Company: RTNTF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001628280-25-006642
Chunk: 89

Company: RIO TINTO LTD
Filing Date: 2025-02-20
Form: 20-F
Chunk 89
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 crucial to products such as renewable energyinfrastructure and electric vehicles. Electric vehicles use 3-4times more copper than conventional vehicles.lCarbon costs at our operations (in the US, Mongolia, andChile) are currently low and unlikely be to material until themid to late 2030s in all scenarios.lThe contribution of copper to Group EBITDA averaged 9%over the period 2019-23 (using long-run consensus pricing).Given our ambition to increase copper production, we expectits contribution to rise to around 20% by 2033 (on a consistentbasis).                                                                      |     | lElectrification continues to support copper demand in both scenarios,supporting prices and incentivising growth projects. Electricity consumptiongrowth is almost twice as strong in Conviction due to a higher GDP and afaster energy transition.lAnnual copper demand in Conviction is projected to be approximately 1.8times greater by 2050, while demand in demand in Aspirational Leadershipis expected to be higher than this.lCopper smelting is less energy-intensive relative to other metals, furthersupporting demand.                                                                                                                                                                                                                                                                                                                                                                                                                       |
| Minerals        | lIncreasing use of EVs supports strong growth in the demandfor battery minerals such as lithium.lCarbon costs are expected to rise at our mineral operations inSouth Africa.lHigher demand and prices for transition materials inConviction and Aspirational Leadership than in Resilience inthe medium to long term.lThe net impact of climate policy on our diamond business islikely to be minimal as carbon costs are unlikely to be a largefraction of their market value.lLithium is expected to significantly contribute to the Group’sproduction growth, and we expect its contribution to rise to over10% of Group EBITDA by 2033 (using long-run consensuspricing, including inorganic lithium growth). |     | lEven though battery technologies will develop over time, demand forprimary lithium supply will be robust, with EVs dominating the market inConviction over the next couple of decades, especially in China and Europe.lLong-duration energy storage may support demand for lithium and otherbattery materials, but there are competing alternative technologies.lCarbon costs will increase at energy-intensive titanium dioxide mining andprocessing operations in South Africa and Canada, making continued use offossil fuels economically unattractive.lDigital technologies and ride sharing may lower the demand for personalvehicle ownership in some markets.lLithium demand is expected to grow more than 6 times by 2050 inConviction.                                                                                                                                                                                                         |

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