liabilities We continue to modernise agreements with Traditional Owner groups in response to the Juukan Gorge incident. We have created provisions, within “Other provisions”, based on our best estimate of historical claims. However, the process is incomplete and it is possible that further claims could arise relating to past events. Close-down, restoration and environmental provisions are not recognised for those operations that have no known restrictions on their lives as the date of closure cannot be reliably estimated. This applies primarily to our Canadian aluminium smelters, which are not dependent upon a specific orebody and have access to indefinite-lived power from owned hydropower stations with water rights permitted by local governments. In these instances, a closure obligation may exist at the reporting date. However, due to the indefinite nature of asset lives it is not possible to arrive at a sufficiently reliable estimate for the purposes of recognising a provision. Close-down, restoration and environmental provisions are recognised at these operations for separately identifiable closure activities which can be reasonably estimated, such as the demolition and removal of fixed structures after a pre-determined period. Any contingent liability for these assets will crystallise into a closure provision if and when a decision is taken to cease operations. Capital commitments Our capital commitments include: –open purchase orders for managed operations and non-managed tolling entities; –expenditure on major projects already authorised by our Investment Committee for non-managed operations. Capital commitments, excluding the Group's share of joint venture capital commitments, were US$6,251 million (31 December 2023: US$4,385 million). They do not include the estimated incremental capital expenditure relating to decarbonisation projects of US$5 billion to US$6 billion between 2022 and 2030 unless otherwise contractually committed. On a legally enforceable basis, capital commitments would be approximately US$2.1 billion (31 December 2023: US$1.4 billion) as many of the contracts relating to the Group’s projects have various cancellation clauses. The Group's share of joint venture capital commitments was US$154 million at 30 June 2024 (31 December 2023: US$227 million).
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Events after the balance sheet date |
6 Months Ended |
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Jun. 30, 2024 | |
Disclosure of non-adjusting events after reporting period [abstract] | |
Events after the balance sheet date | 12. Events after the balance sheet date On 11 July 2024, we received US$575 million from CIOH for its share of 2024 cash calls for the period ended 30 June 2024, which are scheduled based on budgeted expenditure. On 15 July 2024, all conditions required for Rio Tinto’s investment to develop the Simandou high-grade iron ore deposit in Guinea were satisfied, including the completion of necessary Guinean and Chinese regulatory approvals. On the same date, Simfer Jersey's investment in Winning Consortium Simandou (WCS) for co-development of the rail and port infrastructure became unconditional. On 17 July 2024, Simfer Jersey received equity injections of US$166 million from Rio Tinto and US$147 million from CIOH. These were used to acquire a 34% equity interest in the WCS Ports and Railway entities for combined consideration of US$313 million. Further shareholder loan funding to the WCS entities was made on the same day directly by Rio Tinto and CIOH in proportion to their 53%:47% ownership interest of Simfer Jersey.
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Basis of preparation (Policies) |
6 Months Ended |
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Jun. 30, 2024 | |
Basis Of Presentation [Abstract] | |
Basis of preparation | Basis of preparation The unaudited condensed consolidated interim financial statements included in this report have been prepared in accordance with International Accounting Standards (IAS) 34 "Interim Financial Reporting" as issued by the International Accounting Standards Board (IASB). These unaudited condensed consolidated interim financial statements do not include all of the information required for a full annual financial report and are to be read in conjunction with the Group’s annual financial statements for the year ended 31 December 2023. The 2023 annual financial statements were prepared on a going concern basis in accordance with International Financial Reporting Standards (IFRS) as issued by the IASB and interpretations issued from time to time by the IFRS Interpretations Committee (IFRS IC) which were mandatory at 31 December 2023. The above accounting standards and interpretations are collectively referred to as 'IFRS' in this report and contain the principles we use to create our accounting policies. Where necessary, adjustments are made to the locally reported assets, liabilities, and results of subsidiaries, joint arrangements and associates to bring their accounting policies in line with ours for consistent reporting.
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Going concern | Going concern Management has prepared detailed cash flow forecasts for the next 18 months and has updated life-of-mine plan models with longer-term cash flow projections. These forecasts demonstrate that the Group has sufficient cash, other liquid resources and undrawn credit facilities to enable it to meet its obligations as they fall due. As such, the Directors considered it appropriate to adopt the going concern basis of accounting in preparing the interim financial information.
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Changes in accounting policies | Changes in accounting policies The unaudited condensed consolidated interim financial statements have been prepared on the basis of accounting policies, methods of computation and presentation consistent with those applied in the financial statements for the year ended 31 December 2023, except for the accounting requirements set out below, effective as at 1 January 2024.
