Company: RTNTF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001628280-25-006642
Chunk: 179

Company: RIO TINTO LTD
Filing Date: 2025-02-20
Form: 20-F
Chunk 179
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 risks. Our Risk AoE is responsible for the design and implementation of our risk management framework globally, supporting risk assessments and delivering timely insights to executives and the Board. Under our 3 lines of defence model, all employees are empowered to own and manage the risks that arise within their area of responsibility. Our CoEs, comprising our 2nd line of defence, provide deep subject matter expertise and objective challenge. Our Internal Audit function provides independent assurance. Where required by law, or where deemed appropriate, we also engage third parties to provide independent assurance. Where risks are material to the Group, they are escalated to the Risk Management Committee and, as appropriate, to the Board or its committees.

Emerging risks Emerging risks are new or evolving risks that are highly uncertain by nature and have the potential to significantly impact the Group. Emerging risks are typically less predictable and lack precedents, making them challenging to assess or mitigate. Given our diverse portfolio and geographical footprint, we are exposed to many highly uncertain, complex and often interrelated risks. We remain vigilant to the leading indicators of emerging risks, potential impact and responses. Our analysis is anchored on our global scenarios as outlined in the Strategic context section on page 6 . Emerging risks that could materially impact strategic objectives are incorporated within our material risks. We monitor these risks closely for changes in the external factors and reassess them as they evolve and new information is discovered. The Board reviews these risks periodically. Geopolitical risks continue to shape the global economy. They create uncertainty through changing trade policies, tensions between major economies, regional conflicts, and sanctions which could disrupt supply chains and market access. We monitor global developments closely and stress-test the resilience of our business model, including our supply chains, through scenario planning to identify potential management responses. These include, but are not limited to, developing our capability to settle and receive renminbi (RMB).

| Annual Report on Form 20-F 2024 | 90 | riotinto.com |

Strategic report | Our approach to risk management

Climate change and the low-carbon transition remain critical emerging risks, with potential to have a significant impact on our business and the communities where we operate. Physical risks such as extreme weather events, water scarcity, and shifting temperature patterns have the potential to disrupt production, damage infrastructure or increase costs. Transitional risks continue to be a global agenda, with governments and regulatory bodies increasingly implementing stricter emissions regulations and targets. We actively monitor and assess the potential impact of these on our operations and business through scenario planning. Where appropriate, we take a