2009 annual report
 rio tinto 2009 annual report
strategy  delivery  growth
this report is available online at wwwriotintocom
a focused and 
integrated strategy 
excellence in 
operational delivery
positioned for growth
strategy
delivery
growth
financial calendar
useful information and contacts
2010
14 january fourth quarter 2009 operations review
11 february announcement of results for 2009
24 february rio tinto plc and rio tinto limited shares and rio tinto plc adrs quoted “exdividend” for 2009 fi nal dividend
26 february record date for 2009 fi nal dividend for rio tinto plc shares and adrs
2 march record date for 2009 fi nal dividend for rio tinto limited shares
11 march plan notice date for election under the dividend reinvestment plan for the 2009 fi nal dividend
1 april payment date for 2009 fi nal dividend to holders of ordinary shares and adrs
15 april annual general meeting for rio tinto plc
15 april first quarter 2010 operations review
22 april annual general meeting for rio tinto limited
14 july second quarter 2010 operations review
5 august announcement of half year results for 2010
11 august rio tinto plc and rio tinto limited shares and rio tinto plc adrs quoted “exdividend” for 2010 interim dividend
13 august record date for 2010 interim dividend for rio tinto plc shares and adrs
17 august record date for 2010 interim dividend for rio tinto limited shares
18 august plan notice date for election under the dividend reinvestment plan for the 2010 interim dividend
9 september payment date for 2010 interim dividend to holders of ordinary shares and adrs
14 october third quarter 2010 operations review
2011
january fourth quarter 2010 operations review
february announcement of results for 2010
registered offi ces
rio tinto plc
2 eastbourne terrace
london
w2 6lg
registered in england no 719885
telephone 44 0 20 7781 2000
facsimile 44 0 20 7781 1800
website wwwriotintocom
rio tinto limited
level 33
120 collins street
melbourne
victoria 3000
abn 96 004 458 404
telephone 61 0 3 9283 3333
facsimile 61 0 3 9283 3707
website wwwriotintocom
shareholders
please contact the respective registrar if you 
have any queries about your shareholding
rio tinto plc
computershare investor services plc
the pavilions
bridgwater road
bristol bs99 6zy
telephone 44 0 870 703 6364
facsimile 44 0 870 703 6119
uk residents only freephone 0800 435021
website wwwcomputersharecom
investor centre
to fi nd out more about investor centre go to
wwwinvestorcentrecoukriotinto 
holders of rio tinto american 
depositary receipts adrs
please contact the adr administrator if 
you have any queries about your adrs 
adr administrator 
jpmorgan chase  co
p o box 64504
st paul mn 551640504
telephone 1 651 453 2128 
us residents only toll free general 
800 990 1135
us residents only toll free global invest direct 
800 428 4237
website wwwadrcomshareholder 
email jpmorganadrwellsfargocom
us investor relations consultant 
makinson cowell us limited 
one penn plaza 
250 west 34th street 
suite 1935
new y ork ny 10119
telephone 1 212 994 9044
website wwwmakinsoncowellcom
rio tinto limited 
computershare investor services pty limited 
gpo box 2975
melbourne
victoria 3001
telephone 61 0 3 9415 4030
facsimile 61 0 3 9473 2500
australian residents only toll free 
1800 813 292
new zealand residents only toll free 
0800 450 740
website wwwcomputersharecom
investor centre 
to fi nd out more about investor centre go to 
wwwcomputersharecomau 
former alcan inc shareholders 
computershare investor services inc
9th floor 
100 university avenue 
toronto 
ontario 
m5j 2y1
canada 
telephone 1 514 982 7555
north american residents only toll free 
866 624 1341
this document is printed on revive 5050 offset a paper containing 50 virgin fi bre and 50 post consumer waste the pulp used in this 
product is bleached using a totally chlorine free tcf process and contains fi bre from well managed fsc certifi ed forests 100 of the 
inks used are vegetable oil based 95 of press chemicals are recycled for further use and on average 99 of any waste associated with this 
production will be recycled
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design and production by black sun plc wwwblacksunplccom a focused and integrated strategy
excellence in operational delivery
positioned for growth
 cautionary statement about forward looking statements
this document contains certain forward looking statements with respect to the fi nancial condition results of operations and business of the rio tinto group the words 
“intend”  “aim”  “project”  “anticipate”  “estimate”  “plan”  “believes”  “expects”  “may”  “should”  “will”  or similar expressions commonly identify such forward looking statements
examples of forward looking statements in this annual report include those regarding estimated ore reserves anticipated production or construction dates costs outputs 
and productive lives of assets or similar factors forward looking statements involve known and unknown risks uncertainties assumptions and other factors set forth in this 
document that are beyond the group’s control for example future ore reserves will be based in part on market prices that may vary signifi cantly from current levels these may 
materially affect the timing and feasibility of particular developments other factors include the ability to produce and transport products profi tably demand for our products 
the effect of foreign currency exchange rates on market prices and operating costs and activities by governmental authorities such as changes in taxation or regulation and 
political uncertainty
in light of these risks uncertainties and assumptions actual results could be materially different from projected future results expressed or implied by these forward looking 
statements which speak only as to the date of this report except as required by applicable regulations or by law the group does not undertake any obligation to publicly update 
or revise any forward looking statements whether as a result of new information or future events the group cannot guarantee that its forward looking statements will not 
differ materially from actual results
rio tinto is a leading international business involved in each stage of metal 
and mineral production we produce aluminium copper diamonds coal 
iron ore uranium gold and industrial minerals borates titanium dioxide 
salt talc zircon with production mainly from australia and north america 
we operate in more than 50 countries we employ about 102000 people 
whose health and safety is a key priority and an integral part of placing 
sustainable development at the heart of everything we do we operate as 
a global organisation with one set of standards and values sharing best 
practices across the group
• our strategy is to invest in and operate large long term cost competitive 
mines and businesses driven by the quality of each opportunity
• our assets give us a rich array of options for growth in line with demand
• our recapitalisation and asset divestment programmes have 
strengthened our balance sheet and enhanced options for growth
• safe working and sustainable development are at the heart of our 
activities with our worldwide operations providing long term local 
benefi ts
the annual report and auditor’s report comply with the australian and uk reporting requirements
copies of rio tinto’s shareholder documents are available on the website at wwwriotintocom  they can also be obtained free of charge from the company  some shareholders 
may prefer to receive the annual review which contains the summary fi nancial statements although shareholders should note that it  does not allow as full an understanding of 
the group    w w w riotint oc om 1
overview performance
production
and reserves governance
financial 
statements
shareholder
information
reference symbols within this report
key performance indicators within this report 
additional information available online at wwwriotintocom 
sustainable development review at wwwriotintocom 
additional information available on other pages in this report 
inside this report
what you can fi nd online wwwriotintocom
overview
a description of the business our markets 
strategy measures of performance and the 
outlook for 2010
performance highlights 2
group overview  4
chairman’s statement  6
chief executive’s message 8
market review 10
strategy  12
key performance indicators  14
principal risks and uncertainties 16
proposed iron ore production 
joint venture with bhp billiton  20
performance
key performance data and operational 
highlights by product group and function 
and review of sustainable development
 gr ou p fi nancial performance  22
sustainable development review 24
aluminium 34
copper  38
diamonds  minerals 42
energy  46
iron ore  50
exploration  54
technology  innovation  56
financial review  58
acquisitions and divestments 60
capital projects  61
production and reserves
information tables and details of our assets
summary  62
metals and minerals production  64
ore reserves  68
mineral resources  72
competent persons 77
mines and production facilities 78
governance
introducing the boards of directors and 
senior management an explanation of our 
approach to corporate governance and our 
remuneration structure
board of directors 84
executive committee  88
directors’ report  90
corporate governance  94
remuneration report 104
financial statements
detailed fi nancial information
contents 130 
group income statement 131
group statement of 
comprehensive income 132
group cash fl ow statement 133
group statement of fi nancial position 134
group statement of changes in equity 135
reconciliation with australian ifrs 136
outline of dual listed structure  136
notes to the fi nancial statements 137
company balance sheet 216
financial information 
by business unit  219
summary of asic relief 222
directors’ declaration 223
auditors’ independence declaration 224
independent auditors’ report 225
financial summary 2000 – 2009 227
summary fi nancial data 229
shareholder information
information tables and details of our assets 
and useful information for shareowners
shareholder information 230
defi nitions and exchange rates 236
financial calendar   
useful information and contacts  overview
2 rio tinto 2009 annual report
performance highlights
a snapshot of the year
aluminium
copper
diamonds  minerals
energy
iron ore
other operations and inter segmental transactions
more information on p219
revenue by product group 2008
 
more information on p219
revenue by product group 2009
 
32
27
14
6 15
10
7
14
28
9
29
9
key
commendable results in the face of the global downturn
• underlying earnings of us63 billion 2008 us103 billion
• net earnings of us49 billion 2008 us37 billion
• signifi cant price resurgence in the second half
• pilbara iron ore production joint venture to deliver substantial synergies
the balance sheet has been recapitalised
• net debt reduced to us189 billion 2008 us387 billion 
• major progress on divestments programme
• rights issues net proceeds of us148 billion
• successful us35 billion bond issue
strong operational performance
• cash fl ows from operations of us138 billion 2008 us207 billion
• controllable cash costs reduced by us26 billion
• rio tinto alcan surpassed targeted integration synergies
• strong volume growth delivered in iron ore copper and gold
• capital expenditure of us54 billion
continuing focus on sustainable development
• reduced greenhouse gas emissions intensity by 75
• rate of new occupational illness improved by 21 
• spent us119 million on community assistance programmes
dividend
dividend declared
2009
2008
restated
2007
restated
2006
restated
2005
restated
us cents 4500 11122 11123 8507 6546
uk pence 2884 6749 5620 4422 3691
australian cents 5156 14622 12572 11069 8626
the special dividend of 9000 us cents per share 5064 uk pence or 11898 australian cents per share declared 
payable at the same time as the 2005 fi nal dividend is not included above prior year comparatives have been 
restated for the impact of the rights issues 
notes
  all references in this report to net earnings and underlying earnings relate to profi t attributable to equity shareholders 
of rio tinto underlying earnings is defi ned below and is reconciled to net earnings on page 23 ebitda is earnings 
before interest taxes depreciation and amortisation underlying ebitda excludes the same items that are excluded from 
underlying earnings ebitda and underlying ebitda are reconciled to the income statement in the “financial information 
by business unit” section of the fi nancial statements
notes to page 3
a  the accounting information in these charts is drawn up in accordance with eu ifrs
b  underlying earnings is the key fi nancial performance indicator which management uses internally to assess performance 
it is presented here as an additional measure of earnings to provide greater understanding of the underlying business 
performance of the group’s operations items excluded from net earnings to arrive at underlying earnings are explained 
in note 2 to the 2009 financial statements both net earnings and underlying earnings deal with amounts attributable to 
equity shareholders of rio tinto however eu ifrs requires that the profi t for the year reported in the income statement 
should also include earnings attributable to outside shareholders in subsidiaries overview performance
production
and reserves governance
financial 
statements
shareholder
information
 w w w riotint oc om 3
all injury frequency rate  
per 200000 hours worked
 
 
 
 
 
kpi more information on p14
09 08 07 06 05
capital expenditure
a
 usm
 
 
 
 
 
   
underlying earnings
ab
 
usm
 
 
 
 
 
   
greenhouse gas emissions intensity 
indexed relative to 2008
 
 
 
 
 
   kpi more information on p15
kpi more information on p14
more information on p219
kpi more information on p15
more information on p220
09 08 07 06 05
2554
3988
4968
8488
5356
09 08 07 06 05
4955
7338
7443
10303
6298
net debt
usm
 
 
 
 
 
   
kpi more information on p15
more information on p170
09 08 07 06 05
1313
2437
45191
38672
18861
09 08 07 06 05
operating cash flows
a
 
usm
 
 
 
 
 
   kpi more information on p15
09 08 07 06 05
7431
9196
10805
19195
13224
8031
10923
12569
20668
13834
dividends from jointly controlled entities 
and associates
cash flows from consolidated operations
total shareholder return

 
 
 
 
 
   kpi more information on p14
09 08 07 06 05
7431
785
927
715
1725
75
1094
1108
1102
1131
1000
925
group intensity excluding former alcan
group intensity including former alcan
135
110
121
098
082
rio tinto
rio tinto including former alcan
gross sales revenue
a
 
usm
 
 
 
 
 
09 08 07 06 05
19033
22465
29700
54264
41825
20742
25440
33518
58065
44036
   more information on p 219
share of equity accounted units sales revenue
consolidated sales revenue
ebitda
a
 usm
 
 
 
 
 
   more information on p219
09 08 07 06 05
9743
12566
13611
23870
14471
profit for the year
a
 usm
 
 
 
 
 
   more information on p131
09 08 07 06 05
5498
7867
7746
4609
5335
net debt total capital
a
 
 
 
 
 
 
   
09 08 07 06 05
77
112
632
633
291
underlying earnings per 
share
ab
 us cents
 
 
 
 
 
   more information on p159
09 08 07 06 05
29703
45005
47321
65621
3571 overview
4 rio tinto 2009 annual report
group overview
an extensive global presence
aluminium
rio tinto alcan is a global leader in the 
aluminium industry  it mines high quality 
bauxite refi nes alumina for both primary 
aluminium production and specialty alumina 
markets and produces primary aluminium at 
some of the lowest cost most technologically 
advanced smelters in the industry  the group is 
renowned for its technology leadership as well 
as its advantaged renewable energy assets
number of employees 22919 
1
products
bauxite alumina specialty aluminas aluminium 
key facts
• integration synergies expected to exceed 
us11 billion in 2010
• achieved rapid cost reductions and 
production curtailments
• business being transformed in readiness for 
the economic recovery
• during the course of the year aluminium 
prices plummeted by as much as 70 per 
cent from 2008
copper
the copper group is one of the world’s largest 
producers of copper with valuable by
products of gold and molybdenum a diverse 
mix of operations and projects are located in 
north and south america africa asia and 
australia in addition to interests in some of 
the world’s largest copper mines it is taking 
the lead in the development of three of the 
world’s largest new copper projects 
number of employees 7612 
1
products
copper gold molybdenum silver nickel 
key facts
• strong operating performance in 2009 
supported by recovering market
• kennecott utah copper production up 
37 per cent from 2008
• copper industry faces future supply 
challenges
• breakthrough agreement for development 
of major mongolian coppergold mine
diamonds  minerals
the group comprises rio tinto diamonds 
rtd rio tinto minerals rtm and rio tinto 
iron  titanium rtit rtd accounts for about 
six per cent of the world’s production of rough 
diamonds by value rtm is a global leader 
in borates and talc supply and of the science 
behind their use and rtit is a market leader 
in titanium dioxide feedstock used in the 
manufacture of pigments for paints and plastics
number of employees 7375 
1
products
diamonds borates titanium dioxide 
feedstocks talc high purity iron metal 
powders zircon rutile
key facts
• businesses oriented to oecd demand 
hence diffi cult conditions
• businesses showing signs 
of recovery particularly in asian markets
• diavik diamonds underground mine starts 
production in 2010
• commencement of ramp up of madagascar 
mineral sands mine
 view more about our global operations at wwwriotintocom
• all injury frequency rate reduced to 082 from 098
• set iron ore production and sales records 
• progressed transformation of our aluminium business
• exceeded targeted controllable operating cost savings 
we have major operations in australia and north america which account for 
approximately 85 per cent of the value of our assets as well as signifi cant businesses 
in south america europe southern africa and asia
27
contribution to gross sales revenue
 more information on page 219 more information on page 219 more information on page 219
14
contribution to gross sales revenue
6
contribution to gross sales revenue overview performance
production
and reserves governance
financial 
statements
shareholder
information
 w w w riotint oc om 5
iron ore
rio tinto iron ore is the second largest 
supplier to the world’s seaborne iron ore trade 
and produces direct saleable lump and fi nes 
ore pellets and concentrates it has a global 
supply capacity to serve both the pacifi c and 
atlantic markets operating an integrated 
platform of mines rail and port infrastructure 
including development projects designed 
to respond rapidly to changes in demand it 
operates dampier salt located near its iron ore 
mines in australia as well as rio tinto marine 
number of employees 11375 
1
products
iron ore and salt
key facts
• operated at full run rate of 220 million 
tonnes capacity in second half of 2009
• developing plans to produce 330 million 
tonnes per year
• uses automated mining technologies 
including driverless haul trucks
energy
rio tinto is a leading supplier of thermal and 
coking coal to the asian seaborne market 
as well as being one of the world’s largest 
uranium producers supplying uranium oxide 
to electric power utilities worldwide rio tinto 
coal australia manages eight coal mines in 
queensland and new south w ales in the us 
the group operates the colowyo coal mine and 
has a 48 per cent interest in cloud peak energy 
number of employees 7613 
1
products
thermal coal coking coal uranium 
key facts
• more robust seaborne coal markets 
emerging
• debottlenecking of australian coal export 
ports under way
• new clermont mine and kestrel mine 
expansion on track
• nuclear power comeback spells promise 
for uranium
global functions
activities that support our businesses
exploration
the role of the exploration group is to add 
value to rio tinto by discovering or acquiring 
resources that can increase future cash fl ows 
it is organised into regional multicommodity 
teams with head offi ces in the uk the us 
and australia supported by commodity and 
commercial specialists programmes are 
prioritised on a global basis with investment 
decisions driven not by location or choice 
of commodity but rather by the quality of 
each opportunity 
technology  innovation
technology  innovation has offi ces in 
australia canada the uk and the us its 
role is to identify  develop and promote best 
operational technology practice across the 
group and to pursue step change innovation of 
strategic importance to orebodies of the future
notes
1  this is the average rio tinto share of employees for 
managed businesses excluding contractors and employees 
in businesses classifi ed as assets held for sale during 2009
  countries with operations 
andor projects
 more information on page 219 more information on page 219
15
contribution to gross sales revenue
29
contribution to gross sales revenue overview
6 rio tinto 2009 annual report
during what was clearly a historic and 
tumultuous year for the global community 
rio tinto found 2009 to be particularly 
testing it certainly felt at times as if we 
were experiencing an amplifi ed version of 
the global fi nancial crisis and its knockon 
effect on business confi dence demand for 
commodities and availability of credit
however despite the early trauma for 
rio tinto it turned out to be a year of two 
halves after the particularly diffi cult fi rst 
few months characterised by our balance 
sheet challenges very weak demand 
low product pricing and the contentious 
chinalco transaction our fortunes improved 
considerably as the year progressed as a 
result of shareholder support for our rights 
issues together with the success of our 
disposal programme and improved operating 
conditions we ended the year with a much 
underlying earnings
usm
09 08 07 06 05
4955
7338
7443
10303
6298
chairman’s statement
a year of two halves
stronger balance sheet in short thanks to a 
number of signifi cant decisions on our part 
and assisted by a more favourable external 
environment we have recovered our poise 
and steadied the ship
chinalco
looking at the year as a whole our attempt 
to establish a strategic partnership with the 
largest chinese resources group and our 
largest shareholder chinalco was undeniably 
a very signifi cant event for rio tinto the 
proposed transaction would have allowed us 
to establish a highly important strategic link 
with the chinese market whilst at the same 
time enabling us to signifi cantly recapitalise 
our balance sheet especially in the context 
of the situation prevailing at that time the 
board considered the chinalco proposition 
both strategically and fi nancially attractive
the transaction was nevertheless highly 
controversial on becoming chairman in april 
it was evident to me that i needed to look for 
guidance from our shareholders during the 
ensuing consultation process i met with a 
large number of shareholder groups in the uk 
australia and elsewhere it became clear to 
me that many shareholders had considerable 
misgivings about the proposed transaction 
these concerns related not only to the fi nancial 
terms of the transaction but there were high 
levels of discomfort about the structure of our 
relationship with chinalco the board could 
not ignore the strength and depth of these 
feelings although in deciding not to proceed 
with that transaction we deeply regretted 
the loss of a unique opportunity to establish 
a strategic partnership that would have 
fundamentally changed our relationship 
with our largest customer base we will 
continue to work towards extending our 
relationship with chinalco and to pursue 
business opportunities that may be to our 
mutual benefi t
improving prospects
in deciding that we were not able to pursue 
the transaction with chinalco the board 
was nevertheless delighted that it was able 
to announce the proposed production joint 
venture with bhp billiton in relation to 
our respective iron ore assets in western 
australia the joint venture will allow 
us to capture the enormous long term 
synergy benefi ts that would result from 
the integration of our production facilities 
the value that could be captured has been 
estimated to be at least us10 billion 
we simultaneously announced major rights 
issues which took place in the uk and 
australia in june and july  these raised net 
proceeds of us148 billion which were used 
to repay debt well ahead of our original 
us10 billion target the rights issues 
attracted an extraordinary vote of confi dence 
in rio tinto with 97 per cent of shareholders 
taking up their rights in rio tinto plc and 
a 95 per cent take up in rio tinto limited 
all of rio tinto’s directors as well as chinalco 
took up their full entitlement of shares
these decisions brought relief from some 
of the pressures of the earlier months of the 
year it put the period of unusual corporate 
activity behind us and fi nally gave us a fi rm 
foothold to advance into the second half 
of the year as we saw markets improve in 
the subsequent months i was particularly 
pleased to see the executive team focused on 
fi rst class operational delivery as a priority for 
the group we ended the year with a strong 
set of production fi gures and the achievement 
jan du plessis
thanks to a number of signifi cant decisions on our part 
and assisted by a more favourable external environment 
we have recovered our poise and steadied the ship  w w w riotint oc om 7
overview performance
production
and reserves governance
financial 
statements
shareholder
information
of a number of production and sales records 
this of course also signalled a signifi cant 
pickup in physical demand for our products 
results and dividend
the strong production numbers coupled 
with improved commodity prices translated 
into a signifi cant improvement in operating 
cash fl ow in the second half this together 
with the proceeds of our rights issues and the 
disposal of assets signifi cantly strengthened 
our balance sheet rio tinto started 2009 
with net debt of us387 billion and a debt to 
equity ratio of 63 per cent we had made the 
commitment in december 2008 to reduce net 
debt by us10 billion during 2009 net debt 
at the end of 2009 stood at us189 billion 
with gearing much reduced to 29 per cent 
the group’s underlying earnings in 2009 
were us63 billion 39 per cent below 
2008 net earnings were us49 billion 
compared with us37 billion in 2008 
cash fl ow from operations decreased 
33 per cent to us138 billion 
with our balance sheet signifi cantly 
strengthened and our prospects much 
improved we are pleased to be able to 
reinstate the dividend total dividends 
declared for 2009 were 45 us cents per 
share the group expects that the total 
cash dividend for the 2010 fi nancial year 
will be at least equal to the total cash 
dividend of us175 billion paid in respect 
of 2008 albeit spread over an increased 
number of shares from 2010 on we are 
committed to a progressive dividend policy 
over the longer term
sustainable development
rio tinto conducts business in an ethical 
and socially responsible manner aimed at 
building a positive reputation and ensuring 
ongoing access to people capital and mineral 
resources delivering on our commitment 
means making sustainable development 
considerations an integral part of our business 
plans and decision making processes 
rio tinto was again identifi ed as a 
sustainable development leader during 
the year by retaining its listing on the dow 
jones sustainability index djsi world 
index and djsi stoxx index as well as the 
ftse4good we have been included in the 
djsi series since 2002 and the ftse4good 
since becoming eligible for inclusion in 2007 
rio tinto’s long standing commitment to 
sustainable development and the quality of 
our sustainable development web pages have 
been recognised in the csr online awards 
 “global leaders 2009”  published by dow 
jones newswires and an italian business daily 
our recently completed mineral sands mine 
in madagascar won south africa’s prestigious 
2009 nedbank environmental award in the 
environmental category for signifi cant effort 
in protecting or improving the biophysical 
environment in which it operates
rio tinto became a signatory to the un global 
compact in 2000 and we were one of its early 
supporters we also remain an active member 
of the world business council for sustainable 
development and the international council 
on mining and metals whose members are 
committed to superior business practices in 
sustainable development 
governance and board
the board is committed to high standards 
of governance as the foundation of our 
ethical approach to business in 2009 we 
strengthened our governance system by 
renewing our global code of conduct the 
way we work establishing a common group 
wide code to replace business unit codes 
of conduct the code serves to spread our 
values of accountability respect teamwork 
and integrity throughout the organisation 
by providing guidance on how employees 
should conduct themselves at work and 
when representing rio tinto our confi dential 
whistleblowing programme speakout 
is a key element of the way we work 
available in the language of the employee’s 
choice to alert senior management to any 
serious issues or inappropriate behaviour 
that employees do not feel able to discuss 
with management on site
your boards enjoy a balanced representation 
of viewpoints and a wealth of business 
experience sir david clementi and david 
mayhew will retire as directors at the 
conclusion of the 2010 annual general 
meetings the boards thank them for their 
valuable contributions over many years 
we welcomed ann godbehere who has 
25 years’ experience in the fi nancial 
services’ industry to the board on 9 
february 2010 she will be chairman of the 
audit committee robert brown who has 
considerable global business experience in 
the aerospace industry will join the boards 
on 1 april 2010 ann and bob will be 
standing for election at the annual general 
meetings in april along with sam walsh 
chief executive rio tinto iron ore and 
australia who joined the boards effective 
5 june 2009 
outlook 
the outlook for mining and metals is 
improving but remains volatile and uncertain 
in the short term the latest leading 
indicators for developed economies imply 
that we may have returned to expansionary 
territory although no one knows to what 
extent or for how long the pick up in metals 
demand at mid year was primarily driven 
by government stimulus measures and a 
recovery in economic activity which caused 
producers to return to buying raw materials 
the key driver for the mining industry 
continues to be demand from china record 
chinese metals imports have served to offset 
weakness in other markets however we will 
also need to see oecd economies improve 
and a resumption in international trade fl ows 
to fully support a global economic recovery
similarly there are concerns about the 
sustainability of chinese demand in the 
short term longer term china is likely to 
move towards more domestic consumption 
led development 
our people
our year of two halves demonstrated 
commendable perseverance as we moved 
from diffi culty to success facing up to 
setbacks and promoting recovery has 
shown rio tinto to be a high performing 
organisation we have come through these 
testing times thanks in no small measure to 
the quality and commitment of our people 
the downturn unfortunately necessitated a 
reduction of about 16000 employees and 
contractors across the group which took place 
mainly in the early months of the year since 
then we have stabilised the organisation 
and a renewed management structure has 
been introduced these steps will provide 
the platform to mobilise and energise the 
workforce and give us the momentum to 
resume growth 
the board and i would like to express our 
collective appreciation to group employees 
and contractors around the world for their 
strong commitment and unfl agging efforts 
in 2009 for their focus on safety operational 
excellence and delivery to customers as well 
as for conducting our business in a socially 
responsible way 
jan du plessis
chairman overview
8 rio tinto 2009 annual report
chief executive’s message
well positioned for growth
over the course of 2009 management’s focus 
has been on strengthening the business after 
a period of prolonged corporate activity and 
a severe downturn we are grateful for the 
support we received from shareholders in 
recapitalising the company and helping 
us regain our momentum we were also 
helped by the capacity of our organisation 
to deliver strong operational performance 
in challenging economic circumstances 
the successful injection of us148 billion 
from our rights issues the effi ciencies 
derived from our cash preservation 
measures and signifi cant progress with 
our divestment programme which realised 
sales and binding offers of us57 billion 
in the year have given rio tinto greater 
fi nancial strength and fl exibility 
i am proud of the way in which our 
employees have persevered in delivering 
the commitments we made during these 
demanding times unfortunately these 
achievements have been overshadowed by 
four fatalities during the year at managed 
operations three of these took place in africa 
and we have renewed our focus on embedding 
our safety systems in developing countries 
i am pleased to say our key performance 
indicators for safety continued to improve 
during 2009 with a reduction in our all injury 
frequency rate of 16 per cent 
reaching agreement to form the western 
australian iron ore production joint venture 
with bhp billiton was an important highlight 
of the year we expect it will achieve 
substantial benefi ts for stakeholders by 
delivering synergies and unlocking the full 
potential of the valuable western australian 
iron ore assets in an era of increasing 
demand for this vital commodity
tom albanese
during 2009 we made 
some good decisions to 
improve our fi nancial 
position we have emerged 
from this testing year as a 
stronger and fi tter business
during 2009 we took steps to improve our 
aluminium business which was signifi cantly 
affected by the economic downturn rio 
tinto alcan surpassed targeted integration 
synergies adopted rio tinto hse policies 
and standards improved safety performance 
implemented cost reductions progressed 
with the permanent closure and divestment 
of high cost facilities and made temporary 
production curtailments taken together 
these measures amount to a strong start to 
the transformation of that business 
to prepare ourselves for the next stage of 
rio tinto’s growth and to develop the next 
generation of leaders i made changes to the 
structure of my senior management team this 
included the reinstatement of the diamonds  
minerals product group our structure ensures 
a tight focus on our core objective and allows 
for a broad range of investment opportunities 
to be generated regardless of our portfolio 
market conditions
a year ago i said that we hoped to see some 
recovery in china’s gross domestic product 
gdp in the second half of 2009 the effect of 
the chinese government’s monetary stimulus 
package exceeded most commentators’ 
expectations – actual growth surpassed eight 
per cent – and we expect this strong growth 
to continue through 2010
the improvements we have seen in most 
of our markets were primarily driven by 
this stronger chinese gdp growth and its 
attendant effects on chinese construction 
and infrastructure development whilst we 
remain cautious about the recovery in our 
markets we believe that these trends are 
likely to continue for some time as china 
continues to urbanise and industrialise 
by contrast the continuing strong china 
story was offset by a stagnant demand 
picture in oecd countries where consumer 
spending remains relatively weak australia 
was an exception with its economy bolstered 
by the strong demand for commodities 
in the us japan and europe pervasive 
economic concerns mean that we will 
continue to be cautious especially as we 
begin to see the effects of the winding down 
of stimulus programmes
financial recovery
the speed and severity of the downturn in 
late 2008 exposed our levels of debt and 
made it more diffi cult to achieve the asset 
disposals we had planned for the repayment 
of debt during 2009 we made some good 
decisions in diffi cult circumstances to 
improve our fi nancial position and achieve 
a reduction in controllable cash costs of 
us26 billion we have emerged from this 
testing year as a stronger and fi tter business
regarding divestments we chose to postpone 
a number of sales we made good progress 
with completion of the sale of our potash 
assets in the fi rst half and the brazilian 
iron ore operation in the second half 
more importantly in the second half we 
made signifi cant progress with announced 
divestments on most of the former alcan’s 
packaging businesses and our us coal 
operations by the end of 2009 we had 
announced sales transactions of more than 
us10 billion over the past two years
strategic direction and markets
we completed a thorough review of our 
strategy with our board and executive 
committee leading to the reaffi rmation 
of our longstanding core objective this 
is to maximise our long term return to 
shareholders by investing in and operating 
large long life cost competitive mines and 
assets driven not by choice of commodity 
but rather by the quality of each opportunity 
this strategy will of course be recognisable 
to our long term shareholders we will 
ensure that our structure and capabilities 
are tailored to meet the requirements of 
our customers and the marketplace
our diverse portfolio high quality assets 
people and expertise in technology and 
marketing give us the capability to supply 
a wide spectrum of customers and markets 
this gives us exposure to worldwide markets 
at various stages of the development cycle 
w e will continue to improve our understanding 
of market dynamics and how we fi t into 
the global picture and apply this to our 
planning and investment proposals  w w w riotint oc om 9
overview performance
production
and reserves governance
financial 
statements
shareholder
information
to deliver on our objective the group will 
continue to concentrate on developing tier 1 
assets these are assets that will safeguard our 
future cash fl ow and will operate profi tably 
at every stage of the commodity cycle key 
to our way of operating is a commitment to 
sustainable development it is an essential 
part of the way we work and is at the heart 
of everything we do
this commitment is key to maintaining our 
licence to operate we have a comprehensive 
sustainable development programme which 
is discussed more fully on pages 2433 
carbon water use and biodiversity are 
becoming increasingly topical in this context 
we have taken a proactive approach in all 
three areas and are progressively building 
them into our planning especially as we see 
these three issues becoming increasingly 
interlinked 
priorities for growth
one of our key objectives for 2010 is to put 
the group back on a growth path following 
the rights issues and strengthening of the 
balance sheet we continued to invest 
in growth throughout 2009 capital 
expenditure was us54 billion of which 
us3 billion was on major construction 
projects in 2010 capital expenditure is 
expected to be us5 to us6 billion
the strong demand for iron ore clearly 
provides the most obvious option for 
production growth we are continuing work 
on staged growth projects in the pilbara we 
used the past 12 months to optimise our 
planned growth pathway fi nding ways to ease 
input costs capture savings from reduced lead 
times and refi ning project design we have 
commenced initiatives to expand capacity to 
280 million tonnes per year by 2013 and 330 
million tonnes per annum by 2015 
in 2009 we completed an unprecedented 
and technologically sophisticated integration 
of our iron ore operations in western 
australia through our mine of the future
tm
 
programmes and the opening of our new 
operations centre in perth this will 
contribute to the us10 billion synergy 
savings we expect to reap from the proposed 
production joint venture with bhp billiton 
the benefi ts from the production joint 
venture would be without equal in the 
mining industry applied broadly across 
production and development activities 
including combining adjacent mines into 
single operations more effi cient use and 
allocation of infrastructure and ore blending 
opportunities to maximise product recovery 
in aluminium we completed the start up 
of the sohar smelter in oman to which we 
contributed our benchmark ap36 smelting 
technology this is a good example of how 
rio tinto alcan’s technology leadership 
can position us as a partner of choice 
the portfolio will enable us to leverage 
our technology advantage extensive 
project management expertise and strong 
operating capabilities 
current projects involve investment in the 
clermont thermal coal and kestrel coking 
coal projects in queensland australia 
refl ecting strong energy markets we have 
options to expand at both of our uranium 
operations construction of the yarwun 
2 alumina refi nery continues albeit at a 
slower rate than originally anticipated in 
response to market conditions in diamonds 
the diavik and argyle underground projects 
also continued at a slower rate each of these 
projects was approved before the global 
fi nancial crisis and we have continued to 
invest in them we expect to see production 
begin at both clermont and diavik 
underground in 2010
we increased our stake in the oyu tolgoi 
project through additional investment in 
ivanhoe mines rio tinto has responsibility 
for developing and operating the mine 
following the signing of the investment 
agreement with the government of mongolia 
in october 2009 a project budget was agreed 
that covers the resumption in 2010 of shaft 
sinking construction of a shaft headframe 
continuation of underground development 
and installation of infrastructure the size of 
the resource is consistent with our strategy of 
investing in large long term cost competitive 
mines and businesses 
china
an objective for 2010 and one that i am 
particularly focused on is to strengthen our 
relationship with china china is our largest 
source of short term demand growth in 2009 
it became the most important destination for 
our products and infl uences global pricing of 
most metals it is also the home of our largest 
shareholder chinalco 
we were pleased to see chinalco take up its 
full entitlement of shares in our rights issues 
and maintain its shareholding at 12 per cent 
of rio tinto plc and 93 per cent of the dual 
listed company overall 
i would like to add a word on our four 
employees who were detained on 5 july 2009 
in shanghai we wish to see the completion of 
an expeditious and transparent legal process 
our continued priority is our duty of care to 
our colleagues and support for their families 
outlook 
our markets and our balance sheet are much 
improved from last year but we recognise 
that major short term uncertainties remain 
long term however given continued growth 
and urbanisation of the developing world 
the outlook for our industry is attractive 
the exponential growth of china’s demand 
for iron ore copper coal and aluminium is 
expected to continue over the next 15 years 
as the average wealth of many millions of 
people increases their consumption of raw 
materials will rise accordingly as china 
nears the top of the commodity intensity 
usage curve india is expected to follow 
supporting a further potential wave of 
strong commodity demand
for rio tinto 2009 marked a positive 
turning point from which we have emerged 
with our options for growth enhanced 
nevertheless major challenges remain 
the tier 1 deposits that are the focus of 
our strategy are becoming harder to fi nd 
and more technologically diffi cult to 
develop there are pressures in countries 
well endowed with minerals for governments 
to gain a greater proportion of resource rents 
together with the executive committee 
i wish to join our chairman in expressing 
appreciation to all who work for rio tinto 
for their contribution to a very busy and 
successful year all have played a part in 
strengthening the business for our next stage 
of growth with our strong assets  growth 
options and great people we can look 
forward to an exciting future for the group
tom albanese
chief executive overview
10 rio tinto 2009 annual report
market review
a global perspective for metals and minerals
competitive environment
rio tinto is a major producer in all of the 
metals and minerals markets in which it 
operates it is generally among the top fi ve 
global producers by volume in each such 
market it has market shares for different 
commodities ranging from fi ve per cent 
to 40 per cent rio tinto’s activities are 
spread across the globe most of rio tinto’s 
competitors are private sector companies 
which are publicly quoted several are like 
rio tinto diversifi ed in terms of commodity 
exposure but others are focused on particular 
commodities
high quality long life mineral resources 
the basis of attractive fi nancial returns are 
relatively scarce nevertheless rio tinto 
holds interests in some of the world’s largest 
deposits rio tinto expects world production 
volumes to grow in line with global economic 
growth in addition higher demand from 
china and potentially india as a result of high 
rates of economic growth and urbanisation 
trends in those countries could contribute 
further to increases in world production 
volumes in the long term
economic overview
global economy
following more than four years of rapid 
expansion the global economy started to 
deteriorate rapidly during the third quarter of 
2008 as fi nancial markets became increasingly 
unstable the bankruptcy of lehman brothers 
became the defi ning moment of this period 
sparking signifi cant increases in risk premiums 
and a sharp contraction in availability of 
fi nance governments around the world 
took action to restore confi dence in fi nancial 
markets but a decline in global economic 
growth became unavoidable with most major 
developed economies moving into recession by 
the end of 2008
the deterioration in global economic activity 
continued into 2009 leading to the greatest 
contraction in industrial production for 
over 30 years global trade ground to a halt 
consumer confi dence collapsed with rising 
fears about unemployment and businesses 
responded to the credit crunch by cutting 
spending and reducing output in order to 
pare back high inventory levels however 
the introduction of large fi scal and monetary 
stimuli by governments around the world 
started to take effect towards the middle of 
the year averting a second great depression 
global trade started to recover during the 
second half of 2009 led by activity in asia 
major developed economies gradually 
stabilised with most experiencing renewed 
gdp growth by the third quarter of 2009
most oecd economies are now in the early 
stages of recovery initially driven by inventory 
rebuilding government spending and in 
some cases net trade the normal pattern 
of recovery is that the process of inventory 
rebuilding and economic stimulus would 
generate job growth increase business 
confi dence and create the basis for increased 
consumption however at this stage there 
remain risks that the pace of recovery may 
not be sustained this is mainly because 
consumer confi dence has been so heavily 
weighed upon by high unemployment 
rates the loss in wealth and the prospect of 
increased taxes to fund the current stimulus
china
the collapse in global trade affected many 
developing economies including china the 
lagged impact of policy tightening by the 
chinese government in early 2008 and a 
correction in a slightly overheating property 
market contributed to the slowdown in the 
pace of economic growth in china during the 
second half of 2008 by the fi rst quarter of 
2009 the annualised pace of gdp growth had 
fallen to nearly six per cent a sharp contrast 
to the double digit growth that the chinese 
economy had become accustomed to over 
the previous four years
the chinese government reacted strongly and 
rapidly to the economic slowdown announcing 
a rmb 4 trillion stimulus package equivalent 
to about 12 per cent of gdp  to be spent over 
two years the government also introduced a 
set of measures aimed at supporting demand 
in key sectors and boosting consumption in 
rural areas the stimulus was accompanied by 
a massive surge in bank lending during the fi rst 
half of 2009 with signifi cant investment going 
into the development of infrastructure projects 
all these measures were successful in boosting 
economic growth as early as the second quarter 
of 2009
the growth momentum continued to 
build up during the second half of the year 
with activity in the property sector also 
starting to bounce back strongly all of these 
developments bode well for the strength of 
china’s economy in 2010
commodity markets
the sharp fall in global economic activity has 
had a signifi cant impact on the demand for 
metals and minerals contractions in enduse 
consumption have been amplifi ed by heavy 
destocking at all stages of the supply chains 
metals such as aluminium which tend to 
be more exposed to the construction and 
transport sectors of developed economies 
have been affected most strongly leading to 
source lme sbb reuters ecowin globalcoal
commodity price indices january 2009 to february 2010
daily spot price index 1 january 2009 100
100
200
300
jan 2009 mar 2009 may 2009 aug 2009 jan 2010
key aluminium  
 spot iron ore 62 fe fob 
 thermal coal newc 
 copper 
source global insight
 
key  nonoecd
 oecd
 world
decline in global growth 2007 to 2009
q1 2007 q1 2008 q1 2009 q1 2010 20
10
0
10
industrial production growth year on year  change  w w w riotint oc om 11
overview performance
production
and reserves governance
financial 
statements
shareholder
information
very rapid increases in excess stocks prices 
which in many cases were trading well in 
excess of the marginal costs of production 
prior to the economic downturn reacted 
quickly to falling demand and rising 
inventories the price falls were especially 
steep for exchange traded commodities as 
the turbulence in the fi nancial sector forced 
investors out of these markets
aluminium and copper experienced a peak
totrough variation of about 60 per cent and 
70 per cent respectively within just a couple 
of quarters meanwhile the iron ore contract 
price settled with japanese customers in 
the second quarter of 2009 was about one 
third lower than the previous benchmark 
the hard coking coal contract price also fell 
substantially by close to 60 per cent whilst 
spot thermal coal prices fell 65 per cent 
between july 2008 and the end of the fi rst 
quarter of 2009 such price declines put 
signifi cant pressure on mining companies 
with for some commodities signifi cant 
portions of the industry showing negative 
margins this led to a shift in focus from 
maximising output to capital management 
production curtailment and cost saving 
these recent developments reinforced rio 
tinto’s strategy of investing in tier 1 assets 
which are generally able to generate positive 
margins over the whole of the economic 
cycle the sharp price falls and credit 
restrictions also led to the cancellation or 
postponement of many mining projects 
the start of a stabilisation in the global 
economy from the second quarter of 2009 
and more importantly the rapid turnaround 
of the chinese economy triggered a sharp 
bounce back in commodity prices chinese 
imports of metals and minerals soared 
to new highs as a result of recovering 
underlying demand restocking closure 
of high cost domestic capacity and some 
speculative activity facilitated by rising 
liquidity falls in scrap supplies as a result 
of slower industrial activity and lower prices 
also created a need for chinese consumers 
to use and import a higher proportion of 
primary metals this was especially acute 
in the case of copper throughout the fi rst 
half of 2009 these high levels of chinese 
imports absorbed some of the surpluses 
building up outside china keeping some 
markets relatively tight 
copper experienced one of the strongest 
rebounds with prices rising 140 per cent 
between the start and the end of the year 
moving to within less than 20 per cent 
of the precrisis 2008 peak meanwhile 
spot iron ore prices almost doubled over 
the second half of 2009 and aluminium 
recovered from a low of near us1300 
per tonne during the fi rst quarter of 2009 
to just over us2200 per tonne by year 
end despite historically high visible stock 
levels movements in coal prices were more 
subdued during 2009 but started to trend 
up again towards the very end of the year
outlook for 2010
forecasters have become progressively more 
optimistic about economic growth in 2010 
the imf is predicting global growth of nearly 
four per cent and chinese gdp is expected 
to grow at between nine and ten per cent 
economy wide inventory rebuilding in the 
oecd should provide a short term boost to 
activity  such growth acceleration would 
have positive implications for metals and 
minerals markets although it is still unclear 
whether a sustainable recovery in private 
sector confi dence and economic activity will 
emerge as the fi scal and monetary stimulus 
wanes or is removed over time
some risks to the outlook include the 
possibility of an aggressive tightening of 
monetary policies in asian economies in 
response to concerns about consumer and
or asset price infl ation also it is possible 
that consumer spending in the oecd will 
remain constrained due to concerns about 
employment prospects housing wealth 
and increased tax burdens economic data 
releases and news fl ow will affect investors’ 
perceptions about the likelihood of such 
risks compared with the strength of the 
more positive forces on the markets this 
will lead to negative and positive swings 
in sentiment affecting commodity prices 
through speculation
trend information
demand for the group’s products is closely 
aligned with levels of and changes in global 
gdp changes in the gdp of developing 
countries will generally have a greater 
impact on demand for commodities such 
as iron ore and coking coal which are 
signifi cant inputs in the development and 
improvement of infrastructure conversely 
changes in the gdp of developed countries 
will have a greater impact on industrial 
minerals which have many applications in 
consumer products aluminium and copper 
are used in a wide range of applications 
from infrastructure to consumer products 
and demand for these metals has tended to 
grow in line with or slightly faster than global 
gdp trends in production of the group’s 
minerals and metals gross sales revenue 
and underlying earnings are set out in the 
performance reviews starting on page 22
source iisi rio tinto
chinese growth offsets western declines in 2009
30
15
0
15
30
al demand cu demand steel output
key global 
 exchina 
 china 
 year on year  change
source un
 