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Segmental information (Tables) |
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Disclosure of operating segments [abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of operating segments | Our reportable segments are as follows:
(a)Segmental revenue includes consolidated sales revenue plus the equivalent sales revenue of equity accounted units in proportion to our equity interest (after adjusting for sales to/from subsidiaries). Segmental revenue measures revenue on a basis that is comparable to our underlying EBITDA metric. (b)Underlying EBITDA (calculated on page 37) is reported to provide greater understanding of the underlying business performance of Rio Tinto's operations. (c)Capital expenditure for reportable segments includes the net cash outflow on purchases less disposals of property, plant and equipment, capitalised evaluation costs and purchases less disposals of other intangible assets. The details provided include 100% of subsidiaries’ capital expenditure and Rio Tinto’s share of the capital expenditure of joint operations. (d)Consolidated sales revenue includes subsidiary sales of US$121 million (30 June 2023: US$21 million) to equity accounted units which are not included in segmental revenue. Segmental revenue includes the Group’s proportionate share of product sales by equity accounted units (after adjusting for sales to subsidiaries) of US$2,099 million (30 June 2023: US$1,536 million) which are not included in consolidated sales revenue. Reconciliation of profit after tax to underlying EBITDA Underlying EBITDA represents profit before taxation, net finance items, depreciation and amortisation adjusted to exclude the EBITDA impact of items which do not reflect the underlying performance of our reportable segments. Items excluded from profit after tax are those gains and losses that, individually or in aggregate with similar items, are of a nature and size to require exclusion in order to provide additional insight into the underlying business performance. The following items are excluded from profit after tax in arriving at underlying EBITDA in each period irrespective of materiality: –Depreciation and amortisation in subsidiaries, excluding capitalised depreciation; –Depreciation and amortisation in equity accounted units; –Taxation and finance items in subsidiaries; –Taxation and finance items in equity accounted units; –Unrealised gains/(losses) on embedded derivatives not qualifying for hedge accounting; –Net gains/(losses) on disposal of interests in subsidiaries; –Impairment charges net of reversals; –The underlying EBITDA of discontinued operations; –Adjustments to closure provisions where the adjustment is associated with an impairment charge and for legacy sites where the disturbance or environmental contamination relates to the pre-acquisition period. In addition, there is a final judgmental category which includes, where applicable, other credits and charges that, individually or in aggregate if of a similar type, are of a nature or size to require exclusion in order to provide additional insight into underlying business performance. For the periods ended 30 June 2024 and 30 June 2023, there were no items in this category.
(a)Depreciation and amortisation in subsidiaries for the period ended 30 June 2024 is net of capitalised depreciation of US$102 million (30 June 2023: US$80 million). (b)Refer to note 5 for allocation of net impairment (reversals)/charges between consolidated amounts and share of profit in EAUs. (c)For the period ended 30 June 2024, the credit to the income statement relates to the impact of a change in discount rate, expressed in real-terms, from 2.0% to 2.5% (30 June 2023: from 1.5% to 2.0%) as applied to provisions for close-down, restoration and environmental liabilities at legacy sites where the environmental damage preceded ownership by Rio Tinto.
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Segmental information - additional information (Tables) |
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Disclosure of operating segments [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consolidated revenue by destination | Consolidated sales revenue by destination(a)
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Consolidated sales revenue by product | Consolidated sales revenue by product
(a)Consolidated sales revenue includes both revenue from contracts with customers, accounted for under IFRS 15 “Revenue from Contracts with Customers”, and subsequent movements in provisionally priced receivables, accounted for under IFRS 9, and included in “Other revenue” above. (b)“Other products and freight services” includes metallic co-products, molybdenum, silver and other commodities.
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Impairment (Tables) |
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Disclosure of impairment loss and reversal of impairment loss [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of impairment charges |
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Taxation (Tables) |
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Major components of tax expense (income) [abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of prima facie tax reconciliation | Prima facie tax reconciliation
(a)The Group profit before tax includes profit after tax of equity accounted units. Consequently, the tax effect on the profit from equity accounted units is included as a separate reconciling item in this prima facie tax reconciliation. (b)As a UK headquartered and listed Group, the reconciliation of expected tax on accounting profit to tax charge uses the UK corporate tax rate to calculate the prima facie tax payable. In 2024, the UK tax rate for the period was 25% (2023: 23.5%) due to the previously reported increase in the UK corporation tax rate from 19% to 25% effective 1 April 2023. Rio Tinto is also listed in Australia, and the reconciliation includes the impact of the higher tax rate in Australia where a significant proportion of the Group's profits are currently earned. The impact of other tax rates applicable outside the UK and Australia is also included. The weighted average statutory corporate tax rate on profit before tax is approximately 29% (30 June 2023: 30%) (c)Unrecognised current period operating losses include tax losses around the Group for which no tax benefit is currently recognised due to uncertainty regarding whether suitable taxable profits will be earned in the future to obtain value from the tax losses.
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Cash and cash equivalents (Tables) |
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Subclassifications of assets, liabilities and equities [abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of cash and cash equivalents | Closing cash and cash equivalents less overdrafts for the purposes of the cash flow statement differs from cash and cash equivalents on our balance sheet as per the following reconciliation:
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Provisions including post-retirement benefits (Tables) |
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Disclosure of other provisions [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of provisions including post-retirement benefits |
(a)Close-down, restoration and environmental provisions at 30 June 2024 have not been adjusted for closure-related receivables amounting to US$364 million (31 December 2023: US$366 million) due from the ERA trust fund and other financial assets held for the purposes of meeting closure obligations. These are included within “Receivables and other assets” on the balance sheet. (b)Close-down, restoration and environmental provisions of US$15,871 million (31 December 2023: US$17,150 million) are based on risk-adjusted cash flows expressed in real terms. The recent upward trajectory in interest rates has resulted in expectations of higher yields from long-dated bonds, including the 30-year US Treasury Inflation Protected Securities, which is a key input to our closure provision discount rate. On 30 June 2024, we revised the closure discount rate from 2.0% to 2.5% (30 June 2023: from 1.5% to 2.0%), applied prospectively from that date. This assumption is based on the currency in which we plan to fund the closures and our expectation of long-term interest rate and exchange rate parity in the locations of our operations.
