Rio Tinto produced more bauxite, alumina and aluminum than anticipated in 2016, the group said Tuesday in a production report. Its bauxite yield came in at 47.7 million mt, above guidance of 47 million mt given last October, and up 9% from 2015.
Annual production records were achieved at the Australian mines of Weipa in Queensland (up 6%) and Gove in the Northern Territory (up 21%) through system improvements, the company said.
The strong output and healthy demand from China enabled the group to ship 29.3 million mt to third parties in 2016, up 10% from 2015, while fourth quarter shipments were 12% higher than the corresponding quarter in 2015.
Last October, Rio Tinto raised its bauxite production guidance for 2016 to 47 million mt from 45 million mt on the back of strong yields from the Weipa and Gove mines. At the time, the group left its production guidance for alumina and aluminum unchanged at 7.8 million mt and 3.6 million mt respectively.
Rio Tinto netted 8.2 million mt in alumina production in 2016, up 5% from 2015, due mainly to operational improvements at the Yarwun refinery in Queensland, where output was up 11% year on year. The Jonquiere and Alumar refineries in Canada and Brazil also achieved record annual production.
Aluminum production was 10% higher than 2015 at 3.65 million mt, helped by record annual production at 10 smelters, notably at the revamped Kitimat smelter in Canada, which has produced at nameplate capacity since April 2016.
Rio Tinto Tuesday put its 2017 guidance for bauxite at 48 million-50 million mt, with alumina output anticipated at 8 million-8.2 million mt and aluminum at 3.5 million-3.7 million mt.