key  india
 china
 us
urbanisation key driver of long term metals demand
10000 20000 30000 40000 50000 60000
25
50
75
100
  urban population
 gdp per capita overview
12 rio tinto 2009 annual report
strategy
a focused and integrated strategy
summary
rio tinto’s vision is to be the global 
mining leader
our vision shapes our core objective which 
is to maximise total shareholder return by 
sustainably fi nding developing mining and 
processing natural resources
to deliver this objective the group follows 
a strategy of investing in and operating 
large long term cost competitive mines and 
businesses driven not by choice of commodity 
but rather by the quality of each opportunity 
we have fi ve business priorities for 2010 to 
enable us to deliver our strategy and improve 
our long term fi nancial performance
• focus on operational delivery
• pursue our growth path
• complete the iron ore production 
joint venture
• prudent balance sheet management
• strengthen our relationship with china
given our geographical reach strong assets 
and reputation we believe we are well 
positioned for success
vision
our vision of being the global mining 
leader means maintaining or achieving 
sector leadership including operational 
excellence sustainable development 
exploration and innovation
we are well placed to achieve this vision 
through our ownership of some of the world’s 
best assets we focus on the development 
of tier 1 orebodies – those that will give us 
large scale long term and cost competitive 
operations this will safeguard our future cash 
fl ow and ensure we can operate profi tably at 
every stage of the commodity cycle 
the global reach of our operations and 
projects gives us the ability to respond to 
rising demand for metals and minerals from 
developed and emerging economies we will 
use the advantages that our assets bring to 
deliver options for future growth
our diverse portfolio high quality assets and 
expertise in technology and marketing give 
us the capability to supply a wide spectrum 
of customers and markets we can supply the 
raw materials needed for basic infrastructure 
and the high performance mineral grades 
needed for high tech applications this 
gives us exposure to markets worldwide at 
various stages of the development cycle by 
understanding what our customers value we 
develop offerings which meet their needs and 
generate superior returns for rio tinto 
effective supply chain integration with our 
operations and rio tinto marine ensures that 
we meet customer needs and create value for 
ourselves by supplying the right products and 
services at the right time to the right place
rio tinto has a strong reputation for 
operational excellence and sustainable 
development this reputation gives us our 
licence to operate and it is essential that we 
uphold it and build upon it 
long term sustainable development is at the 
heart of everything we do we must build 
upon recent improvements in our safety 
performance and we must also continue 
and extend our leadership in areas such as 
community and government engagement 
biodiversity and land carbon water and 
energy management
our assets and reputation give us the 
capabilities to operate and grow our business 
on a global scale and as we do so we also 
have the scope and expertise to bring long 
term benefi ts to our local communities and 
host countries
priorities for 2010
the group is focusing on fi ve business 
priorities which are the pathway to delivering 
our strategy and achieving our vision
core objective
to maximise total shareholder return 
by sustainably fi nding developing 
mining and processing natural 
resources
strategy
to invest in and operate large long 
term cost competitive mines and 
businesses driven not by choice of 
commodity but rather by the quality 
of each opportunity
priorities for 2010
we have fi ve business priorities 
to enable us to deliver our 
strategy and improve our long 
term fi nancial performance 
these priorities will support 
our vision to be the global 
mining leader  w w w riotint oc om 13
overview performance
production
and reserves governance
financial 
statements
shareholder
information
focus on operational delivery
we will pursue cost reductions and 
productivity improvements in order to 
strengthen our focus on operational delivery 
a key activity will be the continued 
transformation of the aluminium business 
rio tinto alcan is now sharing common 
safety internal compliance and human 
resource systems as we complete the 
fi nancial integration of alcan we expect to 
exceed us11 billion per year in synergies 
our capacity for innovation is an important 
driver of operational delivery improvements 
we will continue to capitalise on our leading 
technologies and develop our capabilities in 
areas such as automation
the delivery of capacity improvements along 
the supply chain is also a key part of this 
priority this includes the mining processing 
and shipping of our commodities
pursue our growth path
our second priority is to grow our business 
through disciplined capital expenditure the 
improved strength of our balance sheet in 2009 
positions us well for growth w e have confi dence 
in the projected increase in long term demand 
for our products particularly from emerging 
markets which will be the driver of this growth
the growth opportunities that we focus 
on are aligned with our strategy and so we 
will make investment decisions based on 
the quality of each opportunity rather than 
the choice of commodity this may mean 
considering new commodities as well as 
capitalising on the expansion potential that 
is held within our existing assets
complete the iron ore production 
joint venture
a key achievement this year would be 
the completion of the proposed western 
australian iron ore production joint venture 
with bhp billiton after signing the binding 
agreements in december 2009 covering all 
aspects of how the joint venture will operate 
and be governed we are now addressing the 
approvals required and integration planning 
this transaction would enable us to deliver 
substantial synergies and unlock the true 
value of our signifi cant assets in the pilbara
prudent balance sheet management
we will focus on prudent management of 
our balance sheet building on the successful 
measures we undertook to alleviate our debt 
position in 2009 we will continue with 
our operating and capital cost reduction 
initiatives as well as our asset divestment 
programme in order to optimise our fi nancial 
position our objective in this area is towards 
achieving a single “ a ” credit rating this 
priority links closely to the pursuit of growth 
through disciplined capital expenditure
strengthen our relationship with china
we will seek to strengthen our relationship 
with china our largest trading partner the 
home of our largest shareholder and a market 
that will be one of the major drivers of future 
demand china is strategically important 
to rio tinto and it is essential that we build 
durable and ongoing relationships there
sustainable development
our commitment to sustainable 
development underpins our vision 
and every area of our business it is an 
essential factor in maintaining and 
extending our licence to operate this 
commitment provides opportunities 
for us to plan implement and deliver 
sustainable contributions to social 
wellbeing environmental stewardship 
and economic prosperity within 
our strong governance systems
our approach helps us to manage risk 
and our strong reputation as a socially 
responsible miner gives us improved 
access to land people and capital – the 
three critical resources upon which our 
business success is built a full review of 
our sustainable development performance 
begins on page 24
building relationships with all our internal 
and external stakeholders is a cornerstone 
of our sustainable development approach 
a vital element of our relationship with 
our employees is to keep them healthy 
and safe we believe that all incidents 
and injuries are preventable and we must 
continue to make improvements in our 
key safety indicators 
our aim is to create an environment 
where all employees and contractors 
have the knowledge skills and desire to 
work safely so that everyone goes home 
safe and healthy at the end of each day 
attracting developing and retaining a 
skilled and engaged workforce is essential 
for our business performance
building enduring relationships with our 
local communities host countries and 
governments is also fundamental to our 
sustainable development commitment 
and helps us to be seen as the partner of 
choice for mineral development
key performance 
indicators
achievement of our strategy and 
goals are measured by a mixture 
of fi nancial and non fi nancial 
performance indicators some 
of which are linked to executive 
remuneration 
more information on p14
1  focus on operational delivery
2  pursue our growth path
3  complete the iron ore 
production joint venture
4  prudent balance sheet 
management
5  strengthen our relationship 
with china overview
14 rio tinto 2009 annual report
 rio tinto’s core 
objective and 
strategy dictate 
key performance 
indicators kpis 
that the group 
monitors targets 
and measures 
these kpis fulfi l 
three roles 
• to give senior management 
a means to evaluate the 
group’s overall performance 
from an operational 
growth and sustainable 
development perspective
• t o provide managers and their 
teams with clarity and focus 
on the areas that are critical for 
the successful achievement of 
the group’s goals
• to give guidance to the 
remuneration committee 
in framing the group’s 
remuneration policy
kpi trend data
the group’s performance 
against each kpi is covered in 
detail in later sections of the 
annual report supporting the 
data is an explanation of the 
actions taken by management 
to maintain and improve the 
performance of each kpi
key performance indicators
measuring progress against strategy
defi nition
performance
rio tinto’s continuous focus on 
safety in the workplace means that 
the aifr is one of the group’s most 
important non fi nancial kpis 
it is calculated based on the 
number of injuries per 200000 
hours worked this includes 
medical treatment cases 
restricted work day and lost 
day injuries for employees 
and contractors
underlying earnings is the key 
fi nancial performance indicator 
used across the group 
it is a measure of earnings 
that provides insight into the 
underlying business performance 
of the group’s operations items 
excluded from net earnings to 
arrive at underlying earnings are 
explained in note 2 of the 2009 
fi nancial statements
tsr measures the group’s 
performance in terms of 
shareholder wealth generation 
through dividends and the share 
price rio tinto’s tsr is calculated 
by an independent third party 
the group’s tsr performance 
compared to the ftse 100 index 
the asx all ordinaries index and 
the hsbc global mining index as 
well as the relationship between 
tsr and executive remuneration 
is shown on pages 105106
at the end of 2009 our aifr was 
082 an improvement of 16 per 
cent from 2008
underlying earnings in 2009 of 
us6298 million were us4005 
million below the comparable 
measure for 2008 this was largely 
due to a us6879 million decrease 
due to price movements on all 
major commodities partially offset 
by a us484 million increase 
due to favourable movements in 
foreign exchange rates a us652 
million increase from greater iron 
ore copper and gold volumes a 
us742 million increase due to 
a reduction in cash costs and an 
us890 million increase from 
the reduction of exploration and 
evaluation expenditure 
due to the rights issues in 2009 
the adjusted share prices of rio 
tinto plc and rio tinto ltd have 
changed so the tsr values in the 
2009 annual report do not match 
up to the tsr values in the 2008 
annual report at the end of 2009 
the group’s tsr was an increase 
of 1725 compared with a 
decrease of 715 for 2008
  more information on p27  more information on p219  more information on p111
all injury frequency rate 
per 200000 hours worked
underlying earnings
ab
 
usm
 
 
 
 
 
09 08 07 06 05
4955
7338
7443
10303
6298
total shareholder return tsr

 
 
 
 
 
09 08 07 06 05
785
927
715
1725
75
all injury frequency rate 
per 200000 hours worked
09 08 07 06 05
135
110
121
098
082
rio tinto
rio tinto including former alcan
notes
a  the accounting information in these 
charts is drawn up in accordance with 
eu ifrs
b  underlying earnings is the key 
fi nancial performance indicator 
which management uses internally 
to assess performance it is presented 
here as an additional measure 
of earnings to provide greater 
understanding of the underlying 
business performance of the group’s 
operations items excluded from 
net earnings to arrive at underlying 
earnings are explained in note 2 to 
the 2009 financial statements both 
net earnings and underlying earnings 
deal with amounts attributable to 
equity shareholders of rio tinto 
however eu ifrs requires that the 
profi t for the year reported in the 
income statement should also include 
earnings attributable to outside 
shareholders in subsidiaries  w w w riotint oc om 15
overview performance
production
and reserves governance
financial 
statements
shareholder
information
defi nition
performance
in december 2008 rio tinto 
announced its commitment to 
reduce net debt by us10 billion 
in 2009 
net debt is calculated as the net 
total of borrowings cash and 
cash equivalents other liquid 
resources and derivatives related 
to net debt
capital expenditure tracks new 
and continuing investment in 
value adding sustaining and 
growth projects
the group’s capital projects are 
listed on page 61 in the capital 
projects section
operating cash fl ows were 
introduced as a key element 
of the short term incentive plan 
in 2009 this measure is the same 
as that in the consolidated cash 
fl ow statement
rio tinto accepts the urgent 
need for climate change action 
improvement in intensity is a 
reduction in total greenhouse gas 
emissions per unit of commodity 
production over time broadly 
consistent with the wbcsd
wri greenhouse gas protocol 
we calculate total greenhouse gas 
emissions as direct emissions scope 
1 plus emissions from imports of 
electricity scope 2 minus electricity 
and steam exports and net carbon 
credits voluntarily purchased from 
or sold to recognised sources w e 
index our performance relative to 
2008 as the base year
during 2009 net debt decreased 
from us387 billion to us189 
billion following the proceeds 
from the divestment programme 
strong operating cash fl ows and 
net proceeds of us148 billion 
from the rights issues net debt 
to total capital was signifi cantly 
reduced to 291 per cent at 
31 december 2009 compared 
with 633 per cent at 
31 december 2008
capital expenditure was 
us5356 million in 2009 a 
decrease of us3132 million 
over 2008 capital expenditure 
included the brockman 4 
and mesa a iron ore mine 
developments in western 
australia the expansion of the 
yarwun alumina refi nery the 
construction of the clermont 
thermal coal mine the expansion 
of the kestrel coking coal 
mine the development of the 
underground diamond mines 
at diavik and argyle and the 
completion of the madagascar 
ilmenite mine
operating cash fl ows including 
dividends from equity accounted 
units was us13834 million 
33 per cent lower than 2008 
primarily as a consequence of 
lower commodity prices 
during 2009 we achieved a 75 per 
cent reduction in total greenhouse 
gas emissions intensity  this was 
largely as a result of divesting 
the ningxia aluminium smelter 
in china which is powered 
by coal based electricity  and 
reduced production at a number 
of operations with a higher than 
average emissions intensity 
  more information on p170  more information on p220  more information on p133  more information on p29
net debt
a
 
usm
 
 
 
 
 
09 08 07 06 05
1313
2437
45191
38672
18861
capital expenditure
a
 
usm
 
 
 
 
 
09 08 07 06 05
2554
3988
4968
8488
5356
operating cash flows
a
 
usm
 
 
 
 
 
09 08 07 06 05
8031
10923
12569
20668
13834
greenhouse gas 
emissions intensity
 
 
 
 
 
09 08 07 06 05
1094
1108
1102
1131
1000
925
group intensity excluding former alcan
group intensity including former alcan
indexed relative to 2008 overview
16 rio tinto 2009 annual report
principal risks and uncertainties
the following describes some of the 
material risks that could affect rio tinto 
there may be additional risks unknown 
to rio tinto and other risks currently 
believed to be immaterial which could 
turn out to be material these risks 
whether they materialise individually 
or simultaneously could signifi cantly 
affect the group’s business and fi nancial 
results it also outlines the exposure to risk 
without explaining the detail of how each is 
managed and mitigated or how some risks 
could result in either a positive upside or 
negative downside impact they should 
also be considered in connection with 
any forward looking statements in this 
document and the cautionary statement 
on the inside front cover
external
commodity prices and global demand 
for the group’s products are expected 
to remain uncertain which could have 
a positive or negative impact on the 
group’s business
commodity prices and demand for the 
group’s products are cyclical and strongly 
infl uenced by world economic growth this 
is particularly so for our key customers 
especially in the us and asia notably china 
there is potential volatility in short to 
medium term commodity prices as various 
national stimulus packages are reduced 
muted consumer spending may result 
from concerns over unemployment the 
group’s normal policy is to sell its products 
at prevailing market prices and not to enter 
into price hedging arrangements the 
recent improvement in commodity prices 
and demand for the group’s products may 
not remain as strong which would have an 
impact on group revenues earnings cash 
fl ows asset values and growth 
continued growth in demand for the 
group’s products in china could be 
affected by future developments in 
that country 
the group’s iron ore is sold to chinese 
customers predominantly at fi xed prices 
rather than at spot rates the 2009 
benchmark prices were never offi cially 
agreed failure to agree on prices remains a 
source of tension between china and all the 
major iron ore suppliers 
the slowdown of china’s economy in 2009 
contributed to a contraction in demand for 
aluminium and lower aluminium prices if 
chinese customers’ demand for the group’s 
products fails to continue to recover or 
chinese customers source such products from 
elsewhere the group’s business fi nancial 
condition and prospects could be affected
rio tinto is exposed to fluctuations in 
exchange rates that could ha ve an adverse 
impact on its overall business results
the group uses us dollars to denominate 
most of its sales hold surplus cash fi nance 
its operations and present its external and 
internal results although many costs are 
incurred in us dollars signifi cant costs 
are infl uenced by the local currencies of 
the countries where the group operates 
principally the australian dollar canadian 
dollar and euro the group’s normal policy 
is to avoid hedging arrangements relating 
to changes in foreign exchange rates 
appreciation in the value of these currencies 
against the us dollar or prolonged periods of 
exchange rate volatility may adversely affect 
the group’s business results
political legal and commercial 
instability or community disputes in 
the countries and territories in which 
the group operates could affect the 
viability of its operations
the group has operations in jurisdictions 
with varying degrees of political legal and 
commercial stability  commercial instability 
can be infl uenced by bribery and corruption 
in their various guises administrative 
change policy reform and changes in law 
or governmental regulations can result 
in civil unrest increased regulation and 
potentially expropriation or nationalisation 
renegotiation or nullifi cation of existing 
agreements leases and permits changes 
in fi scal policies including increased tax or 
royalty rates or currency restrictions as well as 
signifi cantly increased costs or impediments 
to operation are all possible consequences 
such instability could have an adverse effect 
on the profi tability the ability to fi nance or in 
extreme cases the viability of an operation 
some of the group’s current and potential 
operations are located in or near 
communities that may regard the operation 
as being detrimental to their environmental 
economic or social circumstances 
community reaction could have an adverse 
impact on the cost profi tability ability to 
fi nance or even the viability of an operation 
such events could lead to disputes with 
national or local governments or with local 
communities and give rise to reputational 
damage if the group’s operations are delayed 
or shut down as a result of political and 
community instability its revenue growth 
may be constrained and the long term value 
of its business could be adversely impacted
the group’s land and resource 
tenure could be disputed resulting 
in disruption to the operation or 
development of a resource
the group operates in several countries 
where title to land and rights in respect of 
land and resources including indigenous 
title may be unclear and may lead to 
disputes over resource development such 
disputes could disrupt or delay relevant 
mining projects impede the group’s ability 
to develop new mining properties and may 
have an adverse effect on the group’s results 
of operations or its prospects
changes in the cost andor 
interruptions in the supply of energy 
water fuel or other key inputs could 
adversely affect the economic viability 
of the group’s operations
the group’s operations are resource intensive 
and as a result its costs and net earnings may 
be adversely affected by the availability or 
cost of energy water fuel or other key inputs 
if the prices of key inputs rise signifi cantly 
more than expected or if the group 
experiences interruptions in or constraints 
on its supply of key inputs the group’s 
costs could increase and its results could be 
adversely affected
strategic
failure of the group to make or 
successfully integrate acquisitions 
could have an adverse effect on the 
business and results of operations
business combinations entail a number 
of risks including the effective integration 
of acquisitions including the realisation 
of synergies signifi cant one time 
writeoffs or restructuring charges and 
unanticipated costs and liabilities all of 
these may be exacerbated by the diversion 
of management’s attention away from other 
ongoing business concerns the group may 
also be liable for the past acts omissions 
or liabilities of companies or businesses or 
properties it has acquired which may be 
unforeseen or greater than anticipated  w w w riotint oc om 17
overview performance
production
and reserves governance
financial 
statements
shareholder
information
the group’s business and growth 
prospects may be negatively 
affected by reductions in its capital 
expenditure programme
the group requires substantial capital to 
invest in greenfi eld and brownfi eld projects 
and to extend the life and capacity of its 
existing operations reductions in capital 
expenditure including sustaining capital 
have resulted in the cancellation slowing or 
deferral of projects until market conditions 
and commodity prices recover and suffi cient 
cash is available for investment if signifi cant 
variations in commodity prices or demand for 
our products occurs the group may reduce 
its capital expenditure further which may 
negatively impact the timing of its growth 
and future prospects
with the volatility of the commodity 
markets the group’s ability to take 
advantage of improvements may be 
constrained by earlier capital expenditure 
restrictions and the long term value of its 
business could be adversely impacted
the group’s exploration and 
development of new projects might be 
unsuccessful expenditures may not 
be fully recovered and depleted ore 
reserves may not be replaced
the group develops new mining properties 
and expands its existing operations as a 
means of generating shareholder value the 
group seeks to identify new orebodies and 
mining properties through its exploration 
programme and has also undertaken the 
development or expansion of other major 
operations there is a high degree of 
competition for opportunities to develop 
such orebodies certain competitors 
such as state run interests have access to 
signifi cant resources and may be motivated 
by political or other non economic factors 
the group may be unable to fi nd willing 
and suitable joint venture partners to share 
the cost of developing large projects there 
is no assurance therefore that the group’s 
investment in exploration and project 
development will be recouped or that 
depleted ore reserves will be replaced 
the group’s proposed iron ore 
production joint venture with bhp 
billiton in western australia may 
not yield the synergies anticipated 
or may fail to be completed as 
currently envisaged
rio tinto and bhp billiton have proposed 
a production joint venture covering the 
entirety of both companies’ western 
australian iron ore assets the binding 
agreements on the proposed joint venture 
were signed on 5 december 2009 and cover 
all aspects of how the joint venture would 
operate and be governed the estimated 
us10 billion net present value of the 
synergies may not be realised or may take 
longer to realise than expected the proposed 
production joint venture requires regulatory 
approvals in a number of jurisdictions which 
may not be secured regulators may require 
the group to relinquish ownership or control 
over certain assets prior to approving the 
production joint venture any or all of these 
could reduce the value anticipated from 
forming the production joint venture or 
result in a failure to implement the venture 
as currently envisaged
financial
the group’s reported results could be 
adversely affected by the impairment 
of assets and goodwill
an asset impairment charge may result 
from the occurrence of unexpected adverse 
events that impact the group’s expected 
performances in accordance with ifrs 
the group does not amortise goodwill but 
rather tests it annually for impairment such 
impairments cannot be reversed 
the group will continue to test goodwill 
and may in the future record additional 
impairment charges this could result in the 
recognition of impairment provisions which 
are non cash items that could be signifi cant 
and could have an adverse effect on the 
group’s reported results 
the group’s net earnings are sensitive 
to the assumptions used for valuing 
defi ned benefi t pension plans and 
post retirement healthcare plans
certain of the group’s businesses sponsor 
defi ned benefi t pension plans the pension 
expense reported for these plans is sensitive 
to the assumptions used to value the pension 
obligations and also to the underlying 
economic conditions that infl uence the 
assumptions changing economic conditions 
particularly poor pension investment returns 
may require the group to make substantial 
cash contributions to its pension plans 
actual investment returns achieved 
compared to the amounts assumed within 
the group’s reported pension expense are 
reported in the table below amounts for prior 
years have been adjusted to exclude defi ned 
contribution assets as explained in note 50 to 
the fi nancial statements
as at 31 december 2009 the group had 
estimated pension liabilities on an ias19 
accounting basis of us162 billion and 
assets of us124 billion after excluding those 
pension arrangements deliberately operated 
as unfunded arrangements representing 
liabilities of us11 billion the global funding 
level for pension liabilities on an ias19 basis 
was approximately 82 per cent if the funding 
level materially deteriorates further cash 
contributions from the group may be needed 
subject to local requirements 
pension plan investment returns
us millions 2009 2008 2007 2006 2005
expected return on plan assets 581 857 438 261 249
actual return on plan assets 1472 2451 309 517 365
difference between the expected and actual return on plan assets 
lossgain us million
891 3308 129 256 116
difference as a percentage of plan assets 7 36 1 5 3 overview
18 rio tinto 2009 annual report
principal risks and uncertainties continued
the group’s mining operations 
are vulnerable to natural disasters 
operating diffi culties and infrastructure 
constraints not all of which are covered 
by insurance which could have an 
impact on its productivity 
mining operations are vulnerable to natural 
events including earthquakes drought 
fl oods fi re storms and the possible effects of 
climate change operating diffi culties such as 
unexpected geological variations that could 
result in signifi cant failure could affect the costs 
and viability of operations for indeterminate 
periods including smelting and refi ning 
the group requires reliable roads rail 
networks ports power sources and power 
transmission facilities water supplies and it 
systems to access and conduct its operations 
the availability and cost of infrastructure 
affects capital and operating costs and the 
maintenance of planned levels of production 
and sales in particular the group transports 
a large proportion of its products by sea 
limitations or interruptions in rail or shipping 
capacity at any port including as a result of 
third parties gaining access to the group’s 
integrated infrastructure could impede the 
group’s ability to deliver its products on time 
this could have an adverse effect on the 
group’s business and results of operations
the group uses an extensive information 
technology system and infrastructure 
a signifi cant failure of major parts of the 
system or malicious actions could result in 
signifi cant interruption that could affect the 
group’s reputation and operating results 
the group’s insurance does not cover every 
potential risk associated with its operations 
adequate coverage at reasonable rates is 
not always obtainable in addition the 
group’s insurance may not fully cover 
its liability or the consequences of any 
business interruptions such as equipment 
failure or labour dispute the occurrence 
of a signifi cant event not fully covered by 
insurance could have an adverse effect on 
the group’s business results of operations 
fi nancial condition and prospects
joint ventures and other strategic 
partnerships may not be successful 
and non managed projects and 
operations may not comply with 
the group’s standards which may 
adversely affect its reputation and the 
value of such projects and operations
the group participates in several joint 
venture arrangements and it may enter into 
further joint ventures although the group 
has sought to protect its interests existing 
and future joint ventures necessarily involve 
special risks whether or not the group holds 
majority interests or maintains operational 
control in its joint ventures its partners may
• have economic or business interests or 
goals that are inconsistent with or opposed 
to those of the group
• exercise veto rights to block actions that 
the group believes are in its or the joint 
venture’s best interests
• take action contrary to the group’s 
policies or objectives with respect to its 
investments or
• be unable or unwilling to fulfi l their 
obligations under the joint venture or other 
agreements such as contributing capital to 
expansion or maintenance projects
where projects and operations are controlled 
and managed by the group’s partners the 
group may provide expertise and advice 
but it has limited control with respect to 
compliance with its standards and objectives 
improper management or ineffective policies 
procedures or controls could adversely affect 
the value of related non managed projects 
and operations and by association damage 
the group’s reputation thereby harming the 
group’s other operations and access to 
new assets
the group may be exposed to major 
failures in the supply chain for 
specialist equipment and materials
rio tinto operates within a complex 
supply chain depending on suppliers of 
raw materials services equipment and 
infrastructure to ensure its mines and process 
plants can operate and on providers of 
logistics to ensure products are delivered 
failure of signifi cant components of this 
supply chain due to strategic factors such as 
business failure or serious operational factors 
could have an adverse effect on the group’s 
business and results of operations 
operational
estimates of ore reserves are based on 
many assumptions and changes in the 
assumptions could lead to reported ore 
reserves being restated
there are numerous uncertainties inherent in 
estimating ore reserves including subjective 
judgements and determinations based on 
available geological technical contract and 
economic information assumptions that are 
valid at the time of estimation may change 
signifi cantly when new information becomes 
available changes in the forecast prices of 
commodities exchange rates production 
costs or recovery rates may result in the 
reserves ceasing to be economically viable 
ultimately this may result in the reserves 
needing to be restated such changes in 
reserves could also affect depreciation 
and amortisation rates asset carrying 
values deferred stripping calculations and 
provisions for close down restoration and 
environmental clean up costs
labour disputes could lead to lost 
production andor increased costs
some of the group’s employees including 
employees in non managed operations are 
represented by labour unions under various 
collective labour agreements the group 
may not be able satisfactorily to renegotiate 
agreements when they expire and may face 
tougher negotiations or higher wage demands 
in addition existing labour agreements may 
not prevent a strike or work stoppage which 
could have an adverse effect on the group’s 
earnings and fi nancial condition
some of the group’s technologies are 
unproven and failures could adversely 
impact costs andor productivity
the group has invested in and implemented 
information systems and operational 
initiatives including new technologies some 
aspects of these technologies are unproven 
and the eventual operational outcome or 
viability cannot be assessed with certainty 
the costs productivity value in securing 
business opportunities and other benefi ts 
from these initiatives and the consequent 
effects on the group’s future earnings and 
fi nancial results may vary from expectations 
if the group’s technology systems fail to 
realise the anticipated benefi ts there is no 
assurance that this will not result in increased 
costs interruptions to supply continuity 
failure of the group to realise its production 
or growth plans or some other adverse effect 
on operational performance  w w w riotint oc om 19
overview performance
production
and reserves governance
financial 
statements
shareholder
information
sustainable development
increased regulation of greenhouse gas 
emissions could adversely affect the 
group’s cost of operations
rio tinto’s operations are energy intensive 
and depend heavily on fossil fuels there 
is increasing regulation of greenhouse 
gas emissions progressive introduction 
of carbon emissions trading mechanisms 
and tighter emission reduction targets in 
numerous jurisdictions in which the group 
operates these are likely to raise energy and 
production costs to a material degree over the 
next decade regulation of greenhouse gas 
emissions in the jurisdictions of the group’s 
major customers and suppliers as well as in 
relation to international shipping could also 
have an adverse effect on the demand for the 
group’s products
the group depends on the continued 
services of key personnel
the group’s ability to maintain its 
competitive position and to implement 
its business strategy is dependent on the 
services of key engineering managerial 
fi nancial commercial marketing and 
processing people loss or diminution in 
the services of key employees particularly 
as a result of an inability to attract and 
retain staff or the group not maintaining 
a competitive remuneration structure 
could have an adverse effect on the group’s 
business fi nancial condition results of 
operations and prospects
competition for experienced people 
with international engineering mining 
metallurgy and geological expertise is high 
due to a small pool of individuals against 
medium to high demand this may affect the 
group’s ability to retain its existing senior 
management marketing and technical 
personnel and to attract qualifi ed personnel 
on appropriate terms similar competition 
may be felt by the group’s key contractors 
and equipment suppliers that in turn could 
affect the group’s expansion plans
the group’s costs of close down 
restoration and rehabilitation could 
be higher than expected due to 
unforeseen changes in legislation 
standards and techniques or 
underestimated costs
close down and restoration costs include the 
dismantling and demolition of infrastructure 
and the remediation of land disturbed during 
the life of mining and operations estimated 
costs are provided for over the life of each 
operation and updated annually but the 
provisions might prove to be inadequate due 
to changes in legislation standards and the 
emergence of new restoration techniques 
furthermore the expected timing of 
expenditure could change signifi cantly 
due to changes in commodity prices that 
might curtail the life of an operation 
total provisions at 31 december 2009 
amounted to us6916 million 2008 
restated us6011 million as set out 
in note 27 to the fi nancial statements 
these provisions could prove insuffi cient 
compared to the actual cost of restoration 
or the cost of remediating or compensating 
for damage beyond the site boundary any 
underestimated or unidentifi ed close down 
restoration and environmental rehabilitation 
costs could have an adverse effect on the 
group’s reputation as well as its asset values 
earnings and cash fl ows
health safety environment and 
other regulations standards and 
expectations evolve over time and 
unforeseen changes could have an 
adverse effect on the group’s earnings 
and cash fl ows
rio tinto operates in an industry that is 
subject to numerous health safety and 
environmental laws regulations and 
standards as well as community and 
stakeholder expectations the group 
is subject to extensive governmental 
regulations in all jurisdictions in which it 
operates operations are subject to general 
and specifi c regulations governing mining 
and processing land tenure and use 
environmental requirements including 
site specifi c environmental licences permits 
and statutory authorisations workplace 
health and safety social impacts trade and 
export corporations competition access 
to infrastructure foreign investment and 
taxation some operations are conducted 
under specifi c agreements with respective 
governments and associated acts of 
parliament but unilateral variations could 
diminish or even remove such rights evolving 
regulatory standards and expectations can 
result in increased litigation andor increased 
costs all of which can have an adverse effect 
on earnings and cash fl ows proposed iron ore production joint venture with bhp billiton
iron ore joint venture framework 
agreement
on 5 june 2009 rio tinto and bhp billiton 
signed a framework agreement to establish 
an iron ore production joint venture 
combining the operation and management of 
their respective western australian iron ore 
production assets
the framework agreement contains 
exclusivity provisions preventing either party 
from soliciting or engaging in discussions with 
respect to a proposal that in broad terms 
enables a person to acquire an economic or 
security interest in assets within the scope of 
the joint venture which may adversely impact 
on its benefi ts which is likely to be inconsistent 
with completion of the joint venture or which 
might require a restructuring of it
the framework agreement provides for a 
mutual break fee of us2755 million payable 
in the event that either party announces 
that it does not intend to proceed with the 
joint venture after satisfaction of the key 
regulatory approvals fails to recommend the 
joint venture to its shareholders or fails to take 
the steps necessary to obtain the approval of 
its shareholders or breaches the exclusivity 
provisions it also set out core principles 
that would apply to the establishment 
of the joint venture
description of binding agreements
on 5 december 2009 rio tinto and bhp 
billiton signed binding agreements that set out 
the terms that will regulate the establishment 
of the joint venture and its ongoing operation 
those terms are consistent with the core 
principles set out in the framework agreement 
except that the joint marketing of 15 per cent 
of output contemplated by the core principles 
will not take place all output will be sold by rio 
tinto and bhp billiton separately 
scope of joint venture
the joint venture will encompass the 
management and operation of the economic 
interests of rio tinto and bhp billiton in 
all current and future iron ore operations 
in western australia including exploration 
interests leases mines rail lines ports and 
associated infrastructure and all related 
employees and contractors however the 
joint venture will not include bhp billiton’s 
hot briquetted iron plant hbi or rio tinto’s 
interest in hismelt™ and its application to 
other secondary processing activities will be 
limited marketing activities and business 
development outside western australia are 
also outside the scope of the joint venture 
the parties to the joint venture will share the 
economic burden of all related liabilities other 
than material undisclosed liabilities with 
a minimum claim of us300 million and a 
maximum claim period of ten years and certain 
prejuly 2009 tax liabilities it is intended that 
the joint venture will continue in perpetuity 
conditions precedent
the binding agreements remain subject 
to satisfaction of certain conditions 
precedent including satisfying relevant 
antitrust requirements obtaining australian 
foreign investment clearance from the 
commonwealth treasurer and favourable 
rulings from the australian taxation offi ce 
and state revenue authorities obtaining 
certain other government approvals and 
obtaining the approval of bhp billiton and 
rio tinto shareholders the framework 
agreement and the binding agreements will 
terminate if the conditions precedent are not 
satisfi ed by 31 december 2010
financial adjustments
the economic interests of rio tinto and bhp 
billiton in the joint venture will be equal the 
joint venture is a contractual arrangement 
and the parties will not be acquiring shares 
in each other’s iron ore companies or legal or 
benefi cial interests in each other’s iron ore 
assets the parties will obtain an economic 
exposure to each other’s iron ore production 
assets through each of them subscribing for 
debentures in an interposed company in the 
other’s group that holds shares in the other’s 
asset holding subsidiaries
to equalise the net value of the parties’ 
asset contributions to the joint venture bhp 
billiton will also subscribe us58 billion in 
cash for additional debentures in the rio 
tinto interposed company this amount will 
be infl ated from 1 july 2009 to completion 
at a rate of 65 per cent per annum and will 
also be adjusted to refl ect equalisation of net 
cash fl ows from 1 july 2009 in the manner 
described below 
the parties have agreed that they will bear 
the economic benefi t and burden of the after
tax cash fl ows of their respective assets in the 
period from 1 july 2009 to commencement 
of the joint venture to achieve this the bhp 
billiton cash subscription payment described 
above will be adjusted for 50 per cent of the 
difference between the net cash fl ows after 
tax from the rio tinto operations and the 
bhp billiton operations during the period 
from 1 july 2009 until completion infl ated at 
a rate of 65 per cent per annum
governance of the joint venture
management of the joint venture will be 
overseen by a “non executive” owners’ council 
comprised of four representatives of each party  
all decisions of the owners’ council must be 
approved by both parties subject to certain 
deadlock breaking mechanisms
the initial chairman of the owners’ council 
will be sam walsh rio tinto executive 
director and chief executive iron ore who 
will hold that offi ce for a period of four 
years the owners’ council will have the 
power to approve high level policies such as 
accounting business conduct communities 
and health safety and environment relating 
to the joint venture review the conduct of 
activities undertaken by the manager and 
give general direction to the manager
the owners’ council will also have 
powers and functions much like a board 
of directors in relation to other matters 
including approval of business and synergy 
plans approving major contracts and 
capital projects reviewing performance 
of the joint venture approving major 
asset acquisitions disposals and closures 
approving strategies for dealing with 
third party access requests approving 
how it will work
• the establishment and operation of the joint venture are governed by a framework 
agreement signed in june 2009 and binding agreements signed in december 2009
• the establishment of the joint venture is conditional on regulatory and shareholder approvals
• a new company owned 5050 by rio tinto and bhp billiton will be established as joint 
venture manager
• the joint venture manager with its own management team will manage the joint 
venture as a standalone productiononly operation
• the manager’s mandate will be to achieve synergies minimise costs maximise 
production and present options for expansion
• rio tinto and bhp billiton will each access a half share of the joint venture’s production 
subject to some adjustments to recognise existing commitments to third parties
• each party will independently market its share of production
overview
20 rio tinto 2009 annual report product types volumes and specifi cations 
approving entry into or amendment of state 
agreements and approving the appointment 
and remuneration of senior executive 
team members standing and ad hoc 
committees comprised of an equal number of 
representatives of rio tinto and bhp billiton 
will be established to advise the owners’ 
council in relation to the exercise of some of 
its powers and functions
management
the joint venture manager a new entity owned 
equally by rio tinto and bhp billiton will 
manage all day to day activities of the joint 
venture without interference from rio tinto 
and bhp billiton in addition the manager will 
develop plans for realisation of synergies and 
will present the owners’ council with annual 
business plans and budgets designed to achieve 
full utilisation of system capacity and options 
for maximisation of production capacity 
through expansion the manager must ensure 
joint venture operations are conducted safely at 
all times act equitably and fairly to the parties 
and act in accordance with business plans and 
budgets approved by the owners’ council
senior management of the manager will 
be selected jointly  with broadly equal 
participation from rio tinto and bhp billiton 
the initial chief executive offi cer of the joint 
venture will be bhp billiton iron ore president 
ian ashby  who will hold that offi ce for a period 
of four years future chief executive offi cers will 
be appointed by the owners’ council
funding and default
the joint venture will operate with a 
minimum cash balance and will be fi nanced 
entirely by the parties through money 
subscribed for debentures and money 
advanced by loan to the relevant iron ore 
companies conducting operations the 
manager of the joint venture will call for cash 
from rio tinto and bhp billiton on a regular 
basis to fund the joint venture and capital 
expenditure programmes the parties may 
elect to fund their proportionate share of an 
expansion or acquisition by way of project 
fi nancing and may use their interests in the 
joint venture to secure corporate debt
failure to advance funds to meet calls made 
by the manager will give rise to a suspension 
of the defaulting party’s owners’ council 
voting rights and may trigger dilution of the 
defaulting party’s interest in the joint venture 
or a right to buy out the defaulting party
expansions and acquisitions
sole risk rights will exist for expansion 
projects which involve capital expenditure 
exceeding us250 million indexed 
disagreements in relation to preferred 
expansion pathways where more than one 
option exists will be resolved by the manager 
determining which expansion pathway has 
the highest net present value
proposals for new iron ore acquisitions 
or investments in western australia will 
be referred to the owners’ council and if 
both parties agree be undertaken within 
the joint venture absent this agreement 
the opportunity may be undertaken by the 
proposing party as a sole risk project
marketing of product and adjustments 
and tonnage supply
rio tinto and bhp billiton will continue to 
compete and market iron ore to their customers 
separately  a separation protocol will ensure 
that the manager has no knowledge of rio 
tinto and bhp billiton’s marketing strategies 
or sale terms relating to production from the 
joint venture the manager will supply equal 
product volumes and specifi cations of product 
to each party to the extent possible where 
equal supply is not possible adjustments will 
be made to ensure that each party receives 
equal value these adjustments may include 
differential distributions on the debentures
disposal of interests
the parties will both be free to sell some or all 
of their respective interests in the joint venture 
without any preemptive rights or change 
of control restrictions applying although 
certain principles and restrictions will apply 
depending on the nature and extent of the 
disposal the right to vote on the owners’ 
council can however only be exercised by a 
person with an economic interest of more than 
25 per cent of the joint venture except in the 
unlikely scenario where neither party holds an 
economic interest above 25 per cent neither 
party will be entitled to sell the underlying 
assets or interests separately from the joint 
venture interest and rights to create security 
interests over the underlying assets and 
interests are limited
 w w w riotint oc om 21
overview performance
production
and reserves governance
financial 
statements
shareholder
information performance
22 rio tinto 2009 annual report
group fi nancial performance
underlying 
earnings 
usm
net earnings 
usm
2008 10303 3676
prices 6879
exchange rates 484
volumes 652
general infl ation 172
energy 318
other cash costs 742
exploration and evaluation costs including disposals of undeveloped properties 890
interest tax other 40 
4005 4005
profi ts on disposal of interests in businesses 971
net impairment charges 6854
exchange differences and derivatives 815
chinalco break fee 182
restructuringseverance costs from global headcount reduction 174
other 489
2009 6298 4872
the group uses a number of key performance 
indicators “kpi”s to monitor fi nancial 
performance these are summarised and 
discussed on pages 14 and 15 of this report
net earnings and underlying earnings
in order to provide additional insight into 
the performance of its business rio tinto 
presents underlying earnings 
2009 underlying earnings of us6298 
million and net earnings of us4872 million 
were us4005 million below and us1196 
million above the comparable measures for 
2008 the principal factors explaining the 
movements are set out in the table above
prices
the effect of price movements on all major 
commodities in 2009 was to decrease 
earnings by us6879 million compared with 
2008 prices declined for nearly all of rio 
tinto’s major commodities average copper 
and aluminium prices were 28 per cent and 
35 per cent lower respectively while average 
molybdenum prices were 65 per cent lower 
than 2008 gold prices in 2009 were 11 per 
cent higher than 2008 diamond prices were 
severely impacted by the global economic 
downturn
during 2009 rio tinto settled 2009 iron 
ore supply contracts with customers in 
japan korea and taiwan with prices for 
fi nes declining 33 per cent and prices for 
lump declining 44 per cent on the prior 
year approximately half of the iron ore that 
rio tinto produced in the fi rst six months 
of 2009 was sold on a spot market basis 
in the second half of the year deliveries to 
chinese customers were priced primarily on a 
provisional basis in line with settlements with 
other asian customers
thermal coal contracts for 2009 were 
settled in the us7072 per tonne range a 
decrease of approximately 44 per cent on 
the record levels of the previous year coking 
coal contracts for 2009 were settled in the 
us115130 per tonne range a decline of 
approximately 60 per cent on the record 
levels of 2008
exchange rates
there was signifi cant movement in the us 
dollar in 2009 relative to the currencies in 
which rio tinto incurs the majority of its costs 
compared with 2008 on average the us dollar 
strengthened by eight per cent against the 
australian dollar and by six per cent against 
the canadian dollar the effect of all currency 
movements was to increase underlying 
earnings relative to 2008 by us484 million
volumes
higher sales volumes from the expansion 
of iron ore capacity in the pilbara region of 
western australia and higher copper and 
gold grades at kennecott utah copper and 
grasberg were partly offset by production 
guy elliott chief fi nancial offi cer
we are continuing to focus on achieving a single 
“ a ” credit rating through measures such as 
completing divestments of non core assets
for further fi nancial information please see the financial review on pages 58 and 59 for further fi nancial information please see the financial review on pages 58 and 59 
and the financial statements from page 130 and the financial statements from page 130  w w w riotint oc om 23
performance
production
and reserves governance
financial 
statements
shareholder
information
cutbacks at rio tinto alcan alcan engineered 
products diamonds iron  titanium and 
minerals in response to the economic 
downturn the overall impact of volume 
movements was an increase in underlying 
earnings of us652 million relative to 2008
energy other cash costs and exploration
a reduction in cash costs during 2009 
increased underlying earnings by us742 
million compared with 2008 controllable 
operating cost savings of us26 billion were 
achieved in 2009 exceeding the target set 
in december 2008 and delivered one year in 
advance lower unit costs in the copper group 
notably at kennecott utah copper were driven 
by higher production and a bottomup cost 
reduction programme the iron ore group 
benefi ted from lower unit cash costs in line 
with higher sales volumes and a reduction in 
contractor and maintenance costs decreased 
costs at rio tinto alcan were driven by the 
major cost cutting initiatives undertaken in 
response to the global fi nancial crisis including 
reduction of all noncritical discretionary 
spending along with programmes to reduce 
operating costs across the production sites
lower energy costs across the group boosted 
underlying earnings by a further us318 
million refl ecting the impact of a lower oil 
price evaluation work at many of the group’s 
advanced projects was scaled back in 2009 and 
the central exploration budget was reduced 
by 60 per cent which together with the 
divestment of some exploration and evaluation 
properties resulted in a favourable impact 
to underlying earnings of us890 million 
compared with 2008 in line with rio tinto’s 
exploration policy  the us797 million gain on 
disposal of the undeveloped potash properties 
in argentina and canada has been recognised 
within underlying earnings this is refl ected in 
the exploration variance in the table below net 
of the us483 million gain on disposal of the 
undeveloped kintyre uranium project in 2008
interest tax other
the effective tax rate on underlying earnings 
excluding equity accounted units was 248 
per cent compared with 316 per cent in 2008 
the decrease largely related to the oneoff non 
taxable profi t on disposal of the potash assets 
which was recognised in 2009 the group 
interest charge was us452 million lower 
than in 2008 mainly refl ecting a decline 
in interest rates and lower debt in 2009 
following completion of the rights issues
exclusions from underlying earnings
 