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Financial instruments (Tables) |
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Disclosure of detailed information about financial instruments [abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of fair value of financial instruments | The table below shows the classifications of our financial instruments by valuation method in accordance with IFRS 13 “Fair Value Measurement” at 30 June 2024 and 31 December 2023. All instruments shown as being held at fair value have been classified as fair value through the profit and loss unless specifically footnoted.
(a)Valuation is based on unadjusted quoted prices in active markets for identical financial instruments. (b)Valuation is based on inputs that are observable for the financial instruments, which include quoted prices for similar instruments or identical instruments in markets which are not considered to be active, or inputs, either directly or indirectly based on observable market data. Valuation is based on inputs that cannot be observed using market data (unobservable inputs). The change in valuation of our level 3 instruments for the period to 30 June 2024 and 31 December 2023 is as follows:
(d)Our Cash and cash equivalents of US$9,256 million (31 December 2023: US$9,673 million), includes US$4,129 million (31 December 2023: US$2,722 million) relating to money market funds which are treated as fair value through profit or loss (FVPL) under IFRS 9 with the fair value movements reported as finance income. (e)Investments in equity shares and funds include US$192 million (31 December 2023: US$157 million) of equity shares, not held for trading, where we have irrevocably elected to present fair value gains and losses on revaluation in other comprehensive income (FVOCI). The election is made at an individual investment level. (f)Other investments, including loans, covers cash deposits in rehabilitation funds, government bonds, managed investment funds and royalty receivables. (g)Trade receivables include provisionally priced invoices. The related revenue is initially based on forward market selling prices for the quotation periods stipulated in the contracts with changes between the provisional price and the final price recorded separately within “Other revenue”. The selling price can be measured reliably for the Group's products, as it operates in active and freely traded commodity markets. At 30 June 2024, US$1,080 million (31 December 2023: US$1,362 million) of provisionally priced receivables were recognised. (h)Level 3 derivatives mainly consist of derivatives embedded in electricity purchase contracts linked to the LME, midwest premium and billet premium with terms expiring between 2025 and 2036 (31 December 2023: 2025 and 2036). Derivatives related to renewable power purchase agreements are linked to forward electricity prices with terms expiring between 2053 and 2054. (i)Net debt derivatives include interest rate swaps and cross-currency swaps. As part of the International Swaps and Derivatives Association (ISDA) Fallbacks Protocol, on 1 July 2023 we completed the transition of our US LIBOR derivatives to SOFR on cessation of US LIBOR at 30 June 2023. There was no impact on our hedging arrangements after taking into account the IFRS 9 ‘Financial Instruments’ LIBOR reform reliefs. (j)Trade and other financial payables comprise trade payables, other financial payables, accruals and amounts due to equity accounted units. The techniques used to value our more significant fair value assets/(liabilities) categorised under level 2 and level 3 are summarised below:
The following table shows the carrying value and fair value of our borrowings including those which are not carried at an amount which approximates their fair value 30 June 2024 and 31 December 2023. The fair values of some of our financial instruments approximate their carrying values because of their short maturity, or because they carry floating rates of interest.
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Summary of changes in the fair value of Level 3 financial assets and financial liabilities | The change in valuation of our level 3 instruments for the period to 30 June 2024 and 31 December 2023 is as follows:
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Commitments and contingencies (Tables) |
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Jun. 30, 2024 | |||||||||||||||||||
Capital commitments [abstract] | |||||||||||||||||||
Summary of litigation disputes |
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Segmental information - Summary of performance of operating segments (Details) - USD ($) $ in Millions |
6 Months Ended | |
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Jun. 30, 2024 |
Jun. 30, 2023 |
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Disclosure of operating segments [line items] | ||
Consolidated sales revenue | $ 26,802 | $ 26,667 |
Underlying EBITDA | 12,093 | 11,728 |
Proceeds from disposal of property, plant and equipment | 17 | 8 |
Purchases of property, plant and equipment and intangible assets | 4,018 | 3,001 |
Subsidiaries | ||
Disclosure of operating segments [line items] | ||
Share of sales revenue of equity accounted units | 121 | 21 |
Other operations | ||
Disclosure of operating segments [line items] | ||
Consolidated sales revenue | 49 | 97 |
Underlying EBITDA | 85 | (395) |
Capital expenditure | 754 | 32 |
Share of equity accounted units | ||
