News: RIO Rio Tinto Posts QTRLY Pilbara Iron Ore Production (100% Basis) Of 83.3 MT

Oct 15 (Reuters) - Rio Tinto Ltd (RIO) :

• QTRLY ALUMINIUM PRODUCTION 774 KT VERSUS 797 KT REPORTED LAST YEAR
• MODESTLY ADJUSTED OUR GUIDANCE
• QTRLY PILBARA IRON ORE PRODUCTION (100% BASIS) 83.3 MT VERSUS 86.4 MT REPORTED A YEAR AGO
• QTRLY MINED COPPER PRODUCTION 125.2 KT VERSUS 129.6 KT REPORTED LAST YEAR
• QTRLY PILBARA IRON ORE SHIPMENTS (100% BASIS) 83.4 MT VERSUS 82.1 MT REPORTED LAST YEAR
• NOW EXPECT PILBARA SHIPMENTS TO BE 320 TO 325 MILLION TONNES
• INFLATION RATES HAVE REMAINED ELEVATED DUE TO PROLONGED PANDEMIC DISRUPTIONS INTERFERING WITH INDUSTRIAL ACTIVITY
• AT OYU TOLGOI , DUE TO COVID-19 AND OUTSTANDING NON-TECHNICAL UNDERCUT CRITERIA, FIRST SUSTAINABLE PRODUCTION NO EARLIER THAN JAN 2023
• AN ECONOMIC DOWNTURN ON BACK OF MONETARY POLICY TIGHTENING REMAINS A KEY RISK TO OUTLOOK
• FULL IMPACT ON PILBARA IRON ORE OPERATIONS, MINE DEVELOPMENTS & HERITAGE APPROACH FROM REFORM OF ABORIGINAL HERITAGE ACT REMAINS UNKNOWN
• CHINA'S ECONOMIC GROWTH IS SLOWING FROM ABOVE-TREND LEVELS AND BECOMING MORE BALANCED
• IRON ORE COMPANY OF CANADA (IOC) PELLETS AND CONCENTRATE FULL YEAR GUIDANCE HAS BEEN REDUCED TO 9.5 TO 10.5 MILLION TONNES
• COPPER C1 UNIT COST GUIDANCE FOR 2021 HAS INCREASED TO 75-80 US CENTS/LB
• THERE ARE SOME CLEAR HEADWINDS FROM RECENT CHINESE REGULATORY TIGHTENING AND TRANSITION MAY LEAD TO SOME NEAR-TERM VOLATILITY
• REFINED CO REFINED COPPER GUIDANCE HAS BEEN REDUCED TO 190 TO 210 THOUSAND TONNES DUE TO AN INCIDENT AT KENNECOTT SMELTER IN SEPTEMBER
• IN EUROPE, CURRENT TIGHTNESS IN ENERGY MARKETS PRESENTS SIGNIFICANT UNCERTAINTY TO WINTER OUTLOOK
• ALUMINIUM PRICES RALLIED TO MULTI-YEAR HIGHS, DRIVEN BY EXTENSIVE POWER-RELATED SMELTING CUTS IN CHINA, CONCERNS OVER BAUXITE SUPPLY FROM GUINEA
• IRON ORE PRICES RETREATED FROM THEIR RECORD LEVELS IN Q2 OF 2021, BUT REMAINED REASONABLY-SUPPORTED AVERAGING $163/DMT CFR DURING Q3
• EXPECT INCREASED INVENTORY LEVELS AT CHINA PORTSIDE DUE TO HIGHER VOLUME OF SP10 AND LACK OF AVAILABILITY OF HIGH GRADE BLENDING STOCKS
• STEEL PRICES IN CHINA FELL SHARPLY AT END OF Q2, BUT HAVE SINCE STABILISED BOOSTING MILL PROFITABILITY
• SAW HIGHER RECOVERY AND GRADE AT KENNECOTT IN UTAH AND IMPROVED PERFORMANCE AND INCREASED MILL FEED AT OYU TOLGOI
• DEMAND FOR BATTERY MATERIALS HAS BEEN WELL SUPPORTED BY ELECTRIC VEHICLE GROWTH WITH GLOBAL SALES UP 151% IN FIRST SEVEN MONTHS OF 2021
• BAUXITE FULL YEAR GUIDANCE HAS BEEN REDUCED TO 54 TO 55 MILLION TONNES
• GLOBAL CRUDE STEEL OUTPUT IS UP OVER 10% YEAR TO DATE AND REMAINS ON TRACK TO REACH AN ALL-TIME HIGH OF ABOUT 2 BILLION TONNES IN 2021
• AT OYU TOLGOI, CROSS-BORDER CONCENTRATE SHIPMENTS INTO CHINA HAVE RESUMED WITH SOME MEASURES IN PLACE TO TRANSPORT GREATER VOLUMES