2009
usm
2008
usm
underlying earnings 6298 10303
items excluded from underlying 
earnings
profi ts on disposal of interests in 
businesses 499 1470
net impairment charges
2
1552 8406
exchange differences and gains
losses on derivatives 28 843
chinalco break fee
1
182 – 
restructuringseverance costs from 
global headcount reduction 231 57
other 12 477
net earnings 4872 3676
1 the chinalco break fee was us195 million pretax
2  net impairment charges include impairment charges of 
us1103 million 2008 us7579 million and loss after 
tax of discontinued operations of us449 million 2008 
us827 million
in 2009 the group completed the 
divestments of its interests in the ningxia 
aluminium smelter the corumbá iron ore 
operation the jacobs ranch coal mine 
alcan composites and the sale of 52 per 
cent of the group’s interest in cloud peak 
energy resources llc net gains on these 
transactions totalling us05 billion have 
been excluded from underlying earnings 
as divestments of interests in businesses 
are considered to be outside the underlying 
activities of the group
the sale of the majority of the alcan 
packaging businesses to amcor was completed 
on 1 february 2010 the sale of the alcan 
packaging food americas division to bemis 
company inc for a total all cash consideration 
of us12 billion was completed on 1 march 
2010 the sale of maules creek to aston 
resources was completed on 18 february 
2010 the sale of the alcan packaging medical 
flexibles operations remains subject to 
regulatory approvals and other customary 
closing conditions these divestments have 
not been refl ected in the 2009 results and will 
be refl ected in the period in which the sales 
are completed 
of the group’s total posttax impairment 
charge of us16 billion us05 billion 
relates to alcan engineered products 
us05 billion relates to alcan packaging 
us02 billion relates to the group’s 
upstream aluminium businesses and 
us04 billion relates to the group’s 
diamond businesses all impairments have 
been measured based upon an assessment 
of fair value less costs to sell these 
impairments have been caused by continued 
weakness in the economic environment 
in 2009 rio tinto paid a break fee of 
us195 million us182 million posttax 
to chinalco which has been excluded from 
underlying earnings
during 2009 the group incurred 
restructuring and severance costs of 
us231 million associated with its global 
headcount reduction programme
guy elliott
chief fi nancial offi cer
group fi nancial results by product group
 
2009
usm
2008
usm
iron ore 4126 6017
aluminium 578 1271
copper 1866 1597
energy 1420 2581
diamonds  minerals 800 474
other operations 188 133
intersegment transactions 28 25
other items 547 366
central exploration and evaluation 5 133
net interest 578 1030
group underlying earnings 6298 10303
exclusions from underlying earnings 1426 6627
net earnings 4872 3676 performance
24 rio tinto 2009 annual report
materiality assessment
we use a materiality assessment to focus our 
report on our most signifi cant sustainable 
development impacts 
our assessment process has been developed in 
line with the global reporting initiative gri 
g3 guidance on materiality and completeness 
it involves identifying issues affecting our 
business and its stakeholders prioritising 
their importance over the next three years 
from internal and external perspectives and 
validating issue prioritisation 
performance data for our most material 
sustainable development issues are subject 
to external assurance
omission from the issues covered in our report 
does not mean that the issue is not managed 
by the company
in line with the outcomes of our assessment 
we have also further discussed the most 
material issues – fi nancial performance safety 
and greenhouse gas emissions – in the product 
group operating and fi nancial reviews within 
this annual report 
sustainable development review
we are focused on long term sustainable development
sustainable 
development
 
 
 
water
health
land
stakeholder
engagement
business
integrity
non managed
operations
financial
performance
human
rights
supply chain
 
our people
energy use
gas and
greenhouse
community
engagement
and regional
development
 
 
safety
closure
biodiversity
governance systems
      social wellbeing
environmental stewardship
        economic prosperity
strategy
sustainable development is an integral part 
of the way in which rio tinto conducts its 
business with leadership coming from the 
board of directors and the chief executive
our global code of business conduct the 
way we work reinforces our commitment 
to integrate sustainable development 
thinking in the way we make decisions 
about fi nding acquiring developing and 
operating assets around the world to assist 
our people to understand what is expected 
of them we launched leading at rio tinto 
in 2009 this requires seven leadership 
competencies to be demonstrated at each 
level of our organisation and includes 
promoting sustainable development it is 
being incorporated in our recruitment and 
selection performance management and 
development planning processes
sound governance and high standards of 
conduct are sources of competitive advantage 
for us they contribute to long term business 
success by securing access to talent and 
capital enhancing reputation and improving 
operational performance and supply chain 
management environmental performance 
community relations employee wellbeing and 
transparency are just as important to us as the 
technical aspects of mining and processing 
we remain an active member of the 
international council on mining and 
metals icmm wwwicmmcom which 
evolved from the global mining initiative 
in 1998 and which aims to provide 
leadership on scientifi c and policy matters 
maintain dialogue with all stakeholders 
and promote best practice performance 
standards employing sustainable 
development principles
key achievements 
• the way we work our global code of 
business conduct and speakout our 
confi dential whistleblowing programme 
were revised 
• of the electricity we used in 2009 
70 per cent was from low carbon sources 
mainly hydro 
• we achieved a 16 per cent reduction in our 
all injury frequency rate during 2009
• we completed the health safety 
and environment integration of rio 
tinto alcan
• rio tinto remains the largest private sector 
employer of indigenous australians
• our new global leadership competency 
model leading at rio tinto was launched
  view more about our approach to sustainable
 development at wwwriotintocom
our focus on sustainable 
development provides the 
framework in which our 
business operates it allows 
us to maintain a highly 
regarded reputation that 
ensures ongoing access to 
people capital and mineral 
resources this in turn 
helps us to deliver better 
return for our shareholders 
manage risk effectively 
reduce environmental 
impacts cut operating 
costs attract and retain 
high calibre employees 
and provide more business 
development opportunities   w w w riotint oc om 25
performance
production
and reserves governance
financial 
statements
shareholder
information
• why gender matters a resource guide for our 
communities work was published
• our pandemic infl uenza preparedness plan 
was developed and rolled out to manage 
the swine infl uenza h1n1 pandemic
• we retained our listing on the ftse4good 
dow jones sustainability indexes and 
climate disclosure leadership index 
and ranked fi rst on the resources global 
professionals corporate governance survey
key priorities 
• continue to reduce injury rates toward our 
goal of zero including zero fatalities 
• implement our improved contractor safety 
management system and our new health 
safety and environment framework for 
major project development
• implement our wellbeing strategy to guide 
development of a global framework for 
local health and wellbeing programmes
• expand our employee diversity focus to 
address ethnicity and nationality
• continue engaging on and preparing for 
evolving energy and greenhouse gas ghg 
emission regulation
• embed our energy use and ghg emissions 
intensity reduction programmes
• explore ecosystem service values of our 
non operational landholdings in particular 
carbon water and biodiversity opportunities
• continue to strengthen our management 
systems by developing and implementing 
strategies to manage our key sustainable 
development risks and improve performance
• support our new group wide health safety  
environment and communities performance 
targets building on the successes and 
challenges of our previous targets 
goals and targets
w e have set 2008 – 2013 targets for a range of 
sustainable development metrics including
• measuring progress towards our goal of 
zero injuries and zero fatalities through 
our all injury frequency rate
• thirty per cent reduction in the rate 
of new cases of occupational illness
• ten per cent reduction in the rate of 
employees exposed to an eight hour 
noise dose of more than 85 decibels
• operations having in place locally 
appropriate publicly reported social 
performance indicators that demonstrate 
a positive contribution to the economic 
development of the communities 
and regions where we work which 
are consistent with the millennium 
development goals
• six per cent reduction in total greenhouse 
gas emissions per unit of production we 
are also targeting a further four per cent 
reduction by 2015 to deliver an overall 
ten per cent reduction
• six per cent reduction in our freshwater 
use per tonne of product 
performance data
rio tinto’s sustainable development data 
are reported for calendar years and unless 
otherwise stated our inventories represent 
100 per cent of the parameter at each 
managed operation even though rio tinto 
may have only partial ownership
data reported in previous years may be 
modifi ed if verifi cation processes detect 
material errors or if changes are required 
to ensure comparability over time
wherever possible data for operations 
acquired prior to 1 october of the reporting 
period are included divested operations 
are included in data collection processes up 
until the transfer of management control
former alcan operations with the exception 
of the engineered products and packaging 
divisions which are in the process of being 
divested have adopted our reporting 
defi nitions and have been included in our 
inventories since 1 january 2008 
we report in line with the global reporting 
initiative gri g3 guidelines at application 
level a
we have implemented icmm’s ten sustainable 
development principles and disclosed the 
alignment of our policies strategies standards 
and practices with icmm’s principles and 
position statements on our website
the remainder of this section details the 
status and implementation of our systems 
and approaches to manage our material 
sustainable development issues and 
our performance in these areas further 
information on our data defi nitions reporting 
criteria our gri report and our target setting 
and assurance processes can be found on our 
website wwwriotintocom
governance systems
the way we work reaffi rms our commitment to 
corporate responsibility  it covers issues related 
to the workplace human rights communities 
and environment business integrity  group 
assets and information management and 
government media and investor relations
the way we work does not stand alone it is 
supported by the group policies standards 
and guidance notes which are available 
on our website local laws and voluntary 
commitments we are subject to the local laws 
of the many countries in which we operate 
we build on compliance with these laws and 
where our policies and procedures are more 
stringent we operate to those standards 
regardless of where our operations are located 
all employees are required to complete online 
or classroom training on the way we work 
every two years online training is available 
in 12 languages we complete a variety of 
internal and external assurance activities to 
verify implementation of our group wide 
systems and controls see page 32
business integrity
rio tinto conducts its business with 
integrity honesty and fairness building from 
a foundation of compliance with relevant 
local laws regulations and international 
standards wherever we operate
business integrity training is required for all 
managers of which 6279 completed training 
covering antibribery anticorruption and 
political involvement during 2008 and 2009 
we do not directly or indirectly participate in 
party politics and we do not make payments 
to political parties or individual politicians
mining is a heavily regulated industry and 
we maintain continuous dialogue with 
governments and public authorities at national 
provincial and municipal levels w e make 
representations on matters affecting our 
business interests and those of our stakeholders
we were a founding supporter of the 
united nations global compact www
unglobalcompactorg a voluntary initiative 
for businesses to align their operations and 
strategies with ten universally accepted 
principles in the areas of human rights 
labour environment and anticorruption 
w e are active in promoting transparency and 
high standards of corporate governance more 
widely  and support a number of voluntary 
initiatives designed to counter bribery and 
corruption to promote transparency and to 
protect human rights in particular through 
icmm we are a company endorsing member of 
the extractive industries transparency initiative 
eiti www eitransparency org w e engage in 
the promotion and implementation of the eiti 
in candidate countries where we operate 
additionally we have a long standing 
partnership with the dundee university 
centre for energy petroleum and mineral 
law and policy to sponsor postgraduate  performance
26 rio tinto 2009 annual report
sustainable development review continued
studies contributing to the creation of a 
stable international legal and investment 
environment wwwdundeeacuk
human rights
we support and respect human rights 
consistent with the united nations universal 
declaration of human rights and we actively 
seek to ensure that we are not complicit 
in abuses committed by others rio tinto 
endorses several international commitments 
and standards on human rights and remains 
dedicated to meeting them 
training on human rights is provided for 
employees at the general manager level 
or above as well as our contract security 
personnel human rights training was 
completed by 2797 employees during 
2008 and 2009 there were no reported 
incidents of breaches of our human rights 
policy during 2009 
richards bay minerals concluded its broad 
based black economic empowerment 
transaction with a consortia of local 
businesses and community groups during 
2009 it is now fully empowered in 
accordance with the south african mining 
industry charter fi ve years ahead of the 
required date in 2014
rio tinto operates in a manner consistent 
with the un declaration on indigenous 
peoples and sovereign obligations we 
respect the land connection of indigenous 
communities and work with them on their 
land in a spirit of reciprocity transparency 
and recognition of their culture we recognise 
that every indigenous community is unique 
and reach specifi c agreements with affected 
communities on how they want to engage 
with us in the development and performance 
of our operations 
stakeholder engagement
genuine engagement with stakeholders 
is a critical element of successful business 
practice issues such as climate change 
water and poverty alleviation are globally 
complex and require stakeholders to 
work together to explore and develop 
appropriate solutions 
building strong working relationships with 
those who are affected by  or have an interest 
in what we do is essential to our operations 
w e engage with a broad range of organisations 
and individuals including our employees 
investors governments communities 
academia industry bodies and civil society 
groups to help us identify and manage risks w e 
then implement internal controls to minimise 
threats and capitalise on opportunities 
presented through this exchange of sustainable 
development thinking 
we provide clear and timely communication 
concerning business performance and 
corporate developments through meetings 
newsletters websites videos and social 
media such as twitter wwwtwittercom
riotinto and y outube wwwyoutubecom
riotintovideos
we are a member of a number of industry 
associations and of representative bodies 
including the world business council for 
sustainable development wwwwbcsd
org and maintain active partnerships with 
other organisations to achieve our shared 
goals more effectively we work closely 
with international and non governmental 
organisations to develop appropriate 
standards and guidelines for our industry 
during 2009 the us1 million annual rio 
tinto prize for sustainability continued to 
recognise signifi cant contributions made by 
non profi t non governmental or civil society 
organisations promoting and implementing 
sustainable development trees water and 
people wwwtreeswaterpeopleorg based in 
the us and working in central america haiti 
and the american west was the most recent 
recipient of the prize 
closure
we have a multidisciplinary approach to 
closure planning involving communities 
human resource environmental engineering 
and fi nancial specialists integrating closure 
planning into all aspects of our business from 
the earliest stages of project development to 
the decommissioning of facilities is essential 
to leave a positive legacy of sustainable 
development minimise unforeseen fi nancial 
impacts and ensure stakeholder expectations 
are met achieving a reputation for positive 
closure outcomes assists us to gain access for 
future projects 
at the end of 2009 our close down and 
restoration provisions were us6916 million 
our closure management plans are updated 
every fi ve years to ensure they address key 
risks incorporate sustainable development 
opportunities and include accurate 
fi nancial provisions since 2005 43 closure 
management plans have been completed 
including eight in 2009 guidance and best 
practice examples are shared across the 
group to improve performance 
during 2009 our closure standard and 
guidance were updated to incorporate 
considerations for long life industrial 
type facilities following the rio tinto 
alcan integration 
we have established a team of specialists 
to manage our legacy sites the majority 
of which were introduced to us through 
acquisitions to ensure our closure standard 
and sustainable development principles are 
applied in these areas
our closure standard and communities 
standard require our operations to engage 
regularly with stakeholders including 
employees traditional land owners local 
communities and governments together we 
identify preferred sustainable development 
options for closure and seek stakeholders’ 
endorsement examples include
• argyle diamond mine engages with 
traditional owners on rehabilitation 
methods for waste rock dumps and 
preferred vegetation types as it transitions 
to an underground operation
• kestrel coal mine still with more than 20 
years of predicted life has surveyed local 
communities and employees on their 
expectations for closure and incorporated 
outcomes in postclosure land use plans as 
part of rio tinto coal australia’s mine life 
planning programme 
• rio tinto alcan applied a “regional 
industrial development” process during the 
decommissioning of the lannemezan and 
anglesey smelters this involved engaging 
with stakeholders and encouraging new 
postclosure uses for industrial facilities 
so as to maintain regional socioeconomic 
benefi ts
we continue to participate in initiatives to 
enhance closure planning guidance for our 
industry through recognised bodies such as 
the international council on mining and 
metals the responsible jewellery council 
wwwresponsiblejewellerycom and 
the minerals council of australia 
wwwmineralsorgau
social wellbeing
we are committed to providing a safe and 
healthy workplace for our employees where 
their rights and dignity are respected we 
set out to build enduring relationships with 
our neighbours that demonstrate mutual 
respect active partnership and long term 
commitment
in 2009 we set new fi ve year targets for a 
range of social wellbeing metrics which are 
discussed in the following sections
safety
our goal is to achieve zero injuries and zero 
fatalities we believe that all injuries are 
preventable and our aim is for everyone to go 
home safe and healthy at the end of each day 
we strive to create a culture where everyone   w w w riotint oc om 27
performance
production
and reserves governance
financial 
statements
shareholder
information
feels that they can make a difference in 
an environment where all employees 
and contractors have the knowledge 
competence and desire to work safely 
regrettably we did not meet our goal of zero 
fatalities in 2009 four people were fatally 
injured while working at rio tinto managed 
operations the fatal incidents occurred at 
the lugo di vicenza aluminium packaging 
operation in italy the palabora copper mine 
and the richards bay minerals titanium 
dioxide feedstock mine in south africa 
and at the awaso bauxite mine in ghana 
we continue to provide support and 
counselling to the families and workmates 
who are impacted by these incidents we 
shared the lessons from these and other 
serious incidents across our business
we measure progress toward our goal 
of zero injuries through the all injury 
frequency rate aifr which includes data 
for employees and contractors at the end 
of 2009 our aifr was 082 an improvement 
of 16 per cent from 2008 over the last 
fi ve years we have reduced our aifr by 
46 per cent our lost time injury frequency 
rate has also improved and was 043 per 
200000 hours worked in 2009
low injury rates do not mean that serious 
incidents will not happen our semi 
quantitative risk assessment sqra 
process provides a rigorous approach to 
the identifi cation and evaluation of higher 
consequence  lower frequency hazards 
the risk reduction resulting from 
application of the sqra process is used 
as a group wide leading indicator for 
safety performance additionally we 
undertook seven process safety reviews 
of our higher risk facilities in 2009 
we have also implemented a signifi cant 
potential incident reporting measure which 
promotes identifi cation investigation 
and sharing of lessons learnt from critical 
incidents and introduced streamlined root 
cause identifi cation training for leaders to 
reinforce our incident investigation processes 
contractor safety was a particular area of 
focus for us in 2009 following a review 
of internal and external best practices we 
strengthened our health safety environment 
hse and quality management systems for 
supplier and contractor management and 
met with senior leadership of major contract 
companies to raise the profi le of our hse 
management expectations
our safety leadership development 
programme continued to be a pillar of our 
sustainable safety process an updated 
programme focused on developing hse skills 
within the group was launched in 2009 
rio tinto has taken an active role in the 
flight safety foundation the world’s 
foremost independent aviation safety 
organisation we cochampioned 
development of new aviation standards for 
the global mining and onshore resources 
industry these new standards are being 
supported by a growing number of major 
mining companies and are expected to 
improve aviation safety for everyone 
involved in our industry
w e also support the australian royal flying 
doctor service the rio tinto life flight 
provides free of charge emergency jet services 
to patients in need of evacuation when time 
and distance are critical
w e are developing a framework to ensure new 
projects are managed safely and in line with 
our sustainable development requirements 
throughout their development life cycle 
this framework will defi ne our expectations 
for implementation of group standards and 
systems requirements for and training of 
leaders and the assurance process for health 
safety and environment engagements 
health
our goal is no new cases of occupational 
illness whilst we have signifi cantly 
reduced the number of occupational 
illness cases reported over the last fi ve 
years we have set a new group target to 
further reduce the rate of new cases of 
occupational illness per 10000 employees 
by 30 per cent between 2008 and 2013 
the 2008 baseline for this target excludes 
operations that were divested or fl agged 
for divestment during 2009 in 2009 we 
achieved a 21 per cent improvement
reported illnesses are mostly related to 
stress musculoskeletal disorders and noise 
induced hearing loss therefore ongoing 
reductions will require further improvements 
in the management of risks posed by 
manual handling and noise exposure as 
well as supporting healthy lifestyles through 
workplace wellbeing programmes
we have also set a new group target of a 
ten per cent reduction in the number of 
employees exposed to an eight hour noise 
dose of more than 85 decibels by 2013 from 
a 2008 baseline in 2009 the number of 
employees reported as exposed increased by 
six per cent per 10000 employees primarily 
due to further improvements in monitoring 
programmes and operational changes such 
as moving from surface to underground 
all injury frequency rate
per 200000 hours worked
 
 
 
 
 
09 08 07 06 05
135
110
121
098
082
rio tinto rio tinto including former alcan
new cases of occupational illness
per 10000 employees
 
 
 
 
 
09 08 07 06 05
48
36
22
47
39
rio tinto rio tinto including former alcan
employees exposed to an eight hour noise 
dose of more than 85dba
per 10000 employees average over full shift
 
 
 
 
 
09 08 07 06 05
3937
3985
3778
3355
3524 performance
28 rio tinto 2009 annual report
sustainable development review continued
activities leading to changed exposure 
profi les at a number of our operations
assessing major noise sources and then 
implementing practical and cost effective 
noise controls is complex particularly for 
heavy mobile equipment and noise sources 
in smelters we have therefore established 
a community of practice to share learning 
and assist with the development of more 
effective noise reduction methods including 
engineering solutions and alternative ways 
of working 
during 2009 our pandemic infl uenza 
preparedness plan was revised to incorporate 
the lessons we learned from the fi rst wave 
of the h1n1 pandemic virus our european 
and north american sites were affected 
by the second wave and the plan assisted 
them to manage the situation with minor 
disruptions to their daily activities
we believe that supporting healthy lifestyles 
will reduce health related risks such as 
fatigue stress and obesity with resultant 
improvements in health and safety 
performance and productivity
our new health and wellbeing strategy will 
result in greater support for our employees 
to lead healthier lives we have continued to 
roll out our “ achieve health” programme at 
our australasian businesses and more than 
3000 of our people around the world signed 
up for our be active challenge in 2009 four 
months after the challenge ended 65 per 
cent of people surveyed rated their health as 
above average or excellent compared with 
only 33 per cent before the challenge started
rio tinto operates in countries where the 
prevalence of hiv tuberculosis and malaria 
is high we are working closely with the 
international community engaged with these 
problems not only in africa but globally 
where we have operations located in regions 
with a generalised hiv epidemic as defi ned 
by unaids we actively encourage all 
employees to know their hiv status through 
voluntary testing we also require that all 
employees and their nominated partner 
have affordable access to treatment care 
and support including antiretroviral drugs 
our people 
rio tinto employs on the basis of job 
requirements and does not discriminate 
on grounds of age ethnic or social origin 
gender sexual orientation politics 
religion or disability group companies 
employ disabled people and accept the 
need to maintain and develop careers for 
them if an employee becomes disabled 
and as a result is unable to perform his 
or her current duties every effort is made 
to offer suitable alternative employment 
and to assist with retraining we do not 
employ forced bonded or child labour and 
we actively favour local employment where 
local candidates meet job requirements 
and laws allow we recognise the right 
of all employees to choose to belong to a 
union and seek to bargain collectively we 
strive to build a workforce that is aligned 
with our values and that represents the 
diverse communities and geographies in 
which we operate 
in 2009 we employed 102000 people 
including the group’s proportionate share of 
consolidated companies and equity accounted 
units of these approximately 28000 were 
located in north america 28000 in europe 
20000 in australia and new zealand 8000 
in africa and 7000 in latin america
as a result of the impact of the global 
fi nancial crisis on rio tinto we reported a 
planned reduction of 14000 roles globally 
8500 contractor and 5500 employee 
roles in 2008 the workforce was reduced 
by around 16000 with careful monitoring to 
ensure no discrimination occurred and that 
the organisation has the talent necessary 
to deliver shareholder value in the future
a diverse and skilled workforce is critical 
to our business success in the long term 
excluding the chief executive 20 per cent 
of the chief executive’s executive committee 
are women however we have not met 
our target of 20 per cent representation of 
women in senior management by 2009 
achieving a 13 per cent representation in 
2010 our diversity focus will be expanded 
to address ethnicity and nationality
by engaging with our employees about 
the business and their career aspirations 
implementing individual development 
planning coaching and feedback processes 
and valuing each individual’s contribution we 
position the organisation to achieve change 
and improvement in this key risk area 
our total rewards strategy is designed to 
attract retain and motivate our workforce 
base pay is reviewed regularly and adjusted 
taking into account the individual’s role 
and local market trends as necessary we 
also offer allowances bonuses share plans 
and healthcare benefi ts appropriate to the 
local markets short term incentive plans 
allow individuals to participate in the 
fi nancial success of the business while long 
term incentive plans help align individual 
objectives with shareholder interests
as a result of the fi rst group wide 
employee engagement survey in 2008 
targeted actions were implemented 
across the group to increase levels of 
employee engagement in the areas of 
business leadership and direction image 
and corporate social responsibility and 
safety the impact of these actions will 
be measured in a further survey in 2010
approximately 380000 attendances 
were recorded for training courses in 
health safety environment sustainable 
development and technicaloperational 
skills in 2009 this is a signifi cant increase 
on 2008 and is primarily due to increased 
availability of technology based learning 
we employ graduates from many disciplines 
including mining and process engineering 
geology and geosciences fi nance human 
resources health safety and environmental 
sciences in 2009 200 graduates attended our 
graduate development programme and we 
employed over 600 apprentices our targeted 
representation of women in the graduate 
intake fell slightly to 29 per cent in 2009
our local employment commitments are 
often managed through directly negotiated 
community benefi t agreements for 
example in 2009
• we remained the largest private sector 
employer of indigenous australians and 
maintained our proportion of indigenous 
australian employees at eight per cent of 
our australian workforce 
• in madagascar a transparent job seeker 
database was developed to assist with 
employment of local people we now 
have 512 local employees and a malagasy 
managing director 
employees
number
 
 
 
 
 
 
09 08 07 06 05
32000
35000
106000
106000
102000
rio tinto rio tinto including former alcan  w w w riotint oc om 29
performance
production
and reserves governance
financial 
statements
shareholder
information
• in oman where there is not an established 
pool of highly skilled potential employees 
we almost met our fi ve year commitment 
to locally hire 70 per cent of the sohar 
aluminium smelter workforce within its 
fi rst year of operation 
rio tinto expects all employees to treat each 
other and external contacts with integrity 
fairness and respect in line with our values 
our speakout programme was revised and 
reinforced in 2009 providing employees with 
an independent and confi dential means of 
reporting concerns to senior managers
community engagement and regional 
economic development
by understanding our socioeconomic 
interaction in the regions where we operate 
we optimise benefi ts and reduce negative 
impacts for communities and our operations 
alike this interaction includes relationships 
with local suppliers training and local 
employment support for small to medium 
enterprises optimal distribution of taxes 
and royalties and support for multilateral 
socioeconomic programmes infrastructure 
developed for our mines or processing plants 
can also benefi t local communities and local 
businesses and governments 
increased cash availability and wealth 
resulting from our presence in regions where 
there was previously little can infl ate the price 
of goods and services locally  we manage such 
scenarios to avoid these negative outcomes 
at our mineral sands project in madagascar 
for example we developed and implemented 
infl ux and infl ation mitigation strategies 
together with the local community  
women in communities often 
disproportionately bear the burden of 
change brought about by mining and 
other developments in recognition of 
this we have launched why gender matters 
a guide to better incorporate gender 
considerations in our communities work 
the guide is available on our website 
wwwriotintocom
to enable us to target the delivery of 
socioeconomic programmes refl ecting 
the priorities of local communities we 
conduct community baseline social impact 
and social risk assessments to identify 
potential positive and negative impacts 
of our presence including human rights 
impacts we use this information along 
with community input to develop multi
year communities plans at each operation
during 2009 we completed 19 site 
managed community assessments and we 
improved how we monitor progress 
of fi ndings and corrective actions 
identifi ed through these assessments 
we have systems that actively involve 
communities in decision making processes 
about issues affecting them at our weipa 
bauxite mine land management processes 
ensure that all relevant traditional 
landowners are consulted and their inputs 
sought together with our staff about land 
clearing on the mining lease 
  in 2009   rio tinto businesses supported 
2  479 so cio ec onomic pr ogrammes 
covering a wide range of activities 
incl uding health   ed ucation   bu sines s 
de velopment   hou sing   en vir onmental 
protection and agricultural development
we spent an estimated us119 million 
on community assistance programmes in 
2009 and payments into benefi ts receiving 
trusts set up in directly negotiated 
community impact benefi t agreements 
this is in addition to direct and multiplier 
economic contributions
without a planned approach to local 
enterprise development local and 
sustainable supply chain opportunities 
can be eroded by a global approach to 
procurement accordingly rio tinto 
procurement developed a strategy to 
specifi cally nurture local business 
linkages in 2009 similarly rio tinto 
alcan’s regional industrial development 
programme seeks to facilitate downstream 
and diversifi ed economic development
in 2009 we established a communities 
target which requires all operations to have 
in place by 2013 locally appropriate publicly 
reported social performance indicators that 
demonstrate a positive contribution to the 
economic development of the communities 
and regions where we work consistent with 
the millennium development goals 
environmental stewardship
we continue to proactively manage climate 
change water land stewardship biodiversity 
mineral and non mineral waste air quality 
and closure these programmes include input 
from our local communities as well as from 
experts in these fi elds and are supported 
by our external partnerships with birdlife 
earthwatch fauna  flora international and 
royal botanic gardens kew
in 2009 we set new fi ve year targets for a 
range of environmental metrics which are 
discussed in the sections below we also made 
progress with the development of a formal 
relationship with iucn
greenhouse gas emissions
we accept the urgent need for climate change 
action and recognise the issue as being one 
of our greatest challenges and opportunities 
reducing the greenhouse gas ghg 
emissions intensity of our production is a key 
performance indicator for the group and we 
aim to improve the energy intensity of all our 
operations we are also working to identify 
step change opportunities to improve our 
performance over the longer term
as a result of the alcan integration the 
emissions intensity of our production 
decreased by ten per cent between 2007 and 
2008 refl ecting the high percentage of low 
carbon energy within alcan’s smelter portfolio 
removing the effect of this acquisition our 
intensity would have increased in 2008
community contributions
us millions
 
 
 
 
 
 
09 08 07 06 05
93
96
107
135
119
greenhouse gas emissions intensity 
indexed relative to 2008
 
 
 
 
 
 
09 08 07 06 05
1094
1108
1102
1131
1000 1000
925
rio tinto excluding former alcan
rio tinto including former alcan performance
30 rio tinto 2009 annual report
sustainable development review continued
in 2009 we set a new target to reduce our 
total ghg emissions intensity by six per cent 
between 2008 and 2013 a further four per 
cent reduction is targeted to give an overall 
ten per cent reduction by 2015 as a result of 
the expected completion of planned capital 
projects we index our performance relative 
to 2008 as the base year
during 2009 our ghg emissions intensity 
reduced by 75 per cent largely as a result 
of divesting the ningxia aluminium smelter 
in china which is powered by coal based 
electricity and reduced production at a 
number of operations with a higher than 
average emissions intensity we expect some 
reversal of this positive performance in future 
years as production levels increase 
our total ghg emissions defi ned as the sum 
of on site emissions and those from the net 
purchase of electricity and steam minus net 
carbon credits voluntarily purchased from or 
sold to recognised sources were 410 million 
tonnes of carbon dioxide equivalent nearly 
nine million tonnes lower than in 2008 this 
is the result of asset divestments and reduced 
levels of production at some operations rio 
tinto’s on site emissions were 261 million 
tonnes in 2009 
we operate in an energy intensive sector 
and we seek to improve the greenhouse 
gas emissions over the full life cycle of our 
products for instance rio tinto alcan 
is a leader in the development of energy 
effi cient aluminium smelting technology 
while it represents 71 per cent of the 
group’s energy use it only produces 
64 per cent of our total ghg emissions 
due to its low carbon energy portfolio 
we recognise that there are signifi cant 
ghg emissions associated with the 
transportation processing and use of rio 
tinto’s products in 2009 the three most 
signifi cant sources of indirect emissions 
associated with our products were
• approximately 45 million tonnes of co
2
e 
associated with third party transport of our 
products and raw materials
• an estimated 120 million tonnes of co
2
e 
associated with customers using our coal in 
electricity generation and steel production
• approximately 330 million tonnes of co
2
e 
associated with customers using our iron 
ore to produce steel these emissions are 
not in addition to the coal use emissions 
above as some customers use both our 
iron ore and our coal to produce steel 
emissions associated with third party 
transport and combustion of our coal 
reduced signifi cantly in 2009 with the 
divestment of rio tinto energy america
due to global demand coal is likely to 
remain a signifi cant source of energy for the 
foreseeable future w e are therefore investing 
in developing and commercialising carbon 
capture and storage ccs technology  in 
particular we continued to progress our studies 
on the hydrogen energy california project a 
joint venture with bp  rio tinto is a founding 
member of the global ccs institute and 
supports other collaborative efforts to deploy 
the technology  such as the co2crc’s otway 
basin geosequestration project in australia
where we can infl uence our customers we work 
to develop effi cient downstream processes and 
our metals and minerals can bring energy and 
emissions benefi ts for example
• uranium is used in low carbon 
power generation
• our high purity ductile iron is used 
in the production of wind turbines
• aluminium makes cars lighter reducing 
the amount of fuel used during their 
operation and it can be effi ciently recycled 
during 2009 climate change legislation 
was debated in a number of jurisdictions 
in which we operate rio tinto continued 
to participate in collaborative efforts to 
promote effective public policy frameworks 
to address climate change including the us 
climate action partnership and submissions 
on proposed legislation to governments in 
australia the us the eu and canada a 
comprehensive programme is under way to 
prepare the group for climate legislation
rio tinto’s operations are exposed to the 
physical risks of climate change in 2009 our 
energy  climate strategy group commenced 
a review of progress in identifying managing 
and communicating these risks to better 
coordinate and support the integration of 
projected physical climate change risks in 
project planning and operations
energy use
rio tinto both consumes energy in its 
operations and produces it with signifi cant 
electricity generation at our hydropower 
facilities in canada and in other locations 
our smelting and mineral processing 
operations are energy intensive and depend 
on hydroelectricity nuclear power coal oil 
diesel and gas to keep them running 
this year our energy use decreased from 
553 to 497 petajoules this change has been 
infl uenced by the divestment of the energy 
intensive ningxia aluminium smelter and 
reduced production for some commodities
rio tinto uses a signifi cant portfolio of hydro 
nuclear and other renewable power sources 
in its energy mix which represented 70 per 
cent of our electricity use in 2009 a number 
of new projects and technology upgrades that 
are either under way or planned will ensure 
that we use electricity available from our 
hydroelectric sources with greater effi ciency 
to drive improvement in energy effi ciency 
our businesses have set a range of local 
energy targets that cover nearly three quarters 
of the group’s energy use
the group is working to reduce the energy 
intensity of new projects through demand 
reduction using asset design and the 
development of alternative sources of energy 
supply we are also currently developing 
step change technologies for several of our 
products including the drained cathode 
cell for aluminium production this has the 
potential to signifi cantly reduce the amount 
of energy required to produce aluminium 
water
our water strategy provides a framework 
for addressing water related business risk 
and improving performance and we focus 
on ways to minimise the amount of water 
we remove from the environment reuse 
it whenever we can and return it to the 
environment meeting regulatory limits 
following the increase arising from the 
inclusion of water withdrawal data for 
the former alcan operations in 2008 our 
freshwater withdrawal decreased by six per 
cent to 487 billion litres in 2009 with lower 
water demand at a number of operations 
where production was reduced 
we set a new group water target to reduce 
our freshwater use per tonne of product 
total energy use
petajoules
 
 
 
 
 
 
09 08 07 06 05
245
257
540
553
497
rio tinto rio tinto including former alcan  w w w riotint oc om 31
performance
production
and reserves governance
financial 
statements
shareholder
information
by six per cent by 2013 from a 2008 
baseline freshwater use excludes water 
that is extracted for ground control and 
discharged without use in our processes 
in 2009 we increased our freshwater use 
per tonne of product by four per cent 
although total freshwater use did decrease 
this year the scale effi ciencies achieved 
with high production rates in 2008 were 
not maintained as water use is not directly 
related to production rates at all operations 
internal local recycling and ecological 
targets support the group water target
we continued to support the development 
of water strategies at our businesses 
aligned with the rio tinto water strategy 
and supported new projects to ensure that 
effi cient practices are in place at mine 
commencement our water risk reviews 
support this strategic work and a total of 40 
operations and new projects have completed 
reviews since 2005 including fi ve in 2009 
rio tinto engages with governments on 
emerging water policy we chair a water 
working group as part of the minerals council 
of australia with the main focus in 2009 
being development of a water account for 
australian industry as part of a government
industry project to report on consistent water 
metrics across industry we also engage on 
key water initiatives with organisations 
committed to sustainable water management 
such as the world economic forum
land
we manage just over 41000 square kilometres 
of land excluding our exploration leases at 
the end of 2009 our activities had impacted 
nine per cent of this area our disturbance 
footprint doubled in 2009 primarily 
because the land utilised for rio tinto 
alcan’s hydroelectric dams in quebec was 
reported for the fi rst time in terms of rio 
tinto’s reporting defi nitions following full 
implementation of our land use stewardship 
standard by former alcan operations
in line with leading practice we aim to 
rehabilitate land as it comes out of mining 
use rather than waiting until all operations at 
the site have ceased by the end of 2009 24 
per cent of our disturbed land excluding land 
disturbed for hydroelectricity dams had been 
rehabilitated an internal rehabilitation target 
helps to drive performance improvements 
in 2009 we formalised a programme to 
explore the threats and opportunities for 
the group arising from emerging green 
markets in biodiversity carbon water and 
other ecosystem services the natural 
capital project has commenced exploring 
the ecosystem service values of our extensive 
non operational landholdings through 
our collaboration with the iucn economics 
group we have undertaken a preliminary 
assessment of the biodiversity value of forest 
conservation projects in madagascar this 
groundbreaking work is being developed 
as a pilot project as part of the wbcsd 
ecosystem valuation initiative rio tinto 
also sponsored an iucn paper on the cost 
of reducing emissions from deforestation 
and degradation redd this paper was 
published as part of the copenhagen climate 
change discussions in december 2009 
biodiversity
the potential for impact on biodiversity 
makes our projects sensitive for external 
stakeholders and employees rio tinto’s 
future success depends on our ability to 
manage these issues our biodiversity 
strategy launched in 2004 provides this 
management framework with a goal to have 
a “net positive impact” npi on biodiversity
we continue to work with our conservation 
partners to improve implementation of 
the strategy and have commenced piloting 
offset methodologies in madagascar and the 
hunter valley australia 
tools and methodologies have been developed 
to assess the biodiversity values of rio tinto’s 
landholding in 2009 a methodology for 
developing biodiversity action plans baps 
was completed in collaboration with fauna 
 flora international ffi a public version 
of this methodology is available on the ffi 
website wwwfaunafl oraorg
thirty two per cent of our operations where 
the baseline biodiversity status had been 
fully assessed ranked as having very high 
biodiversity values and 21 per cent ranked 
with high values in 2009 our biodiversity 
values assessment has now been rolled out 
to the former alcan operations enabling 
implementation of our biodiversity strategy 
2009 also saw a strong focus on the 
implementation of baps at sites with very 
high and high biodiversity values rio tinto 
coal australia completed regionally focused 
baps for fi ve sites in new south wales and 
queensland baps are under development 
at a further 23 sites in seven countries 
biodiversity action planning will continue 
through 2010 at sites that have been ranked 
as having very high and high biodiversity 
values an internal target supports our goal 
of achieving npi at these sites
economic prosperity
we use our expertise to harness resources 
creating prosperity for our shareholders 
employees communities governments and 
business partners
our direct economic contribution into the 
local and regional economies where we 
operate was us44844 million in 2009 
this amount includes
• us6696 million spent on wages 
and salaries
• us21363 million in value add equivalent 
to the sum of all labour payments the taxes 
and royalties disbursed to governments 
and others plus all returns to capital
supply chain
we adopt a life cycle view of our products 
so as to maximise the value to society while 
minimising negative impacts of products 
freshwater withdrawn
billion litres
 
 
 
 
 
 
09 08 07 06 05
370
392
411
448 70
67 420
freshwater withdrawn
freshwater withdrawn and used
freshwater withdrawn and discharged without use
land footprint
square kilometres
 
 
 
 
 
 
09 08 07 06 05
1083 376
1112 401
1154 418
1373 471
3410 402
disturbed rehabilitated performance
32 rio tinto 2009 annual report
sustainable development review continued
and encouraging those along the supply 
chain to adopt similar practices 
in 2009 we spent us23481 million 
on goods and services with over 58000 
suppliers a us6172 million reduction 
compared to last year due to reduced 
capital spending capacity curtailment 
and cost reductions our programme of 
supplier engagement includes sustainable 
development criteria in its contracts and 
our statement of procurement principles is 
available on our website 
payments to suppliers are a major benefi t 
to the economy generating employment 
and creating wealth as an example in 
2009 a us200 million mining contract 
was awarded to a joint venture between 
native title holders the eastern guruma 
and a mining services company nrw the 
contract to build mine and transport iron 
ore from rio tinto’s western turner syncline 
deposit is the fi rst signifi cant mining joint 
venture for the eastern guruma people 
and continues the comprehensive rio tinto 
commitment to indigenous contracting in 
the pilbara region of western australia
we develop and regularly update lifecycle 
assessments for all our major products 
including aluminium iron ore copper coal 
uranium gold and silver by understanding 
the health and environmental impacts and 
benefi ts of our products over their complete 
life cycle we gain knowledge on how to 
improve our processes expand our information 
to the marketplace and differentiate our 
products from our competitors 
this knowledge is also used to ensure 
compliance with new chemicals regulations 
such as the european union registration 
evaluation authorisation and restriction of 
chemicals legislation and the un globally 
harmonized system of classifi cation and 
labelling of chemicals 
rio tinto is engaged in industry wide 
stewardship initiatives to support 
responsible production and help develop 
leading practices and recognised standards 
we are an active member of the responsible 
jewellery council and of stewardship 
initiatives for other commodities such as 
uranium copper steel and aluminium
the supply of our products often involves 
marine transportation which can impact 
oceans and we have joined the world 
ocean council to help create a responsible 
ocean business community we completed 
a strategic review of environmental risk 
related to our shipping activities as part 
of our marine stewardship programme 
non managed operations
rio tinto holds ownership interests in 
companies it does not manage however we 
remain closely engaged through membership 
of the boards of directors and of technical 
committees we believe that the principles in 
the way we work are universal in our dealings 
with joint venture partners and non controlled 
companies in which we participate we 
therefore make every effort to ensure that 
the standards of conduct in the way we work 
are respected at all times 
examples include escondida copper mine 
in chile the grasberg coppergold mine in 
indonesia and the oyu tolgoi copper project 
in mongolia
rio tinto has a 30 per cent interest in 
escondida which is managed by bhp billiton 
our seats on the mine’s owners’ council 
allow us regular input on strategic and policy 
matters we also played a part in establishing 
the escondida foundation which is funded 
by one per cent of the mine’s pretax profi ts 
and is the vehicle through which escondida 
fulfi ls some of its social responsibilities 
the grasberg mine is majority owned and 
operated by freeportmcmoran copper  
gold rio tinto has a 40 per cent joint venture 
interest in grasberg’s 1995 mine expansion 
and is represented on the joint venture’s 
operating committee there were two 
fatalities at grasberg in 2009
both rio tinto and freeportmcmoran support 
the voluntary principles on security and 
human rights and continue to work together 
to ensure practice is consistent with these 
principles at least one per cent of the mine’s 
net sales are committed to support village based 
programmes which represents cumulative 
funding of us400 million since 1996 
the mine continues to refi ne its management 
of its tailings discharge including 
containment understanding revegetation 
and long term closure options there have 
been signifi cant improvements in tailings 
management at the grasberg mine including 
construction of lateral dikes to limit the 
surface area disturbed by tailings deposition 
in the lowlands and protect adjacent river 
systems diversion of the ajkwa river system 
to preserve its water quality and enhance 
tailings retention within the deposition 
area successful progressive rehabilitation of 
the now inactive tailings within the ajkwa 
diversion area and of new islands forming 
at the mouth of the diversion area and 
completion of an ecological risk assessment
rio tinto and ivanhoe signed an investment 
agreement with the mongolian government 
to develop the oyu tolgoi coppergold project 
in 2009 as a result we increased our stake in 
ivanhoe to 197 per cent
this 30 year agreement commits all parties 
to supporting the regional development of 
the south gobi region it also commits oyu 
tolgoi to employing a minimum of 60 per cent 
mongolian workers including contractors 
during construction and 75 per cent 
mongolian workers including contractors 
during operations it further commits oyu 
tolgoi to no less than a 90 per cent mongolian 
workforce as direct employees of the business 
throughout the life of the operation there 
was one fatality at oyu tolgoi in 2009
assurance
our corporate assurance function has 
accountability and responsibility for 
providing assurance to the board that
• rio tinto’s policies standards and controls 
are adequately designed and effective for 
their intended purpose and that 
• these policies standards and controls are 
consistently implemented by all rio tinto 
sites on a timely basis and as designed
in addition we engaged an independent 
external assurance organisation 
pricewaterhousecoopers pwc to provide 
the board of directors of rio tinto plc and 
rio tinto limited assurance on selected 
sustainable development subject matter 
as explained below 
pwc’s assurance statement satisfi es the 
requirements of subject matters one through 
four of the icmm assurance procedure while 
our online gri report has been checked by 
gri satisfying subject matter fi ve of the 
icmm procedure
direct economic contribution
us million
 
 
 
 
 