Disclosure of operating segments [line items] | ||
Share of equity accounted units | (1,978) | (1,515) |
Central pension costs, share-based payments, insurance and derivatives | ||
Disclosure of operating segments [line items] | ||
Underlying EBITDA | (158) | 167 |
Restructuring, project and one-off costs | ||
Disclosure of operating segments [line items] | ||
Underlying EBITDA | (111) | (84) |
Central costs | ||
Disclosure of operating segments [line items] | ||
Underlying EBITDA | (494) | (512) |
Central exploration and evaluation expenditures | ||
Disclosure of operating segments [line items] | ||
Underlying EBITDA | (114) | (134) |
Other items | ||
Disclosure of operating segments [line items] | ||
Capital expenditure | 43 | 49 |
Gross product sales | ||
Disclosure of operating segments [line items] | ||
Share of sales revenue of equity accounted units | 2,099 | 1,536 |
Operating segments | Reportable segments | ||
Disclosure of operating segments [line items] | ||
Consolidated sales revenue | 28,838 | 28,239 |
Underlying EBITDA | 12,875 | 12,703 |
Capital expenditure | 3,204 | 2,912 |
Operating segments | Iron Ore | ||
Disclosure of operating segments [line items] | ||
Consolidated sales revenue | 15,206 | 15,600 |
Underlying EBITDA | 8,807 | 9,792 |
Capital expenditure | 1,258 | 1,094 |
Operating segments | Aluminium | ||
Disclosure of operating segments [line items] | ||
Consolidated sales revenue | 6,486 | 6,263 |
Underlying EBITDA | 1,577 | 1,140 |
Capital expenditure | 705 | 597 |
Operating segments | Copper | ||
Disclosure of operating segments [line items] | ||
Consolidated sales revenue | 4,408 | 3,487 |
Underlying EBITDA | 1,804 | 1,082 |
Capital expenditure | 970 | 917 |
Operating segments | Minerals | ||
Disclosure of operating segments [line items] | ||
Consolidated sales revenue | 2,738 | 2,889 |
Underlying EBITDA | 687 | 689 |
Capital expenditure | 271 | 304 |
Inter-segment transactions | ||
Disclosure of operating segments [line items] | ||
Consolidated sales revenue | (107) | (154) |
Underlying EBITDA | $ 10 | $ (17) |
Segmental information - Reconciliation of underlying EBITDA to profit after taxation (Details) $ in Millions |
6 Months Ended | ||
---|---|---|---|
Jun. 30, 2024
USD ($)
|
Jun. 30, 2023
USD ($)
|
Dec. 31, 2022 |
|
Disclosure of operating segments [line items] | |||
Profit after tax for the period | $ 5,890 | $ 4,947 | |
Taxation | 2,225 | 1,983 | |
Profit before taxation | 8,115 | 6,930 | |
Depreciation and amortisation in subsidiaries excluding capitalised depreciation | 2,719 | 2,405 | |
Depreciation and amortisation in equity accounted units | 275 | 238 | |
Finance items in subsidiaries | 566 | 748 | |
Taxation and finance items in equity accounted units | 483 | 373 | |
Gains on embedded commodity derivatives not qualifying for hedge accounting (including foreign exchange) | (3) | (112) | |
Net impairment (reversals)/charges | (18) | 1,175 | |
Change in closure estimates (non-operating and fully impaired sites) | (44) | (29) | |
Underlying EBITDA | 12,093 | 11,728 | |
Capitalised depreciation | $ 102 | $ 80 | |
Close down restoration and environmental | |||
Disclosure of operating segments [line items] | |||
Closure discount rate | 0.025 | 0.020 | 0.015 |
Segmental information - additional information - Disclosure of sales revenue by destination (Detail) - USD ($) $ in Millions |
6 Months Ended | |
---|---|---|
Jun. 30, 2024 |
Jun. 30, 2023 |
|
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 100.00% | 100.00% |
Consolidated sales revenue | $ 26,802 | $ 26,667 |
Greater China | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 58.10% | 58.10% |
Consolidated sales revenue | $ 15,569 | $ 15,482 |
United States of America | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 16.00% | 14.60% |
Consolidated sales revenue | $ 4,288 | $ 3,885 |
Asia (excluding Greater China and Japan) | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 6.90% | 7.30% |
Consolidated sales revenue | $ 1,834 | $ 1,957 |
Japan | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 6.60% | 6.70% |
Consolidated sales revenue | $ 1,769 | $ 1,791 |
Europe (excluding UK) | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 5.10% | 5.80% |
Consolidated sales revenue | $ 1,373 | $ 1,537 |
Canada | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 3.00% | 2.90% |
Consolidated sales revenue | $ 800 | $ 785 |
Australia | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 1.80% | 1.70% |
Consolidated sales revenue | $ 489 | $ 451 |
UK | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 0.20% | 0.20% |
Consolidated sales revenue | $ 64 | $ 66 |
Other countries | ||
Disclosure of geographical areas [line items] | ||
Sales revenue by destination (as a percent) | 2.30% | 2.70% |
Consolidated sales revenue | $ 616 | $ 713 |
Segmental information - additional information - Consolidated sales revenue by product (Details) - USD ($) $ in Millions |
6 Months Ended | |
---|---|---|
Jun. 30, 2024 |
Jun. 30, 2023 |
|
Disclosure of products and services [line items] | ||
Revenue from contracts with customers | $ 27,239 | $ 26,705 |
Other revenue | (437) | (38) |
Consolidated sales revenue | 26,802 | 26,667 |
Iron Ore | ||
Disclosure of products and services [line items] | ||
Revenue from contracts with customers | 16,572 | 16,319 |
Other revenue | (527) | 12 |
Consolidated sales revenue | 16,045 | 16,331 |
Aluminium, alumina and bauxite | ||
Disclosure of products and services [line items] | ||
