Rio Tinto says first-quarter aluminium output fell 6 percent, while its iron ore production dropped by 15 percent.
By Ian Armitage
Mining Giant Rio Tinto has revealed that its first quarter aluminium output dropped 6 percent, while its iron ore production fell by 15 percent – but the company says it is still on course to produce around 200 million tonnes of the metal this year.
As well as aluminium and iron ore output falling, Rio also produced two percent less alumina, but 33 percent more refined copper compared with a year ago.
“Markets remain volatile and the timing of global economic recovery uncertain,” Chief Executive Tom Albanese said in a statement.
Rio had been expected to lower its iron ore output forecasts for 2009. However, it expects Chinese steel demand to recover in the second half of the year.
CHINALCO DEAL
Rio is currently holding its annual general meeting in London, where a vote is expected on whether to accept investment from China’s Chinalco.
State-owned Chinalco, Rio's biggest shareholder, is proposing buying stakes in some of Rio's assets and taking more equity in the company. It could mean $19.5 billion being invested in the Anglo-Australian firm.