09 08 07 06 05
8606 12136
10999 14441
16277 17241
28412
23481
29653
21363
payments to suppliers value added  w w w riotint oc om 33
performance
production
and reserves governance
financial 
statements
shareholder
information
independent assurance report to 
the directors of rio tinto plc and rio 
tinto limited on selected sustainable 
development subject matter
for the purposes of this report the group 
comprises rio tinto plc and rio tinto 
limited and the entities they control as at 
31 december 2009 hereafter “rio tinto”
as a founding member of the international 
council on mining and metals ‘icmm’ rio 
tinto has committed to obtaining assurance 
over specifi ed subject matter in its report 
in line with icmm’s sustainable development 
framework assurance procedure ‘the icmm 
assurance framework’
we have been engaged to provide limited 
assurance on selected sustainable 
development subject matter the “selected 
subject matter” included in the sustainable 
development review section “sdr section” 
of rio tinto’s annual report the “ annual 
report” for the year ended 31 december 2009 
the selected subject matter 
the selected subject matter was chosen by rio 
tinto with consideration given to the subject 
matters contained within the icmm assurance 
framework “icmm subject matters” it 
comprises the following information reported 
within the sdr section of the annual report
• rio tinto’s assertion that it has 
incorporated the requirements of the ten 
sustainable development principles of the 
icmm into its own policies strategies and 
standards “icmm subject matter 1”
• rio tinto’s assertions regarding the 
approach that it has adopted to identify 
and prioritise its material sustainable 
development risks and opportunities 
included within the sdr section of the 
annual report “icmm subject matter 2”
• rio tinto’s assertions regarding the 
existence and status of implementation of 
systems and approaches used to manage 
the following sustainable development risk 
areas “icmm subject matter 3”
• safety
• health
• greenhouse gas emissions
• energy use
• water
• the following performance data related to 
the material sustainable development risks 
identifi ed under icmm subject matter 3 
“icmm subject matter 4”
• all injury frequency rate
• lost time injury frequency rate
• number of fatalities
• new cases of occupational illness per 
10000 employees
• employees exposed to an 8 hour noise 
dose of more than 85 dba per 10000 
employees average over a full shift
• total greenhouse gas emissions
• total energy use
• total freshwater withdrawn
we note that the selected subject matter did 
not extend to
• rio tinto’s self declared application level 
of the global reporting initiative “gri” 
g3 sustainability reporting guidelines 
“icmm subject matter 5” or 
• the alignment of rio tinto’s sustainability 
policies against icmm position statements
respective responsibilities of 
rio tinto management and 
pricewaterhousecoopers 
the directors of rio tinto are responsible 
for preparing the selected subject matter based 
on rio tinto criteria for reporting on 
sustainable development performance the 
“reporting criteria” the reporting criteria are 
available on rio tinto’s website wwwriotinto
comourapproach 
our responsibility is to express a conclusion 
on the selected subject matter based on our 
procedures the procedures selected depend 
on our judgment including an assessment of 
the risks of material misstatement 
we read other information included within 
the sdr section in the annual report and 
consider whether it is consistent with the 
knowledge obtained through our procedures 
we consider the implications for our report 
if we become aware of any apparent material 
inconsistencies with the selected subject 
matter our responsibilities do not extend to 
any other information 
this report including the conclusion has been 
prepared for rio tinto to assist the directors in 
reporting rio tinto’s sustainable development 
performance w e consent to the inclusion of 
this report within the annual report to enable rio 
tinto’s members to verify that the directors have 
discharged their governance responsibilities 
by commissioning an independent assurance 
report in connection with the selected 
subject matter w e do not accept or assume 
responsibility for our work or this report to 
anyone other than the directors as a body and to 
rio tinto save where terms are expressly agreed 
and with our prior consent in writing
inherent limitations
nonfi nancial performance information is 
often subject to more inherent limitations 
than fi nancial information given the 
characteristics of the subject matter and 
the methods adopted for the defi nition 
and gathering of information qualitative 
interpretations of relevance materiality and 
the accuracy of sustainable development 
data and assertions are subject to individual 
assumptions and judgements it is important 
to read the subject matter in the context of 
rio tinto’s reporting criteria
assurance work performed
we conducted our assurance engagement 
in accordance with international standard 
on assurance engagements 3000 revised 
– “ assurance engagements other than 
audits and reviews of historical financial 
information” issued by the international 
auditing and assurance standards board 
“isae 3000” our procedures applied to the 
selected subject matter primarily comprised 
• making enquiries of relevant management 
of rio tinto
• evaluating the design of the key processes 
and controls for managing and reporting 
the subject matter
• testing on a selective basis the preparation 
and collation of the subject matter prepared 
by the management of rio tinto
• undertaking analytical procedures over 
the reported data 
• reviewing a sample of relevant 
management information and 
documentation supporting assertions 
made in the subject matter
a limited assurance engagement is 
substantially less in scope than a reasonable 
assurance engagement under isae 3000 it 
generally excludes procedures such as testing 
the operating effectiveness of controls and 
corroborative data testing
conclusion 
based on our review which is not an audit 
nothing has come to our attention which 
causes us to conclude that the selected subject 
matter for the year ended 31 december 2009 
has not been prepared in all material respects 
in accordance with the reporting criteria 
pricewaterhousecoopers
liza maimone partner
melbourne 5 march 2010
liability limited by a scheme under professional 
standards legislation performance
34 rio tinto 2009 annual report
aluminium
transforming the aluminium business
the aluminium product group rio tinto alcan is a global leader in the 
aluminium industry its operations are closely integrated across the globe 
and include mining high quality bauxite refi ning alumina for both primary 
aluminium production and specialty alumina markets and producing 
primary aluminium at some of the lowest cost most technologically advanced 
smelters in the industry rio tinto alcan is renowned for its technology 
leadership as well as its advantaged position among aluminium producers 
in generating clean renewable hydroelectricity
strategy
• deliver on our baseline commitments 
including customer service sustainable 
development and ensuring the safety of 
our employees
• continue our journey of transformation 
and deliver on cost improvements 
• surpass our synergy target and complete 
the integration process which includes 
accelerating our cultural integration
• protect and enhance our superior growth 
options while preserving cash
achievements
• reduction of 22 per cent in the all injury 
frequency rate from 2008 to 2009
• delivered after tax synergy benefi ts of 
us924 million during 2009 with an 
annualised sustainable run rate of 
us11 billion at the end of 2009
• transformational change to both 
administrative and production costs 
drove further effi ciencies across the 
entire organisation
• strategically managed sustaining 
capital expenditure allocations and 
completed value improvement exercises 
at major capital project sites to improve 
long term costs
• adjusted production of bauxite alumina 
and aluminium to align with the downturn 
in market demand 
key priorities
• improve safety performance towards the 
objective of zero harm
• maintain focus on transformational 
change to enhance margins reduce 
operating costs and optimise effi ciencies 
at all operations worldwide
• continue to align production levels with 
market requirements
• drive additional value growth initiatives 
such as capital effi ciency projects and 
research and development programmes
• strategically progress key projects including 
the yarwun 2 expansion project australia 
kitimat modernisation project ap50 pilot 
plant and shipshaw optimisation canada 
outlook
• rio tinto alcan remains committed to 
delivering on operational effi ciencies and 
improving its baseline cost structure
• major cost reduction measures and further 
aligning production with market demands 
are expected to position rio tinto alcan 
to continue to lead the restructured global 
aluminium industry going forward
• to build stronger margins and remain long 
in bauxite and alumina the group holds 
the world’s largest bauxite reserves and a 
competitive position in the alumina sector
• carbon trading and emissions regulations 
will factor strongly in the coming years 
particularly in oecd countries and the 
group’s ap technology and clean energy 
sources are expected to provide advantages 
in a carbon constrained marketplace
2009 operational highlights
us million
revenue 12038
operating cash fl ow 688
underlying earnings 578
capital expenditure 1690
net operating assets 35992
5
operating cash flow contribution
underlying earnings contribution
2007 – 2009 usm
 a reconciliation of the net earnings with underlying earnings for 
2008 and 2009 as determined under eu ifrs is set out on page 22 
all amounts presented by the product groups exclude net 
interest and other centrally reported items
2007 comparatives have beeen restated to remove engineered products
tax and other
costs
volume
inflation
price and exchange
tax and other
costs
volume
inflation
prices and exchange
578 2009
2008
2007
1271
2243
1040
207
55
86
495
4
41
233
206
1073
0
jacynthe côté chief executive rio tinto alcan
for production and reserves see page 62  w w w riotint oc om 35
performance
production
and reserves governance
financial 
statements
shareholder
information
performance
in 2009 rio tinto alcan’s annual bauxite 
production was 307 million tonnes down 
from 350 million tonnes in 2008 mainly 
due to production curtailments at weipa 
australia the group has a leading position 
in alumina refi ning and full ownership or 
participation in 21 aluminium smelters with 
a total annual capacity of nearly 40 million 
tonnes rio tinto’s share the vast majority 
of which are located in oecd countries
in the current environment of weaker 
than average demand the group retains 
a competitive advantage as about 
80 per cent of its aluminium is produced 
in the fi rst half of the industry cost curve 
and it has curtailed higher cost production 
rio tinto alcan’s favourable cost position 
especially with regard to energy inputs has 
benefi ted the business during the current 
global economic downturn
in 2009 rio tinto alcan’s contribution to 
underlying earnings was a negative us578 
million a decrease of us1849 million from 
2008 this is mainly due to the sharp decline 
in lme prices experienced during the fi rst 
half of 2009 coupled with the continuing 
economic downturn in most markets the 
effects of the lme and market conditions 
were partially reduced by improved raw 
material costs through negotiation of prices 
lower oil prices and lower cash costs due to 
cash initiatives production curtailments 
and ongoing synergy benefi ts second half 
ebitda improved by over us1 billion 
compared to the fi rst half as transformational 
initiatives enabled rio tinto alcan to be well 
positioned for the aluminium price recovery 
the average aluminium market price in 
2009 was us1701 per tonne compared 
with us2620 per tonne in 2008 the 
group’s average realised price for ingot 
products in 2009 was us1833 compared 
to us2753 in 2008
strategy
rio tinto alcan will continue to deliver on its 
baseline commitments including customer 
service sustainable development and 
ensuring employee safety the group will also 
remain focused on delivering value through 
large scale long term cost competitive assets
financial performance will be founded 
on continued transformational change 
a reduced cost structure and robust cash 
management cash preservation and 
optimisation of working capital remain 
key ongoing priorities synergy targets 
and completing integration including 
cultural integration by aligning systems 
and exchanging personnel with other 
rio tinto businesses will also be key 
strategically protecting and enhancing our 
superior growth options has meant slowing 
growth oriented capital expenditures value 
improvement projects at selected sites are 
targeting 2030 per cent reductions in capital 
costs for major projects in the medium term 
previously announced modernisations or 
closures are expected to move our portfolio 
even further down the industry cost curve 
this will allow us to create value throughout 
future economic cycles and reduce our global 
carbon footprint
our business strategy also includes being 
long in bauxite and alumina this supports 
our growth and ensures that the group is not 
exposed to the asymmetric alumina pricing 
risk when the global alumina market falls into 
defi cit expansion of the yarwun refi nery in 
australia will increase alumina production 
by two million tonnes per annum slowing 
of construction has resulted in a revised 
completion date for the second half of 2012
key achievements
synergies from the integration of alcan 
were delivered ahead of target despite 
economic pressures and capital constraints 
this was achieved using only 70 per cent 
of the planned operational expenditure 
and 23 per cent of the planned capital 
expenditure furthermore full recurring 
synergies delivered are expected to exceed 
the previously stated us11 billion target
at the end of 2009 rio tinto alcan had 
closed sold or curtailed approximately 
ten per cent of its aluminium smelting 
production which represents the removal 
of a signifi cant portion of its capacity in the 
top half of the cost curve the group has also 
slowed selected projects using the delay 
to complete value improvement exercises 
aimed at improving costs for the long term
transformational change to both 
administrative and production costs 
drove further effi ciencies across the 
entire organisation 
in addition to completion of the ningxia 
joint venture sales transaction in china 
strategic divestments included the sale 
of the group’s 80 per cent interest in the 
ghana bauxite company including the 
awaso bauxite mine as it was not aligned 
with our long term strategy the sale was 
completed on 1 february 2010
the sohar aluminium smelter in oman 
which poured its fi rst metal in 2008 
reached its full capacity of 360000 tonnes 
per annum in 2009 the state of the art 
smelter uses rio tinto alcan’s benchmark 
ap36 technology – a highly effi cient and 
environmentally friendly smelting technology 
energy effi ciency improved by one per 
cent over last year in north america due to 
aggressive improvement targets at each of 
the group’s smelters energy self audits to 
reduce natural gas consumption at anode 
baking furnaces and auxiliary natural gas 
consumption reductions these initiatives 
required no additional investment from 
rio tinto alcan
despite economic pressures safety was a 
top priority and overall the group achieved 
a 22 per cent reduction in the all injury 
frequency rate from 2008 to 2009 
safety
rio tinto alcan and its employees have 
integrated rio tinto safety performance 
standards and risk management practices 
throughout its businesses the ultimate goal 
remains zero harm regrettably one fatality 
occurred at the ghana bauxite company 
site in august 2009
a key priority has been the reduction of 
major risks through the implementation of 
rio tinto hse performance standards and risk 
management practices at critical sites process 
safety management to prevent collapse fi re 
and explosion as well as the release of toxic 
reactive fl ammable or explosive materials 
has progressed signifi cantly
during 2009 the integration process was 
successfully completed including key 
elements of the rio tinto hseq management 
system and deployment of the safety 
leadership development programme 
all injury frequency rate
per 200000 hours worked
 
 
 
 
 
09 08 07 06 05
141
145
167
133
104
rio tinto rio tinto including former alcan performance
36 rio tinto 2009 annual report
aluminium continued
completion of this work lays the foundation 
for establishing clear global priorities and 
common business standards
rio tinto alcan’s all injury frequency rate 
aifr of 104 at the end of 2009 represented 
a 38 per cent reduction over the 2007 
integrated former rio tinto aluminium 
and alcan baseline
greenhouse gas emissions
total greenhouse gas emission intensity 
at rio tinto alcan reduced by 99 per cent 
for aluminium this is the result of the 
divestment of the ningxia joint venture 
smelter in china closure of some older 
operations curtailment of production at 
selected facilities and increased 
operational effi ciency 
rio tinto alcan is a leader in the generation 
of low ghg intensity power with projects in 
place to continue improvements to overall 
site performance as well as leverage energy 
effi ciency best practice sharing and research 
and development efforts to achieve both ghg 
reductions and low carbon targets 
rio tinto alcan contributes 64 per cent of rio 
tinto’s total ghg emissions our achieved 
and continued reductions also contribute 
signifi cantly to the rio tinto group’s overall 
intensity improvements
furthermore rio tinto alcan products play 
an important role in attaining sustainable 
downstream ghg savings across numerous 
commercial and civilian sectors notably 
in automobiles trucks buses and trains 
aluminium can also be recycled indefi nitely 
without compromising its quality
integration of alcan
the integration of alcan delivered after tax 
synergy benefi ts of us924 million during 
2009 with an annualised sustainable run rate 
of us11 billion at the end of 2009 despite 
economic turbulence and capital constraints 
the integration programme has successfully 
achieved its us11 billion target for 2010 
using only 70 per cent us173 million of 
the planned operational expenditure and 
23 per cent us122 million of the planned 
capital expenditure as remaining projects 
realise their full potential in 2010 the full 
recurring synergies delivered are expected 
to be us12 billion per year which exceeds 
the stated target of us11 billion
the delivered benefi ts are derived from a 
range of business areas such as logistics 
and operations the operating synergies 
are driven primarily by cost reduction 
initiatives in procurement and combining 
knowledge and resources between business 
units by optimising australian bauxite 
production which when ramped up is 
expected to result in synergies of us24 
million annually within the worldwide 
primary metal research  development 
function optimisation and coordination 
of research project streams generated 
annualised savings of us22 million
as we conclude the integration programme 
synergies will become embedded into normal 
business operations deferred projects will be 
transferred to business improvement teams 
for future realisation and best practices will 
continue to be shared across rio tinto
review of operations
in addition to meeting synergies and 
integration targets cash preservation and 
optimisation of working capital remain key 
priorities improvement programmes and 
reductions have targeted both structural 
and cyclical elements such as the cost of key 
inputs including coke caustic and pitch 
to sustain input cost reductions over the 
longer term rio tinto alcan widened its 
specifi cation ranges capitalised on logistic 
opportunities and leveraged its position 
as a part of the rio tinto group during 
procurement negotiations 
rio tinto alcan permanently closed or 
divested higher cost facilities to centre its 
asset base on top tier large scale assets 
the beauharnois smelter in quebec ceased 
smelting operations in april and the anglesey 
aluminium metal joint venture in the uk 
closed in september regional industrial 
development teams have assisted both sites 
to reduce the impact of the closure on the 
community and identify potential long term 
projects such as a remelt and recycling centre 
at beauharnois and a standalone casting 
centre at anglesey the sale of rio tinto 
alcan’s share of the ningxia smelter in china 
was completed in 2009
the group also temporarily curtailed 
production capacity at selected facilities 
worldwide globally the business has closed 
sold or curtailed approximately ten per cent 
of its aluminium smelting production as 
at the end of 2009 which represents the 
removal of a signifi cant portion of its capacity 
in the fi rst half of the cost curve
bauxite and alumina production was also 
adjusted to align with market demand and 
internal requirements bauxite production 
was curtailed by 12 per cent globally 
including a 38 million tonne reduction at 
weipa and alumina capacity was curtailed 
by two per cent cost reduction and cash 
conservation initiatives included slowing 
construction of the yarwun alumina refi nery 
expansion in australia introducing a fl exible 
production model at the jonquière vaudreuil 
refi nery in canada and lowering operating 
costs at year end 76 per cent of bauxite 
production and 36 per cent of alumina 
production were situated in the lower half of 
their respective cost curves 
primary metal operations in north america 
delivered 182 per cent on anticipated 
synergies and integration targets 
effi ciency was greatly improved by a strong 
commitment to business improvement 
and quick integrated deployment of 
improving performance together ipt asset 
management and lean methodologies 
primary metal asia pacifi c also exceeded 
its synergy targets by 47 per cent at its 
smelting operations
to further global competitiveness a 
restructuring programme is under way in 
france to improve productivity by 20 per cent 
and align production costs with the global 
industry average this will position both 
the smelters and alumina operations to take 
advantage of potential carbon constraints 
and the benefi ts of nuclear electricity
after registering a low of us1367 per 
tonne in february average monthly lme 
prices trended upward during the rest of 
the year reaching us2213 per tonne in 
december automobile production in the 
us japan and western europe has begun 
to increase industrial production and 
semis shipments in these regions have also 
moved upward since reaching a trough in 
the apriljune 2009 period
aluminium – greenhouse gas 
emissions intensity 
indexed relative to 2008
 
 
 
 
 
09 08 07 06 05
1177
1194
1170
1187
1000 1000
901
rio tinto excluding former alcan
rio tinto including former alcan  w w w riotint oc om 37
performance
production
and reserves governance
financial 
statements
shareholder
information
the chinese aluminium market moved from 
being a slight net exporter during the last 
fi ve years to a net importer but as a result of 
slower economic growth earlier in the year 
and dramatic capacity curtailments in the 
domestic aluminium industry an energy 
surplus has emerged pushing down the 
cost of production and encouraging restarts 
of aluminium capacity it is likely that the 
energy situation will prove to be temporary 
ongoing urbanisation and increases in 
standards of living will drive competition for 
energy moving china back into an energy 
defi cit and placing upward pressure on costs 
because the aluminium industry took a 
signifi cant amount of high cost capacity 
offl ine in 2009 average industry costs have 
declined resulting in a fl attening of the 
aluminium cost curve this is likely to be 
temporary and to reverse as demand picks 
up and causes some restarts of higher cost 
smelters if this occurs a steeper cost curve 
will emerge favouring low cost producers 
such as rio tinto alcan
the group has therefore prioritised the 
protection and enhancement of its superior 
growth initiatives although no new capacity 
is planned before 2012 and large scale 
projects worldwide have been slowed this 
delay has been used to complete value 
improvement exercises aimed at reducing 
costs for the long term both the ap50 
pilot plant in quebec and the kitimat 
modernisation project in british columbia are 
working to implement the latest in low energy 
consumption technology maximise their 
use of existing infrastructure and apply lean 
construction principles in the years ahead 
rio tinto alcan has also signed a 
memorandum of understanding with the 
government of cameroon in preparation 
for a greenfi eld project that includes a 
hydropower dam aluminium smelter and 
port facilities construction is expected to 
begin toward the end of 2011 with fi rst metal 
in 2016
the shipshaw power station optimisation is 
on budget and on schedule and is expected 
to improve this major component of rio tinto 
alcan’s extensive hydroelectric network in 
quebec which has a total installed capacity 
of approximately 2900 megawatts 
outlook 
in the short term rio tinto alcan remains 
committed to delivering on operational 
excellence and improving its baseline 
cost structure by maintaining major cost 
reduction measures made in 2009 we expect 
that the business will be in a strong position 
to lead the restructured global aluminium 
industry going forward rio tinto alcan will 
continue aligning production with sales 
and marketing needs as part of an ongoing 
reorganisation of its operating structure in 
france the group will adopt cost reduction 
measures for selected european aluminium 
and specialty alumina operations 
global aluminium consumption growth 
is expected to grow in the range of four 
to six per cent during the next decade 
supported by china’s continued urbanisation 
industrialisation and economic development 
as well as that of developing economies such 
as india indonesia and brazil our analysis 
suggests that by 2020 meeting increased 
demand will require the equivalent of one 
new quebec smelting system every nine 
months as well as the equivalent of a fully 
expanded yarwun every year and a weipa 
every three years
because rio tinto alcan’s energy costs are 
believed to be less linked to pricing on the 
london metal exchange than other large 
producers we are well positioned to capture 
value when prices rise the group intends to 
leverage this advantage through growth and 
additional effi ciency initiatives 
carbon trading and emissions regulations 
will factor strongly for aluminium in the 
coming years particularly in oecd countries 
the new zealand government has a legislated 
emissions trading scheme expected to 
include the nzas joint venture from july 
2010 and the australian government has 
proposed a carbon pollution reduction 
scheme to commence in july 2011 as 
of 2013 rio tinto alcan sites within the 
european union will join the european 
trading scheme and therefore be covered by 
all applicable regulations 
rio tinto alcan’s growth portfolio includes 
projects that centre on clean energy sources 
as well as high performance technologies 
as means of reducing emissions our 
comprehensive proprietary ap technology 
suite also makes rio tinto alcan a partner 
of choice for project development driven 
by a disciplined proven engineering and 
technology delivery process we continue to 
develop the next generation of our smelting 
technology as an ideal complement to strong 
renewable power assets an ap50 pilot 
plant is under construction in the saguenay 
quebec canada and the apxe suite is 
being designed to be retrofi tted to previous 
ap series cells
in addition to its modern low cost smelting 
fl eet rio tinto alcan is a fully integrated 
aluminium producer the group can leverage 
various supply chain benefi ts from mine to 
metal and expects suffi cient supplies to 
sustain its long term growth strategy it holds 
interests in three of the four largest bauxite 
mines in the world weipa porto trombetas 
and sangaredi situated in the top three 
bauxite reserve countries australia brazil 
and guinea this provides optionality 
through size expandability and proximity 
to key growth markets 
rio tinto alcan’s bauxite reserves in north 
eastern australia weipa and gove mines 
and alumina refi neries at gove yarwun 
and queensland alumina have made 
this region in particular a hub for future 
optimisation opportunities  performance
38 rio tinto 2009 annual report
copper
growth through innovation
rio tinto’s copper group is a world leader in copper production operations 
include kennecott utah copper in the us and interests in the producing 
copper mines of escondida in chile grasberg in indonesia northparkes 
in australia and palabora in south africa in 2009 the group produced 
approximately 800000 tonnes of copper which places it among the top 
fi ve copper producers in the world gold and molybdenum are also valuable 
byproducts of the group’s mines in addition to its producing assets the group 
has interests in three of the world’s largest undeveloped greenfi eld copper 
projects the group also includes major nickel deposits in the us 
and indonesia
strategy
• deliver shareholder value by signifi cantly 
increasing copper production in the 
medium term
• be an innovative disciplined acquirer 
and developer of value creating assets
• optimise and develop the group’s 
existing assets
• continue to invest in innovative 
technologies such as block caving 
and sulphide leaching to maintain 
leadership in the mines of the future
• leverage the diverse portfolio of 
producing and developing mines to 
adapt to changing economic conditions
achievements 
• at kennecott utah copper kuc the 
concentrator set multiple plant production 
records including total ore milled and 
copper in concentrate produced
• also at kuc the resource development 
team identifi ed a new copper
molybdenumgold porphyry system
• kuc and escondida both successfully 
negotiated new mutually benefi cial 
collective bargaining agreements with 
their work forces in 2009
• a landmark investment agreement with 
the government of mongolia progressed 
the development of the oyu tolgoi project 
rio tinto increased its stake in ivanhoe 
mines to 197 per cent
• kennecott eagle nickel successfully 
addressed certain key legal challenges 
to its mine permits in the us
key priorities
• exceed the improved safety performance 
in 2009 with a focus on embedding process 
safety risk reviews
• development of the world class oyu tolgoi 
coppergold deposit in mongolia 
• at kuc progress the molybdenum autoclave 
project and continue life of mine extension 
through local drilling programmes
• complete the northparkes e48 development 
and ramp up to full production
• the copper projects function will maintain 
and maximise options around key projects 
and pursue opportunities to accelerate the 
start of production 
outlook
• industry fundamentals support a strong 
outlook on price with robust long term 
demand and supply side constraints
• continued price volatility with 
upside potential
• industry will be challenged by mines 
of increasing depth decreasing grade 
profi les and increasing exposure to 
higher risk regions
• gradual transition to underground mines 
which require higher capital costs and 
investment in innovative technologies
2009 operational highlights
us million
revenue 6206
operating cash fl ow 2223
underlying earnings 1866
capital expenditure 553
net operating assets 5028
16
operating cash flow contribution
underlying earnings contribution
2007 – 2009 usm
 a reconciliation of the net earnings with underlying earnings for 
2008 and 2009 as determined under eu ifrs is set out on page 22 
all amounts presented by the product groups exclude net 
interest and other centrally reported items
tax and other
costs
volume
inflation
price and exchange
tax and other
costs
volume
inflation
prices and exchange
1866
1597
3479 2007
2008
2009
185
49
963
620
66
487
40
556
304
64
0
andrew harding chief executive copper
for production and reserves see page 62  w w w riotint oc om 39
performance
production
and reserves governance
financial 
statements
shareholder
information
performance
as markets recovered from the turbulence 
of 2008 the copper group achieved an 
increase in underlying earnings of 17 per 
cent in 2009 this was achieved through 
cost reductions and higher volumes 
performance highlights included mined 
copper production in 2009 up 15 per cent 
over 2008 and refi ned copper production 
up 28 per cent over 2008 following higher 
grades and a further improvement in 
performance at kennecott utah copper
the copper group’s contribution to 
underlying earnings increased by us269 
million to us1866 million due to higher 
production at kenncott utah copper and 
grasberg as well as cost improvements 
across the product group this was offset 
by lower copper and molybdenum prices
strategy
the copper group’s strategy is to deliver 
shareholder value through signifi cantly 
increasing copper production in the medium 
term this will be achieved by continuing 
to optimise and develop the group’s 
existing assets and by proactively seeking 
opportunities to grow the copper portfolio 
key components of the strategy include 
exploring opportunities to improve and 
expand existing operations accelerating the 
development of key projects maintaining 
an emphasis on exploration activities and 
pursuing other opportunities for growth
the group’s strategy is based on industry 
fundamentals that support a strong outlook 
on prices particularly in the medium term 
emerging economies particularly china 
and india are expected to continue to drive 
copper demand over the coming decade on 
the supply side the challenges associated 
with fi nding and developing new projects 
will mean that copper supply will likely be 
constrained in the medium to long term
the group has a set of world class operating 
assets and a strong portfolio of long term 
greenfi eld projects that allows it the fl exibility 
to adapt to changing economic conditions 
investment plans are rigorously evaluated in 
light of evolving market conditions
while certain investments have been delayed 
in response to recent macroeconomic 
conditions rio tinto believes it has the 
capability and experience to develop and 
expand its portfolio of assets when economic 
conditions improve further rio tinto is 
investing in the application of innovative 
technologies including block caving 
automation fl ash converter smelting and 
sulphide leaching as copper mining shifts 
from open pit to underground rio tinto’s 
block caving expertise will enable mine life 
extensions through access to new high grade 
deposits at greater depths rio tinto has 
developed its block caving expertise through 
its interests in northparkes palabora and 
grasberg future developments are expected 
to rely on large scale block caving and include 
oyu tolgoi resolution and bingham canyon
the copper group is not constrained by 
geographic considerations and can work 
where development opportunities exist it is 
committed to the principles of rio tinto’s code 
of conduct the way we work with a focus on 
responsible environmental performance and 
a commitment to strong community relations 
key achievements
the group saw signifi cant achievements 
at operations and projects during 2009 
at kuc the copperton concentrator set 
multiple plant production records including 
total ore milled 76 per cent increase and 
copper in concentrate produced 28 per cent 
increase over the previous year gold and 
silver in concentrate exceeded 2008 levels 
by 58 per cent and 43 per cent respectively 
kuc and escondida both successfully 
negotiated new mutually benefi cial 
collective bargaining agreements with 
their workforces in 2009
at grasberg expansion of the currently 
producing deep ore zone mine to 80000 
tonnes per day is essentially complete
at the oyu tolgoi project the investment 
agreement with the government of mongolia 
was completed in october and subsequently 
rio tinto increased its stake in ivanhoe mines 
to 197 per cent with fi xed price options to 
further increase the stake to 43 per cent
at palabora the broad based black economic 
empowerment transaction required under 
south africa’s new mining charter is 
progressing well in april palabora submitted 
a transaction framework agreement bearing 
the signatures of its broad based black 
economic empowerment partners
at the kennecott eagle nickel project a 
judge affi rmed the michigan department 
of environmental quality’s issuance of key 
permits for the mine this put all of the 
necessary state permits for the project into 
effect production is being targeted for 2013
safety
safety continued to be a major focus in 2009 
at all operations despite the continued 
emphasis there was one fatality at copper 
group managed operations during the year 
which occurred at palabora overall the 
group realised a signifi cant improvement in 
the all injury frequency rate aifr in 2009 
with an annual rate of 067 compared to 
106 in 2008
at kuc the safety strategy is defi ned in a 
three year safety plan which is supported 
by improvement action plans at the plant 
department and individual level key safety 
improvement achievements during 2009 
included implementation of the rio tinto 
signifi cant potential incident spi reporting 
and investigation process development 
and roll out of a substantial front line safety 
leadership skills improvement programme 
and implementation of new safety controls 
for delivery drivers during 2010 kuc 
will continue safety improvement efforts 
with specifi c focus on process safety and 
contractor safety 
greenhouse gas emissions
the copper group is committed to continual 
improvements in energy management 
and effi ciency spending on improvement 
projects in 2009 led to substantial progress on 
embedding behavioural energy management 
initiatives such as reductions in idling of light 
duty vehicles and improving electrical energy 
demand management systems at kuc 
in 2009 kuc reported for the fi rst time to 
the climate registry a multistate voluntary 
greenhouse gas reporting system kuc’s 
overall greenhouse gas emissions intensity 
decreased primarily due to effi ciencies 
associated with higher copper production 
in 2010 the copper group anticipates 
additional progress in greenhouse gas 
and energy management across the 
business portfolio
all injury frequency rate
per 200000 hours worked
09 08 07 06 05
126
131
124
106
067 performance
40 rio tinto 2009 annual report
copper continued
operations
kennecott utah copper 
rio tinto 100 per cent
kuc operates the bingham canyon mine 
copperton concentrator and garfi eld smelter 
and refi nery complex near salt lake city  utah 
in 2009 the copperton concentrator set 
multiple plant production records milled ore 
of just under 53 million tonnes topped the 
record established in 2008 by 76 per cent 
copper in concentrate also reached a new 
high in 2009 of 303536 tonnes a 28 per 
cent increase over the previous year gold 
and silver in concentrate improved in 2009 
exceeding 2008 levels by 58 per cent and 
43 per cent respectively whilst molybdenum 
concentrate production increased 11 per cent
recent exploration at the bingham 
canyon mine has identifi ed a new copper
molybdenumgold porphyry system beneath 
the current open pit disclosed in march 
2009 the molybdenum deposit is between 
450550 million tonnes at a grade of 01
015 per cent molybdenum the average 
grade of the molybdenum in the open pit 
reserve is 0045 per cent molybdenum 
current ore reserves are expected to enable 
open pit operations to continue until 2020 
with additional mineral resources potentially 
extending the open pit mine life to 2032
evaluation of open pit expansion options at 
the mine continued through the keystone 
project a prefeasibility study is expected 
to be completed in 2010 potentially allowing 
conversion of signifi cant open pit resource to 
reserve study of the underground expansion 
option was temporarily halted in 2009 due to 
the global economic downturn
escondida rio tinto 30 per cent
the escondida copper mine located in chile’s 
atacama desert is the largest copper mine in 
the world in terms of annual production bhp 
billiton owns 575 per cent of escondida and 
is the operator and product sales agent
 during the fi rst half of 2009 concentrate 
production was impacted by the laguna seca 
sag mill being operated at a reduced rate 
to limit the risk of failures these problems 
were successfully resolved during a 32 day 
full stoppage of the concentrator in july 
and august the combined effect of lower 
ore head grade and increased ore hardness 
resulted in lower recoveries and reduced 
concentrate production this was partially 
offset by an increase in cathode production 
due to improved recoveries and increased ore 
stacking on the leach stockpiles
future growth options at escondida are 
driven by current brownfi eld exploration 
activities there is a signifi cant exploration 
drilling programme on a number of potential 
deposits around the escondida lease area 
with positive results already announced at 
pampa escondida
grasberg 
rio tinto 40 per cent of joint 
venture production
grasberg located in the province of 
papua in indonesia is one of the world’s 
largest copper and gold mines in terms of 
reserves and production it is owned and 
operated by freeport indonesia ptfi 
which is 91 per cent owned by us based 
freeportmcmoran copper  gold inc 
the government of indonesia owns the 
remaining nine per cent of ptfi the joint 
venture gives rio tinto a 40 per cent share 
of production above specifi ed levels until 
2021 and 40 per cent of all production 
after 2021 as well as representation on 
operating and technical committees
operations in 2009 accelerated mining 
higher grade sections of the grasberg 
pit resulting in higher grades than in 
2008 grasberg’s 2009 production levels 
were well above the level at which metal 
becomes attributable to rio tinto and 
were substantially higher than in 2008 
the expansion of the currently producing 
deep ore zone mine to 80000 tonnes per 
day is essentially complete
palabora rio tinto 577 per cent
palabora mining company is a publicly 
listed company on the johannesburg 
stock exchange and operates a mine and 
smelter complex in south africa palabora 
achieved a 42 per cent rate of employing 
historically disadvantaged south africans in 
management positions this key milestone 
is a crucial step in securing new order 
mineral rights in terms of the mining 
charter the minerals and petroleum 
resource development act required mines 
in south africa to be at least 15 per cent 
owned by historically disadvantaged south 
africans by april 2009 this requirement 
will increase to 26 per cent by 2014 on 30 
april 2009 palabora signed and submitted a 
transaction framework agreement bearing 
the signatures of its broad based black 
economic empowerment partners palabora 
is working with the other parties to the 
transaction to fi nalise this agreement and 
present it to shareholders of palabora for 
approval in the fi rst half of 2010
copper concentrate production was 55 
per cent lower than 2008 mainly due to a 
58 per cent decrease in tonnes of low grade 
concentrate reclaimed from settling ponds 
diamond drilling has been reinitiated to 
delineate the copper reserves immediately 
below the current mining horizon
northparkes mines 
rio tinto 80 per cent
the northparkes coppergold mine in 
central new south wales australia operates 
both underground block cave mines and 
opencut mines on its mining leases 
northparkes is a joint venture with the 
sumitomo group 20 per cent in november 
2006 the joint venture partners approved 
the development of the e48 block cave 
project which is expected to cost us160 
million and extend the mine’s life to 2023 
as a response to economic conditions at 
the end of 2008 the completion of the 
e48 project was deferred but restarted 
in october 2009 copper production at 
northparkes exceeded 2008 production by 
38 per cent underground production was 
largely sourced from the e26 lift 2 north 
block cave with production from the e48 
block cave project in the last quarter open 
cut production was used to maintain full 
mill capacity the e22 open pit produced 
68 million tonnes which exceeded plan by 
14 per cent during the year the e22 mining 
sequence is expected to be completed 
by august 2010 higher volumes of ore 
were processed in 2009 due to a higher 
proportion of softer underground ore
copper cathode – greenhouse gas 
emissions intensity
indexed relative to 2008
 