Revenue from contracts with customers | 6,105 | 6,194 |
Other revenue | 54 | (45) |
Consolidated sales revenue | 6,159 | 6,149 |
Copper | ||
Disclosure of products and services [line items] | ||
Revenue from contracts with customers | 2,194 | 1,695 |
Other revenue | 33 | (6) |
Consolidated sales revenue | 2,227 | 1,689 |
Industrial minerals (comprising titanium dioxide slag, zircon, borates and salt) | ||
Disclosure of products and services [line items] | ||
Revenue from contracts with customers | 1,173 | 1,246 |
Other revenue | (2) | (1) |
Consolidated sales revenue | 1,171 | 1,245 |
Gold | ||
Disclosure of products and services [line items] | ||
Revenue from contracts with customers | 345 | 236 |
Other revenue | 5 | 3 |
Consolidated sales revenue | 350 | 239 |
Diamonds | ||
Disclosure of products and services [line items] | ||
Revenue from contracts with customers | 149 | 250 |
Other revenue | 0 | 0 |
Consolidated sales revenue | 149 | 250 |
Other products and freight services | ||
Disclosure of products and services [line items] | ||
Revenue from contracts with customers | 701 | 765 |
Other revenue | 0 | (1) |
Consolidated sales revenue | $ 701 | $ 764 |
Impairment - Summary of impairment charges (Detail) - USD ($) $ in Millions |
6 Months Ended | |
---|---|---|
Jun. 30, 2024 |
Jun. 30, 2023 |
|
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||
Impairment charges (reversal), Pre-tax amount | $ 18 | $ (1,175) |
Impairment charges (reversal), tax | 37 | |
Non-controlling interests | 0 | 0 |
Net impairment reversals/(charges) in the income statement | 55 | (828) |
Impairment reversals/(charges) of consolidated balances | 41 | (1,175) |
Impairment charges related to EAUs (pre-tax) | (35) | 0 |
Net impairment reversals/(charges) in the financial information by business unit (page #) | 6 | (1,175) |
Taxation | 49 | 347 |
Tiwai Point | Aluminium | ||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||
Impairment charges (reversal), Pre-tax amount | 41 | 0 |
Impairment charges (reversal), tax | 37 | |
Non-controlling interests | 0 | |
Net impairment reversals/(charges) in the income statement | 78 | |
Porto Trombetas (MRN) | Aluminium | ||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||
Impairment charges (reversal), Pre-tax amount | (23) | 0 |
Impairment charges (reversal), tax | 0 | |
Non-controlling interests | 0 | |
Net impairment reversals/(charges) in the income statement | (23) | |
Alumina refineries | Aluminium | ||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||
Impairment charges (reversal), Pre-tax amount | 0 | (1,175) |
Impairment charges (reversal), tax | 0 | |
Non-controlling interests | 0 | |
Net impairment reversals/(charges) in the income statement | 0 | (828) |
Impairment reversals/(charges) of consolidated balances | (1,175) | |
Property, plant and equipment | ||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||
Impairment charges (reversal), Pre-tax amount | 41 | $ (1,175) |
Investment in equity accounted units (EAUs) | ||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||
Impairment charges (reversal), Pre-tax amount | $ (23) |
Impairment - Narrative (Details) $ in Millions |
6 Months Ended | |||
---|---|---|---|---|
May 30, 2024
MW
|
Jun. 30, 2024
USD ($)
|
Jun. 30, 2023
USD ($)
|
Dec. 31, 2023
USD ($)
|
|
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Power arrangement, term of agreement | 20 years | |||
Power arrangement, amount of power with set pricing (in megawatts) | MW | 572 | |||
Impairment (reversal) charge | $ (18) | $ 1,175 | ||
Deferred tax assets | 3,435 | $ 3,624 | ||
Impairment charges, net | (55) | 828 | ||
Impairment (reversals net of charges)/charges | (41) | 1,175 | ||
Impairment Charge (Reversal) | ||||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Deferred tax assets | 37 | |||
Porto Trombetas (MRN) | ||||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Impairment (reversal) charge | 35 | |||
Impairment charges, net | 23 | |||
Property, plant and equipment | ||||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Impairment (reversal) charge | (41) | 1,175 | ||
Tiwai Point | Aluminium | ||||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Impairment (reversal) charge | (41) | 0 | ||
Impairment charges, net | (78) | |||
Alumina refineries | Aluminium | ||||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Impairment (reversal) charge | 0 | 1,175 | ||
Impairment charges, net | $ 0 | $ 828 | ||
Discount rate applied to cash flow projections | 6.60% | |||
Impairment (reversals net of charges)/charges | $ 1,175 | |||
Reduction in carbon emissions | 0.50 | |||
Increase in carbon tax | 0.10 | |||
Yarwun Alumina Refinery | Aluminium | Property, plant and equipment | ||||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Impairment (reversals net of charges)/charges | $ 948 | |||
Queensland Alumina Limited (QAL) | Aluminium | ||||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Impairment (reversals net of charges)/charges | 99 | |||
Recoverable amount of asset | 325 | |||
Expected post-tax impairment charge if project not approved | 325 | |||
Queensland Alumina Limited (QAL) | Aluminium | Property, plant and equipment | ||||
Disclosure of impairment loss recognised or reversed for cash-generating unit [line items] | ||||
Impairment (reversals net of charges)/charges | $ 227 |
Taxation - Summary of prima facie tax reconciliation (Detail) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Apr. 01, 2023 |
Mar. 31, 2023 |
Jun. 30, 2024 |
