News: RIO Rio Tinto Posts FY Underlying Earnings Of $11.8 Billion

Feb 21 (Reuters) - Rio Tinto Ltd (RIO) :

• FY UNDERLYING EARNINGS OF $11.8 BILLION
• OUR SHARE OF CAPITAL INVESTMENT IS UNCHANGED FROM 2023 INVESTOR SEMINAR.
• NET DEBT AS AT FY END $ 4,231 MILLION
• 2023 ORDINARY DIVIDEND PER SHARE 435.0 US CENTS PER SHARE
• FY NET EARNINGS $10,058 MILLION VERSUS $12,392 MILLION
• EFFECTIVE TAX RATE ON UNDERLYING EARNINGS IS EXPECTED TO BE AROUND 30% IN 2024.
• IN 2024, 2025 AND 2026 SHARE OF CAPITAL INVESTMENT EXPECTED TO BE UP TO $10.0 BILLION PER YEAR
• CONTINUE TO SEE STRONG DEMAND FOR OUR PORTSIDE PRODUCT IN CHINA FOR PILBARA OPERATIONS
• IN 2024, WE EXPECT OUR ONGOING EXPLORATION AND EVALUATION EXPENSE (EXCLUDING SIMANDOU) TO BE AROUND $1.0 BILLION.
• IN COMING YEARS, WE EXPECT TO SPEND (ON A CASH BASIS) AROUND $1 BILLION PER YEAR ON CLOSURE ACTIVITIES
• OYU TOLGOI COPPER-GOLD MINE IN MONGOLIA REMAINS ON TRACK TO RAMP UP TO 500 THOUSAND TONNES OF COPPER PER YEAR FROM 2028 TO 2036
• OUR COPPER C1 UNIT COSTS ARE EXPECTED TO DECREASE IN 2024
• IN ALUMINIUM BUSINESS, WE ARE INVESTING IN A SIGNIFICANT AP60 EXPANSION AND GRADUALLY CLOSING OUR ARVIDA SMELTER
• 2024 REFINED COPPER VOLUMES EXPECTED TO INCREASE FOLLOWING PLANNED SMELTER REBUILD IN 2023
• FIRST PRODUCTION AT THE SIMANDOU MINE IS EXPECTED IN 2025
• "WHILE INFLATION HAS EASED, WE CONTINUED TO SEE LAG EFFECTS IN ITS IMPACT ON OUR THIRD PARTY COSTS"
• COMPLETION OF PFS EXPECTED BY END OF 2025 AT RHODES RIDGE, WILL BE FOLLOWED BY FEASIBILITY STUDY, WITH FIRST ORE EXPECTED BY END OF DECADE
• BOARD EXPECTS TOTAL CASH RETURNS TO SHAREHOLDERS OVER LONGER TERM TO BE IN A RANGE OF 40% TO 60% OF UNDERLYING EARNINGS
• COMMISSIONING AT OYU TOLGOI OF INFRASTRUCTURE FOR RAMP-UP TO FULL CAPACITY REMAINS ON TARGET
• LONGER TERM RHODES RIDGE RESOURCE COULD SUPPORT MINING HUB WITH POTENTIAL CAPACITY OF MORE THAN 100 MILLION TONNES HIGH-QUALITY IRON ORE/ YEAR
• BOARD EXPECTS RIO TINTO LIMITED TO BE IN A POSITION TO PAY FULLY FRANKED DIVIDENDS FOR FORESEEABLE FUTURE.
• COMMISSIONING AT OYU TOLGOI WITH SHAFTS 3 AND 4 AND CONVEYOR EXPECTED TO SURFACE IN THE SECOND HALF OF 2024
• AT OYU TOLGOI CONCENTRATOR CONVERSION TO BE PROGRESSIVELY COMPLETED FROM Q4 2024 THROUGH TO SECOND QUARTER OF 2025
• AT OYU TOLGOI CONSTRUCTION OF PRIMARY CRUSHER 2 COMMENCED IN DECEMBER 2023 AND IS DUE TO BE COMPLETE BY THE END OF 2025