09 08 07 06 05
746
846
727
1000
813  w w w riotint oc om 41
performance
production
and reserves governance
financial 
statements
shareholder
information
development projects
resolution copper rio tinto 55 per cent
the resolution copper deposit is located 
in arizona us and within the most prolifi c 
copper producing belt in north america 
though evaluation is ongoing the resolution 
project appears to host the largest copper 
deposit in north america capable of 
producing an estimated 600000 tonnes of 
copper per annum although the ultimate size 
of the deposit has not been fully defi ned it is 
characterised by consistent plus one per cent 
copper mineralisation over an area of at least 
two kilometres in an eastnortheast direction 
and 15 kilometres in a northnorthwest 
direction before the prefeasibility studies 
can be completed and the mine developed 
resolution copper needs to acquire title to 
the small oak flat area that lies adjacent to 
existing unpatented mining claims hosting 
the mineralisation in return for this land 
resolution copper will transfer to the us 
government over 2200 hectares of high 
priority conservation lands the southeast 
arizona land exchange and conservation 
act has been formally introduced in both 
houses of congress to achieve this goal the 
2010 work programme will focus primarily on 
completing studies to support the preparation 
of an environmental impact study in order to 
satisfy the terms of the land exchange bill
la granja rio tinto 100 per cent
the la granja copper project is located in 
the cajamarca region of northern peru and 
is in the prefeasibility study phase
as part of the prefeasibility study that 
is in progress recent drilling results at la 
granja further confi rm the mineral resource 
estimate and enable a wider range of mining 
and processing options than previously 
considered the full extent of the porphyry 
breccia and skarnhosted deposit has yet to 
be determined and drilling is planned to 
continue during 2010 with investigation of 
the options both to improve the business 
case and to defi ne the potential size and life 
of a mining operation 
previously the prefeasibility study focused on 
demonstrating the possibility of recovering 
copper metal from various porphyry systems 
in which chalcopyrite dominant ore would 
use heap leach technology the study wound 
down in 2009 due to fi nancial constraints 
and evaluation work entered a divergent 
phase to assess the potential of the new 
geological discoveries and to identify higher 
value lower risk options for development 
other options now being investigated include 
concentrator only and hybrid heap leach 
and concentrator concepts with initial 
indications of enhanced value
kennecott eagle minerals 
rio tinto 100 per cent
the eagle deposit located in michigan us is 
nearing readiness to commence construction 
and has the potential to form the foundation 
of a profi table long term nickel business for 
rio tinto the project is located in north 
america near well developed infrastructure 
rio tinto’s privately owned mineral title 
of about 182000 hectares in this region is 
extensive and is highly prospective for the 
discovery of additional deposits of greater size 
and equal or better mineralisation by late 
2009 eagle was successful in addressing legal 
challenges to issued mine permits by local 
opponents and received fi nal approval of all 
necessary state permits
sulawesi nickel rio tinto 100 per cent
the sulawesi nickel project is on the island of 
sulawesi in indonesia rio tinto was granted 
a mining permit iup from the indonesian 
ministry of energy and mineral resources on 
25 february 2010 this tenure was granted 
under the new mining law minerba which 
came into effect in mid january 2009
rio tinto will now move forward with 
reviewing development options for the 
project with increased certainty rio tinto 
is also working closely with the regional 
governments and communities as planning 
for the project progresses
oyu tolgoi rio tinto 197 per cent 
interest in ivanhoe mines limited
in october 2006 rio tinto purchased a stake 
of just under ten per cent in ivanhoe mines 
limited in order to jointly develop the oyu 
tolgoi coppergold resource in mongolia’s 
south gobi region ivanhoe mines owns 
66 per cent of oyu tolgoi in october 2009 
rio tinto completed its second tranche 
with ivanhoe mines limited to increase 
its ownership by 98 per cent to 197 per 
cent on 1 march 2010 rio tinto agreed to 
acquire a further 27 per cent to bring its 
ownership to 224 per cent rio tinto has 
the right to progressively increase its stake 
to 43 per cent over the next three years at 
predetermined prices 
also in october 2009 rio tinto signed an 
investment agreement with the mongolian 
government the agreement outlines 
substantial benefi ts to the local community 
and the people of mongolia since the initial 
discovery more than 4000 mongolians have 
been employed and currently 90 per cent 
of the project workforce is mongolian as 
promised in the agreement oyu tolgoi has a 
potential average production rate of 450000 
tonnes of copper per year over the mine life 
with signifi cant gold byproducts it is also 
geographically positioned to supply growing 
asian copper markets
outlook 
there is signifi cant opportunity for a long 
term increase in copper demand with growth 
in china being a major driver prices may be 
volatile but this highlights the value of long 
life assets copper supply will be constrained in 
the long term and trends in copper mining may 
also lend support to higher prices the industry 
will be challenged by decreasing grade profi les 
new developments in higher risk regions 
and deeper deposits leading to increased 
production from underground workings
although global copper reserves and 
resources are suffi cient for several decades 
reserve and resource grades are progressively 
declining greenfi eld exploration in under 
explored countries offers some potential to 
reverse this trend through new surface copper 
discoveries however the full potential of 
these countries to support major production 
may be undermined by sovereign risk factors 
deeper discoveries are appearing in known 
districts as exploration occurs around 
surface deposits such as bingham canyon 
some of these brownfi eld discoveries 
have unusually high copper and by
product grades innovation in mining and 
processing technology may reduce the costs 
of production from underground resources 
given future demand forecasts future 
copper prices will depend on the relative 
success of greenfi eld discovery brownfi eld 
discovery and innovation in mining and 
processing with rio tinto’s portfolio 
of world class assets combined with its 
strategy of signifi cantly increasing copper 
production the group is expected to remain 
an industry leader for years to come performance
42  rio tinto 2009 annual report
diamonds    minerals
differentiation  in  the  marketplace
the  diamonds    minerals  group  comprises  diamonds  borates  talc  titanium  dioxide  feedstock  high  purity  iron  metal  powders  zircon  and  rutile  mining  and  refining  operations  rio  tinto  diamonds  rtd  accounts  for  about  six  per  cent  of  the  world’s  production  of  rough  diamonds  by  value  its  business  model  is  to  be  the  preferred  supplier  of  rough  diamonds  the  minerals  part  of  the  group  comprises  rio  tinto  minerals  rtm  a  global  leader  in  borates  and  talc  supply  and  of  the  science  behind  their  use  and  rio  tinto  iron    titanium  rtit  a  market  leader  in  titanium  dioxide  feedstock  high  purity  iron  zircon  rutile  and  metal  powders  production  strategy
•  to  safely  and  efficiently  maximise  shareholder  value
•  to  be  the  preferred  supplier  of  natural  rough  diamonds  borates  talc  and    titanium  dioxide
•  to  be  responsible  and  transparent  in  relations  with  neighbouring  communities  •  to  differentiate  in  the  marketplace  through  superior  service  and  technical  support
•  to  continue  to  invest  in  growth  projects  in  the  existing  businesses  and  seek    tier  1  development  opportunities  in    new  mineral  sectors
key  achievements
•  first  shipments  of  ilmenite  from  qit  madagascar  minerals  qmm
•  broad  based  black  economic  empowerment  restructuring completed at richards   bay minerals
•  ebitda  for  rtm  maintained  at  2008  levels  through  strong  cost  reductions  and  positive  pricing  despite  significantly  lower  volumes
•  licences  renewed  for  jadar  lithiumborate  development  project  in  serbia
•  potasio rio colorado prc project in  argentina and a second potash project  near regina in canada sold to vale for   a combined gain of us797 million  included in underlying earnings  •  construction of diavik diamonds  underground mine in canada  substantially completed
•  progressed  the  bunder  hard  rock    diamond  discovery  in  india
•  business  improvement  programmes  delivered  significant  cost  reductions  in  response  to  global  economic  conditions
key  priorities  •  continue  to  strive  for  zero  harm  to  people  across  all  operations  •  manage  production  and  maximise  cash  flow  in  line  with  global  economic  recovery
•  continue  to  operate  in  a  responsible  and  sustainable  manner
•  continue  to  differentiate  rio  tinto  from  other  diamond  and  industrial  minerals  suppliers  by  providing  superior  product  quality  supply  reliability  and  customer  service
•  retain  and  continue  to  develop  the    best  people
outlook
•  the  diverse  markets  being  served  by  the  group’s  operations  continue  to  be  affected  by  the  health  of  the  global  economy
•  in  diamonds  rough  prices  are  expected  to  improve  during  2010  although  this  is  dependent  on  the  recovery  in  the  us  and  consumption  from  emerging  markets
•  market  weakness  in  the  minerals  business  in  2009  is  expected  to  slowly  reverse  in  2010  with  more  rapid  recovery  in  asia    and  emerging  economies
•  declines  in  the  housing  and  automotive  sectors  will  be  offset  to  some  degree  by  government  incentive  programmes  but  will  continue  to  affect  sales
2009  operational  highlights
us million
revenue 2618
operating cash flow 528
underlying earnings 800
capital expenditure 519
net operating assets 4612
4
operating cash ow contribution
underlying earnings contribution
2007 – 2009 usm
tax and other
costs
volume
ination
price and exchange
tax and other
volume
ination
prices and exchange
298
2007
2008
2009
24
245
88
805
 a reconciliation of the net earnings with underlying earnings for 
2008 and 2009 as determined under eu ifrs is set out on page 22 
all amounts presented by the product groups exclude net 
interest and other centrally reported items
0
167
74
50
331
800
474
483
costs
harry  kenyonslaney  chief  executive  diamonds    minerals
for production and reserves charts see page 6263  w w w riotint oc om 43
performance
production
and reserves governance
financial 
statements
shareholder
information
strategy
the diamonds  minerals group’s core 
purpose is to safely and effi ciently maximise 
shareholder value from mining and marketing 
diamonds and minerals the group focuses 
its resources on effi ciency and sustainability 
in its operations and developments 
responsibility and transparency in its 
relations with neighbouring communities 
and differentiation in the marketplace 
through superior services and technical 
support the group has a long and successful 
track record in developing large scale long 
life cost competitive assets 
our business model focuses on being 
the preferred supplier of natural rough 
diamonds borates talc and titanium 
dioxide and associated byproducts of high 
purity iron steel metal powders and zircon 
we intend to continue to invest in growth 
projects in the existing businesses and seek 
tier 1 development opportunities in new 
mineral sectors
diamonds
rio tinto’s strategy is to be the preferred 
global supplier of natural rough diamonds 
and to continue to operate manage and 
develop world class diamond resources 
safely effi ciently and to the highest possible 
environmental standards 
rio tinto has been in the diamond business 
for 25 years following the discovery and 
development of the argyle mine in western 
australia rio tinto diamonds is managed 
from london with a facility in antwerp 
undertaking the sale and marketing of 
rough diamonds rio tinto diamonds 
also has representative offi ces in mumbai 
and new york rio tinto’s high value pink 
diamond sales from the argyle mine are 
managed from perth in western australia 
rio tinto is essentially a wholesaler of rough 
diamonds providing support for its customers 
in their downstream activities 
in 2009 the unprecedented fi nancial turmoil 
severely affected demand for rough diamonds 
which is highly reliant on the us economy 
rio tinto acted quickly to minimise operating 
and capital costs and slowed the transition to 
underground mining at both the argyle and 
diavik mines as well as reducing production 
in the second half of 2009 the diamond 
market began to recover as both prices and 
sales volumes improved the medium to 
long term fundamentals for the diamond 
industry are positive with an anticipated 
material supply shortfall which will drive 
future price growth 
minerals
the strategy of the minerals businesses 
focuses on optimising volumes and product 
mix to supply high value growth sectors in 
both mature and emerging markets rtm’s 
foundation businesses have been leaders in 
the borate and talc industries for more than a 
century while rtit’s subsidiary qit was the 
fi rst company to produce titanium dioxide 
slag at its site in sorel quebec in 1950
minerals markets include automotive 
construction telecommunications 
agriculture and consumer products 
industries this close tie to consumer 
purchasing patterns resulted in a 30 per cent 
decline in demand for minerals products in 
2009 the businesses reduced production 
and instituted stringent cost control and 
business improvement efforts early in the 
year to maintain their resilience in response 
to the downturn economic recovery and 
government subsidies helped to stabilise 
these markets toward the end of 2009
the group maintains rd facilities in europe 
canada and the us to develop new products 
and support customers 
key achievements
diamonds
construction of the diavik underground 
mine was substantially completed during 
2009 first ore production from the new 
mine is expected in 2010 argyle successfully 
implemented a major cost cutting exercise
a bulk sample processing plant was 
commissioned at the bunder project 
in madhya pradesh india capable of 
processing ten tonnes per hour the plant 
will help further assess the value and 
grade of the diamond deposit
the completion of a new processing 
module at the murowa mine will ensure 
the continued viability of the mining 
operation in the face of hardening ore 
minerals
the fi rst shipments of ilmenite ore from 
qmm to canada and of fi nished titanium 
slag product to a customer were made 
in 2009 these were major landmarks in 
a project which notwithstanding many 
complex environmental social and technical 
challenges could become a model for future 
projects in the developing world 
in december 2009 rtit concluded a broad 
based black economic empowerment 
transaction at richards bay minerals rbm 
in south africa under this transaction 24 
per cent of the equity of rbm was sold to a 
consortium of historically disadvantaged 
groups with a further two per cent 
transferred to a trust for the benefi t of 
rbm employees the remaining 74 per cent 
is split equally between bhp billiton and 
rio tinto with rio tinto having been 
appointed as the manager through this 
transaction rbm has met the ownership 
requirements of south africa’s mining 
industry charter fi ve years ahead of the 
required empowerment date of 2014
the greenfi eld potasio rio colorado prc 
project in argentina and a second potash 
project near regina in canada were sold to 
v ale for a combined gain of us797 million 
included in underlying earnings 
efforts to divest the borate and talc businesses 
were constrained by economic conditions 
in 2009 the talc divestment process will 
be renewed in 2010 rio tinto intends to 
retain ownership of the borates business 
safety 
safety performance and awareness continued 
to be a major focus of all operations in 2009 
the all injury frequency rate aifr was 
071 compared to 058 in 2008 the group 
mourned the loss of a colleague at richards 
bay minerals who died in a fatal incident in 
december 2009 
rtit’s rio tinto fer et titane rtft improved 
its safety performance with aifr improving 
by six per cent qmm and rtm’s injury rates 
deteriorated year on year but remain low  
for diamonds the aifr improved to 066 
compared to 093 in 2008 the diavik 
mine with an aifr of 072 achieved its best 
all injury frequency rate
per 200000 hours worked
09 08 07 06 05
143
092
092
058
071 performance
44 rio tinto 2009 annual report
diamonds  minerals continued
safety performance since the mine began 
production in 2003 the bunder project in 
india remained injury free in 2009
greenhouse gas emissions 
as part of the group planning process each 
business unit submits a greenhouse gas 
ghg performance review 
rtm’s global operations reduced greenhouse 
gas emissions by three per cent per tonne 
of product from 2003 to 2008 and set new 
reduction targets in 2009 during 2009 
rtit sites undertook audits to identify 
opportunities for ghg and energy reduction
at argyle greenhouse gas intensity 
per carat produced increased in 2009 
as a result of processing lower grade ore 
argyle is investigating increasing the use 
of hydroelectricity in mine operations 
and improving the diesel effi ciency of 
the power station greenhouse gas 
intensity per carat produced at diavik 
increased in 2009 as construction of the 
underground mine continued diavik is 
working on various projects focused on 
reducing fuel consumption
review of operations
sales revenue of the diamonds  minerals 
group was us2618 million in 2009 
us1202 million less than in 2008 
largely as a result of the global economic 
downturn and the impact it had on 
consumer confi dence and spending 
underlying earnings of us800 million 
us474 in 2008 included a contribution 
of us797 million from the sale of potash 
assets in argentina and canada
the borates and talc businesses secured price 
increases which partially offset the 20 to 30 per 
cent declines in demand related to the sluggish 
housing and automotive sectors titanium 
dioxide feedstock prices held steady  however 
rtit’s revenue decreased by 33 per cent mainly 
due to lower volumes of titanium dioxide and 
a reduction in the price of metallics resulting 
in reduced margins on iron steel and powder 
products the minerals businesses experienced 
a signifi cantly stronger fourth quarter as major 
markets started to show signs of economic 
recovery  decreased rough diamond prices and 
sales volumes across all producing diamond 
assets adversely affected earnings and 
cashfl ow during 2009 all operations 
implemented stringent cost reduction 
efforts through the year 
an impairment charge of us348 million 
after tax was recognised on the diamonds 
portfolio assets to reduce their carrying value 
to an estimated recoverable amount this is 
not included in underlying earnings
rio tinto diamonds 
argyle rio tinto 100 per cent
the diamonds group owns and operates 
the argyle diamond mine in western 
australia argyle owns a niche polished 
pink diamonds business which sells and 
markets the loose polished pink diamonds 
production from argyle’s open pit mine 
is expected to continue through to 2012 
after which it is anticipated that the mine 
will transition to underground operations 
underground mining is expected to 
operate until at least 2018
during 2009 construction of the underground 
project was slowed by reducing the project 
workforce and delaying completion of 
development under a programme referred 
to as the low cost continuation plan first 
production from the underground operation 
is now expected in 2012 in addition 
processing in the surface operations 
was suspended for 12 weeks due to the 
deterioration in global market conditions
diavik rio tinto 60 per cent
the diamonds group operates the diavik 
diamond mine located approximately 
300 kilometres north east of yellowknife 
northwest territories canada it is an 
unincorporated joint venture between 
rio tinto and harry winston diamond 
corporation production from diavik’s open 
pit operations will continue through to 
2012 after which the mine will transition 
to full production from the underground 
construction on the underground project 
was substantially completed during 2009 
first ore is expected during the fi rst quarter 
of 2010 with full production expected to be 
achieved in 2013
in 2009 operations at diavik were suspended 
for six weeks in july as a result of the 
deterioration in global market conditions 
this suspension together with lower grade 
feed ore reduced diamond production in 
2009 to 33 million carats rio tinto share 
from 2008 production of 55 million carats 
open pit mining in a154 neared completion 
in 2009 with activity transitioning to 
the lower grade a418 pipe a successful 
winter road transportation season saw the 
movement of 2779 truck loads of supplies 
and materials to the site
murowa rio tinto 778 per cent
the murowa mine has been operating as 
a small open pit since 2004 and is owned 
by rio tinto 778 per cent and rio zim 
limited 222 per cent a listed entity
the diamond group’s share of production 
in 2009 of 97000 carats was below the 
205000 in 2008 as a result of lower ore 
grade and a delayed project to deal with 
changing ore characteristics
murowa is considering expanding the 
existing open pit to increase production 
the previous feasibility study for this 
expansion is currently being reviewed 
and discussions are being held with 
the zimbabwean government on the 
investment environment that is required 
to underpin this project
bunder rio tinto 100 per cent
the bunder diamond project in india was 
transferred from rio tinto exploration to 
the diamonds group in november 2008 
upon completion of the order of magnitude 
study during 2009 a ten tonnes per 
hour bulk sampling treatment plant was 
commissioned the plant has commenced 
processing of bulk samples for further 
evaluation work
rio tinto minerals
rio tinto minerals rio tinto 100 per cent
the business comprises borates and talc 
mines refi neries and shipping and packing 
facilities on fi ve continents that operate 
under the rio tinto minerals banner 
approximately 815000 tonnes of refi ned 
borates are produced at boron operations 
the principal borate mining and refi ning 
operation in california’s mojave desert 
the business operates talc mines – 
including the world’s largest in southern 
titanium slag and iron – greenhouse gas 
emissions intensity
indexed relative to 2008
 
09 08 07 06 05
1011
1027
1023
1000
1107  w w w riotint oc om 45
performance
production
and reserves governance
financial 
statements
shareholder
information
france – and processing facilities in austria 
australia belgium canada france italy 
japan mexico spain and the us 
in 2009 total borates production fell by 30 
per cent from 610000 tonnes of boric oxide 
in 2008 to 424000 tonnes in 2009 with 
reduced demand in asia pacifi c and in the 
north american housing industry total talc 
production declined by 24 per cent from 
1163000 tonnes in 2008 to 888000 tonnes 
in 2009 with sales in europe offsetting 
volume declines in north america
rio tinto iron and titanium 
rio tinto fer et titane 
formerly qit rio tinto 100 per cent 
richards bay minerals 
rio tinto 37 per cent
qit madagascar minerals 
rio tinto 80 per cent
rtit comprises the wholly owned rio tinto 
fer et titane rtft in quebec canada 
an 80 per cent share in the qmm ilmenite 
project in madagascar and a 37 per cent 
interest in and management of richards 
bay minerals rbm in kwazulunatal 
south africa 
both rtft and rbm produce titanium dioxide 
feedstock used by customers to manufacture 
pigments for paints and surface coatings plastics 
and paper and the production of titanium metal 
they also produce iron steel and zircon co
products qmm produces ilmenite from beach 
sands which is shipped to canada for onward 
processing into titanium dioxide slag 
the qmm project was completed on 
schedule however cost infl ation and 
foreign exchange effects increased the 
cost to us116 billion from the original 
estimate of us103 billion first ilmenite 
production occurred at the end of 2008 and 
in 2009 the fi rst shipments were made to 
rtit’s facilities in canada for processing 
into titanium dioxide feedstocks 
in 2009 titanium dioxide production 
decreased by 25 per cent compared with 
2008 as rtit responded to reduced demand 
in its markets following the knock on effect 
of the slump in construction activity and the 
weak automotive sector in the second half of 
the year this included an eight week summer 
shutdown of the ilmenite mine and smelting 
operations at rtft 
markets for iron and steel coproducts 
weakened from 2008 resulting in a 
signifi cant decrease in earnings a modest 
recovery in metallics pricing has been 
evident in late 2009 and early 2010
outlook
the diverse markets being served by the 
group’s operations continue to be affected 
by the health of the global economy albeit 
differentially due to both geography and 
market sector however steps towards 
recovery have been seen in a number of 
these market sectors
diamonds
rough prices recovered in the second half 
of 2009 though not to the high levels seen 
in the middle of 2008 the market will 
continue to be dependent on the recovery of 
us consumer sentiment though the robust 
growth of jewellery consumption in the 
smaller but important chinese and indian 
markets will provide some underlying 
support to both prices and volumes
minerals
the minerals businesses experienced a 
signifi cant slowdown during 2009 and 
this market weakness is expected to slowly 
reverse in 2010 
sales volumes are forecast to partially 
recover with more rapid demand recovery 
in asia and emerging economies demand 
is improving in electronics eg fl at 
panel displays circuit boards and other 
components and insulation fi breglass 
paints and coatings building products 
are expected to improve slowly in terms 
of both volumes and prices as the housing 
and automotive markets recover  46 rio tinto 2009 annual report
energy
performance
strong production and sales 
the energy group comprises thermal coal coking coal and uranium 
operations its coal interests are located in australia and the us and 
supply the seaborne traded and australian and us domestic markets 
these interests comprise rio tinto coal australia rtca which manages 
the group’s interests in eight coal mines in queensland and new south 
wales and the open cut mine colowyo in colorado us and an interest 
in cloud peak energy in montana and wyoming us rio tinto uranium 
produces uranium oxide from its majority owned mines in australia and 
namibia for electric power utilities worldwide 
strategy
• the energy group’s core purpose is 
to maximise the value it creates for 
shareholders from supplying the world’s 
mineable energy needs
• the group focuses its resources on 
excellence in operations large scale 
long life cost competitive assets
• opportunities for brownfi eld expansions 
are being progressed across the business
achievements
• australian thermal and semi soft coal 
production of 374 million tonnes 
rio tinto share 231 million tonnes 
– a fi ve per cent increase on 2008
• record production and sales results 
throughout the year from many operations
• safety performance improved at 
most operations
• successful divestment of numerous 
energy assets in line with the group 
divestment strategy
• separation from rio tinto energy america 
rtea and transition to a standalone 
business in 2009 by colowyo coal company  
• a milestone achievement of 100 
indigenous employees at energy resources 
of australia era representing almost 20 
per cent of era ’s workforce
• continued delivery of operational 
excellence programmes in all businesses 
to systematically eliminate waste reduce 
process variability and engage and 
empower our workforce 
key priorities
• continuing to improve hse performance 
including contractor safety
• maximising free cash fl ow and 
continuing to operate in a responsible 
and sustainable manner 
• timely delivery of current 
expansion projects
• continuing work with industry  government 
and infrastructure providers to resolve 
coal supply chain bottlenecks and 
increase export capacities
• positioning the group as the supplier of 
choice as the global economy recovers
• retaining and continuing to develop 
the best people
• aligning business growth strategies with 
climate change and energy strategy 
outlook
• rio tinto believes the outlook for seaborne 
coal remains very positive
• the supplydemand balance for both 
thermal and metallurgical coals remains 
tight and towards the end of 2009 prices 
were increasing across all types of coal
• the rising domestic prices in china have 
supported the demand for imported coal 
while traditional importing markets 
continue to increase imports in line 
with a broader economic recovery 
• a global resurgence in nuclear power is 
under way driven in large part by the need 
for energy security and baseload electricity 
generation that minimises emissions of 
greenhouse gases
• uranium prices are likely to increase if many 
new uranium projects which were looking 
less fi nancially attractive due to the effect of 
weaker uranium prices are delayed 
2009 operational highlights
us million
revenue 6709
operating cash fl ow 2576
underlying earnings 1420
capital expenditure 686
net operating assets 2538
 
  
19
operating cash flow contribution
underlying earnings contribution
2007 – 2009 usm
 a reconciliation of the net earnings with underlying earnings for 
2008 and 2009 as determined under eu ifrs is set out on page 22 
all amounts presented by the product groups exclude net 
interest and other centrally reported items
tax and other
costs
volume
inflation
price and exchange
tax and other
costs
volume
inflation
prices and exchange
1420
2581
498 2007
2008
2009
51
257
77
177
54
592
67
136
584
1042
2243
1623
0
doug ritchie chief executive energy
for production and reserves charts see page 63  w w w riotint oc om 47
performance
production
and reserves governance
financial 
statements
shareholder
information
performance 
the energy group’s 2009 sales revenue was 
us6709 million and its contribution to 
underlying earnings was us1420 million 
a reduction of 45 per cent from 2008 due to 
lower realised australian coal prices which 
were partially offset by an increase in us 
thermal coal price
rio tinto coal australia’s rtca 2009 
contribution to underlying earnings was 
us1013 million us708 million lower than in 
2008 attributable to lower prices and a changed 
sales mix partly compensated by a weaker 
australian dollar and increased effi ciencies 
rtca ’s total coal production was 466 million 
tonnes rio tinto share 306 million tonnes
hard coking coal production was 92 million 
tonnes in line with 2008 higher production 
of other coal was achieved at blair athol 
despite loss of volume in january and 
february due to severe fl ooding 
in the hunter valley total production in 
2009 was slightly higher than 2008 levels 
production of semi soft coal recovered 
strongly in the second half of 2009 in 
response to fi rming global demand and 
was one per cent lower than the rate of 
semi soft coking coal production in 2008 
vessel queues in new south wales nsw 
were relatively stable in 2009 but began to 
increase in the second half of the year
in the us earnings from all coal interests of 
us257 million were us110 million above 
2008 with improved prices and lower cash 
costs offsetting the impact of lower volumes 
in line with rio tinto’s reduced ownership 
colowyo coal company’s 2009 production 
totalled 32 million tonnes the reduction 
was a result of the need to have adequate 
reserves to satisfy the remaining long term 
sales contracts out to 2017 from its existing 
reserve base  
the contribution of energy resources 
of australia era in 2009 to underlying 
earnings was us138 million us3 million 
below 2008 higher market prices and the 
expiration of older contracts containing price 
caps contributed to an average realised price 
at era in 2009 of us5084 per pound an 
increase of 56 per cent compared to 2008 in 
2009 era also increased sales of 121 million 
pounds compared to the 2008 volume of 
116 million pounds 
rössing uranium earnings of us24 million 
were us77 million below 2008 attributable 
to lower realised prices due to a decline 
in the uranium price over the year and 
adverse exchange rate movements earnings 
recovered in the second half of the year when 
some sales occurred from volumes deferred 
from the fi rst half rössing has continued 
on its growth path producing 915 million 
pounds in 2009 which was slightly higher 
than the 2008 production 897 million 
pounds which was a 20 year high 
strategy
rio tinto believes the abundance reliability 
and affordability of coal will see it continue to 
be a major part of the global energy mix and 
a key source of energy for many developed 
and developing countries a key part of the 
energy group’s strategy is to ensure it is a 
leading advocate of and investor in the 
sustainable future uses of coal in 2009 the 
group continued to dedicate resources and 
funds to the development of low emission 
coal technology through investment in the 
carbon capture and storage technology on 
the hydrogen energy california project 
the coal21 voluntary levy to support 
low emission coal projects managed by 
technology  innovation in australia 
and in several low emission coal research 
organisations in the us and australia 
a resurgence globally in nuclear power is 
under way driven in large part by the need 
for energy security and baseload electricity 
generation that minimises emissions of 
greenhouse gases rio tinto aims to maintain 
its position as one of the world’s leading 
uranium suppliers to power this growth 
a number of opportunities for brownfi eld 
expansions exist at the coal  allied 
operations in the hunter valley and the 
hail creek mine in queensland 
a number of opportunities for further 
low cost brownfi eld expansions are under 
consideration at era ’s ranger mine and at 
rössing era owns the jabiluka deposit the 
second largest undeveloped uranium deposit 
in the world while adjacent to the rössing 
lease a signifi cant new discovery has been 
made by extract resources ltd in which rio 
tinto has a stake through its 147 per cent 
interest in extract resources ltd and 
135 per cent interest in kalahari minerals plc
key achievements
australian thermal and semi soft coal 
production was up fi ve per cent on 2008 
australian hard coking coal production in 
2009 and full year uranium production was 
comparable with the prior year 
signifi cant progress was made on the 
development of the clermont coal mine 
which is on track to meet its fi rst scheduled 
production in 2010 while construction 
continued on an extension of the kestrel 
underground coal mine
era’s ranger mine achieved a total sales 
milestone of 100000 tonnes of uranium 
oxide since commencing operations the 
rössing mine is the only other mine in the 
world to reach this level of total sales
era has begun preparing an environmental 
impact statement for a proposed heap leach 
facility at the ranger mine targeting the 
extraction of 33 million to 44 million pounds 
of uranium oxide from low grade ores and 
has started planning for an underground 
exploration decline to further defi ne the 
ranger 3 deeps mineral resource 
during 2009 the group successfully 
sold a number of its energy assets in 
line with rio tinto’s divestment strategy 
transactions included
• the sale of rio tinto energy america’s 
rtea jacobs ranch mine to arch coal 
for a cash consideration of us764 
million completed on 1 october 2009
• the balance of rtea’s assets excluding 
colowyo were transferred to cloud peak 
energy resources llc cper rio tinto 
received total proceeds of us741 million 
in connection with cloud peak energy 
inc’s initial public offering and related 
transactions as a result rio tinto now 
indirectly holds a 483 per cent interest 
in the antelope cordero rojo and spring 
creek mines and a 241 per cent interest 
in the decker mine
• the sale of coal  allied’s maules creek 
project to aston resources a private 
australian company for a480 million 
us379 million was completed on 
18 february 2010
• coal  allied’s vickery asset was sold 
to whitehaven coal asx listed for 
a315 us265 million with an 
effective date of 4 february 2010 performance
48 rio tinto 2009 annual report
energy continued
safety 
safety performance and awareness 
continued to be a major focus for all 
operations the group’s all injury 
frequency rate aifr in 2009 improved 
and was 071 compared to 087 in 2008 
rtca recorded a 11 per cent improvement 
on its aifr compared with 2008 era 
achieved a 39 per cent improvement 
and rössing achieved a 20 per cent 
improvement colowyo’s aifr increased 
in 2009 however it achieved a signifi cant 
reduction in injury severity rate
greenhouse gas emissions 
the energy group is continuing to 
dedicate resources to the development 
of clean coal technology 
on a life cycle basis nuclear power generation 
emits very low levels of greenhouse gases rio 
tinto is positioning its uranium business for 
the strong demand for uranium which will 
arise as the world moves to lower greenhouse 
gas emissions
as part of the group planning process each 
business unit submits a greenhouse gas 
ghg performance review this includes a 
discussion on targets and performance and 
a list of proposed and implemented projects 
noting project progress savings costs and 
npv net present value all businesses have 
a number of npv positive optimisations and 
energy reduction projects being researched 
or implemented for example colowyo 
coal began design and implementation of 
haul road optimisation work with a targeted 
reduction in ghg of two per cent while 
coal  allied’s mount thorley warkworth 
operation is conducting a coal seam methane 
trial to assess the potential to signifi cantly 
reduce greenhouse gas emissions 
greenhouse gas emissions intensity remained 
fl at across the australian coal businesses
review of operations
rio tinto coal australia 
rio tinto 100 per cent
rio tinto coal australia manages the group’s 
australian coal interests these include in 
queensland the blair athol rio tinto 71 per 
cent kestrel rio tinto 80 per cent and hail 
creek rio tinto 82 per cent coal mines and 
the clermont mine development rio tinto 
501 per cent 
rtca also provides management services 
to coal  allied industries coal  allied 
for operation of its four mines located in 
the hunter valley in nsw coal  allied 
rio tinto 757 per cent is publicly listed 
on the australian securities exchange and 
had a market capitalisation of a69 billion 
us62 billion at 31 december 2009 
coal  allied wholly owns hunter valley 
operations has an 80 per cent interest in 
mount thorley operations a 556 per cent 
interest in the contiguous warkworth mine 
and a 40 per cent interest in the bengalla 
mine which abuts its wholly owned mount 
pleasant development project coal  allied 
also has a 365 per cent interest in port 
waratah coal services which operates the 
kooragang coal terminal and carrington 
coal terminal in newcastle
the global economic crisis impacted 
traditional markets for thermal coal reducing 
demand within the asian region in the fi rst 
half of the year the second half saw demand 
in developed nations begin to recover
china’s demand for imported coal in 2009 
was particularly strong and this supported 
improved prices by year end however prices 
were lower than the records achieved in 2008 
global steel demand was also weak in the 
fi rst half of 2009 for most markets other than 
china but improved in the second half of the 
year and has led to strong demand for coking 
and semi soft coking coal
hard coking coal production was comparable 
with 2008 despite a planned longwall 
changeover at the kestrel mine in october 
2009 there was a fi ve per cent increase 
in the production of other coal in 2009 
compared with 2008 primarily attributable 
to an increase in port allocation in the fourth 
quarter of 2009 
the group’s main coal development projects 
in australia are the extension of the kestrel 
mine and the construction of the new 
clermont mine to replace the nearby blair 
athol mine which will cease operations in 
2016 both projects have supply contracts 
in place due to the economic slowdown 
work on the kestrel mine extension was 
slowed in 2009 however the project 
remains on track to meet its fi rst scheduled 
production in 2012 clermont is due to 
start production in mid 2010 
in 2008 coal  allied completed an 
engineering feasibility study on the 
mount pleasant coal mine project located 
adjacent to the bengalla coal mine near 
muswellbrook in the hunter valley as 
certainty regarding infrastructure capacity 
has grown signifi cantly coal  allied is 
initiating a revised prefeasibility study 
to defi ne a development path with lower 
capital demand
an investment programme by the owners 
and operators of the coal ports at newcastle 
and dalrymple bay on the eastern seaboard 
of australia is expected to result in additional 
capacity from 2010
coal  allied has entered into long term 
take or pay contracts for port allocation 
with port waratah coal services which 
take effect from 1 january 2010 it follows 
the signing of new port access agreements 
between the state government port waratah 
coal services and newcastle infrastructure 
group which provide for long term contracts 
to underpin future expansion similar 
long term take or pay contracts to secure 
equivalent rail track access and rail freight 
are still being negotiated
all injury frequency rate
per 200000 hours worked
 
 
 
 
 
09 08 07 06 05
131
089
090
087
071
australian coal – greenhouse gas 
emissions intensity 
indexed relative to 2008
 
 
 
 
 
 
09 08 07 06 05
828
862
957
1000
986  w w w riotint oc om 49
performance
production
and reserves governance
financial 
statements
shareholder
information
colowyo coal company 
rio tinto 100 per cent
colowyo coal company produces thermal coal 
in north west colorado the company intends 
to fulfi l long term contracts with two power 
generators located in north west colorado until 
2017 with the intention to cease production 
in 2018
energy resources of australia 
rio tinto 684 per cent 
energy resources of australia era is a 
publicly listed company and had a market 
capitalisation of a46 billion us41 billion 
at 31 december 2009 
since 1980 era has mined ore and 
produced uranium oxide at its ranger open 
pit mine 250 kilometres east of darwin in 
australia’s northern territory era also has 
title to the adjacent jabiluka mineral lease 
which in 2003 was put on long term care 
and maintenance ranger and jabiluka are 
surrounded by but remain separate from 
the world heritage listed kakadu national 
park era’s operations are subject to 
stringent environmental requirements 
and governmental oversight
the ranger mine is the second largest 
uranium mine in the world and era is 
the fourth largest producer 
era’s capital expansion projects to 
radiometrically sort low grade ores and 
process laterite ore were commissioned 
during 2008 and 2009 respectively the 
laterite processing plant will contribute 
approximately 088 million pounds per 
annum of uranium oxide to production 
from 2008 through to 2014 the radiometric 
sorter will upgrade lower grade ore and 
allow an additional 24 million pounds of 
uranium oxide to be produced over a fi ve 
year period from 2008
era continued to work with the mirarr 
traditional owners of the land on which 
the mining lease is located the mirarr 
continued delivery of a cultural awareness 
programme to all new era employees 
and participated in environmental and 
cultural heritage management programmes 
increasing indigenous employment is a 
signifi cant focus including the provision 
of training and employment opportunities 
era continued studies into a proposed heap 
leach facility at ranger targeting the recovery 
of 33 million to 44 million pounds of uranium 
oxide from low grade ores era commenced 
the formal environmental approval processes 
for the proposed facility with the australian 
and northern territory governments and 
intends to lodge an environmental impact 
statement during 2010
the company also began detailed planning 
for a proposed underground exploration 
decline to conduct close spaced exploration 
drilling to further defi ne the extent of the 
ranger 3 deeps mineral resource identifi ed 
in late 2008
rössing uranium rio tinto 686 per cent
rössing uranium produces and exports 
uranium oxide from namibia to power 
utilities globally its core purpose is to 
maximise the value delivered to shareholders 
by being a safe signifi cant and growing 
long term supplier of uranium
rössing continues to play a major role in 
the namibian economy both in terms of 
gdp contribution of around 38 per cent 
as well as employment education and 
training opportunities through the various 
education and training programmes of the 
rössing foundation the company is 
recognised as a major contributor to 
national human capital development 
in august 2009 the rössing board of directors 
approved the latest life of mine operating 
plan which extends the mine life to 2023
a technical improvement project was 
initiated during 2009 to secure improvements 
in resource estimation grade control and 
operational throughput in parallel the 
construction of a heap leach pilot plant is 
close to completion with commissioning 
planned for 2010 the heap leach project 
will remain a key focus as a way of reducing 
operating costs associated projects to support 
this include a new tailings facility and a new 
acid plant
deep drilling commenced in 2009 to 
investigate the extent of ore below the current 
pit and to fi rm up geologicalgeotechnical 
knowledge that will improve the mine plan 
and design 
in response to the fi nancial crisis the 
company implemented numerous effi ciency 
improvements and signifi cantly reduced 
capital expenditure and reduced costs on a 
number of key major consumables whilst 
continuing with key projects which will 
provide for future growth
outlook
energy markets have been adversely affected 
by the global economic downturn however 
this has been muted compared to other 
commodity sectors due to electric power 
demand being relatively inelastic this is 
especially true for low cost base load power 
stations such as those fi red by uranium or 
low cost thermal coal 
the energy group continues to respond to the 
economic downturn by focusing management 
attention on cash conservation non essential 
capital expenditures have been deferred 
wherever possible and a range of initiatives 
are in place which focus on working capital 
reductions operating cost effi ciencies 
procurement effi ciencies and some head 
count reductions
demand for thermal and coking coal in 
both domestic us and seaborne traded coal 
markets and globally for uranium remains 
robust prices for seaborne traded coals 
both thermal and coking are expected to be 
higher for 2010 than for 2009 outlook for 
the uranium market remains positive with 
uranium prices in the longer term expected 
to remain well above the levels seen for most 
of the last two decades 50 rio tinto 2009 annual report
iron ore
performance
record performance strong outlook
rio tintos iron ore group is the second largest producer supplying the global 
seaborne iron ore trade having expanded its capacity over the past decade in 
tandem with the rise of china as the worlds largest and fastest growing single 
market the group is the largest single contributor to rio tintos earnings 
and remains ideally placed to take advantage of the continued recovery 
and growth of the worlds leading economies 
strategy 
• the strategy is to maximise the return to 
shareholders from iron ore assets worldwide
• focus will remain on reducing costs and 
building on cash generation initiatives
• increasing or maintaining return from 
existing assets through brownfi eld 
developments where possible particularly 
to contribute to sustaining capacity 
• advancement of expansions under study 
to achieve 330 million tonnes per annum 
capacity in the pilbara by 2015 within 
ongoing capital expenditure constraints 
• continue detailed planning on integration 
for implementation of the proposed 
pilbara production joint venture with 
bhp billiton as various regulatory 
approvals are sought 
achievements 
• global iron ore production of more than 
217 million tonnes rio tinto share 
1715 million tonnes a 12 per cent 
increase on 2008 
• maintained integrity of operations despite 
weather and global fi nancial crisis setbacks 
• milestone of three billion tonnes exported 
from rio tintos operations in the pilbara 
• y andicoogina became the fi rst mine in 
australia to record 50 million tonnes annual 
production 
• operations centre established for 
remote control of mines rail and ports 
key priorities 
• achieving a proper expeditious and fair 
resolution of the case of the four shanghai 
colleagues detained by china in july 2009 
• building on 2009s success in removing 
bottlenecks to achieve sustained 
production at or above nameplate capacity 
• fully extracting benefi ts from operations 
integration though advances such as the 
operations centre and improved planning 
and scheduling 
• contin uing t o i  mpr o v  e the bu sines s 
saf e t y p erf ormanc e   not withstanding 
the escalation of business activity and 
expansion work 
• securing approval for and implementing 
the proposed production joint venture in 
the pilbara with bhp billiton 
• advancing the orissa india and simandou 
guinea development projects 
outlook 
• the outlook for global iron ore remains 
very positive with seaborne iron ore trade 
continuing to expand to meet major 
asian demand 
• growth fundamentals remain unchanged 
from before the fi nancial crisis and continue 
to be dominated by the rise of china where 
urbanisation continues apace 
• chinas increase in steel intensity is 
following or exceeding market expectations 
and rio tinto expects steel consumption to 
double by 2020 india is expected to follow 
that same path though at a less rapid pace 
• growth in the more stable markets of japan 
korea taiwan western europe and north 
america should remain relatively constant 
2009 operational highlights
us million
revenue 12598
  op erating cash fl ow 7389
underl ying   earning s  4126
capital expenditure 2148
net operating assets 11263
   
53
operating cash flow contribution
underlying earnings contribution
2007 – 2009 usm
 a reconciliation of the net earnings with underlying earnings for 
2008 and 2009 as determined under eu ifrs is set out on page 22 
all amounts presented by the product groups exclude net 
interest and other centrally reported items
tax and other
costs
volume
inflation
price and exchange
tax and other
costs
volume
inflation
prices and exchange
4126 2009
2008
2007
6017
2664
3654
71
0
165
446
51
2920
22
694
352
5
sam walsh chief executive iron ore and australia
for production and reserves see page 63  w w w riotint oc om 51
performance
production
and reserves governance
financial 
statements
shareholder
information
performance 
rio tintos global iron ore business achieved 
a record performance in 2009 despite the 
severe and sudden impact of the global 
fi nancial crisis and signifi cant weather related 
interruptions in the pilbara early in the year 
across operations rapid measures were 
taken to reduce expenditure in the face of 
the downturn in markets putting in place 
cash preservation effi ciencies and managing 
operations so as to enable a quick ramp 
up as markets recovered pilbara iron ore 
production managed to run in excess of 
nameplate capacity throughout the second 
half of the year   despite the disruptions 
iron ores contribution to 2009 underlying 
earnings was us4126 million us1891 
million lower than in 2008 mainly due to 
lower benchmark and spot prices partly offset 
by higher volumes from the recently completed 
expansions and lower unit cash costs
sales volumes from the pilbara region of 
western australia set a new record in 2009 
at 204 million tonnes 100 per cent basis an 
increase of 19 per cent on 2008 shipments to 
all major markets including the largest single 
market china were maintained at a high 
level throughout 2009 in the fi rst half of the 
year approximately half of rio tintos iron ore 
production was sold on a spot market basis 
in the second half sales were primarily priced 
on a benchmark or its equivalent basis
in september 2009 rio tinto completed 
the sale of the corumbá operation and 
the associated river logistics operations in 
paraguay for us750 million the profi t 
on disposal from this divestment has been 
excluded from underlying earnings
the iron ore company of canada rio tinto 
587 per cent completed a fi ve week summer 
shutdown and all pellet lines have resumed 
production the hismelt  
®
 plant in kwinana 
south of perth   remained on care and 
maintenance throughout 2009 
strategy 
the 2010 strategy is linked to the pace of 
recovery in world iron ore markets the business 
will aim to achieve superior returns and cash 
fl ow  focusing on continuous improvement to 
build on the previous years record performance 
as china continues to comprise more than 
90 per cent of the global iron ore trade rio 
tinto will seek to protect and enhance its 
market share in this and other key markets 
seeking an improvement in relationships with 
china expansion options will be identifi ed to 
optimise the development sequence of mines 
for example using brownfi eld developments to 
increase or maintain return from existing assets 
an ongoing priority will be the early 
identifi cation and adoption of technologies 
that improve performance and deliver value 
from operations as was the case with the 
operations centre in 2009 early returns 
from the autonomous haulage system trial 
with komatsu of driverless trucks and the 
autonomous drill and blast projects at w est 
angelas mine show great promise rio tinto 
remains committed to establishing its mine of 
the future™ vision in the pilbara and elsewhere 
planning for the implementation of an 
integrated production joint venture with bhp 
billiton remains the most important strategic 
consideration of 2010 
key achievements 
besides the binding agreement to form a 
production joint venture with bhp billiton 
–  which required a massive commitment of 
organisational resources – the key achievement 
of 2009 was maximising effi ciency through a 
year of unprecedented change 
not only were new production and sales 
records set – notably global iron ore production 
in excess of 217 million tonnes rio tinto share 
1715 million tonnes a 12 per cent increase on 
2008 – but they were achieved despite a very 
challenging fi rst half major fl ooding through 
the west pilbara cut off most mines from ports 
necessitating a signifi cant reconstruction effort 
operations were able to make up the shortfall 
allowing in bound ore supply to meet all 
contractual obligations 
the fi rst stage of the operations centre in 
perth was successfully completed enabling 
the management of all mine port and rail 
assets from a single location for the fi rst time
the fi nalisation of the sale of the corumbá 
iron ore mine to v ale was also a signifi cant 
achievement the group completed negotiations 
for a mine gate sales agreement with pilbara 
junior company iron ore holdings ioh for up 
to 15 million tonnes a year from its phils creek 
project to be fed into production the agreement 
also included a six months exclusive right to 
examine iohs iron v alley asset strategically 
placed near the y andicoogina mine 
efforts were intensifi ed to maximise the 
participation of traditional owners and 
other indigenous australians in the pilbara 
operations already among the largest private 
sector employers of aboriginals a historic 
decision late in 2009 saw rio tinto award a 
a200 million contract for the western turner 
syncline project to a joint venture involving 
the eastern guruma people
rio tinto continued its longstanding support for 
community organisations as well as launching 
new partnerships with the kings park botanical 
gardens and the royal flying doctor service 
the latter to provide the fi rst aeromedical jet to 
service remote w estern australia
safety 
there was a signifi cant improvement in 
safety performance for the iron ore group in 
2009 with the all injury frequency rate aifr 
dropping to 08  1 an   1  1 per cent improvement 
on 2008 the aifr achieved was   better than 
the years target of 086 and compares with 
the 091 aifr achieved in 2008
a chief executives safety award was presented 
to the expansion projects division for achieving 
an outstanding all injury frequency rate aifr 
of 057 and implementing a number of safety 
initiatives one of these was reporting and 
recording signifi cant potential incidents spis 
a programme started at iron ore operating 
divisions in 2009
expansion projects achieved the outstanding 
rate of three spis reported per 100 site 
employees and started the fatality prevention 
programme to identify eliminate or control 
potentially fatal   events management worked 
with construction contractors to provide a 
strong focus on safety leadership including 
safety forums and inductions with a focus on 
group interaction and learning
the safety leadership development programme 
was implemented across iron ore sites in 
western australia
all injury frequency rate
per 200000 hours worked
 
 
 
 
 
09 08 07 06 05
158
127
098
091
081 performance
52 rio tinto 2009 annual report
iron ore continued
greenhouse gas emissions 
the iron ore groups total greenhouse gas 
ghg emissions intensity improved to 91 
  k  ilograms of carbon dioxide equivalent per 
tonne of iron ore in 2009   from 105 in the 
previous year  
progress continued on the replacement of 
ageing power infrastructure in the pilbara 
with a new generation plant ready for 
commissioning in 2010 implementation 
of the cleaner technology will result in 25 
per cent less ghg at the same production 
level compared with the existing steam 
power generation four gas turbines will be 
progressively commissioned in 2010 with the 
option to retro  fi t combined cycle equipment 
to further reduce ghg emissions 
another technological improvement occurred 
with the integration of 51 evolution™ series 
locomotives into the pilbara railway fl eet 
the new generation general electric diesel 
electric locomotives replace the less effi cient 
dash 7 and 8 locomotives 
  a number of localised innovative projects 
to reduce ghg emissions continued across 
the group at the tom price mine locally 
produced biodiesel has been secured to 
provide fuel for drilling blasts in 2010 energy 
effi cient devices continue to be introduced 
to housing and buildings on sites and in 
towns research into electricity generation 
hybrid engines and alternative fuels continue 
through the mine of the future™ programme
review of operations 
from november 2008 through to february 
2009 the sudden impact of the global 
fi nancial crisis on world iron ore demand 
forced the business to recast its options and 
priorities for the year ahead 
rio tintos iron ore business rapidly 
implemented a series of measures designed to 
curtail operating costs and capital expenditure 
as its customers liquidity challenges and its 
own corporate priorities demanded 
most expansion work was suspended and 
a number of assets were put on temporary 
shutdown or prolonged care and maintenance 
to preserve cash and protect shareholder value
the proposed strategic relationship with 
chinalco announced in february involved 
a signifi cant commitment of management 
resources as did from june the agreement for 
an operational joint venture with bhp billiton     
an early priority of the realignment of the 
business was the focus on preserving operations 
in good shape for market recovery  and therefore 
a number of maintenance projects were brought 
forward to capitalise on the downturn for 
example a new ship loader was installed at the 
east intercourse island terminal at dampier 
several months ahead of schedule 
the focus on maximising the return from 
existing assets continued through the 
year with the ramping up of hope downs 
mine rio tinto share 50 per cent the most 
signifi cant single development feeding 206 
million tonnes into overall production 
the rapid repair of the rail track that was 
fl ood damaged in february allowed the 
mesa j mine at pannawonica to produce 252 
million tonnes in 2009 a marginal increase 
on the previous year 
expansion work continued on two new mines 
in the pilbara – mesa a in the robe valley rio 
tinto share 53 per cent and brockman 4 near 
tom price rio tinto share 100 per cent both 
mines are expected to be producing ore by 
mid   2010 
work continued on the us500 million 
power station at dampier and work started on 
  adding incremental tonnage at dampier port 
hearings before the australian competition 
tribunal on the issue of third party rail access 
to rio tintos rail operations in the pilbara 
continued through the latter part of 2009 
with a decision expected in 2010 
in september state authorities upheld the 
validity of rio tintos tenure of the rhodes 
ridge joint venture rio tinto share 50 per 
cent confi rming its claim of occupancy 
rights on a key project for future development 
of the pilbara 
studies were completed on the hope downs 4 
project in the east pilbara and environmental 
approval is being sought as the 5050 joint 
venture partners rio tinto and hancock 
prospecting consider development options 
in late 2009 rio tinto relaunched its expansion 
plans   covering two incremental fi ve million 
tonne expansions in dampier port capacity  
and outlining a two step process to arrive 
at an overall pilbara annual capacity of 330 
million tonnes by 2015 the key components 
include a second wharf at cape lambert six 
new mine developments or expansions and a 
major increase in supporting infrastructure and 
workforce developments 
at iron ore company of canada the sale of 
pellets was lower than the previous year 
refl ecting the summer shutdown and the 
slower recovery of traditional markets 
improved production later in the year followed 
the resumption of pellet lines and the benefi t 
of additional heavy mobile equipment 
the orissa joint venture project rio tinto 
share 51 per cent in india is close to 
fi nalisation providing a potentially valuable 
foothold in an under explored world class 
province with great capacity to service indias 
growing domestic market 
the simandou project rio tinto share 95 per 
cent in the west african nation of guinea 
a potential development of world class 
signifi cance and one which would confi rm 
its status as a pilbara class iron ore province 
remains a work in progress a number of issues 
related to security of tenure remain to be 
resolved with the new government of guinea 
discussions continue following the 
negotiation of a binding agreement with bhp 
billiton in december 2009 for a production 
joint venture a series of regulatory approvals 
and related processes is under way  the 
joint venture to be chaired by iron ore chief 
executive sam walsh is a critical project for 
both partners aiming to unlock more than 
us10 billion in synergies and realise the full 
potential of their iron ore assets in the pilbara 
the joint venture encompasses the iron ore 
resources capabilities and infrastructure of both 
companies but marketing arrangements will 
remain completely separate and competitive 
minerals
dampier salt rio tinto 684 per cent
in 2008 iron ore took responsibility for 
dampier   salt dsl dsl achieved record 
underl ying earning s of   us8  8 million   in 
2009 up from   us40 million   in 2008
salt production for dsl was 86 million 
tonnes 100 per cent marginally down on 
nine million tonnes in 2008 the downturn 
iron ore – greenhouse gas 
emissions intensity
indexed relative to 2008
 