Jun. 30, 2023 |
|
Major components of tax expense (income) [abstract] | ||||
Profit before taxation | $ 8,115 | $ 6,930 | ||
Applicable tax rate | 25.00% | 19.00% | 25.00% | 23.50% |
Prima facie tax payable at UK rate of 23.5% (2022: 19%) | $ 2,029 | $ 1,628 | ||
Higher rate of taxation of 30% on Australian earnings (2023: 30%) | 325 | 373 | ||
Other tax rates applicable outside the UK and Australia | (136) | (130) | ||
Tax effect of profit from equity accounted units and related expenses | (106) | (101) | ||
Impact of changes in tax rates | (15) | 0 | ||
Resource depletion allowances | (7) | (6) | ||
Recognition of previously unrecognised deferred tax assets | (49) | (62) | ||
Write-down of previously recognised deferred tax assets | 42 | 40 | ||
Utilisation of previously unrecognised deferred tax assets | (9) | (10) | ||
Unrecognised current year operating losses | 146 | 259 | ||
Adjustments in respect of prior periods | 14 | (4) | ||
Other items | (9) | (4) | ||
Total taxation charge | $ 2,225 | $ 1,983 | ||
Weighted average statutory tax rate | 29.00% | 30.00% | ||
Current tax expense | $ 1 |
Acquisition and disposals (Detail) |
6 Months Ended |
---|---|
Dec. 31, 2023 | |
La Granja | First Quantum Minerals ("First Quantum") | |
Disclosure Of Acquisitions And Disposals [Line Items] | |
Percent of ownership interest in exploration and evaluation assets, sold | 55.00% |
Meridian Minera Limitada | Agua De La Falda | |
Disclosure Of Acquisitions And Disposals [Line Items] | |
Percentage of voting equity interests acquired | 57.70% |
Giampaolo Group | Matalco Canada Inc. | |
Disclosure Of Acquisitions And Disposals [Line Items] | |
Percentage of ownership interest in joint venture acquired | 50.00% |
Cash and cash equivalents (Details) - USD ($) $ in Millions |
Jun. 30, 2024 |
Dec. 31, 2023 |
Jun. 30, 2023 |
Dec. 31, 2022 |
---|---|---|---|---|
Subclassifications of assets, liabilities and equities [abstract] | ||||
Balance per Group balance sheet | $ 9,256 | $ 9,673 | $ 9,179 | |
Bank overdrafts repayable on demand (unsecured) | (3) | (1) | (5) | |
Balance per Group cash flow statement | $ 9,253 | $ 9,672 | $ 9,174 | $ 6,774 |
Provisions including post-retirement benefits - Summary of provisions, including post-retirement benefits (Detail) - Close down restoration and environmental $ in Millions |
6 Months Ended | 12 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2024
USD ($)
|
Dec. 31, 2023
USD ($)
|
Jun. 30, 2023 |
Dec. 31, 2022
USD ($)
|
|
Disclosure of other provisions [Line Items] | ||||
Opening balance | $ 17,150 | $ 15,759 | ||
Adjustment on currency translation | (395) | 241 | ||
Adjustments to mining properties/right of use assets: | ||||
– changes to existing and new provisions | 25 | 629 | ||
– change in discount rate | (787) | (921) | ||
Charged/(credited) to profit: | ||||
– increases to existing and new provisions | 79 | 1,654 | ||
– change in discount rate | (235) | (168) | ||
– decreases and unused amounts reversed | (27) | (195) | ||
– exchange losses/(gains) on provisions | 14 | (16) | ||
– amortisation of discount | 412 | 955 | ||
Utilised in the period | (361) | (777) | ||
Transfers and other movements | (4) | (11) | ||
Closing balance | 15,871 | 17,150 | ||
Balance sheet analysis: | ||||
Current | 1,737 | 1,523 | ||
Non-current | 14,134 | 15,627 | ||
Total | 15,871 | 17,150 | $ 15,759 | |
Closure related receivables | $ 364 | $ 366 | ||
Closure discount rate | 0.025 | 0.020 | 0.015 |
Financial instruments - Summary of fair value of financial instruments (Detail) - USD ($) $ in Millions |
Jun. 30, 2024 |
Dec. 31, 2023 |
Jun. 30, 2023 |
---|---|---|---|
Assets | |||
Cash and cash equivalents | $ 9,256 | $ 9,673 | $ 9,179 |
Investments in equity shares and funds | 218 | 181 | |
Investments in equity shares and funds | 4,454 | 4,407 | |
Other investments, including loans | 795 | 1,277 | |
Trade and other financial receivables | 3,186 | 3,243 | |
Derivatives related to net debt | 37 | 87 | |
Liabilities | |||
Trade and other financial payables | (6,085) | (6,324) | |
Derivatives related to net debt | (532) | (516) | |
Not Designated As Hedging Instrument | |||
Assets | |||
Forward, option and embedded derivatives contracts | 91 | 54 | |
Liabilities | |||
Forward, option and embedded derivatives contracts | (129) | (92) | |
Hedging instruments | |||
Liabilities | |||
Forward, option and embedded derivatives contracts | (158) | (174) | |
Fair value | |||
Assets | |||
Cash and cash equivalents | 9,256 | ||
Held at amortised cost | |||
Assets | |||
Cash and cash equivalents | 5,127 | 6,951 | |
Investments in equity shares and funds | 0 | 0 | |
Other investments, including loans | 21 | 153 | |
Trade and other financial receivables | 2,055 | 1,851 | |
Derivatives related to net debt | 0 | 0 | |
Liabilities | |||
Trade and other financial payables | (6,005) | (6,277) | |
Derivatives related to net debt | 0 | 0 | |
Held at amortised cost | Not Designated As Hedging Instrument | |||
Assets | |||
Forward, option and embedded derivatives contracts | 0 | 0 | |
Liabilities | |||
Forward, option and embedded derivatives contracts | 0 | 0 | |
Held at amortised cost | Hedging instruments | |||
Liabilities | |||
Forward, option and embedded derivatives contracts | 0 | 0 | |
Level 1 | Fair value | |||
Assets | |||
Cash and cash equivalents | 4,129 | 2,722 | |
Investments in equity shares and funds | 82 | 85 | |
Other investments, including loans | 474 | 896 | |
Trade and other financial receivables | 16 | 9 | |
Derivatives related to net debt | 0 | 0 | |
Liabilities | |||
Trade and other financial payables | 0 | 0 | |
Derivatives related to net debt | 0 | 0 | |
Level 1 | Fair value | Not Designated As Hedging Instrument | |||
Assets | |||
Forward, option and embedded derivatives contracts | 0 | 0 | |
Liabilities | |||
Forward, option and embedded derivatives contracts | 0 | 0 | |
Level 1 | Fair value | Hedging instruments | |||
Liabilities | |||
Forward, option and embedded derivatives contracts | 0 | 0 | |
Level 2 | Fair value | |||
Assets | |||
Cash and cash equivalents | 0 | 0 | |
Investments in equity shares and funds | 0 | 0 | |
Other investments, including loans | 0 | 0 | |
Trade and other financial receivables | 1,115 | 1,383 | |
Derivatives related to net debt | 37 | 87 | |
Liabilities | |||
Trade and other financial payables | (80) | (47) | |
Derivatives related to net debt | (532) | (516) | |
Level 2 | Fair value | Not Designated As Hedging Instrument | |||
Assets | |||
Forward, option and embedded derivatives contracts | 32 | 28 | |
Liabilities | |||
Forward, option and embedded derivatives contracts | (64) | (63) | |
Level 2 | Fair value | Hedging instruments | |||
Liabilities | |||
Forward, option and embedded derivatives contracts | 0 | 0 | |
Level 3 | Fair value | |||
Assets | |||
Cash and cash equivalents | 0 | 0 | |
Investments in equity shares and funds | 136 | 96 | |
Other investments, including loans | 300 | 228 | |
Trade and other financial receivables | 0 | 0 | |
Derivatives related to net debt | 0 | 0 | |
Liabilities | |||
Trade and other financial payables | 0 | 0 | |
Derivatives related to net debt | 0 | 0 | |
Level 3 | Fair value | Not Designated As Hedging Instrument | |||
Assets | |||
Forward, option and embedded derivatives contracts | 59 | 26 | |
Liabilities | |||
Forward, option and embedded derivatives contracts | (65) | (29) | |
Level 3 | Fair value | Hedging instruments | |||
Liabilities | |||
Forward, option and embedded derivatives contracts | $ (158) | $ (174) |
Financial instruments - Summary of changes in fair value of Level 3 financial assets and financial liabilities (Detail) - Level 3 - USD ($) $ in Millions |
6 Months Ended | 12 Months Ended |
---|---|---|
Jun. 30, 2024 |
Dec. 31, 2023 |
|
Disclosure of detailed information about financial instruments [line items] | ||
Opening balance | $ 147 | $ 131 |
Currency translation adjustments | (1) | (2) |
Total realised gains/(losses) included in consolidated sales revenue | 0 | 12 |
Total realised gains/(losses) included in net operating costs | (11) | (18) |
Total unrealised gains included in net operating costs | 94 | 43 |
Total unrealised gains/(losses) transferred into other comprehensive income through cash flow hedges | 9 | (1) |
Additions to financial assets/(liabilities) | 50 | 29 |
Disposals/maturity of financial instruments | (16) | (47) |
Closing balance | 272 | 147 |
Net gains included in the income statement for assets and liabilities held at period end | $ 84 | $ 31 |
Financial instruments - Additional information (Detail) - USD ($) $ in Millions |
6 Months Ended | 12 Months Ended | ||
---|---|---|---|---|
Feb. 16, 2023 |
Jun. 30, 2024 |
Dec. 31, 2023 |
Jun. 30, 2023 |
|
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | $ 9,256 | $ 9,673 | $ 9,179 | |
Equity shares and quoted funds | 218 | 181 | ||
Accounting loss | $ 123 | |||
Borrowing costs capitalised | $ 50 | |||
Oyu Tolgoi | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Deferral of the principal repayments (in years) | 3 years | |||
Extension of final maturity date (in years) | 5 years | |||
Forecast | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Expected unconditional guaranteed royalty payments to be received | 97 | |||
Financial assets measured at fair value through other comprehensive income, category | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Equity shares and quoted funds | 192 | 157 | ||
Fair value | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | 9,256 | |||
Level 1 | Fair value | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | 4,129 | 2,722 | ||
Equity shares and quoted funds | $ 82 | 85 | ||
Level 3 | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Percentage change in forecast electricity prices | 10.00% | |||
Increase in carrying value of renewable power purchase agreements due to forecast electricity prices | $ 221 | |||
Decrease in carrying value of renewable power purchase agreements due to forecast electricity prices | $ 221 | |||
Change in coal spot price | 15.00% | |||
Increase in carrying value of forward contract due to coal spot price assumptions | $ 26 | 64 | ||
Decrease in carrying value of forward contract due to decrease in spot price | 81 | 39 | ||
Level 3 | Discounted cash flows | Forward Electricity Price And Energy Volume | Renewable power purchase agreements | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Financial liabilities, at fair value | 7 | 0 | ||
Level 3 | Fair value | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | 0 | 0 | ||
Equity shares and quoted funds | 136 | 96 | ||
Level 3 | Royalty Receivables | Discounted cash flows | Forward Commodity Price And Mine Production, Measurement Input | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Financial assets, at fair value | $ 279 | $ 214 |
Financial instruments - Summary of valuation techniques and inputs (Details) - USD ($) $ in Millions |
Jun. 30, 2024 |
Dec. 31, 2023 |
---|---|---|