 
 
 
 
 
09 08 07 06 05
776
761
814
1000
873  w w w riotint oc om 53
performance
production
and reserves governance
financial 
statements
shareholder
information
was mainly attributable to the softening 
in asian markets in response to the global 
fi nancial crisis 
the dampier site achieved record   shipments 
of   four million tonnes despite a fi rst quarter 
impacted by bad weather the site also 
established a new nameplate capacity of 
44 million tonnes per annum resulting 
from various process improvements at the 
end of the year the 100 millionth tonne of 
salt was shipped from dampier since salt 
production began there in 1972
a new 3500 tonnes per hour shiploader 
and feed conveyor system was installed at 
port hedland to replace the original port 
infrastructure the salt transport function 
in the harvest process at port hedland was 
successfully brought in house from a contractor 
  improving the business risk profi le 
in april lake macleod celebrated 40 years of 
salt and gypsum production
marine 
in early 2009 the iron ore business assumed 
responsibility for rio tinto marine operations 
group ship ownership and contracting 
the centralised marine group consists of 
approximately 75 shipping professionals 
located principally in melbourne singapore 
london and montreal supporting rio tinto 
business  es globally in assisting with vessel 
selection operational safety scheduling port 
effi ciency and cost management during 
2009 rio tinto marine managed 168 million 
tonnes of seaborne volume consisting of iron 
ore coal salt bauxite alumina and other dry 
cargo a 68 per cent increase on 2008 volume 
rio tinto marine leverages the groups 
substantial cargo base to obtain a low cost 
mix of short medium and long term freight 
cover it seeks to create value by improving 
the competitive position of the groups 
products through freight optimisation 
rio tintos product diversity and global 
coverage affords rio tinto marine the ability 
to combine internal and complementary 
external trade fl ows to increase vessel 
utilisation and profi tability
the groups hse and vessel assurance 
standards for freight are set and maintained 
by rio tinto marine one of three equal 
shareholders in rightship a ship vetting 
specialist promoting safety and effi ciency in 
the global maritime industry  rio tinto marine 
will continue safety improvement efforts to 
instil a high standard of safety performance 
aboard vessels under management and 
throughout the organisation 
during 2009 rio tinto marine took 
possession of two new bulk carriers rtm 
twarra and rtm gladstone being the fi nal 
two vessels in a series of fi ve these vessels 
will be used principally for the transportation 
of bauxite from rio tinto alcans mine at 
weipa queensland the purpose built ships 
deliver volume and effi ciency advantages on 
niche trade routes guaranteeing supply and 
eliminating freight cost variability
outlook 
rio tinto remains positive about the outlook 
for iron ore in 2010 as markets continue their 
recovery in the medium and longer term it 
is important to retain some caution as the 
recovery is strong but not without fragility 
in particular the sustaining benefi t of the 
various government stimulus packages 
remains to be seen
despite this the outlook remains far better 
than it appeared this time a year ago not only 
has china weathered the fi nancial crisis better 
than other major markets its greater steel 
consumption as a result of demographic shifts 
towards urbanisation has resulted in continued 
strong underlying demand for iron ore 
while the near future will see steel 
consumption stimulated by fi nancial 
measures focused on infrastructure 
development and exports longer term 
growth is expected to continue to be driven 
by urbanisation in coastal provinces later 
spreading inland to the rural economy 
this strong demand has left china 
increasingly reliant on lower cost iron ore 
imports emphasising the importance of 
rio tintos position in the lowest quartile 
of cost per tonne for iron ore production
there has been a resurgence in the iron ore 
spot price however rio tinto has emphasised 
its willingness to align with customers supply 
requirements while rio tinto has long 
been an advocate for a robust benchmark 
pricing system – one able to accommodate the 
realities of the demandsupply balance while 
helping support future expansions of capacity 
– it does not limit itself to one preferred 
avenue of delivery 
the outlook for pellets is improving as the 
steel industry capacity utilisation has started 
rising at iocs traditional north american 
and european markets 54 rio tinto 2009 annual report
exploration
adding value through discovery
performance
the group has had a sustained commitment 
to exploration since 1946 and considers 
exploration to be one of its core competencies 
mature group operations such as weipa the 
pilbara and rössing were tier 1 greenfi eld 
discoveries by rio tinto the value of these 
discoveries is still being realised by both 
mine production and successful brownfi eld 
exploration after more than 40 years
continuing this legacy since 2000 the 
exploration group has identifi ed two of the 
largest copper opportunities in the world at 
resolution in arizona us and la granja in 
peru exploration has also delivered one of the 
world’s largest known undeveloped high grade 
iron ore deposits at simandou in guinea 
as well as the caliwingina channel iron 
deposits in the pilbara australia exploration 
identifi ed the sulawesi nickel laterite deposit 
in indonesia the mutamba titanium   deposit 
in mozambique and the potash deposits at 
potasio rio colorado and regina in argentina 
and canada respectively which rio tinto sold 
to v ale in 2009 in 2009 exploration handed 
over to the diamonds  minerals product 
group for further evaluation the jadar lithium 
borate deposit in serbia
a signifi cant proportion of the exploration 
group’s expenditure is returned to rio tinto 
through the sale of tier 2 discoveries over 
the ten year period 2000 to 2009 divestment 
of exploration group projects has returned 
us1209 million for a net pre tax spend 
of approximately us78 million over the 
period this translates to an average tier 1 
discovery cost of less than us10 million 
per deposit
the following table shows the exploration 
group’s tier 1 discoveries since 2000
year discovery commodity location
2000 potasio rio 
colorado 
potash argentina
2002 resolution copper us
2004 simandou iron ore guinea
2005 la granja copper peru
2005 caliwingina iron ore australia
2008 sulawesi nickel indonesia
2008 mutamba titanium mozambique
2009 jadar lithium  
borates
serbia
at the end of 2009 the exploration group 
was actively exploring in 17 countries and 
assessing opportunities in a further fi ve 
for a broad range of commodities including 
bauxite copper coking coal iron ore 
diamonds nickel and uranium
strategy
the purpose of exploration is to add value 
to the group by discovering or acquiring 
resources that can increase future cash 
fl ows a fundamental element of the group’s 
business strategy is a clear focus on fi nding 
and mining only the largest lowest cost 
resources that are profi table at all parts of 
the natural price cycle and that deliver a 
sustainable competitive advantage these 
are described as tier 1 resources 
the exploration group is organised 
geographically into regional multicommodity 
teams with head offi ces in london salt lake 
city and brisbane greenfi eld exploration 
which aims to establish completely new 
operating business units involves geographic 
or commodity diversifi cation away from 
existing group operations brownfi eld 
exploration is directed at sustaining or 
growing existing group business units 
the exploration group manages and is 
accountable for greenfi eld programmes and 
provides technical   assistance to the business 
units on brownfi eld programmes
greenfi eld exploration programmes are 
prioritised on a global basis so that only the 
most attractive opportunities are pursued 
investment decisions are driven not by 
location or choice of commodity but rather 
by the quality of each opportunity
safety
the exploration group all injury frequency 
rate has fallen from 097 at the end of 2008 
to 061 at the end of 2009 this improvement 
has in part come from a reduction in the 
scope of fi eld activities but also refl ects a 
focus on reducing injuries through enhanced 
contractor management
2009 operating performance
the tier 1 greenfi eld lithium borate deposit 
at jadar serbia was transferred to the 
diamonds  minerals product group for 
further evaluation the crowsnest coking 
coal deposit in british columbia canada 
was identifi ed as a non core asset and has 
been prepared for divestment options for 
progressing the altai nuurs coking coal 
deposit in mongolia continue to be assessed
in response to group cost reduction targets for 
2009 activity at order of magnitude projects 
tamarack in the us nickelcopper and 
amargosa in brazil bauxite was curtailed 
these projects have now been reinvigorated 
and are expected to be advanced to a decision 
point in 2010
in the brownfi eld environment exploration 
handed over the leisker iron ore deposit in 
the pilbara australia to rio tinto iron ore in 
utah us drilling within three kilometres of 
the bingham canyon copper mine identifi ed 
a new coppermolybdenumgold porphyry 
system delineation drilling is now under 
way with numerous other geophysical targets 
within the bingham mine orbit to be tested 
in 2010
gross cash expenditure on exploration and 
evaluation in 2009 was us514 million the 
decrease of us620 million over 2008 gross 
expenditure refl ects steps taken across the 
group to reduce controllable costs gross 
expenditures are offset by us  894 million 
pretax proceeds from the divestment of 
exploration properties including us818 
million pretax us797 million posttax 
from the divestment of undeveloped potash 
assets in argentina and canada
outlook
the exploration group will explore for a 
range of commodities across at least 17 
countries in 2010 continued improvement 
in commodity demand forecasts will 
underpin the reactivation of major drilling 
programmes on the tamarack nickelcopper 
and amargosa bauxite projects focus will 
also be placed on reinvigorating the early 
stage target generation and testing required 
for sustained exploration success
divestment of tier 2 assets will continue 
where real value can be realised with 
a target of 100 per cent of the annual 
greenfi eld exploration budget being 
returned to the group
the next crop of potential discoveries
project commodity country stage
tamarack nickelcopper us
order of 
magnitude
amargosa bauxite brazil
order of 
magnitude
all injury frequency rate
per 200000 hours worked
 
 
 
 
09 08 07 06 05
088
055
125
097
061
   w w w riotint oc om 55
performance
production
and reserves governance
financial 
statements
shareholder
information
progress of a project
the evolution of a project from target testing 
to commissioning can take ten to 20 years 
involving a series of study stages to reach 
investment approval and implementation 
sustainable development decision making 
criteria are applied throughout the project 
development cycle
the early stages represent a progressive 
increase in confi dence in the technical and 
economic parameters used to determine 
whether the project meets rio tinto’s 
investment criteria early stages of project 
evolution are broadly termed exploration 
these stages of work are the responsibility 
of the exploration group
target generation and testing involves 
the progression from concept to proof of 
mineralisation at the prospect
a project of merit is defi ned where 
mineralisation has been identifi ed through 
drilling to be of a grade and quantity 
suffi cient to be potentially economic by 
analogy with peer deposits currently 
in production
projects which attract the interest of the relevant 
rio tinto product group are progressed to 
order of magnitude study  this involves an 
assessment of all possible options to establish 
if there could be a viable project and whether 
its potential value is suffi cient to justify 
committing signifi cant sums of money to a 
detailed investigation programme any potential 
“showstoppers” are identifi ed during this stage
a successful order of magnitude study 
results in the declaration of a discovery and 
the transfer of project management from the 
exploration group to the relevant rio tinto 
product group further work on these 
projects is broadly defi ned as evaluation
the two main evaluation study phases 
are prefeasibility and feasibility studies 
prefeasibility involves an evaluation 
of project options yielding a far clearer 
understanding of the preferred project 
concept and the key issues the feasibility 
study sees the focus switch to optimisation 
and engineering of a single scenario 
identifi ed through the prefeasibility 
study this fi nally freezes and fully defi nes 
the scope in order to tie the project down 
with a high degree of certainty as to the 
specifi cations of what will be constructed 
evaluation exploration
target 
generation 
and testing
project of 
merit
order of 
magnitude
prefeasibility 
study
feasibility 
study
commissioning
opportunities are tested and screened by several different stages of work performance
56 rio tinto 2009 annual report
technology  innovation
step change to confer advantage
technology  innovation ti consists of a 
central team of technology professionals and 
a number of technology centres that develop 
leading practice and promote improvements 
in mining processing asset management 
strategic production planning energy use 
and project development execution and 
evaluation emphasis is given to shared and 
visible measures of operational effectiveness 
the improvement of analytical tools and 
development of staff capabilities
most work is focused on improving current 
technologies and operations in addition 
the innovation centre focuses on technology 
step changes that will confer competitive 
advantage in development of orebodies likely 
to be available to the group in the future the 
energy  climate strategy centre focuses on 
improving the group’s use of energy reducing 
greenhouse gas emissions and understanding 
the effects of climate change on the group’s 
operations and prospects 
the total number of employees in ti at 
year end was 267 compared with 351 at 
year end 2008 as a result of the global 
downturn ti has focused staff on delivery 
of the most value accretive opportunities
strategy
ti’s strategy is to
• maintain and promote a safe 
working environment
• continue to embed operational 
excellence in business units
• maximise the contribution of technology 
to the group’s vision of industry leadership
• deploy technology solutions that 
increase earnings 
• design and build valuable new 
investment projects
• position the group to unlock orebodies 
that require innovative mining solutions 
• lead the group’s response to climate change
safety
ti is committed to the safe operation of its 
facilities and to the safe deployment of its 
personnel as a consequence of a single low 
severity medical treatment case the ti 2009 
all injury frequency rate was 032 compared 
with 024 in 2008
2009 operating performance
key achievements
the improving performance together ipt 
asset management programme was key 
to rio tinto alcan cultural integration 
and value delivery in 2009 resulting in 
signifi cant improvement in maintenance 
work management performance higher plant 
reliability and lower maintenance costs
the ipt processing programme was 
instrumental in improving operational 
performance at processing plants across 
the group by focusing on core metallurgical 
capability and delivery for example at 
kennecott utah copper the collaborative 
ipt engagement improved underlying 
concentrator performance by up to 14 per 
cent through a combination of sustainable 
improvements in throughput recovery and 
cost reductions
the ipt payload management initiative 
delivered further improvements across many 
of the group’s mines in 2009 the average 
load carried by the group’s haul truck fl eet 
increased by an annualised rate of more than 
100 million tonnes – more than the annual 
tonnes mined by the mount tom price iron ore 
mine the initiative reduced load variability 
by fi ve per cent from 2008 at several of the 
pilbara iron sites this improved control of 
loading was the key factor in increasing the 
design capacity of new truck bodies 
the ti gross cost in 2009 was us134 million 
compared with us158 million in 2008 
innovation
ti’s innovation centre identifi es 
evaluates and implements value accretive 
step change mining technologies with 
group wide application
the group continues to pursue the strategic 
mine of the future™ programme which is a 
set of interlinking projects aimed at delivering 
demonstrable step change improvements 
in productivity cost and environmental 
performance and product quality in surface 
and underground mining operations and 
associated mineral recovery technologies
a breakthrough delivered through the 
mine of the future™ programme is the 
development and deployment of autonomous 
blast hole drilling technologies in the pilbara 
the programme had three autonomous 
drill rigs at the end of 2009 and remains an 
exciting test programme with the potential 
to deploy a world fi rst autonomous drilling 
solution rio tinto wide results indicate 
a signifi cant improvement in blast drill 
accuracy plus associated hole quality lower 
cost of consumables and the ability to better 
utilise skilled operator resources by remotely 
supervising multiple autonomous drills 
the surface mine of the future™ programme 
is currently focused on the operation of the 
fi rst signifi cantly autonomous iron ore mine 
designated “pit a ”  which is located at the 
w est angelas mine in the pilbara pit a 
combines autonomous drilling semi
autonomous blast loading with autonomous 
trucks and a wide range of advanced sensing 
and telecommunications technologies the 
pit a site is fully integrated with the iron ore 
operations centre in perth the pit a trial 
programme moved into full trial operation 
in the second quarter of 2009 and continued 
throughout 2009 with a zero lost time injury 
record the autonomous haul fl eet moved 
approximately 162 million tonnes in 2009
in september 2009 rio tinto announced 
the formation of the “río de cobre” 
technology alliance with the chilean copper 
producer codelco the alliance allows for an 
unparalleled level of technical collaboration 
to take place between the two companies 
which will help develop solutions to tackle 
the challenges posed by the need for massive 
increasingly underground copper production 
in the decades to come
the group’s capabilities in the fi eld of 
mineral recovery were enhanced by the 
formation of a long term partnership with 
the julius kruttschnitt mineral research 
centre in brisbane australia the rio tinto 
centre for advanced mineral sorting will 
continue work on advancing breakthrough 
technology targeted to remove barren 
material initially from copper ore in order to 
either signifi cantly lift current head grades or 
recover economically viable head grade feed 
from mineralised waste streams 
energy  climate strategy
the energy  climate strategy centre 
was established in 2008 to lead the group’s 
response to the challenges of climate change 
the team engages with governments and 
other stakeholders on the design of climate 
policy develops internal strategies to reduce 
energy usage and greenhouse gas emissions 
and identifi es low carbon pathways for the 
group’s products
the group recognises that climate policy 
will require signifi cant business changes 
but believes that concerted government 
action in the near term will allow a transition 
which minimises long term costs clarity 
on the direction of climate policy will also 
reduce risks associated with long term 
investment in new assets
the year 2009 was an important one 
for climate policy with the copenhagen 
climate talks in december and legislative 
proposals in australia new zealand the us 
and europe the group continued actively 
to support the development of legislation 
through direct engagement with governments   w w w riotint oc om 57
performance
production
and reserves governance
financial 
statements
shareholder
information
and involvement in advocacy groups such as 
the us climate action partnership 
the energy  climate strategy team also 
supported the business units in preparing for 
future emissions trading systems the quality 
of the group’s reporting was again recognised 
by the carbon disclosure project rio tinto 
scored top in the ftse 350 materials sector 
and second in the global 500 materials sector 
the energy  climate strategy team manages 
the group’s work on carbon capture and 
storage ccs in late 2009 the group decided 
to focus the majority of its investment in 
carbon capture and storage ccs technology 
on the hydrogen energy california project a 
proposed new hydrogen powered electricity 
facility that will capture and store most 
of its carbon related emissions to produce 
clean electricity this decision necessitated 
a restructuring of the broader hydrogen 
energy joint venture with bp rio tinto sold 
its 50 per cent interest in hydrogen energy 
international ltd which owns an interest in 
the hydrogen power abu dhabi project to bp 
for an undisclosed sum 
mineral technology services
the mineral technology services centre 
comprises a central team of technology 
professionals deployed from six regional 
offi ces in north america australia and 
the uk who partner with business units in 
the delivery of large measurable increases 
in earnings and value this team provides 
technical service to business units in the 
areas of geology mining mineral processing 
geotechnics hydrometallurgy process control 
asset management and the environment 
the centre is also responsible for the 
delivery of the ipt processing solution that 
focuses on identifying understanding and 
reducing product losses that occur during 
mineral processing the sustainability of 
improvements is monitored through the use 
of shared global performance measures for 
concentrators and other fi xed plants the 
ipt processing programme continued to 
deliver strong results in 2009 and assisted 
the operating units in realising over us300 
million in pretax cash fl ow benefi ts 
asset management
the asset management centre focuses 
on the effective choice and deployment 
of the group’s equipment for mining and 
processing during 2009 it focused on the 
continued reliability and performance of 
equipment across the group including 
the implementation of asset management 
standards standard business processes 
and work practices technical systems and 
global metrics to compare and monitor the 
performance of both heavy mobile equipment 
and fi xed plant equipment
the ipt programme for asset management 
continued to deliver strong results in 2009 
assisting the business units to realise over 
us200 million in pretax cash fl ow benefi ts 
there was also a signifi cant effort to work 
jointly with rio tinto alcan to deploy 
the programme across sites in north 
america europe and australia resulting 
in additional pretax cash fl ow benefi ts 
of over us50 million 
mining technology
the focus of the mining technology centre 
is to establish leading practice and develop 
share and implement group wide solutions 
in the core mining production processes 
of surface mining underground mining 
strategic resource development resource and 
reserve estimation orebody knowledge and 
mine planning ipt mining initiatives in 2009 
included payload management drill and blast 
and off road tyre demand reduction the ipt 
programme for mining technology continued 
to deliver strong results in 2009 and assisted 
business units in realising over us150 
million in pretax cash fl ow benefi ts in 2009 
the mining technology centre also includes 
a strategic production planning spp team 
which focuses on developing and establishing 
leading practice a key element of the 
spp process is cooperation with business 
units to develop comprehensive plans and 
valuations of strategic development options 
results from spp provide a logical resource 
development framework for more detailed 
studies and investment decision making the 
centre also oversees the group’s resource and 
reserves estimation and reporting process as 
well as the core technical systems 
project development
the project development centre provides 
guidance support and training for all aspects 
of capital projects from prefeasibility 
through to execution and commissioning 
it also performs a governance function by 
conducting project reviews and reporting 
back to group operations the centre 
manages feasibility studies and the execution 
of capital projects on behalf of the business 
units at the end of 2009 it was responsible 
for the implementation of the argyle 
diamonds underground project kestrel 
mine extension clermont coal mine project 
yarwun 2 project and the feasibility study for 
the energy resources of australia heap leach 
project during 2009 the centre continued 
to make improvements in overall safety 
performance at these projects 
technical risk evaluation
the technical risk evaluation centre ensures 
that rio tinto’s investment decisions are 
based on independent thorough technical 
review and evaluation and provides advice 
on the adequacy of risk identifi cation and 
management at key points in the project 
approvals process the centre also sets 
standards for risk analysis and management 
more generally across the group in 2009 it 
began implementation of a group wide risk 
management and reporting system that will 
ensure the group understands manages and 
reports its risk effectively
outlook
in 2010 ti will continue to maintain a 
culture that places a high priority on safety 
and safety improvements ti will continue 
to work with group businesses to deliver 
measurable increases in earnings and 
will continue to assist from a technology 
viewpoint in the selection of the most 
attractive investment opportunities ti 
will continue to focus on the safe and 
effi cient implementation of projects and 
will build systems to support management 
of projects across the group the pursuit of 
the mine of the future™ programme and 
the development of innovative alliances and 
relationships that will create competitive 
advantage for the group remain a signifi cant 
focus in the coming year ti will also focus 
efforts on delivering improvements in the 
group’s energy effi ciency long term business 
decarbonisation options compliance 
processes and performance and carbon 
markets participation  performance
58 rio tinto 2009 annual report
financial review
cash fl ow
a full consolidated cash fl ow statement is 
contained in the 2009 financial statements 
cash fl ow from operations including dividends 
from equity accounted units was us13834 
million 33 per cent lower than 2008 primarily 
as a consequence of lower prices
tax paid for 2009 decreased to us3076 
million us823 million lower than for 
2008 largely due to the decrease in taxable 
profi ts net interest paid of us1136 million 
for 2009 was us402 million lower than 
2008 largely due to lower amounts of debt 
following the repayment of part of the us40 
billion alcan acquisition facility using the 
us148 billion net proceeds from the rights 
issues in july 2009
capital expenditure on property plant 
and equipment and intangible assets was 
us5388 million in 2009 a decrease of 
us3186 million over 2008 this included 
the brockman 4 and mesa a iron ore mine 
developments in western australia the 
expansion of the y arwun alumina refi nery 
the construction of the clermont thermal coal 
mine the expansion of the kestrel coking coal 
mine the development of the underground 
diamond mines at diavik and argyle and the 
completion of the madagascar ilmenite mine
net cash proceeds from disposals and 
acquisitions in 2009 were us2028 million 
and related to the disposal of corumba 
jacob’s ranch mine and alcan composites 
along with the proceeds from the initial 
public offering of cloud peak energy inc 
and related transactions partly offset by the 
payment to acquire an additional 98 per 
cent in ivanhoe mines net disposals were 
us2563 million in 2008 and related to 
cortez greens creek and alcan’s aerospace 
service centres business 
dividends paid in 2009 of us876 million 
were us1057 million lower than dividends 
paid in 2008 following the cancellation of 
the interim dividend other fi nancing cash 
fl ows include the net proceeds of the rights 
issues of us148 billion repayments of 
borrowings of us222 billion and proceeds 
from additional borrowings of us58 billion
statement of fi nancial position
net debt decreased from us387 billion 
to us189 billion following receipt of the 
proceeds from the divestment programme 
strong operating cash fl ows and net proceeds of 
us148 billion from the rights issues net debt 
to total capital was 291 per cent at 31 december 
2009 2008 633 per cent and interest cover 
was nine times compared to ten times in 2008
in addition the group’s share of the third 
party net debt of equity accounted units 
totalled us11 billion at 31 december 2009 
provisions for postretirement benefi t plans 
increased owing to an increase in the value 
of the obligations resulting from lower 
discount rates as well as liabilities relating to 
alcan packaging’s pension plans that were 
reclassifi ed from assets held for sale into 
continuing operations this was offset to some 
extent by the increase in the value of assets 
held in the pension plans this increase in the 
provision resulted in an actuarial loss of us10 
billion being recognised directly in equity 
net assets attributable to rio tinto 
shareholders increased by us232 billion 
the increase refl ected the net proceeds from 
the rights issues of 148 billion profi t after 
tax attributable to rio tinto shareholders of 
us49 billion less us09 billion of dividends 
paid in addition there was a positive 
currency translation effect of us49 billion as 
the australian dollar the canadian dollar and 
the euro all strengthened against the us dollar 
at year end compared with 2008
financial risk management
the group’s policies with regard to fi nancial 
risk management are clearly defi ned and 
consistently applied they are a fundamental 
part of the group’s long term strategy covering 
areas such as foreign exchange risk interest rate 
risk commodity price risk credit risk liquidity 
risk and capital management further details 
of our fi nancial risk management are disclosed 
in note 33 “financial risk management”  to the 
2009 financial statements
the group’s 2009 annual report and fi nancial 
statements show the full extent of its fi nancial 
commitments including debt the principal 
risks and uncertainties to which the group 
is subject that are thought to be of particular 
importance are summarised on pages 16 
to 19 the effectiveness of internal control 
procedures continues to be a high priority in 
the rio tinto group the boards’ statement 
on internal control is set out on page 102
liquidity and capital risk 
management 
details of our liquidity and capital risk 
management are contained within note 33 
“financial risk management”  part v to the 
2009 financial statements
dividends and capital management
dividends paid on rio tinto plc and rio 
tinto limited shares are equalised on a 
net cash basis that is without taking into 
account any associated tax credits dividends 
are determined in us dollars rio tinto plc 
dividends are declared and paid in pounds 
sterling and rio tinto limited dividends 
are declared and paid in australian dollars 
converted at exchange rates applicable to the 
us dollar two days prior to the announcement 
of dividends holders of american depositary 
receipts adrs receive a us dollar dividend at 
the rate declared changes in exchange rates 
could result in a reduced sterling or australian 
dollar dividend in a year in which the us 
dollar value is maintained or increased 
on announcing the us152 billion rights 
issues on 5 june 2009 the group stated that 
the interim dividend for 2009 had been 
cancelled following satisfactory trading 
results good progress with the divestment 
programme and prevailing market conditions 
the boards have approved a fi nal dividend 
for 2009 of 45 us cents per share a total 
payout of us882 million rio tinto limited 
shareholders will be paid dividends which 
will be fully franked the boards expect 
rio tinto limited to be in a position to pay 
fully franked dividends for the reasonably 
foreseeable future
the boards expect that the total cash 
dividend for the 2010 fi nancial year will 
be at least equal to the total cash dividend 
payment for 2008 of us175 billion albeit 
over an increased number of shares the 
interim dividend for 2010 is expected to be 
45 us cents per share from that point on 
the boards are committed to a progressive 
dividend policy over the longer term 
treasury management
 and fi nancial instruments
details of our treasury management and 
fi nancial instruments are contained within 
the introductory paragraphs of note 33 
financial risk management to the 2009 
financial statements performance
wwwriotintocom  59
production 
 reserves governance
financial 
statements
shareholder 
information performance
production 
 reserves governance
financial 
statements
shareholder 
information
production 
and reserves governance
financial 
statements
shareholder 
information
off  balance  sheet  arrangements  and  contractual  commitments
information  in  relation  to  our  material  off  balance  sheet  arrangements  principally  contingent  liabilities  commitments  for  capital  expenditure  and  other  expenditure  and  commitments  under  operating  leases  at  31  december  2009  is  provided  in  note  35  contingent  liabilities  and  commitments  to  the  financial  statements  we  expect  that  these  contractual  commitments  for  expenditure  together  with  other  expenditure  and  liquidity  requirements  will  be  met  from  internal  cash  flow  and  to  the  extent  necessary  from  the  existing  facilities  described  in  note  33  financial  risk  management  part  v  to  the  2009  financial  statements  information  regarding  the  group’s  pension  commitments  and  funding  arrangements  is  provided  in  note  50  to  the  2009  financial  statements
information  regarding  the  group’s  close
down  and  restoration  obligations  is  provided  in  note  27  to  the  2009  financial  statements
foreign  exchange  details  of  our  exposure  to  foreign  currency  fluctuations  and  currency  derivatives  and  our  approach  to  currency  hedging  are  contained  within  note  33  financial  risk  management  part  i  to  the  2009  financial  statements
interest  rates
details  of  our  exposure  to  interest  rate  fluctuations  are  contained  within  note  33  financial  risk  management  part  ii  to  the  2009  financial  statements
commodity  prices
details  of  our  exposure  to  commodity  price  fluctuations  are  contained  within  note  33  financial  risk  management  part  iii  to  the  2009  financial  statements
credit  risks
details  of  our  exposure  to  credit  risks  relating  to  receivables  financial  instruments  and  cash  deposits  are  contained  within  note  33  financial  risk  management  part  iv  to  the  2009  financial  statements
disposals  and  acquisitions
information  regarding  disposals  and  acquisitions  is  provided  in  note  41  purchases  and  sales  of  subsidiaries  joint  ventures  associates  and  other  interests  in  businesses  to  the  2009  financial  statements  and  on  the  next  page
critical  accounting  policies  and  estimates
many  of  the  amounts  included  in  the  financial  statements  involve  the  use  of  judgement  and
or  estimation  these  judgements  and  estimates  are  based  on  management’s  best  knowledge  of  the  relevant  facts  and  circumstances  having  regard  to  previous  experience  but  actual  results  may  differ  from  the  amounts  included  in  the  financial  statements  information  about  such  judgements  and  estimation  is  contained  in  note  1  principal  accounting  policies  to  the  2009  financial  statements  andor  the  other  notes  to  the  2009  financial  statements  the  key  areas  are  summarised  below
•  dual  listed  company  reporting
•  asset  carrying  values
•  asset  lives
•  ore  reserve  estimates
•   close  down  restoration  and  clean  up  obligations
•  overburden  removal  costs
•  deferred  tax  on  fair  value  adjustments
•  exploration
•  functional  currency
•  underlying  earnings
•  post  retirement  benefits
•  deferred  tax  potentially  recoverable    on  group  tax  losses
•  contingencies
•  acquisition  accounting
alcan  businesses  earmarked  for  divestment
the  following  businesses  which  were  acquired  as  part  of  alcan  inc  have  been  identified  for  divestment  and  therefore  are  not  included  within  the  analyses  relating  to  the  aluminium  product  group  alcan  engineered  products  is  included  within  other  operations  and  alcan  packaging  is  included  within  assets  held  for  sale
alcan engineered products
alcan  engineered  products  is  a  global  sector
leading  business  with  73  operating  sites  in  30  countries  strongly  committed  to  developing  innovative  valueadded  aluminium  products  for  a  broad  range  of  markets  and  applications  the  current  portfolio  consists  of  four  downstream  manufacturing  businesses  global  aerospace  transportation    industry  specialty  sheet  extrusions    automotive  structures  and  cable  as  well  as  a  global  sales  organisation  international  network  on  30  november  2009  rio  tinto  completed  the  sale  of  alcan  composites  to  schweiter  technologies  of  switzerland  for  a  total  consideration  of  us349  million  the  sale  process  for  the  remaining  alcan  engineered  products  businesses  is  ongoing  the  rapid  collapse  in  market  conditions  experienced  in  the  latter  stages  of  2008  persisted  through  most  of  2009  sales  revenues  fell  35  per  cent  year  on  year    as  demand  reached  historically  low    levels  with  those  businesses  serving  the  aerospace  automotive  road  transport  and  industrial  markets  being  the  hardest  hit  alcan  engineered  products  responded  to    the  difficult  environment  by  aggressively  pursuing  a  wide  range  of  countermeasures  that  generated  approximately  300  million  of  cost  savings  alcan packaging
alcan  packaging  is  a  global  leader  in  valueadded  specialty  packaging  with  130  operating  sites  in  31  countries  around  the  world  it  ranks  first  in  flexible  food  flexible  pharmaceutical  plastic  cosmetics  and  tobacco  packaging  alcan  packaging’s  strategy  is  to  achieve  operating  excellence  moving  towards  fewer  larger  more  specialised  plants  and  to  grow  its  business  through  innovation  partnership  with  multinational  customers  and  development  in  emerging  countries  and  regions  the  business  delivers  innovative  packaging  solutions  using  plastics  engineered  films  aluminium  paper  paperboard  and  glass  to  customers  worldwide
on  1  february  2010  rio  tinto  announced  that  it  had  completed  the  sale  of  the  alcan  packaging  global  pharmaceuticals  global  tobacco  food  europe  and  food  asia  divisions  to  amcor  a  binding  offer  was  made  by  amcor  on  16  august  2009  and  it  was  accepted  by  rio  tinto  on  23  december  2009
on  1  march  2010  rio  tinto  announced  that  it  had  completed  the  sale  of  its  alcan  packaging  food  americas  division  to  bemis  company  inc  for  a  total  all  cash  consideration  of  us12  billion  the  group  had  previously  announced  on  6  july  2009  that  it  had  signed  an  agreement  to  sell  its  alcan  packaging  food  americas  division  to  bemis  company  inc
the  process  for  the  sale  of  the  remaining  beauty  sector  is  in  progress  performance
60 rio tinto 2009 annual report
acquisitions and divestments
during 2009 rio tinto acquired an additional interest in ivanhoe mines owner of the oyu tolgoi coppergold project in mongolia the group 
announced asset sales totalling us72 billion of which us37 billion completed in 2009 since february 2008 rio tinto has announced agreed 
asset sales of us103 billion
acquisitions
asset
cost
usm status
acquired in 2009
 
copper – ivanhoe mines 388 the purchase of an additional 98 interest increasing the group’s total holding to 197
acquired in 2008
 
none –
acquired in 2007
 
aluminium – alcan inc 38652 acquisition of alcan inc announced in july 2007 and completed in october 2007
energy – hydrogen energy rio tinto 50 35 joint venture with bp
iron ore – dampier salt rio tinto 3 19 the purchase of a 3 interest in dampier salt from a minority shareholder that 
increased the group’s total interest to 684
divestments
asset
proceeds
usm status
divested in 2009
 
energy – jacobs ranch 764 sold to arch coal inc
iron ore – corumbá mine 814 sold to vale
diamonds  minerals – exploration projects in argentina and canada 850 sold to vale
aluminium – ningxia smelter rio tinto 50 125 sold to qingtongxia aluminium group
exploration – sundry assets 68 sold to multiple parties
energy – cloud peak 741 ipo and connected debt offering
alcan engineered products – composites 349 sold to schweiter technologies
divested in 2008
 
energy – kintyre project 495 sold to a joint venture
copper – greens creek mine rio tinto 70 750 sale completed to hecla mining the group’s minority partner
copper – cortez joint venture rio tinto 40 1695 sold to barrick gold the group’s majority partner for cash plus a deferred bonus 
payment and contingent royalty interest
exploration – sundry assets 134 sold to multiple parties
divested in 2007
 
diamonds  minerals – lassing and ennsdorf 6 rio tinto minerals disposed of its operations at lassing and ennsdorf in austria
   performance
 w w w riotint oc om 61
production
 reserves governance
financial 
statements
shareholder
information performance
production
and reserves governance
financial 
statements
shareholder
information
capital projects
capital and major evaluation projects
capital expenditure for 2010 is expected to be at least us5 billion with potential for a further us1 billion for new investments the focus for 
2010 will be on the following capital projects
capital project rio tinto share 
100 unless stated 
us billion 
approved project funding 
usbn
estimated capital 
spend in 2010 
usbn status  milestones
iron ore – sustaining and expansion of 
pilbara iron ore mines and infrastructure 
capacity beyond 220mtpa 
 
36 11 expansion of hope downs from 22mtpa to 30mtpa 
us350 million on 100 basis – rio tinto share 
is 50 was completed during the fi rst half of 
2009 work progressed on or ahead of schedule on 
the mesa a and brockman 4 mines mesa a came 
onstream in early february 2010 and brockman 
4 is expected to commence production in the 
second quarter of 2010 
alumina – expansion of yarwun 
alumina refi nery from 14 to 34mtpa
18 03 work has been slowed in response to market 
demand the change to the construction schedule 
will result in a completion date in the fourth quarter 
of 2012 
aluminium – construction of a new 225mw 
turbine at the shipshaw power station in 
saguenay quebec canada
02 01 approved in october 2008 the project remains 
on budget and on schedule to be completed in 
december 2012
aluminium – modernisation of the kitimat 
smelter in british columbia canada
 
05 01 the project timing has been slowed intensive 
value improvement exercise exploring all options 
for reducing cost and optimising project capital 
expenditures and returns
aluminium – ap50 pilot plant in saguenay 
quebec canada
04 01 the project has been slowed construction of the 
electrical substation to be completed along with 
site preparation for potrooms and foundation of the 
busbars room
coking coal – kestrel rio tinto share 80 
extension and expansion 
10 04 the project continues to target scheduled production 
of coal in 2012 
thermal coal – clermont rio tinto 501 
replacement of blair athol 
13 02 the project remains on track with fi rst coal 
expected in the fi rst quarter of 2010 ramping 
up to full capacity of 122mtpa by 2013 
diamonds – argyle underground development 
extending life to 2018
15 01 the project has been slowed to critical development 
activities the project continues through 2010 and 
is being reviewed to determine the appropriate 
rampup timing 
diamonds – diavik rio tinto 60 
underground development 
08 – the project has been largely completed with fi rst 
production expected in early 2010
sustaining capital expenditure for 2010 is estimated to be us21 billion rio tinto funded in addition to these capital projects the group will 
continue to fund a number of major evaluation projects in 2010 studies will continue into the step change expansion of iron ore production 
capacity in the pilbara to 330 million tonnes per annum by 2015 detailed design and engineering work of the cape lambert port expansion 
are scheduled to be completed by the end of 2010 other major evaluation projects include the simandou iron ore project and the la granja and 
resolution copper projects production  reserves
62 rio tinto 2009 annual report
  summar y
aluminium
copper
diamonds  minerals
bauxite reserves
rio tinto share million tonnes
09 08 07 06 05
1211
1193
1387
1966
1941
copper reserves 
rio tinto share million tonnes
09 08 07 06 05
1884
1799
1726
1672
1572
mined gold
rio tinto share ‘000 ounces
09 08 07 06 05
1215
781
970
460
1111
borate reserves 
rio tinto share million tonnes as b
2
o
3
09 08 07 06 05
235
219
215
213
246
mined bauxite
rio tinto share million tonnes
09 08 07 06 05
156
163
209
350
307
mined copper 
rio tinto share ‘000 tonnes
09 08 07 06 05
784
803
738
699
805
diamond reserves 
rio tinto share ‘000 carats
09 08 07 06 05
313300
281500
255400
237600
224700
alumina production 
rio tinto share ’000 tonnes
09 08 07 06 05
2963
3247
3877
9008
8815
refined copper
rio tinto share ‘000 tonnes
09 08 07 06 05
314
299
390
322
412
mined borates 
rio tinto share ‘000 tonnes as b
2
o
3
09 08 07 06 05
560
553
560
610
424
aluminium production 
rio tinto share ’000 tonnes
09 08 07 06 05
854
845
1473
4062
3808
mined diamonds 
rio tinto share ‘000 carats
09 08 07 06 05
35635
35162
26023
20816
14026
production and reserves  w w w riotint oc om 63
production
and reserves governance
financial 
statements
shareholder
information
iron ore
energy
coal reserves
rio tinto share million tonnes
09 08 07 06 05
2184
1975
1936
2002
1119
mined iron ore 
rio tinto share million tonnes
09 08 07 06 05
1245
1328
1447
1534
1715
mined coal 
rio tinto share million tonnes
09 08 07 06 05
1536
1623
1556
1605
1401
iron ore reserves
rio tinto share million tonnes
09 08 07 06 05
2339
2430
2449
2720
2532
mined uranium
rio tinto share ‘000 pounds u
3
o
8
09 08 07 06 05
14511
12561
12616
14200
14140
uranium reserves
rio tinto share ‘000 pounds u
3
o
8
09 08 07 06 05
117826
121594
136027
140511
123285
diamonds  minerals continued
mined titanium dioxide 
rio tinto share ‘000 tonnes
09 08 07 06 05
1312
1415
1458
1524
1147
titanium dioxide reserves
rio tinto share million tonnes
09 08 07 06 05
832
750
754
740
701 production  reserves
64 rio tinto 2009 annual report
metals and minerals production
 2009 production 2008 production 2007 production
 
rio tinto 
 share a total
rio tinto
share total
rio tinto
share total
rio tinto
share
alumina ‘000 tonnes
gardanne france b c 1000 — — 38 38 21 21
gove australia b 1000 2519 2519 2325 2325 405 405
jonquière vaudreuil canada b 1000 1125 1125 1370 1370 252 252
queensland alumina australia b d 800 3959 3167 3842 3074 3816 1766
são luis alumar brazil b 100 1657 166 1504 150 288 29
yarwun australia 1000 1347 1347 1293 1293 1260 1260
specialty plants canadafrancegermany b c 1000 492 492 758 758 144 144
rio tinto total 8815 9008 3877
aluminium ‘000 tonnes
alma canada b 1000 435 435 424 424 80 80
alouette septîles canada b 400 573 229 572 229 109 44
alucam edéa cameroon b 467 73 34 91 43 19 9
anglesey uk e 510 106 54 118 60 147 75
arvida canada b 1000 171 171 172 172 32 32
beauharnois canada b f 1000 11 11 50 50 10 10
bécancour canada b 251 420 105 415 104 80 20
bell bay australia 1000 177 177 178 178 177 177
boyne island australia 594 556 331 556 330 548 325
dunkerque france b 1000 244 244 254 254 49 49
grandebaie canada b 1000 215 215 212 212 40 40
isal reykjavik iceland b 1000 190 190 187 187 35 35
kitimat canada b 1000 224 224 247 247 47 47
lannemezan france b g 1000 —— 5555
laterrière canada b 1000 235 235 234 234 44 44
lochaber uk b 1000 38 38 43 43 8 8
lynemouth uk b 1000 109 109 165 165 33 33
ningxia qingtongxia china b h — 10 5 163 81 31 15
sebree us b 1000 193 193 197 197 37 37
shawinigan canada b 1000 99 99 100 100 18 18
sohar oman i 200 351 70 49 10 — —
soral husnes norway b 500 98 49 171 86 32 16
saintjeandemaurienne france b 1000 101 101 130 130 25 25
tiwai point new zealand 794 271 215 316 250 351 279
tomago australia b 516 528 272 523 270 97 50
rio tinto total 3808 4062 1473
bauxite ‘000 tonnes
awaso ghana b j 800 440 352 796 637 216 173
gove australia b 1000 7185 7185 6245 6245 985 985
porto trombetas mrn brazil b 120 15645 1877 18063 2168 3392 407
sangaredi guinea b k 11216 5047 13181 5931 2502 1126
weipa australia 1000 16235 16235 20006 20006 18209 18209
rio tinto total 30696 34987 20900
bora tes ‘000 tonnes l
rio tinto minerals — boron us 1000 411  411  591  591 541 541
rio tinto minerals — tincalayu argentina 1000 13  13  19  19 19 19
rio tinto total 424  610 560
coal — hard coking ‘000 tonnes
rio tinto coal australia
hail creek coal australia 820 6308 5173 6049 4960 5012 4110
kestrel coal australia 800 2868 2294 3089 2471 2586 2069
rio tinto total hard coking coal 7467 7431 6179
 
see notes on page 67
production and reserves  w w w riotint oc om 65
production
and reserves governance
financial 
statements
shareholder
information
 2009 production 2008 production 2007 production
 