Level 2 | Applicable Forward Quoted Metal Prices, Measurement Input | Closely related listed product | Provisionally Priced Receivables | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets, at fair value | $ 1,080 | $ 1,362 |
Level 3 | Forward Commodity Price And Mine Production, Measurement Input | Discounted cash flows | Royalty Receivables | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets, at fair value | 279 | 214 |
Interest rate swaps | Level 2 | Applicable Market Quoted Swap Yield Curves and Credit Spread, Measurement Input | Discounted cash flows | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities, at fair value | (212) | (163) |
Cross currency interest rate swaps | Level 2 | Applicable Market Quoted Swap Yield Curves, Credit Spread And Market Quoted Foreign Exchange Rate, Measurement Input | Discounted cash flows | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities, at fair value | (283) | (266) |
Renewable power purchase agreements | Level 3 | Forward Electricity Price And Energy Volume | Discounted cash flows | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities, at fair value | (7) | 0 |
Derivatives embedded in electricity contracts | Level 3 | LME Forward Aluminum Price And Midwest Premium And Billet Premium, Measurement Input | Option pricing model | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities, at fair value | $ (157) | $ (186) |
Financial instruments - Carrying amounts and fair values (Detail) - USD ($) $ in Millions |
Jun. 30, 2024 |
Dec. 31, 2023 |
---|---|---|
Disclosure of detailed information about borrowings [line items] | ||
Borrowings (including overdrafts), carrying value | $ 12,882 | $ 13,001 |
Borrowings (including overdrafts), fair value | 12,807 | 13,256 |
Listed bonds | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings (including overdrafts), carrying value | 8,532 | 8,607 |
Borrowings (including overdrafts), fair value | 8,221 | 8,672 |
Oyu Tolgoi project finance | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings (including overdrafts), carrying value | 3,851 | 3,850 |
Borrowings (including overdrafts), fair value | 4,085 | 4,090 |
Other | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings (including overdrafts), carrying value | 499 | 544 |
Borrowings (including overdrafts), fair value | $ 501 | $ 494 |
Commitments and contingencies (Details) - USD ($) $ in Millions |
6 Months Ended | ||
---|---|---|---|
Mar. 06, 2023 |
Jun. 30, 2024 |
Dec. 31, 2023 |
|
Other Disclosures [Line Items] | |||
Contingent liabilities indemnities and other performance guarantees | $ 445.0 | $ 435.0 | |
Contingent liabilities incurred in relation to interests in joint ventures | 0.0 | ||
Capital commitments | 6,251.0 | 4,385.0 | |
Contractual capital commitments | 2,100.0 | 1,400.0 | |
Bottom of range | |||
Other Disclosures [Line Items] | |||
Estimated incremental capital expenditures related to decarbonisation projects | 5,000.0 | ||
Top of range | |||
Other Disclosures [Line Items] | |||
Estimated incremental capital expenditures related to decarbonisation projects | 6,000.0 | ||
Rio Tinto Finance Usa Limited And Rio Tinto Finance Usa Plc | Contingent liabilities related to joint ventures | |||
Other Disclosures [Line Items] | |||
Contractual payments | $ 10.5 | ||
Joint ventures | |||
Other Disclosures [Line Items] | |||
Capital commitments | $ 154.0 | $ 227.0 |
Events after the balance sheet date (Details) - USD ($) $ in Millions |
6 Months Ended | ||||||
---|---|---|---|---|---|---|---|
Jul. 17, 2024 |
Jul. 11, 2024 |
Jun. 28, 2024 |
Jun. 30, 2024 |
Jun. 30, 2023 |
|||
Entity Information [Line Items] | |||||||
Proceeds from issue of equity to non-controlling interests | [1] | $ 445 | $ 61 | ||||
Acquisition of equity interest | $ 0 | $ 15 | |||||
Simandou Iron Ore Project | |||||||
Entity Information [Line Items] | |||||||
Proceeds from issue of equity to non-controlling interests | $ 411 | ||||||
Cash Calls Received after the Balance Sheet Date | Simandou Iron Ore Project | |||||||
Entity Information [Line Items] | |||||||
Proceeds from issue of equity to non-controlling interests | $ 575 | ||||||
Cash Calls Received after the Balance Sheet Date | Simfer Jersey Limited | |||||||
Entity Information [Line Items] | |||||||
Proceeds from issue of equity to non-controlling interests | $ 575 | ||||||
Equity Injections After The Balance Sheet Date | Simfer Jersey Limited | |||||||
Entity Information [Line Items] | |||||||
Acquisition of equity interest | $ 166 | ||||||
Equity Injections After The Balance Sheet Date | Simfer Jersey Limited | Chalco Iron Ore Holdings Ltd | |||||||
Entity Information [Line Items] | |||||||
Acquisition of equity interest | 147 | ||||||
Purchase of equity interest after the Balance Sheet Date | WCS Ports And Railway Entities | |||||||
Entity Information [Line Items] | |||||||
Acquisition of equity interest | $ 313 | ||||||
Proportion of ownership interest in associates, percent acquired | 34.00% | ||||||
Purchase of equity interest after the Balance Sheet Date | Simfer Jersey Limited | Ordinary shares | |||||||
Entity Information [Line Items] | |||||||
Proportion of ownership interest in subsidiary | 53.00% | ||||||
Purchase of equity interest after the Balance Sheet Date | Simfer Jersey Limited | Chalco Iron Ore Holdings Ltd | Ordinary shares | |||||||
Entity Information [Line Items] | |||||||
Proportion of ownership interest in subsidiary | 47.00% | ||||||
|
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