rio tinto 
 share a total
rio tinto
share total
rio tinto
share total
rio tinto
share
coal — other ‘000 tonnes
rio tinto coal australia 
bengalla australia 303 5466 1655 5357 1622 5155 1561
blair athol australia 712 11325 8068 10194 7262 7924 5645
hunter valley operations australia 757 11232 8504 10751 8139 10094 7642
kestrel coal australia 800 849 679 929 744 1035 828
mount thorley operations australia 606 3342 2024 2949 1786 2924 1771
tarong coal australia m — —— 262 262 4510 4510
warkworth australia 421 5162 2172 6039 2540 5775 2430
total australian other coal 23103 22356 24388
us coal
antelope us n 483 30865 29031 32474 32474 31267 31267
colowyo us o 1000 3214 3214 4446 4446 5077 5077
cordero rojo us n 483 35687 33361 36318 36318 36712 36712
decker us n 241 4161 2017 5939 2970 6340 3170
jacobs ranch us p — 26537 26537 38206 38206 34565 34565
spring creek us n 483 16035 15360 16341 16341 14291 14291
total us coal 109520 130755 125083
rio tinto total other coal 132623 153111 149471
copper mined ‘000 tonnes
bingham canyon us 1000 3035 3035 2380 2380 2122 2122
escondida chile 300 10612 3183 12817 3845 14055 4216
grasberg — joint venture indonesia q 400 2693 1077 178 71 709 284
northparkes australia 800 343 274 248 198 431 345
palabora south africa 577 826 476 851 491 714 412
rio tinto total 8047 6985 7379
copper refi ned ‘000 tonnes
escondida chile 300 3272 982 2575 773 2384 715
kennecott utah copper us 1000 2742 2742 2006 2006 2656 2656
palabora south africa 577 694 400 759 438 917 529
rio tinto total 4124 3216 3900
diamonds ‘000 carats
argyle australia 1000 10591 10591 15076 15076 18744 18744
diavik canada 600 5565 3339 9225 5535 11943 7166
murowa zimbabwe 778 124 97 264 205 145 113
rio tinto total 14026 20816 26023
gold mined ‘000 ounces
barneys canyon us 1000 22 5 5 11 11
bingham canyon us 1000 582 582 368 368 397 397
cortez pipeline us r —  —  — 72 29 538 215
escondida chile 300 144 43 144 43 187 56
grasberg — joint venture indonesia q 400 1072  429  —  — 1058 423
greens creek us s —  —  — 18 12 68 48
northparkes australia 800 34 27 32 26 79 63
rawhide us t 1000 19 19 18 91910
others 13 8 14 81911
rio tinto total 1111 501 1233
gold refi ned ‘000 ounces
kennecott utah copper us 1000 479 479 303 303 523 523
 coal — other includes thermal coal and semisoft coking coal
 
see notes on page 67 production  reserves
66 rio tinto 2009 annual report
metals and minerals production
 2009 production 2008 production 2007 production
 
rio tinto 
 share a total
rio tinto
share total
rio tinto
share total
rio tinto
share
iron ore ‘000 tonnes 
corumbá brazil u — 1509 1509 2032 2032 1777 1777
hamersley iron — six wholly owned mines australia 1000 106808 106808 95553 95553 94567 94567
hamersley — channar australia 600 11041 6625 10382 6229 10549 6330
hamersley — eastern range australia v 9318 9318 8186 8186 6932 6932
hope downs australia w 500 20634 10317 10936 5468 64 32
iron ore company of canada canada 587 13844 8129 15830 9295 13229 7768
robe river australia 530 54417 28841 50246 26631 51512 27301
rio tinto total 171547 153394 144707
lead ‘000 tonnes
greens creek us s — —  — 46 32 170 119
molybdenum ‘000 tonnes 
bingham canyon us 1000 113 113 106 106 149 149
pig iron ‘000 tonnes
hismelt® australia 600 —  — 144 87 115 69
salt ‘000 tonnes
dampier salt australia x 684 8555 5848 8974 6135 7827 5242
silver mined ‘000 ounces
bingham canyon us 1000 4871 4871 3414 3414 3487 3487
escondida chile 300 5424 1627 6167 1850 7870 2361
grasberg — joint venture indonesia q 400 3685 1474 549 220 1193 477
greens creek us s —  —  — 1815 1275 8646 6075
others  — 757 596 655 417 914 602
rio tinto total 8569 7176 13002
silver refi ned ‘000 ounces
kennecott utah copper us 1000 4050 4050 3252 3252 4365 4365
t alc ‘000 tonnes
rio tinto minerals — talc australiaeuropenorth america y 1000 888 888 1163 1163 1281 1281
tit anium dioxide feedstock ‘000 tonnes
rio tinto iron  titanium canadasouth africa 2 aa 1000 1147 1147 1524 1524 1458 1458
uranium ‘000 lbs u
3
o
8

energy resources of australia australia 684 11500 7865 11773 8052 11713 8011
rössing namibia 686 9150 6275 8966 6149 6714 4605
rio tinto total 14140 14200 12616
zinc ‘000 tonnes
greens creek us s — —  —  139  98 508 357
 
see notes on page 67
production and reserves  w w w riotint oc om 67
production
and reserves governance
financial 
statements
shareholder
information
production data notes 
mine production fi gures for metals refer to the total quantity 
of metal produced in concentrates leach liquor or doré bullion 
irrespective of whether these products are then refi ned onsite 
except for the data for bauxite and iron ore which represent 
production of marketable quantities of ore
a rio tinto percentage share shown above is as at the 
end of 2009 and has applied over the period 2007 — 
2009 except for those operations where the rio tinto 
ownership has varied during the year the weighted 
average ownership for each year is shown below the 
rio tinto share varies at individual mines and refi neries 
in the “others” category and thus no value is shown
rio tinto share 
operation
see 
note 2009 2008 2007
queensland alumina d 800 800 463
antelope n 940 1000 1000
cordero rojo n 940 1000 1000
decker n 470 500 500
spring creek n 940 1000 1000
dampier salt limited x 684 684 670
b rio tinto acquired the operating assets of alcan with 
effect from 24 october 2007 production is shown as 
from that date the rio tinto assets and the alcan assets 
have been combined under the rio tinto alcan name
c production of smelter grade alumina at gardanne ceased 
at the end of 2008 production continues from the 
gardanne specialty alumina plant
d rio tinto held a 386 per cent share in queensland 
alumina until 24 october 2007 this increased to 800 
per cent following the alcan acquisition
e the anglesey smelter ceased smelting operations 
at the end of the third quarter of 2009
f the beauharnois smelter ceased smelting operations 
in the second quarter of 2009
g the lannemezan smelter closed in the fi rst quarter of 2008
h rio tinto sold its 50 per cent interest in the 
ningxia aluminium smelter with an effective date 
of 26 january 2009
i production at the sohar smelter commenced in 
the third quarter of 2008
j rio tinto alcan had an 80 per cent interest in the 
awaso mine but purchased the additional 20 per cent 
of production   rio tinto alcan sold its interest in ghana 
bauxite company owner of the awaso mine with an 
effective date 1 february 2010  
k rio tinto has a 2295 per cent shareholding in the 
sangaredi mine but receives 450 per cent of production 
under the partnership agreement
l borate quantities are expressed as b 2 o 3 
m rio tinto sold its 100 per cent interest in tarong coal 
with an effective date of 31 january 2008 production 
data are shown up to that date
n as a result of the initial public offering of cloud peak 
energy inc on 20 november 2009 rio tinto now holds 
a 483 per cent interest in the antelope cordero rojo 
and spring creek mines and a 241 per cent interest in 
the decker mine these interests were formerly reported 
under rio tinto energy america but are now managed 
by cloud peak energy
o during 2008 rio tinto acquired a 100 per cent 
interest in the colowyo mine having previously held 
a partnership interest all of colowyo’s production 
was already included in rio tinto’s share of production 
p rio tinto sold its 100 per cent interest in the jacobs 
ranch mine with an effective date of 1 october 2009 
production data are shown up to that date
q through a joint venture agreement with freeport
mcmoran copper  gold fcx rio tinto is entitled to 40 
per cent of additional material mined as a consequence 
of expansions and developments of the grasberg facilities 
since 1998 total production refl ects the total quantities 
attributable to the joint venture 
r rio tinto sold its 40 per cent interest in the cortez
pipeline joint venture effective within the end of february 
2008 production data are shown up to that date
s rio tinto sold its 703 per cent share in the greens creek 
joint venture with an effective date of 16 april 2008 
production data are shown up to that date 
t on the 28 october 2008 rio tinto increased its 
shareholding in the rawhide joint venture from 51 
per cent to 100 per cent the previous joint venture 
shareholder continued to be entitled to 49 per cent 
of production until 31 december 2008 thereafter 
rio tinto has been entitled to 100 per cent 
u rio tinto sold its 100 per cent interest in the corumbá 
mine with an effective date of 18 september 2009 
production data are shown up to that date
v rio tinto’s share of production includes 100 per cent
of the production from the eastern range mine under 
the terms of the joint venture agreement rio tinto 
54 per cent hamersley iron manages the operation 
and is obliged to purchase all mine production from 
the joint venture 
w hope downs started production in the fourth quarter of 2007 
x rio tinto increased its shareholding in dampier salt 
limited to 684 per cent at the beginning of july 2007
y talc production includes some products derived from 
purchased ores 
z quantities comprise 100 per cent of rio tinto fer et 
titane and 50 per cent of richards bay minerals’ rbm
production until late 2009 when rbm concluded a 
broad based black economic empowerment transaction 
rio tinto iron  titanium’s share of rbm production 
refl ects a decrease from 50 to 37 per cent with effect 
from   9 december 2009
aa ilmenite mined in madagascar is being processed in 
canada with effect from june 2009
production fi gures are sometimes more precise than the 
rounded numbers shown hence an apparent small difference 
may result where the rio tinto share is totalled production  reserves
68 rio tinto 2009 annual report
ore reserves
ore reserves and mineral resources for 
rio tinto managed operations are reported 
in accordance with the australasian code 
for reporting of exploration results 
mineral resources and ore reserves 
december 2004 the australian joint ore 
reserves committee jorc code as required 
by the australian securities exchange asx 
codes or guidelines similar to jorc with 
only minor regional variations have been 
adopted in south africa canada the us 
chile peru the philippines the uk ireland 
and europe together these codes represent 
current best practice for reporting ore 
reserves and mineral resources
the jorc code envisages the use of 
reasonable investment assumptions 
including the use of projected long term 
commodity prices in calculating reserve 
estimates however for us reporting the 
us securities and exchange commission 
require historical price data to be used for 
this reason some reserves reported to the 
sec in the form 20f may differ from those 
reported below
ore reserve and mineral resource 
information in the tables below is based 
on information compiled by competent 
persons as defi ned by jorc most of 
whom are full time employees of rio tinto 
or related companies each has had a 
minimum of fi ve years relevant estimation 
experience and is a member of a recognised 
professional body whose members are 
bound by a professional code of ethics each 
competent person consents to the inclusion 
in this report of information they have 
provided in the form and context in which 
it appears competent persons responsible 
for the estimates are listed on page 77 by 
operation along with their professional 
affi liation employer and accountability 
for reserves andor resources where 
operations are not managed by rio tinto 
the reserves are published as received from 
the managing company
the ore reserve fi gures in the following 
tables are as of 31 december 2009 
summary data for year end 2008 are shown 
for comparison metric units are used 
throughout the fi gures used to calculate 
rio tinto’s share of reserves are often more 
precise than the rounded numbers shown 
in the tables hence small differences might 
result if the calculations are repeated using 
the tabulated fi gures 
 
proved ore reserves 
at end 2009
probable ore reserves
 at end 2009
total ore reserves 2009 
compared with 2008 rio tinto share
 
type 
of mine
a tonnage grade tonnage grade tonnage grade 
interest

recoverable 
mineral
 2009 2008 2009 2008
bauxite b
millions 
of tonnes  al 2 o 3
millions
of tonnes  al 2 o 3
millions
of tonnes
millions
of tonnes  al 2 o 3  al 2 o 3
millions
of tonnes
reserves at operating mines
gove australia op 140 494 46 492 186 175 494 494 1000 186
porto trombetas mrn brazil op 150 497 64 492 214 205 496 506 120 26
sangaredi guinea op 130 524 130 133 524 524 230 30
weipa australia op 339 519 1360 530 1699 1736 527 524 1000 1699
total 1941
 
marketable 
product
bora tes c
millions 
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
reserves at operating mines
rio tinto minerals — boron us d op 148 98 246 213 1000 246
coal e
 
 
coal 
type 
f
reserves marketable reserves
marketable 
reserves
marketable 
coal quality
avg  
yield 
to give 
marketable 
reserves
proved probable proved probable total total marketable 
reserves at end 2009 at end 2009 2009 2008 g g
millions 
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
calorifi c
value 
mjkg
sulphur 
content

millions
of tonnes
rio tinto coal australia
bengalla australia oc sc 86 81 64 62 126 132 2821 047 75 303 38
blair athol australia h oc sc 21 05 18 03 18 29 2617 031 82 712 13
hail creek australia i oc mc 108 302 61 149 209 167 3220 035 51 820 172
hunter valley operations australia j oc sc  mc 314 89 218 60 278 330 2899 054 69 757 210
kestrel coal australia ug sc  mc 56 97 47 81 128 131 3160 059 83 800 102
mount thorley operations australia oc sc  mc 31 5 21 3 24 24 2941 043 65 606 14
warkworth australia oc sc  mc 228 185 149 121 270 278 3068 044 65 421 114
subtotal 663
 
see notes on page 71
production and reserves  w w w riotint oc om 69
production
and reserves governance
financial 
statements
shareholder
information
proved ore reserves 
at end 2009
probable ore reserves
 at end 2009
total ore reserves 2009 
compared with 2008
 tonnage grade tonnage grade tonnage grade 
average 
mill 
recovery 

recoverable 
metal
 2009 2008 2009 2008
copper
millions 
of tonnes cu
millions
of tonnes cu
millions
of tonnes
millions
of tonnes cu cu
millions
of tonnes
reserves at operating mines
bingham canyon us q op 317 053 207 039 524 618 047 047 85 1000 2105
escondida chile
– sulphide op 726 115 933 100 1659 1690 107 110 82 300 4375
– sulphide leach op 640 058 1738 053 2377 2202 054 054 33 300 1274
– oxide r op 66 069 56 096 121 137 081 094 68 300 0201
grasberg indonesia op  ug 816 112 1774 095 2590 2665 100 101 89 s 7061
northparkes australia
– open pit and stockpiles op 99 047 04 044 103 98 047 048 85 800 0033
– underground t ug 70 089 70 81 089 083 89 800 0442
palabora south africa u ug 75 060 75 91 060 062 88 577 0228
total 15719
reserves at development projects
eagle us ug 36 293 36 36 293 293 95 1000 0102
oyu tolgoi mongolia v
– southern oyu op 127 058 803 048 930 930 050 050 87 197 0794
total 0896
 
recoverable 
diamonds
diamonds b
millions 
of tonnes
carats 
per tonne
millions
of tonnes
carats 
per tonne
millions
of tonnes
millions
of tonnes
carats 
per tonne
carats 
per tonne
millions
of carats
reserves at operating mines
argyle australia op  ug 23 11 62 24 85 89 21 21 1000 1781
diavik canada op  ug 9 31 11 29 20 20 30 31 600 358
murowa zimbabwe op 21 07 21 21 07 07 778 108
total 2247
 
see notes on page 71
coal continued e
 
type 
of mine
a
coal 
type 
f
reserves marketable reserves
marketable 
reserves
marketable 
coal quality
avg  
yield to give 
marketable 
reserves
rio tinto share
proved probable proved probable total total 
interest 

marketable 
reserves at end 2009 at end 2009 2009 2008 g g
millions 
of tonnes
millions 
of tonnes
millions
of tonnes
millions 
of tonnes
millions
of tonnes
millions
of tonnes
calorifi c
value 
mjkg
sulphur 
content

millions
of tonnes
us coal us
antelope us k l oc sc 255 10 255 10 265 296 2059 024 100 483 128
colowyo us m oc sc 14 3 14 3 17 20 2392 044 100 1000 17
cordero rojo us k oc sc 289 84 289 84 372 365 1954 029 100 483 180
decker us k n oc sc 2 2 2 9 2187 040 100 241 1
jacobs ranch us o oc sc – – – – – 346 – –– – –
spring creek us k oc sc 234 38 234 38 272 287 2175 033 100 483 131
subtotal 456
total reserves at operating mines 1119
other undeveloped reserves p
rio tinto coal australia
clermont australia oc sc 193 5 185 4 189 189 2790 033 96 501 95
mount pleasant australia oc sc 459 350 350 350 2673 051 76 757 265
total undeveloped reserves 360 production  reserves
70 rio tinto 2009 annual report
ore reserves continued
proved ore reserves 
at end 2009
probable ore reserves
 at end 2009
total ore reserves 2009 
compared with 2008
 tonnage grade tonnage grade tonnage grade 
average 
mill 
recovery 

recoverable 
metal
 2009 2008 2009 2008
gold
millions 
of tonnes
grammes 
per tonne
millions
of tonnes
grammes 
per tonne
millions
of tonnes
millions
of tonnes
grammes 
per tonne
grammes 
per tonne
millions
of ounces
reserves at operating mines
bingham canyon us q op 317 027 207 022 524 618 025 027 62 1000 2630
grasberg indonesia op  ug 816 107 1774 077 2590 2665 086 089 69 s 13006
northparkes australia
– open pit and stockpiles op 99 033 04 029 103 98 033 034 76 800 0067
– underground t ug 70 034 70 81 034 031 73 800 0446
total 16149
reserves at development projects
eagle us w ug 36 029 36 – 029 – 73 1000 0025
oyu tolgoi mongolia v
– southern oyu op 127 093 803 027 930 930 036 036 71 197 1497
total 1522
 
marketable 
product
iron ore b
millions 
of tonnes fe
millions
of tonnes fe
millions
of tonnes
millions
of tonnes fe fe
millions
of tonnes
reserves at operating mines
corumbá brazil x op––– – – 209 – 670 – –
hamersley wholly owned australia
– brockman 2 brockman ore y op 13 627 3 628 15 20 627 627 1000 15
– brockman 4 brockman ore op 366 622 255 619 621 621 620 620 1000 621
– marandoo marra mamba ore z op 39 618 10 603 49 59 615 617 1000 49
– mt tom price brockman ore op 34 638 59 635 93 93 636 644 1000 93
– mt tom price marra mamba ore 
aa op 20 614 3 590 23 34 611 612 1000 23
– nammuldi marra mamba ore 
bb op 16 614 2 601 18 24 612 613 1000 18
– paraburdoo brockman ore op 9 631 5 631 15 14 631 634 1000 15
– paraburdoo marra mamba ore op – – – 09 – 631 1000 –
– turee syncline central brockman 
ore cc op 74 619 74 – 619 – 1000 74
–  western turner syncline 
brockman ore op 222 625 92 605 314 313 619 619 1000 314
– yandicoogina pisolite ore hg op 206 585 3 585 209 229 585 585 1000 209
– yandicoogina process product 
dd op 102 589 102 146 589 582 1000 102
hamersley — channar australia
– brockman ore op 59 631 21 627 81 89 630 633 600 48
hamersley — eastern range 
australia
– brockman ore ee op 55 628 16 629 71 85 628 630 540 38
hope downs 1 marra mamba 
ore ff op 26 617 327 614 353 343 614 614 500 176
hope downs 4 brockman ore gg op 73 630 64 632 136 – 631 500 68
iron ore company of canada canada 
hh op 440 650 144 650 584 571 650 650 587 343
robe river australia
– pannawonica pisolite ore op 230 573 37 569 267 287 573 572 530 141
– west angelas marra mamba ore op 174 621 173 613 347 373 617 618 530 184
total 2532
 
recoverable 
metal
molybdenum
millions 
of tonnes mo
millions
of tonnes mo
millions
of tonnes
millions
of tonnes mo mo
millions
of tonnes
reserves at operating mine
bingham canyon us q ii op 317 0044 207 0044 524 618 0044 0044 69 1000 0160
nickel
millions 
of tonnes ni
millions
of tonnes ni
millions
of tonnes
millions
of tonnes ni ni
reserves at development project
eagle us ug 36 347 36 36 347 347 87 1000 0110
 
see notes on page 71
rio tinto share
interest
 
type 
of mine
a
production and reserves  w w w riotint oc om 71
production
and reserves governance
financial 
statements
shareholder
information
proved ore reserves 
at end 2009
probable ore reserves
 at end 2009
total ore reserves 2009 
compared with 2008
 tonnage grade tonnage grade tonnage grade 
average 
mill 
recovery 

recoverable 
metal
 2009 2008 2009 2008
silver
millions 
of tonnes
grammes 
per tonne
millions 
of tonnes
grammes 
per tonne
millions
of tonnes
millions 
of tonnes
grammes 
per tonne
grammes 
per tonne
millions 
of ounces
reserves at operating mines 
bingham canyon us q op 317 233 207 171 524 618 208 216 73 1000 25715
grasberg indonesia op  ug 816 424 1774 416 2590 2665 418 426 70 s 79698
total 105413
 
marketable 
product
talc c
millions 
of tonnes
millions 
of tonnes
millions
of tonnes
millions 
of tonnes
millions 
of tonnes
reserves at operating mines 
rio tinto minerals — talc op  ug 245 90 335 306 1000 335
europenorth americaaustralia 
tit anium dioxide 
feedstock c
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
reserves at operating mines
rtft canada op 279 235 514 521 1000 514
qmm madagascar do 114 05 119 122 800 95
rbm south africa jj do 95 155 249 243 370 92
total 701
 
recoverable 
metal
uranium
millions
of tonnes u 3 0 8
millions
of tonnes u 3 0 8
millions
of tonnes
millions
of tonnes u 3 0 8 u 3 0 8
millions
of tonnes
reserves at operating mines
energy resources of australia 
australia
– ranger 3 op 246 0122 31 0242 277 302 0135 0146 8280 684 0021
rössing namibia op 255 0030 1672 0031 1927 1903 0031 0034 8500 686 0035
total 0056
 
notes
a type of mine op open pit oc open cut ug 
underground do dredging operation 
b reserves of iron ore bauxite and diamonds are shown 
as recoverable reserves of marketable product after 
accounting for all mining and processing losses 
mill recoveries are therefore not shown
c reserves of industrial minerals are expressed in terms of 
marketable product ie after all mining and processing 
losses in the case of borates the marketable product 
is b 2 o 3 
d rtm boron reserve tonnage increased due to resource 
conversion as part of a pit design update
e for coal the yield factors shown refl ect the impact of further 
processing where necessary to provide marketable coal 
f coal type sc steamthermal coal mc metallurgical
coking coal
g analyses of coal from the us were undertaken according 
to “american standard testing methods” astm on an 
“as received” moisture basis whereas the coals from 
australia have been analysed on an “air dried” moisture 
basis in accordance with australian standards
h blair athol reserve depletions were due to production
i hail creek reserves increased as a result of a major 
model update including an upgrade of some resources 
to reserves
j hunter valley operations reserves decreased due to 
production and mine design updates
k as a result of the ipo of cloud peak energy inc on 20 
november 2009 rio tinto now holds a 483 per cent interest 
in the antelope cordero rojo and spring creek mines and a 
241 per cent interest in the decker mine these interests were 
formerly reported under rio tinto energy america but are now 
managed by cloud peak energy 
l antelope reserves decreased following production as well 
as a model update 
m colowyo reserves were depleted through production
n decker reduced reserves through production and a 
contract buy out
o rio tinto completed the sale of its 100 per cent interest 
in the jacobs ranch mine on 1 october 2009
p the term “other undeveloped reserves” is used here to 
describe material that is economically viable on the basis 
of technical and economic studies but for which mining 
and processing permits may have yet to be requested 
or obtained there is a reasonable but not absolute 
certainty that the necessary permits will be issued and 
that mining can proceed when required 
q bingham canyon reserve tonnages decreased through 
production and mine design changes including updated 
geotechnical inputs
r escondida oxide reserve changes followed updating of 
economic considerations geometallurgical inputs and 
material reclassifi cation
s under the terms of a joint venture agreement between 
rio tinto and fcx rio tinto is entitled to a direct 40 
per cent share in reserves discovered after 31 december 
1994 and it is this entitlement that is shown 
t northparkes underground reserves declined due to 
production and revision of the mining model
u the reduction in palabora reserves follows production
v rio tinto has increased its interest in the oyu tolgoi 
project from 99 per cent to 197 per cent 
w the eagle gold reserve is reported for the fi rst time 
following a model update
x rio tinto completed the sale of its 100 per cent interest 
in the corumbá mine effective 18 september 2009
y brockman 2 brockman ore reserves reduced due 
to production
z marandoo marra mamba ore reserves declined after 
production and updating of the geological model 
aa mt tom price marra mamba ore reserves declined 
following production as well as incorporation of a 
new geological model and pit design changes 
bb nammuldi marra mamba ore reserve tonnage lessened 
following production
cc turee syncline central brockman ore is reported for 
the fi rst time following economic and geological studies
dd yandicoogina process product reserve tonnage reduced 
from production and model updates incorporating new 
factors based on reconciliation 
ee hamersley — eastern range brockman ore reserve 
tonnes have reduced following production update of 
the geological model inclusion of reconciliation data 
and subsequent pit design revisions
ff hope downs 1 marra mamba ore was reported as hope 
downs in 2008
gg hope downs 4 brockman ore is reported for the fi rst time 
after economic and geologic studies were completed
hh reserves at iron ore company of canada are reported 
as marketable product at a natural moisture content of 
2 per cent using process upgrade factors derived from 
current iocc concentrating and pellet operations and 
a modelling cut off grade of 16 per cent concentrate 
weight yield the in situ mined material equivalent is 
1369 million tonnes at 380 per cent iron made up of 
proved ore reserves of 1028 million tonnes at 381 per 
cent iron and probable ore reserves of 341 million tonnes 
at 375 per cent iron
ii molybdenum grades interpolated from exploration 
drilling assays have been factored based on a long 
reconciliation history to blasthole and mill samples
jj during the fourth quarter of 2009 richards bay minerals 
concluded a broad based black economic empowerment 
transaction the table above refl ects a change from 50 
per cent to 37 per cent in rio tinto’s interest in rbm 
with effect from   9 december 2009
rio tinto share
interest
 
type 
of mine
a production and reserves
72 rio tinto 2009 annual report
mineral resources
 
measured resources 
at end 2009
indicated resources 
at end 2009
inferred resources 
at end 2009 total resources 2009 compared with 2008
 
likely 
mining 
method 
a tonnage grade tonnage grade tonnage grade tonnage grade 
rio tinto
interest

 2009 2008 2009 2008
bauxite
millions 
of tonnes  al 2 o 3
millions
of tonnes  al 2 o 3
millions
of tonnes  al 2 o 3
millions
of tonnes
millions
of tonnes  al 2 o 3  al 2 o 3
gove australia op 13 494 32 494 4 501 49 46 494 497 1000
porto trombetas mrn brazil b op 6 453 2 454 433 492 441 401 492 500 120
sangaredi guinea c op 84 487 177 483 230 483 491 448 484 484 230
weipa australia d op 66 520 1377 509 446 519 1889 2056 512 508 1000
bora tes 
millions 
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
rio tinto minerals — boron us e op 01 01 54 1000
jadar serbia f ug 162 162 150 1000
coal type 
g
coal resources at end 2009
 measured indicated inferred
coal
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
chapudi south africa oc sc 90 220 730 1040 1040 591
rio tinto coal australia australia
bengalla oc  ug sc  mc 30 81 59 170 170 303
blair athol oc sc 6 1 7 7 712
clermont ocsc 11 4 15 15 501
hail creek h oc mc 11 28 98 136 435 820
hunter valley operations oc  ug sc  mc 93 569 751 1413 1331 757
kestrel coal ug sc  mc 6 3 9 9 800
kestrel west ug sc 106 33 139 153 800
lake elphinstone i oc sc  mc 120 42 162 78 820
maules creek j oc sc  mc 57 218 123 398 398 757
mount pleasant oc  ug sc  mc 200 218 281 699 699 757
mount thorley operations k oc  ug sc  mc 1 54 74 129 113 606
oaklands oc sc 480 800 1280 1280 757
valeria l oc sc 698 64 762 440 712
vickery m oc  ug sc  mc 100 200 300 300 757
warkworth n oc  ug sc  mc 4 244 282 530 603 421
winchester south o oc sc  mc 17 175 192 97 750
us coal us
antelope p oc sc 22 38 12 73 73 483
colowyo q oc sc 43 14 01 57 250 1000
cordero rojo  p r oc sc 61 97 159 144 483
decker  p s oc sc – 39 241
 
see notes on page 76
as required by the australian securities 
exchange the following tables contain details 
of other mineralisation that has a reasonable 
prospect of being economically extracted in 
the future but which is not yet classifi ed as 
proved or probable reserves this material 
is defi ned as mineral resources under the 
jorc code estimates of such material are 
based largely on geological information with 
only preliminary consideration of mining 
economic and other factors while in the 
judgement of the competent person there are 
realistic expectations that all or part of the 
mineral resources will eventually become 
proved or probable reserves there is no 
guarantee that this will occur as the result 
depends on further technical and economic 
studies and prevailing economic conditions 
in the future as in the case of reserves 
managed operations’ estimates are completed 
using or testing against rio tinto long term 
pricing and market forecastsscenarios
resources are stated as additional to the 
reserves reported earlier where operations 
are not managed by rio tinto the resources 
are published as received from the managing 
company where new project resources or 
reserves are footnoted as being reported for 
the fi rst time additional information about 
them can be viewed on the rio tinto website 
in the section titled “what we produce” – 
exploration  w w w riotint oc om 73
production
and reserves governance
financial 
statements
shareholder
information
 
measured resources 
at end 2009
indicated resources 
at end 2009
inferred resources 
at end 2009 total resources 2009 compared with 2008
 
likely 
mining 
method 
a tonnage grade tonnage grade tonnage grade tonnage grade 
rio tinto
interest

 2009 2008 2009 2008
copper  
millions 
of tonnes cu
millions
of tonnes cu
millions
of tonnes cu
millions
of tonnes
millions
of tonnes cu cu
bingham canyon us op 173 055 474 044 647 649 047 047 1000
eagle us ug 05 215 04 207 09 09 212 212 1000
escondida chile
– sulphide op 52 073 97 075 593 085 742 703 083 088 300
– sulphide leach op 174 045 408 044 3292 047 3874 4162 047 047 300
– oxide t op 34 078 34 31 078 081 300
grasberg indonesia op  ug 626 065 1996 057 240 028 2863 2838 056 056 u
la granja peru op 2770 051 2770 2770 051 051 1000
northparkes australia v ug 136 091 37 071 17 11 086 090 800
oyu tolgoi mongolia w
– south oyu op 189 043 267 034 456 456 038 038 197
– heruga ug 760 048 760 760 048 048 195
– hugo south ug 490 105 490 490 105 105 197
– hugo north ug 703 182 723 097 1426 1426 139 139 197
– hugo north extension op  ug 117 180 96 115 213 213 151 151 195
palabora south africa
– stockpiles 64 031 64 71 031 029 577
resolution us x ug 1624 147 1624 1341 147 151 550
diamonds
millions 
of tonnes
carats 
per tonne
millions
of tonnes
carats 
per tonne
millions
of tonnes
carats 
per tonne
millions
of tonnes
millions
of tonnes
carats 
per tonne
carats 
per tonne
argyle australia
– ak1 pipe y ug 11 35 23 37 6 36 40 77 36 29 1000
– alluvials z op – –––– – – 28 – 02 1000
bunder india op 37 07 37 37 07 07 1000
diavik canada op  ug 36 28 04 26 35 31 75 81 30 31 600
murowa zimbabwe op 14 04 14 14 04 04 778
gold 
millions 
of tonnes
grammes 
per tonne
millions
of tonnes
grammes 
per tonne
millions
of tonnes
grammes 
per tonne
millions
of tonnes
millions
of tonnes
grammes 
per tonne
grammes 
per tonne
bingham canyon us op 173 022 474 017 647 649 018 018 1000
eagle us ug 05 018 04 019 09 09 019 019 1000
grasberg indonesia op  ug 626 057 1996 051 240 028 2863 2838 051 049 u
northparkes australia v ug 136 030 37 013 17 11 026 029 800
oyu tolgoi mongolia w
– south oyu op 189 027 267 023 456 456 025 025 197
– heruga ug 760 055 760 760 055 055 195
– hugo south ug 490 009 490 490 009 009 197
– hugo north ug 703 039 723 030 1426 1426 034 034 197
– hugo north extension ug 117 061 96 031 213 213 048 048 195
wabu indonesia op 43 256 43 43 256 256 u
 
see notes on page 76 production  reserves
74 rio tinto 2009 annual report
mineral resources continued
 
measured resources 
at end 2009
indicated resources 
at end 2009
inferred resources 
at end 2009 total resources 2009 compared with 2008
 
likely 
mining 
method 
a tonnage grade tonnage grade tonnage grade tonnage grade 
rio tinto
interest

 2009 2008 2009 2008
iron ore
millions 
of tonnes fe
millions
of tonnes fe
millions
of tonnes fe
millions
of tonnes
millions
of tonnes fe fe
corumbá brazil aa op – – – – – – – 583 – 627 –
hamersley wholly owned australia 
– brockman 2 bb op 8 625 13 620 7 619 28 10 621 629 1000
– brockman 4 op 17 621 13 619 5 626 35 35 621 621 1000
– marandoo marra mamba op 322 628 30 613 23 608 375 405 626 628 1000
– mt tom price high grade cc op 36 632 67 637 9 642 112 130 636 635 1000
– mt tom price low grade op 27 569 25 556 3 550 55 60 562 562 1000
– mt tom price marra mamba op 17 618 2 626 19 20 619 619 1000
– nammuldi detrital op 4 604 78 607 82 80 607 607 1000
– nammuldi marra mamba op 130 627 145 627 5 594 280 275 626 627 1000
– paraburdoo brockman op 27 629 38 634 37 634 102 105 633 633 1000
– paraburdoo marra mamba dd op 1 594 1 – 594 – 1000
– turee syncline ee op 10 616 10 – 616 – 1000
– western turner syncline op 40 624 15 620 5 618 60 60 622 622 1000
– yandicooginajunction op 262 580 354 580 36 575 652 670 580 580 1000
hamersley undeveloped resources ff
– high grade brockman ore op 42 626 1086 626 2313 625 3441 3650 625 625 ff
– brockman process ore gg op 283 576 351 578 655 567 1289 1160 572 573 ff
– marra mamba op 681 622 1655 619 2336 2215 620 622 ff
– channel iron deposits hh op 281 578 1729 571 2010 1750 572 570 1000
– detrital deposits ii op 3 634 130 616 83 610 216 165 614 618 1000
hamersley — channar australia
– brockman op 28 618 6 617 1 615 35 35 618 618 600
hamersley — eastern range australia
– brockman op 15 616 6 622 10 622 31 30 619 617 540
hope downs australia 
– hope downs 1 marra mamba op 7 617 76 619 14 597 97 105 616 616 500
– hope downs 1 detritals jj op 4 601 4 588 8 15 595 597 500
– hope downs 4 brockman kk op 10 621 24 625 129 625 163 – 625 – 500
hope downs undeveloped resources
– brockman ll op 68 614 86 615 154 475 615 621 500
– brockman process ore op 57 570 33 580 90 575 180 185 574 575 500
– marra mamba and detritals op 225 610 225 220 610 611 500
iron ore company of canada canada mm op 275 394 841 380 1424 376 2540 3121 379 384 587
palabora south africa op 236 559 236 240 559 559 577
robe river australia
– marra mamba op 78 619 129 620 3 610 210 200 619 621 530
– pisolite op 86 570 1 575 20 568 107 105 570 569 530
robe river undeveloped resources
– marra mamba nn op 261 615 121 597 382 455 609 607 530
– pisolite op 52 589 987 585 594 569 1633 1535 579 582 530
– detritals op 33 610 33 35 610 610 530
simandou guinea oo op 1300 660 955 659 2254 2254 660 660 950
lithium 
millions 
of tonnes li 2 o
millions
of tonnes li 2 o
millions
of tonnes li 2 o
millions
of tonnes
millions
of tonnes li 2 o li 2 o
jadar serbia f ug 1253 18 1253 1146 18 18 1000
molybdenum
millions 
of tonnes mo
millions
of tonnes mo
millions
of tonnes mo
millions
of tonnes
millions
of tonnes mo mo
bingham canyon pp op 173 0036 474 0033 647 649 0034 0034 1000
oyu tolgoi mongolia w
– heruga ug 760 0015 760 760 0015 0015 195
resolution us x ug 1624 0037 1624 1341 0037 0040 550
 
see notes on page 76
production and reserves  w w w riotint oc om 75
production
and reserves governance
financial 
statements
shareholder
information
 
measured resources 
at end 2009
indicated resources 
at end 2009
inferred resources 
at end 2009 total resources 2009 compared with 2008
 
likely 
mining 
method 
a tonnage grade tonnage grade tonnage grade tonnage grade 
rio tinto
interest

  2009 2008 2009 2008
nickel
millions 
of tonnes ni
millions
of tonnes ni
millions
of tonnes ni
millions
of tonnes
millions
of tonnes ni ni
eagle us ug 05 315 04 228 09 09 277 278 1000
sulawesi indonesia op 162 162 162 162 162 162 1000
pot ash 
millions 
of tonnes kcl
millions
of tonnes kcl
millions
of tonnes kcl
millions
of tonnes
millions
of tonnes kcl kcl
potasio rio colorado argentina qq sm – – – – – – 1026 – 320 –
silver
millions 
of tonnes
grammes
per tonne
millions
of tonnes
grammes
per tonne
millions
of tonnes
grammes
per tonne
millions
of tonnes
millions
of tonnes
grammes 
per tonne
grammes
per tonne
bingham canyon us op 173 23 474 20 647 649 21 21 1000
grasberg indonesia op  ug 626 34 1996 34 240 15 2863 2838 33 32 u
wabu indonesia op 43 25 43 43 25 25 u
talc
millions 
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
rio tinto minerals — talc rr op  ug 17 25 28 70 81 1000
australiaeuropen america 
tit anium dioxide feedstock
millions 
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
millions
of tonnes
rtft canada op 41 41 41 1000
qmm madagascar do 02 361 18 381 379 800
rbm south africa ss do 13 17 30 13 370
uranium
millions 
of tonnes u 3 0 8
millions
of tonnes u 3 0 8
millions
of tonnes u 3 0 8
millions
of tonnes
millions
of tonnes u 3 0 8 u 3 0 8
energy resources of australia australia
– jabiluka ug 12 0887 139 0520 100 0545 251 251 0547 0547 684
– ranger 3 op 660 0056 532 0115 80 0124 1272 1283 0085 0090 684
rössing namibia op 67 0023 805 0023 167 0023 1040 1145 0023 0021 686
zinc
millions 
of tonnes zn
millions
of tonnes zn
millions
of tonnes zn
millions
of tonnes
millions
of tonnes zn zn
la granja peru op 2770 010 2770 2770 010 010 1000
 
see notes on page 76 production and reserves
76 rio tinto 2009 annual report
notes
a likely mining method op  open pit oc  open cut 
ug  underground do  dredging operation 
sm  solution mining 
b changes to porto trombetas resources are due to a 
restart of an exploration programme on the lease and 
model updates resources like reserves are as product 
presentable to the refi nery
c following technical and economic studies resources for 
the bidikoum and silidara plateaus at sangaredi have 
increased bauxite resources here are essentially in situ 
material as prerefi nery processing is minimal
d the geological models for weipa and duciewenlock 
have been amalgamated into one reporting entity  
australian bauxite resources are reported as matched 
to their refi ning entities where the gove fi gures refl ect 
an essentially in situ material as it reports immediately 
to the site refi nery the weipa resource is tabulated as a 
product suitable for shipping to the refi ning operation  
the weipa tonnage decrease follows remodelling 
including updated economic and geological inputs
e boron resources are reported as in situ b 2 o 3  rather than 
marketable product as in reserves measured resources 
were converted to reserves following inclusion of 
updated geotechnical constraints in a new pit design
f in 2008 a marketable product fi gure for jadar borate 
was reported after metallurgical recovery from in 
situ mineralised material the table now reports the 
in situ mineral content for the resource to align with 
the boron us estimates the jadar lithium resource is 
expressed as in situ tonnes of mineralised material
g coal type scsteamthermal coal mcmetallurgical
coking coal
h  a major update of hail creek reserves and resources 
was undertaken including an upgrade of some 
resources to reserves and transfer of other resource 
tonnage to inventory
i lake elphinstone underwent a model update which 
led to an increase in resource tonnage
j rio tinto sold its 757 per cent interest in the maules 
creek property with transfer being effective on 18 
february 2010
k resources at mount thorley operations increased 
following a pit shell redesign
l valeria resource tonnes increased following a model 
update
m rio tinto sold its 757 per cent interest in the vickery 
property with transfer being effective on 4 february 
2010
n a pit shell redesign and update of economic models 
has resulted in a decrease in resources attributed to 
warkworth
o an updated geological model and mining study led to 
an increase in resource tonnes at winchester south
p on 20 november 2009 rio tinto completed the initial 
public offering of cloud peak energy inc as a result 
rio tinto now holds a 483 per cent interest in the 
antelope cordero rojo and spring creek mines and 
a 241 per cent interest in the decker mine these 
interests were formerly reported under rio tinto energy 
america but are now managed by cloud peak energy
q as a part of the restructuring of the us coal businesses 
colowyo revised its pit design and mine plans resulting 
in a decreased resource footprint 
r cordero rojo resources increased by seven million 
tonnes through an acquisition as well as by additions 
from a new drilling programme then a model update 
followed by reclassifi cation of reserve to resource
s decker’s current contracts expire in 2011 and the 
operation is seeking additional sales consequently no 
resources are reported
t the increase in escondida oxide ore followed 
incorporation of updated economic assumptions in a 
remodelling exercise
u under the terms of a joint venture agreement between 
rio tinto and fcx rio tinto is entitled to a direct 
40 per cent share in resources discovered after 31 
december 1994
v resource additions at northparkes resulted from a 
reexamination of the mining model
w rio tinto’s interest in ivanhoe mines has increased 
from 99 per cent to 197 per cent rio tinto’s interest 
in hugo north extension and heruga based on the 
current ownership structure of ivanhoe and entrée 
gold has increased from 135 per cent to 195 per cent
x resource tonnage at resolution increased following 
a new mining study including new geotechnical 
constraints and geological features a lowering of the 
expected mining level and results of further drilling
y the resource at argyle ak1 was reduced following 
economic studies
z argyle alluvials resource tonnages have been removed 
following economic studies
aa rio tinto completed the sale of its 100 per cent interest 
in the corumbá mine effective 18 september 2009
bb the brockman 2 resource has increased after additional 
drilling led to new resource models and pit design 
updates
cc mt tom price high grade resource tonnes were lowered 
after model updates
dd paraburdoo marra mamba is reported here for the 
fi rst time after geological and economic studies 
were completed
ee following economic and geological studies turee 
syncline tonnes have moved from “undeveloped” 
resources to “developed” and now support reserves 
ahead of pending production
ff resources in this category consist of 42 separate 
deposits 24 of which are wholly owned by hamersley 
iron the shovelanna resource 50 per cent hamersley 
iron is not included as mining lease applications are 
currently awaiting granting of tenure
gg brockman process ore resources increased from updating 
models and including new drilling results in places
hh channel iron deposit resource tonnes rose as a result of 
remodelling which identifi ed additional mineralisation
ii detritals resources increased after a remodelling 
exercise and an update of economic inputs
jj hope downs 1 detrital resources have decreased as 
a result of a larger pit design converting resource to 
reserve
kk following economic and geological studies 
hope downs 4 brockman tonnes have moved 
from undeveloped resources to developed and now 
support reserves ahead of pending production
ll resources decreased at hope downs brockman 
following conversion to reserves and a change to some 
reporting boundaries
mm iocc resources are quoted for the fi rst time on an in
situ tonnes and grades basis the equivalent marketable 
product is as follows measured — 123 million tonnes 
 65 per cent iron indicated — 370 million tonnes 
 65 per cent iron inferred — 580 million tonnes 
 65 per cent iron at a cut off grade of 14 per cent 
concentrate weight yield net resources decreased 
through remodelling using updated technical and 
economic criteria as well as resource to reserve 
conversion
nn robe marra mamba resources have decreased due to 
reinterpretation a new resource block model and 
updating of input parameters
oo all resources reported for simandou lie in blocks 3 and 
4 of the concession and reporting is thus not modifi ed 
by challenge to tenure of blocks 1 and 2 rights over 
blocks 3 and 4 have been reverted to an exploration 
status but the guinea ministry of mines has confi rmed 
that they will be converted to both exploration and 
mining rights the simandou resource estimate has 
been completed and tested using rio tinto growth 
market scenario prices and costs selected specifi cally for 
this project such prices and costs are higher than is the 
case for other iron ore resources disclosed in this report
pp molybdenum grades interpolated from exploration 
drilling assays have been factored based on a long 
reconciliation history to blasthole and mill samples
qq rio tinto completed the sale of its 100 per cent interest 
in potasio rio colorado effective 5 february 2009
rr talc resources declined after geological model updates 
and conversion of resources to reserves
ss richards bay minerals resource tonnage improved 
following model updates including new drilling data 
and some material reclassifi cation during the fourth 
quarter of 2009 richards bay minerals concluded 
a broad based black economic empowerment 
transaction the table above refl ects a change from 
50 per cent to 37 per cent in rio tinto’s interest in rbm 
with effect from 9 december 2009
mineral resources continued  w w w riotint oc om 77
production
and reserves governance
financial 
statements
shareholder
information
competent persons
primary commodity name association
1
 employer accountability deposits
bauxite
l mcandrew ausimm rio tinto reserves rio tinto alcan – weipa
j bower ausimm rio tinto resources rio tinto alcan — gove weipa sangaredi
j p c de melo franco ausimm mrn consultant reserves resources rio tinto alcan — porto trombetas mrn
r wedmaier ausimm rio tinto reserves rio tinto alcan — gove
l fouché ausimm rio tinto reserves rio tinto alcan — sangaredi
borates l karlsson ausimm rio tinto reserves resources rio tinto minerals — boron operations
coal
k preston ausimm rio tinto resources
rio tinto coal australia — bengalla blair athol hail creek 
kestrel warkworth oc clermont kestrel west maules 
creek mount pleasant vickery winchester south
j buddee ausimm rio tinto reserves
rio tinto coal australia — bengalla hunter valley 
operations mount thorley warkworth mount pleasant
g carr ausimm rio tinto reserves rio tinto coal australia — blair athol kestrel clermont
m fitzsimmons ausimm rio tinto reserves rio tinto coal australia — hail creek
j bamberry aig rio tinto resources
rio tinto coal australia — hunter valley operations mount 
thorley warkworth ug resources
a waltho ausimm rio tinto resources rio tinto coal australia — valeria lake elphinstone oaklands
t suchomel ausimm
cloud peak energy reserves resources
cloud peak energy — antelope decker cordero rojo spring 
creek
j trummel ausimm
r strid ausimm 
g munn ausimm
rio tinto reserves resources colowyo
j garcia auslmm
s kristensen ausimm rio tinto resources rio tinto energy — chapudi
copper
k mudge ausimm
rio tinto
reserves
kennecott utah copper — bingham canyon 
2 3 4
j vickery ausimm reserves resources
m howson immm rio tinto resources la granja 
5
a lye aig rio tinto reserves resources northparkes 
2
s ngidi saimm
rio tinto
reserves
palabora 
6
d pretorius saimm resources
c hehnke ausimm rio tinto resources resolution 
3
s torr ausimm ivanhoe mines reserves resources oyu tolgoi 
2 3
c reygadas ausimm
bhp billiton
reserves
minera escondida
o cortés ausimm resources
a issel sme
pt freeport
resources
pt freeport — grasberg wabu 
2 4
g macdonald aipg reserves
diamonds
r platell ausimm
rio tinto reserves resources argyle
s brennan ausimm
r platell ausimm rio tinto resources bunder
c yip ausimm
rio tinto
reserves
diavik d eichenberg napegg resources
k thompson napegg resources
a davy immm
rio tinto
resources
murowa
a kumar ausimm reserves
iron ore
j phillips ausimm
rio tinto
resources
rio tinto iron ore — hamersley hope downs robe river
r taylor ausimm reserves
m blake apegn
rio tinto
resources
iron ore company of canada — carol lake r williams ausimm reserves
t leriche apegn reserves resources
r turner aig rio tinto resources rio tinto iron ore atlantic — simandou
lithium a duffi n bgs rio tinto resources rio tinto minerals — jadar 
7
nickel
d rennie apegbc roscoe postle assoc reserves resources eagle 
28
d guibal ausimm srk consulting resources sulawesi
talc
m wurm aig rio tinto reserves resources australian mines
jf robert ausimm rio tinto reserves resources european mines
d marek cimm
rio tinto reserves resources north american mines
e ronald sme
titanium dioxide 
feedstock
j dumouchel apegga 
rio tinto
resources
rio tinto fer et titane
y bourque oiq reserves resources
j dumouchel apegga rio tinto reserves resources qit madagascar minerals
c ware sacnasp rio tinto reserves resources richard bay minerals
uranium
a van der heyden ausimm hellman  schofi eld
resources energy resources of australia — ranger 3 jabiluka ii
g rogers ausimm rio tinto
r miller ausimm rio tinto reserves energy resources of australia — ranger 3
j forkes immm
rio tinto
resources
rössing sjsk4
wd wieland saimm reserves
1 ausimm australasian institute of mining and metallurgy aig australasian institute of geoscientists immm institute of materials minerals and mining saimm south african institute of 
mining and metallurgy sme society of mining metallurgy and exploration aipg american institute of professional geologists napegg association of professional engineers geologists 
and geophysicists of the northwest territories apegn association of professional engineers and geoscientists of newfoundland bgs british geological society apegbc association of 
professional engineers and geoscientists of british columbia cimm canadian institute of mining and metallurgy apegga association of professional engineers geologists and geophysicists 
of alberta oiq ordre des ingénieurs du quebec sacnasp south african council for natural scientifi c professions 
2 includes gold 3 includes molybdenum 4 includes silver 5 includes zinc 6 includes iron ore 7 includes borates 8 includes copper production and reserves
78  rio tinto 2009 annual report
mines  and  production  facilities
mine location access titlelease history type of mine power source
bauxite 
cbg sangaredi 23 conakry guinea road and air lease expires in 2038 bauxite mining commenced in 1973 shareholders are 51 halco and 49 government   of guinea rio tinto alcan holds 45 of halco since 2004 current annual capacity is   13 million tonnes
open cut on site generation fuel oil
gove gove northern territory  australia
road air and port 100 leasehold held in trust by the commonwealth on behalf of  the traditional owners until end of mine life
bauxite mining commenced in 1970 feeding both the gove refinery and export market  capped at two million tonnes per annum bauxite export ceased in 2006 with feed intended  for the expanded gove refinery bauxite exports recommenced in 2008 current production  capacity about ten million tonnes per annum with mine life estimated to 2030
open cut central power station located at the  gove refinery
mrn porto trombetas
12
porto trombetas brazil air or port mineral rights granted for undetermined period mineral extraction commenced in april 1979 initial production capacity 34 million tonnes  annually from october 2003 production capacity up to 163 million tonnes per year  capital structure currently vale 40 bhp billiton 148 rio tinto alcan 12 cba  10 alcoaabalco 182 and norsk hydro 5 production 18 million tonnes of wet and  dry bauxite annually
open cut on site generation heavy oil diesel
weipaely weipa queensland  australia
road air and port at weipa queensland government lease expires in 2041 with  option of 21 year extension then two years’ notice of termination  at ely alcan queensland pty limited agreement act 1965 expires  in  2048  with  21  year  right  of  renewal  with  a  two  year  notice  period
bauxite mining commenced in 1961 at weipa major upgrade completed at weipa in 1998  rio tinto interest increased from 724 to 100 in 2000 at weipa in 1997 ely bauxite  mining project agreement signed with local aboriginal land owners bauxite mining and  exchange agreement signed in 1998 with comalco to allow for extraction of ore at ely in  2004 a mine expansion was completed at weipa that has lifted annual capacity to 215  million tonnes mining commenced on the adjacent ely mining lease in 2006 in accordance  with the 1998 agreement with alcan a second shiploader that increases the shipping  capability was commissioned in 2006 at weipa first ore extracted at ely in 2007
open cut on site generation new power station  commissioned in 2006
copper 
escondida 30 atacama desert chile pipeline and road to   deep sea port at coloso  road and rail
rights conferred by government under chilean mining code production started in 1990 and expanded in phases to 2002 when new concentrator was  completed production from norte started in 2005 and the sulphide leach produced the first  cathode during 2006
open pit supplied from sing grid under various  contracts with local generating  companies
grasberg joint venture  40 of production
papua indonesia pipeline road and port indonesian government contracts of work expire in 2021 with  option of two ten year extensions
joint venture interest acquired 1995 capacity expanded to over 200000 tonnes of ore per  day in 1998 addition of underground production of more than 35000 tonnes per day in  2003 expansion to 50000 tonnes per day in mid 2007 and target to increase to 80000  tonnes by mid 2010
open pit and underground long term contract with usindonesian  consortium operated purpose built coal  fired generating station
kennecott utah copper 
bingham canyon
near salt lake city utah   us
pipeline road and rail owned interest acquired in 1989 modernisation includes smelter complex and expanded   tailings dam  open pit on site generation supplemented  by long term contracts with rocky  mountain power
northparkes 80 goonumbla   new south wales australia
road and rail state government mining lease issued in 1991 for 21 years  development consent approved 2009 for extension of mine life to  2025
production started in 1995 interest acquired in 2000 open pit and underground supplied from state grid
palabora 577 phalaborwa limpopo  province south africa
rail and road lease from south african government until deposits depleted  base metal claims owned by palabora
development of 20 year underground mine commenced in 1996 with open pit closure   in 2003
underground supplied by eskom via grid network
diamonds  minerals
diamonds
argyle diamonds kimberley ranges   western australia
road and air mining tenement held under diamond argyle diamond mines  joint venture agreement act 19811983 lease extended for   21 years from 2004
interest increased from 597 following purchase of ashton mining in 2000   underground mine project approved in 2005 to extend mine life to 2018
open pit to underground  in future
long term contract with ord hydro  consortium and on site generation  diavik 60 northwest territories  canada
air ice road in winter mining leases from canadian federal government expiring in   2017 and 2018
deposits discovered 19941995 construction approved 2000 diamond production started  2003 second dike closed off in 2005 for mining of additional orebody the underground  mine is expected to start production in 2010 ramping up to full production in 2013
open pit to underground  in future
on site diesel generators installed  capacity 27mw with an upgrade   under way
murowa 778 zvishavane zimbabwe road and air claims and mining leases discovered in 1997 small scale production started in 2004 open pit supplied by zesa with diesel generator  back up
industrial minerals
rio tinto minerals — boron california us road rail and port owned deposit discovered in 1925 and acquired by rio tinto in 1967 open pit on site cogeneration units
rio tinto minerals — talc trimouns france   other smaller operations   in australia europe and   north america
road and rail owner of ground orebody and long term lease agreement to 2012 production started in 1885 acquired in 1988 australian mine three springs acquired   in 2001
open pit supplied by atel and on site generation  units australian three springs mine  power supplied by western power
rio tinto fer et titane
lac tio
havresaintpierre quebec  canada
rail and port   st lawrence river
mining covered by two concessions granted by state in 1949   and 1951 which subject to certain mining act restrictions   confer rights and obligations of an owner
production started 1950 interest acquired in 1989 open pit long term contract with hydroquebec
qit madagascar minerals 80 fortdauphin madagascar road and port mining lease began as exploration project 1980s construction approved 2005 ilmenite production  started end of 2008
mineral sand dredging on site diesel generators
richards bay minerals 37 richards  bay  kwazulunatal  south africa
rail road and port long term renewable mineral leases state lease for reserve 4  initially runs to end 2022 ingonyama trust lease for reserve  10 runs to 2022 application made for both mineral leases to  be converted to new order mining rights following transfer in  december 2009 of 26 interest to investor groups of previously  disadvantaged south africans in terms of mining charter  legislation
production started 1977 interest acquired 1989 fifth mining plant commissioned in 2000  one mining plant decommissioned in 2008
beach sand dredging contract with eskom
group  mines
rio tinto’s  interest  100  unless  otherwise  shown
the weipa queensland government lease expires in 2041 with an  option of 21 year extension then two years’ notice of termination  the ely alcan queensland pty limited agreement act 1965 expires  in 2048 with 21 year right of renewal with a two year notice period
state government mining lease issued in 1991 for 21 years  development consent approved in 2009 for extension of mine life  to 2025
mining leases from canadian federal government expiring  in 2017 and 2018
rt006p7881vaw6indd   78 06032010   0104 wwwriotintocom  79
production 
and reserves governance
financial 
statements
shareholder 
information
mine location access titlelease history type of mine power source
bauxite 
cbg sangaredi 23 conakry guinea road and air lease expires in 2038 bauxite mining commenced in 1973 shareholders are 51 halco and 49 government   of guinea rio tinto alcan holds 45 of halco since 2004 current annual capacity is   13 million tonnes
open cut on site generation fuel oil
gove gove northern territory  australia
road air and port 100 leasehold held in trust by the commonwealth on behalf of  the traditional owners until end of mine life
bauxite mining commenced in 1970 feeding both the gove refinery and export market  capped at two million tonnes per annum bauxite export ceased in 2006 with feed intended  for the expanded gove refinery bauxite exports recommenced in 2008 current production  capacity about ten million tonnes per annum with mine life estimated to 2030
open cut central power station located at the  gove refinery
mrn porto trombetas
12
porto trombetas brazil air or port mineral rights granted for undetermined period mineral extraction commenced in april 1979 initial production capacity 34 million tonnes  annually from october 2003 production capacity up to 163 million tonnes per year  capital structure currently vale 40 bhp billiton 148 rio tinto alcan 12 cba  10 alcoaabalco 182 and norsk hydro 5 production 18 million tonnes of wet and  dry bauxite annually
open cut on site generation heavy oil diesel
weipaely weipa queensland  australia
road air and port at weipa queensland government lease expires in 2041 with  option of 21 year extension then two years’ notice of termination  at ely alcan queensland pty limited agreement act 1965 expires  in  2048  with  21  year  right  of  renewal  with  a  two  year  notice  period
bauxite mining commenced in 1961 at weipa major upgrade completed at weipa in 1998  rio tinto interest increased from 724 to 100 in 2000 at weipa in 1997 ely bauxite  mining project agreement signed with local aboriginal land owners bauxite mining and  exchange agreement signed in 1998 with comalco to allow for extraction of ore at ely in  2004 a mine expansion was completed at weipa that has lifted annual capacity to 215  million tonnes mining commenced on the adjacent ely mining lease in 2006 in accordance  with the 1998 agreement with alcan a second shiploader that increases the shipping  capability was commissioned in 2006 at weipa first ore extracted at ely in 2007
open cut on site generation new power station  commissioned in 2006
copper 
escondida 30 atacama desert chile pipeline and road to   deep sea port at coloso  road and rail
rights conferred by government under chilean mining code production started in 1990 and expanded in phases to 2002 when new concentrator was  completed production from norte started in 2005 and the sulphide leach produced the first  cathode during 2006
open pit supplied from sing grid under various  contracts with local generating  companies
grasberg joint venture  40 of production
papua indonesia pipeline road and port indonesian government contracts of work expire in 2021 with  option of two ten year extensions
joint venture interest acquired 1995 capacity expanded to over 200000 tonnes of ore per  day in 1998 addition of underground production of more than 35000 tonnes per day in  2003 expansion to 50000 tonnes per day in mid 2007 and target to increase to 80000  tonnes by mid 2010
open pit and underground long term contract with usindonesian  consortium operated purpose built coal  fired generating station
kennecott utah copper 
bingham canyon
near salt lake city utah   us
pipeline road and rail owned interest acquired in 1989 modernisation includes smelter complex and expanded   tailings dam  open pit on site generation supplemented  by long term contracts with rocky  mountain power
northparkes 80 goonumbla   new south wales australia
road and rail state government mining lease issued in 1991 for 21 years  development consent approved 2009 for extension of mine life to  2025
production started in 1995 interest acquired in 2000 open pit and underground supplied from state grid
palabora 577 phalaborwa limpopo  province south africa
rail and road lease from south african government until deposits depleted  base metal claims owned by palabora
development of 20 year underground mine commenced in 1996 with open pit closure   in 2003
underground supplied by eskom via grid network
diamonds  minerals
diamonds
argyle diamonds kimberley ranges   western australia
road and air mining tenement held under diamond argyle diamond mines  joint venture agreement act 19811983 lease extended for   21 years from 2004
interest increased from 597 following purchase of ashton mining in 2000   underground mine project approved in 2005 to extend mine life to 2018
open pit to underground  in future
long term contract with ord hydro  consortium and on site generation  diavik 60 northwest territories  canada
air ice road in winter mining leases from canadian federal government expiring in   2017 and 2018
deposits discovered 19941995 construction approved 2000 diamond production started  2003 second dike closed off in 2005 for mining of additional orebody the underground  mine is expected to start production in 2010 ramping up to full production in 2013
open pit to underground  in future
on site diesel generators installed  capacity 27mw with an upgrade   under way
murowa 778 zvishavane zimbabwe road and air claims and mining leases discovered in 1997 small scale production started in 2004 open pit supplied by zesa with diesel generator  back up
industrial minerals
rio tinto minerals — boron california us road rail and port owned deposit discovered in 1925 and acquired by rio tinto in 1967 open pit on site cogeneration units
rio tinto minerals — talc trimouns france   other smaller operations   in australia europe and   north america
road and rail owner of ground orebody and long term lease agreement to 2012 production started in 1885 acquired in 1988 australian mine three springs acquired   in 2001
open pit supplied by atel and on site generation  units australian three springs mine  power supplied by western power
rio tinto fer et titane
lac tio
havresaintpierre quebec  canada
rail and port   st lawrence river
mining covered by two concessions granted by state in 1949   and 1951 which subject to certain mining act restrictions   confer rights and obligations of an owner
production started 1950 interest acquired in 1989 open pit long term contract with hydroquebec
qit madagascar minerals 80 fortdauphin madagascar road and port mining lease began as exploration project 1980s construction approved 2005 ilmenite production  started end of 2008
mineral sand dredging on site diesel generators
richards bay minerals 37 richards  bay  kwazulunatal  south africa
rail road and port long term renewable mineral leases state lease for reserve 4  initially runs to end 2022 ingonyama trust lease for reserve  10 runs to 2022 application made for both mineral leases to  be converted to new order mining rights following transfer in  december 2009 of 26 interest to investor groups of previously  disadvantaged south africans in terms of mining charter  legislation
production started 1977 interest acquired 1989 fifth mining plant commissioned in 2000  one mining plant decommissioned in 2008
beach sand dredging contract with eskom
bauxite mining commenced in 1973 shareholders are 51 halco and 49 government   of guinea rio tinto alcan has held 45 of halco since 2004 current annual capacity is   13 million tonnes
rt006p7881vaw6indd   79 06032010   0104 production and reserves
80  rio tinto 2009 annual report
mines  and  production  facilities  continued
mine location access titlelease history type of mine power source
energy 
energy resources of australia 
684
ranger
northern territory australia road mining tenure granted by federal government mining commenced 1981 interest acquired through north in 2000 life of mine extension  to 2020 announced in 2007
open pit on site dieselsteam power generation
rio tinto coal australia
bengalla 303
blair athol 712
hail creek 82
hunter valley operations  757
kestrel 80
mount thorley operations  606
warkworth 421
new south wales and  queensland australia
road rail conveyor and port leases granted by state production started for export at blair athol in 1984 kestrel was acquired and  recommissioned in 1999 hail creek started in 2003
coal and allied shares were first acquired in 1977 and management control gained in 1993  successive acquisitions of surrounding assets results in the current portfolio
open cut and underground  kestrel
state owned grid
cloud peak energy
antelope 483
cordero rojo 483
decker 241
spring creek 483
wyoming montana us rail and road leases from us and state governments and private parties  with minimum coal production levels and adherence to permit  requirements and statutes
cloud peak energy formed in 2009 and includes the cordero rojo antelope and spring  creek mines from the former rio tinto energy america
open cut supplied by ipps and cooperatives  through national grid service
colowyo 100 colorado us rail and road leases from us and state governments and private parties  with minimum coal production levels and adherence to permit  requirements and statutes
colowyo was acquired in 1995 open cut supplied by ipps and cooperatives  through national grid service
rössing uranium 686 namib desert namibia rail road and port federal lease production began in 1978 open pit namibian national power
iron ore 
hamersley iron
brockman  marandoo  mount tom price
nammuldi
paraburdoo
yandicoogina
channar 60
eastern range 54
hamersley ranges   western australia
railway and port   owned by hamersley iron  and operated by pilbara iron
agreements for life of mine with government of western australia annual capacity increased to 68 million tonnes during 1990s yandicoogina first ore  shipped in 1999 and port capacity increased eastern range started 2004
open pit supplied through the integrated  hamersley and robe power network  operated by pilbara iron
hope downs joint venture  50 mine 100 infrastructure
pilbara region   western australia
railway owned and operated  by rio tinto
agreements for life of mine with government of western australia joint venture venture between rio tinto and hancock prospecting construction of stage  1 to 22 million tonnes per annum commenced april 2006 and first production occurred  november 2007 stage 2 to 30 million tonnes per annum completed 2009
open pit supplied through the integrated  hamersley and robe power network  operated by pilbara iron
iron ore company of canada 
587
labrador city province of  labrador and newfoundland
railway and port facilities   in septiles quebec   owned and operated by ioc
sublease with the labrador iron ore royalty income fund which  has lease agreements with the government of newfoundland and  labrador that are due to be renewed in 2020 and 2022
interest acquired in 2000 through north current operation began in 1962 and has  processed over one billion tonnes of crude ore since annual capacity 175 million tonnes   of concentrate of which 135 million tonnes can be pelletised
open pit supplied by newfoundland hydro  under long term contract
robe river iron associates 
53
mesa j
west angelas
pilbara region   western australia
railway and port   owned by robe river and  operated by pilbara iron
agreements for life of mine with government of western australia first shipment in 1972 annual sales reached 30 million tonnes in late 1990s interest  acquired in 2000 through north west angelas first ore shipped in 2002 and mine   expanded in 2005 current sales more than 50 million tonnes per year
open pit supplied through the integrated  hamersley and robe power network  operated by pilbara iron
dampier salt 684 dampier lake macleod   and port hedland   western australia
road and port state agreements mining leases expiring in 2013 at dampier  2018 at port hedland and 2021 at lake macleod with options to  renew in each case
construction of the dampier field started in 1969 first shipment in 1972 lake macleod  was acquired in 1978 as an operating field port hedland was acquired in 2001 as an  operating field
solar evaporation of  seawater dampier and port  hedland and underground  brine lake macleod  dredging of gypsum from  surface of lake macleod
dampier supply from hamersley iron  pty ltd lake macleod from western  power and on site generation units  port hedland from western power
group  mines  continued
rio tinto’s  interest  100  unless  otherwise  shown
location titlelease plant typeproduct capacity as of 31 december 2009  
based on 100 ownership
aluminium
gladstone power station 42 gladstone queensland australia 100 freehold thermal power station  1680 megawatts
highlands power stations lochaber kinlochleven uk 100 freehold hydroelectric power 80 megawatts
lynemouth power station lynemouth uk 100 freehold thermal power station 420 megawatts
kemano power station kemano british columbia canada 100 freehold hydroelectric power 896 megawatts
quebec power stations saguenay quebec canada chuteàcaron   chuteàlasavane chutesdespasses   chutedudiable islemaligne shipshaw
100 freehold  except p éribonka  lease to 2058
hydroelectric power 2919 megawatts
vigelands power station nr kristiansand norway 100 freehold hydroelectric power 26 megawatts
information  on  group  power  plants  rio tinto’s  interest  100  unless  otherwise  shown
state
rt006p7881vaw6indd   80 06032010   0104 wwwriotintocom  81
production 
and reserves governance
financial 
statements
shareholder 
information
mine location access titlelease history type of mine power source
energy 
energy resources of australia 
684
ranger
northern territory australia road mining tenure granted by federal government mining commenced 1981 interest acquired through north in 2000 life of mine extension  to 2020 announced in 2007
open pit on site dieselsteam power generation
rio tinto coal australia
bengalla 303
blair athol 712
hail creek 82
hunter valley operations  757
kestrel 80
mount thorley operations  606
warkworth 421
new south wales and  queensland australia
road rail conveyor and port leases granted by state production started for export at blair athol in 1984 kestrel was acquired and  recommissioned in 1999 hail creek started in 2003
coal and allied shares were first acquired in 1977 and management control gained in 1993  successive acquisitions of surrounding assets results in the current portfolio
open cut and underground  kestrel
state owned grid
cloud peak energy
antelope 483
cordero rojo 483
decker 241
spring creek 483
wyoming montana us rail and road leases from us and state governments and private parties  with minimum coal production levels and adherence to permit  requirements and statutes
cloud peak energy formed in 2009 and includes the cordero rojo antelope and spring  creek mines from the former rio tinto energy america
open cut supplied by ipps and cooperatives  through national grid service
colowyo 100 colorado us rail and road leases from us and state governments and private parties  with minimum coal production levels and adherence to permit  requirements and statutes
colowyo was acquired in 1995 open cut supplied by ipps and cooperatives  through national grid service
rössing uranium 686 namib desert namibia rail road and port federal lease production began in 1978 open pit namibian national power
iron ore 
hamersley iron
brockman  marandoo  mount tom price
nammuldi
paraburdoo
yandicoogina
channar 60
eastern range 54
hamersley ranges   western australia
railway and port   owned by hamersley iron  and operated by pilbara iron
agreements for life of mine with government of western australia annual capacity increased to 68 million tonnes during 1990s yandicoogina first ore  shipped in 1999 and port capacity increased eastern range started 2004
open pit supplied through the integrated  hamersley and robe power network  operated by pilbara iron
hope downs joint venture  50 mine 100 infrastructure
pilbara region   western australia
railway owned and operated  by rio tinto
agreements for life of mine with government of western australia joint venture venture between rio tinto and hancock prospecting construction of stage  1 to 22 million tonnes per annum commenced april 2006 and first production occurred  november 2007 stage 2 to 30 million tonnes per annum completed 2009
open pit supplied through the integrated  hamersley and robe power network  operated by pilbara iron
iron ore company of canada 
587
labrador city province of  labrador and newfoundland
railway and port facilities   in septiles quebec   owned and operated by ioc
sublease with the labrador iron ore royalty income fund which  has lease agreements with the government of newfoundland and  labrador that are due to be renewed in 2020 and 2022
interest acquired in 2000 through north current operation began in 1962 and has  processed over one billion tonnes of crude ore since annual capacity 175 million tonnes   of concentrate of which 135 million tonnes can be pelletised
open pit supplied by newfoundland hydro  under long term contract
robe river iron associates 
53
mesa j
west angelas
pilbara region   western australia
railway and port   owned by robe river and  operated by pilbara iron
agreements for life of mine with government of western australia first shipment in 1972 annual sales reached 30 million tonnes in late 1990s interest  acquired in 2000 through north west angelas first ore shipped in 2002 and mine   expanded in 2005 current sales more than 50 million tonnes per year
open pit supplied through the integrated  hamersley and robe power network  operated by pilbara iron
dampier salt 684 dampier lake macleod   and port hedland   western australia
road and port state agreements mining leases expiring in 2013 at dampier  2018 at port hedland and 2021 at lake macleod with options to  renew in each case
construction of the dampier field started in 1969 first shipment in 1972 lake macleod  was acquired in 1978 as an operating field port hedland was acquired in 2001 as an  operating field
solar evaporation of  seawater dampier and port  hedland and underground  brine lake macleod  dredging of gypsum from  surface of lake macleod
dampier supply from hamersley iron  pty ltd lake macleod from western  power and on site generation units  port hedland from western power
location titlelease plant typeproduct capacity as of 31 december 2009  
based on 100 ownership
copper
phalaborwa power station 
577
phalaborwa limpopo province south africa 100 freehold steam turbine running  off waste heat boilers at  the copper smelter  8 megawatts
puncakjaya power 2212 grasberg papua indonesia lease diesel power plant coal  fired power plant
193 megawatts
kennecott utah copper magna salt lake city utah us 100 freehold thermal power station 175 megawatts
production started for export at blair athol in 1984 kestrel was acquired and  recommissioned in 1999 hail creek started in 2003
coal  allied shares were first acquired in 1977 and management control gained in 1993  successive acquisitions of surrounding assets results in the current portfolio
rt006p7881vaw6indd   81 06032010   0104 production and reserves
82  rio tinto 2009 annual report
mines  and  production  facilities  continued
smelterrefinery location titlelease plant typeproduct capacity as of 31 december 2009  
based on 100 ownership
aluminium
alma alma quebec canada 100 freehold aluminium smelter producing aluminium  rod tfoundry molten metal remelt
437000 tonnes per year  aluminium
alouette 40 septîles quebec  canada
100 freehold aluminium smelter producing aluminium  high purity remelt
600000 tonnes per year  aluminium
alucam 467 edéa cameroon 100 freehold aluminium smelter producing aluminium  slab remelt
100000 tonnes per year  aluminium
arvida saguenay quebec  canada
100 freehold aluminium smelter producing aluminium  billet molten metal remelt
176000 tonnes per year  aluminium
bécancour 251 bécancour quebec  canada
100 freehold aluminium smelter producing aluminium  slab billet tfoundry remelt
430000 tonnes per year  aluminium
bell bay bell bay northern  tasmania australia
100 freehold  aluminium smelter producing aluminium  slab molten metal small form and  tfoundry remelt
180000 tonnes per year  aluminium
boyne smelters 594 boyne island  queensland australia
100 freehold  aluminium  smelter  producing  aluminium  billet ec grade small form and tfoundry  remelt
559000 tonnes per year  aluminium
dunkerque dunkerque france 100 freehold aluminium smelter producing aluminium  slab small form foundry remelt
262000 tonnes per year  aluminium
gardanne gardanne france 100 freehold refinery producing specialty aluminas  and smelter grade aluminas
635000 tonnes per year  specialty aluminas   including 133000 tonnes   of smelter grade aluminas
gove gove northern  territory australia
100 leasehold   commonwealth  land  held  in  trust  on  behalf  of  traditional  owners  numerous  lots  with  varying  expiry  dates  starting  2011
refinery producing alumina 2519000 tonnes per year  alumina
grandebaie saguenay quebec  canada
100 freehold aluminium smelter producing aluminium  slab molten metal remelt
217000 tonnes per year  aluminium
isal reykjavik iceland 100 freehold aluminium smelter producing aluminium  slab remelt  188000 tonnes per year  aluminium
jonquière vaudreuil jonquière quebec  canada
100 freehold refinery producing specialty aluminas  and smelter grade aluminas
1500000 tonnes per year  aluminas
kitimat kitimat british  columbia canada
100 freehold aluminium smelter producing aluminium  billet slab remelt
252000 tonnes per year  aluminium
laterrière saguenay quebec  canada
100 freehold aluminium smelter producing aluminium  slab remelt molten metal
238000 tonnes per year  aluminium
lochaber fort william scotland  uk
100 freehold aluminium smelter producing aluminium  slab remelt  44000 tonnes per year  aluminium
lynemouth lynemouth  northumberland uk
100 freehold aluminium smelter producing aluminium  slab remelt  181000 tonnes per year  aluminium
queensland alumina  80
gladstone  queensland australia
733 freehold 267 leasehold  of which more than 80 expires  in 2026 and after
refinery producing alumina 3959000 tonnes per year  alumina
são luis alumar 10 são luis maranhão  brazil
100 freehold refinery producing alumina 3500000 tonnes per year  alumina  saintjeande
maurienne
saintjeande
maurienne france
100 freehold aluminium smelter producing aluminium  slab rod remelt  138000 tonnes per year  aluminium
sebree robards kentucky us 100 freehold aluminium smelter producing aluminium  billet small form foundry remelt  196000 tonnes per year  aluminium
shawinigan shawinigan quebec  canada
100 freehold aluminium smelter producing aluminium  billet remelt
101000 tonnes per year  aluminium
sohar 20 sohar oman 100 leasehold expiring 2039 aluminium smelter producing aluminium  remelt
362000 tonnes per year  aluminium
soral 50 husnes norway 100 freehold aluminium smelter producing aluminium  billet remelt
171000 tonnes per year  aluminium
tiwai point  
new zealand 
aluminium smelters  794
invercargill southland  new zealand
196 freehold 804 leasehold  expiring in 2029 and use of  certain crown land
aluminium  smelter  producing  aluminium  billet slab small form foundry   super purity remelt
365000 tonnes per year  aluminium
tomago 516 tomago new south  wales australia
100 freehold aluminium smelter producing aluminium  billet slab remelt  532000 tonnes per year  aluminium
yarwun gladstone  queensland australia
97 freehold 3 leasehold  expiring 2101 and after
refinery producing alumina 1400000 tonnes per year  alumina
group  smelters  and  refineries
rio tinto’s  interest  100  unless  otherwise  shown
rt006p8283vaw6indd   82 06032010   0103 wwwriotintocom  83
production 
and reserves governance
financial 
statements
shareholder 
information
smelterrefinery location titlelease plant typeproduct capacity as of december 31 2009  
based on 100 ownership
copper 
kennecott utah copper magna salt lake city  utah us
100 freehold flash smelting furnaceflash   convertor furnace copper  refinery
335000 tonnes per year   refined copper
palabora 577 phalaborwa   south africa
100 freehold reverberatory pierce smith   copper refinery
90000 tonnes per year   refined copper
diamonds  minerals
boron california us 100 freehold borates refinery 565000 tonnes per year   boric oxide
rio tinto fer et titane 
sorel plant
soreltracy quebec  canada
100 freehold ilmenite smelter 1100000 tonnes per year  titanium dioxide slag   900000 tonnes per year iron
richards bay minerals 
37
richards bay   south africa
100 freehold ilmenite smelter 1060000 tonnes per year  titanium dioxide slag
iron  ore  hismelt® 60 kwinana   western australia
100 leasehold expiring in 2010 with  rights of renewal for further 25 year terms
hismelt® ironmaking plant  producing pig iron
800000 tonnes per year   pig iron
ioc pellet plant 59 labrador city  newfoundland and  labrador canada
100 leaseholds expiring in 2020 2022  and 2025 with rights of renewal for further  terms of 30 years
pellet induration furnaces  producing multiple iron ore  pellet types
13500000 tonnes per year  pellet
group  smelters  and  refineries  rio tinto’s  interest  100  unless  otherwise  shown
rt006p8283vaw6indd   83 06032010   0103 84 rio tinto 2009 annual report
board of directors
governance
1 jan du plessis c
chairman
bcom llb casa age 56
appointment and election
director of rio tinto plc and rio tinto limited 
effective 1 september 2008 jan was elected 
by shareholders at the 2009 annual general 
meetings he was appointed chairman at the 
conclusion of the 2009 annual general meetings
skills and experience 
jan was appointed chairman of the board of 
british american tobacco plc in 2004 having 
been a non executive director since 1999 
a former non executive director of lloyds 
bank group plc jan was previously group 
fi nance director of richemont from 1988 
until april 2004 and chairman of rhm plc 
between june 2005 and march 2007
external appointments current and recent
non executive director of marks and spencer 
group plc since november 2008 chairman 
of the board of british american tobacco plc 
from 2004 until october 2009 non executive 
director and chairman of the audit committee 
of lloyds banking group plc from 2005 and 
2008 respectively until april 2009 chairman 
of rhm plc from 2005 until march 2007
2 tom albanese
chief executive
bs mineral economics ms mining
engineering age 52
appointment and election
director of rio tinto plc and rio tinto limited 
since 2006 tom was last reelected in 2008 
skills and experience 
tom joined rio tinto in 1993 on rio tinto’s 
acquisition of nerco and held a series 
of management positions before being 
appointed chief executive of the industrial 
minerals group in 2000 after which he 
became chief executive of the copper group 
and head of exploration in 2004 he took over 
as chief executive with effect from may 2007
external appointments current and recent
director of ivanhoe mines limited from 2006 
to 2007 director of palabora mining company 
from 2004 to 2006 member of the executive 
committee of the international copper 
association from 2004 to 2006
3 sir david clementi a b c and e
non executive director
ma mba age 61
appointment and election 
director of rio tinto plc and rio tinto limited 
since 2003 sir david was appointed chairman 
of the audit committee at the conclusion of 
the 2008 annual general meetings sir david 
was last reelected by shareholders in 2009 
and will retire at the conclusion of the annual 
general meetings in 2010
skills and experience 
sir david was chairman of prudential plc until 
december 2008 prior to which he was deputy 
governor of the bank of england his earlier 
career was with kleinwort benson where he 
spent 22 years holding various positions 
including chief executive and vice chairman 
a graduate of oxford university and a 
qualifi ed chartered accountant sir david also 
holds an mba from harvard business school
external appointments current and recent
non executive director of foreign  colonial 
investment trust plc since may 2008 
chairman king’s cross central general 
partnership since october 2008 chairman of 
prudential plc from 2002 until 2008 member 
of the financial reporting council between 
2003 and 2007
4 vivienne cox  a c and e
non executive director
ma oxon mba insead age 50 
appointment and election 
director of rio tinto plc and rio tinto 
limited since 2005 vivienne was last 
reelected in 2008
skills and experience 
vivienne was executive vice president and 
chief executive offi cer alternative energy 
for bp plc until june 2009 she became a 
member of the bp group chief executive’s 
committee when she became chief executive 
of the gas power and renewables business 
during her career at bp she worked in 
chemicals exploration fi nance and refi ning 
and marketing vivienne holds degrees in 
chemistry from oxford university and in 
business administration from insead 
external appointments current and recent 
non executive director of climate change 
capital limited since may 2008 and non 
executive chairman since november 2009 
member of the supervisory board of vallourec 
1 2 3 4
9 10 11 12  w w w riotint oc om 85
governance
financial 
statements
shareholder
information
since 23 february 2010 member of the board 
of insead since may 2009 executive vice 
president for bp plc between 2004 and 2009 
5 sir rod eddington  c d and e
non executive director
b eng m eng d phil oxon age 60 
appointment and election 
director of rio tinto plc and rio tinto limited 
since 2005 sir rod was last reelected by 
shareholders in 2009
skills and experience 
sir rod was chief executive of british airways 
plc until the end of september 2005 prior 
to his role with british airways sir rod was 
managing director of cathay pacifi c airways 
from 1992 until 1996 and executive chairman 
of ansett airlines from 1997 until 2000
external appointments current and recent 
non executive chairman of jpmorgan australia 
and new zealand since 2006 director of 
clp holdings since 2006 director of news 
corporation plc since 1999 director of john 
swire  son pty limited since 1997 chairman 
infrastructure australia since february 2008 
director of allco finance group limited 
from 2006 until 2009 chief executive 
british airways plc from 2000 until 2005 
chairman of the euhong kong business co
operation committee of the hong kong trade 
development council from 2002 until 2006
6 guy elliott
chief fi nancial offi cer
ma oxon mba insead age 54 
appointment and election 
chief fi nancial offi cer of rio tinto plc and 
rio tinto limited since 2002 guy was last re
elected by shareholders in 2007 and stands for 
reelection in 2010
skills and experience 
guy joined the group in 1980 after gaining 
an mba having previously been in investment 
banking he has subsequently held a variety 
of commercial and management positions 
including head of business evaluation and 
president of rio tinto brasil
external appointments current and recent
non executive director of cadbury plc since 
july 2007 and senior independent director 
since july 2008 chairman of the audit 
committee until april 2009 
7 michael fitzpatrick a b c and e
non executive director
b eng ba oxon age 57
appointment and election 
director of rio tinto plc and rio tinto 
limited since 2006 michael was elected 
by shareholders in 2007 and stands for 
reelection in 2010
skills and experience 
michael sold his interest in and ceased to be 
a director of hastings funds management ltd 
during 2005 the pioneering infrastructure 
asset management company which he founded 
in 1994 he is chairman of treasury group 
limited an incubator of fund management 
companies he is chairman of the australian 
football league having previously played the 
game professionally and is a former chairman 
of the australian sports commission
external appointments current and recent
chairman of treasury group limited 
since 2005 director of the walter  eliza 
hall institute of medical research since 
2001 chairman of the victorian funds 
management corporation from 2006 to 
2008 managing director of hastings funds 
management ltd from 1994 to 2005 director 
of australian infrastructure fund limited 
from 1994 to 2005 
8 yves fortier  c d and e
non executive director
cc oq qc lld av em age 74 
appointments and election
director of rio tinto plc and rio tinto limited 
since 2007 yves was elected by shareholders 
in 2008
skills and experience
yves fortier was ambassador and permanent 
representative of canada to the united 
nations from 1988 to 1992 he is chairman 
emeritus and a senior partner of the law fi rm 
ogilvy renault and was chairman of alcan 
from 2002 until 2007
external appointments current and recent
chairman emeritus and senior partner of 
ogilvy renault since june 2009 chairman of 
ogilvy renault from 1992 until may 2009 
director of nov a chemicals corporation 
5 6 7 8
13 14 15 16 governance
86 rio tinto 2009 annual report
board of directors continued
from 1998 until april 2009 chairman and 
director of alcan inc from 2002 until 2007 
director of royal bank of canada from 1992 
to 2005 director of nortel corporation 
from 1992 to 2005 governor of hudson’s 
bay company from 1998 to 2006 trustee 
of the international accounting standards 
committee from 2000 to 2006 
9 ann godbehere  a c and e
non executive director 
fcga age 54 
appointment and election
appointed a director of rio tinto plc and 
rio tinto limited on 9 february 2010 ann 
will stand for election by shareholders at the 
2010 annual general meetings 
skills and experience
ann will succeed sir david clementi as 
chairman of the audit committee upon his 
retirement from the board at the conclusion 
of the 2010 annual general meetings ann 
has more than 25 years’ experience in the 
fi nancial services industry she spent 10 years 
at swiss re latterly as chief fi nancial offi cer 
from 2003 until 2007 and from 2008 until 
january 2009 she was chief fi nancial offi cer 
and executive director of northern rock
external appointments current and recent
non executive director of ubs ag since 
april 2009 non executive director of atrium 
underwriting group limited and ariel group 
limited since november 2007 non executive 
director of prudential since august 2007 
and chairman of the audit committee since 
october 2009 chief fi nancial offi cer and 
executive director of northern rock from 
2008 to 2009
10 richard goodmanson  b c d and e
non executive director
mba bec and bcom b eng civil age 62
appointment and election
director of rio tinto plc and rio tinto 
limited since 2004 he was last reelected 
by shareholders in 2008 and is chairman 
of the committee on social and 
environmental accountability 
skills and experience
richard was executive vice president and chief 
operating offi cer of dupont until the end of 
september 2009 he was responsible for a 
number of the global functions and for the 
non us operations of dupont with particular 
focus on growth in emerging markets during 
his career he has worked at senior levels for 
mckinsey  co pepsico and america west 
airlines where he was president and ceo
external appointments current and recent
non executive director of qantas airways 
limited since june 2008 economic adviser 
to the governor of guangdong province 
china since 2003 executive vice president 
and chief operating offi cer of dupont from 
1999 until september 2009 director of the 
united way of delaware between 2002 and 
june 2009 chairman between january 2006 
and june 2007 
11 andrew gould  b c and e
non executive director
ba fca age 63
appointment and election
director of rio tinto plc and rio tinto 
limited since 2002 andrew was appointed 
the senior independent non executive 
director and chairman of the remuneration 
committee at the conclusion of the 2008 
annual general meetings andrew was last 
reelected by shareholders in 2009
skills and experience
andrew is chairman and chief executive 
offi cer of schlumberger limited where 
he has held a succession of fi nancial 
and operational management positions 
including that of executive vice president of 
schlumberger oilfi eld services and president 
and chief operating offi cer of schlumberger 
limited he has worked in asia europe and 
the us he joined schlumberger in 1975 
he holds a degree in economic history 
from cardiff university and qualifi ed as a 
chartered accountant with ernst  young
external appointments current and recent
chairman and chief executive offi cer of 
schlumberger limited since 2003 member 
of the board of trustees of king abdullah 
university of science and technology in 
jeddah saudi arabia since october 2008 
member of the advisory board of the king 
fahd university of petroleum and minerals in 
dhahran saudi arabia since 2007 member 
of the commercialisation advisory board of 
imperial college of science technology and 
medicine london since 2002 member of the 
uk prime minister’s council of science and 
technology from 2004 to 2007
12 lord kerr of kinlochard  a c d and e
non executive director
gcmg ma age 68
appointment and election
director of rio tinto plc and rio tinto 
limited since 2003 he was last reelected 
by shareholders in 2007 and stands for 
reelection in 2010
skills and experience
lord kerr was in the uk diplomatic service 
for 36 years and headed it from 1997 to 2002 
as permanent under secretary at the foreign 
offi ce previous postings included being 
principal private secretary to two chancellors 
of the exchequer serving in the soviet union 
and pakistan and spells as ambassador to the 
european union 1990 to 1995 and the us 
1995 to 1997 he has been an independent 
member of the house of lords since 2004
external appointments current and recent
director of scottish power limited since 
july 2009 deputy chairman of royal dutch 
shell plc since 2005 director of the scottish 
american investment trust plc since 2002 
advisory board member bae systems since 
2008 chairman of the centre for european 
reform london since 2008 vice president 
of the european policy centre brussels since 
2007 chairman of the court and council 
of imperial college london since 2005 
trustee of the rhodes trust since 1997 and 
the carnegie trust for the universities of 
scotland since 2005 director of the “shell” 
transport and trading company plc from 
2002 to 2005 advisory board member 
scottish power iberdrola from 2007 to july 
2009 trustee of the national gallery from 
2002 to february 2010
13 david mayhew  c
non executive director
age 69
appointment and election
director of rio tinto plc and rio tinto limited 
since 2000 david was reelected for a further 
one year term of offi ce in 2009 and will 
retire at the conclusion of the annual general 
meetings in 2010
skills and experience
david joined cazenove in 1969 and in 1986 
he became the partner in charge of the fi rm’s 
capital markets department he became 
chairman of cazenove group limited in 
2001 and jpmorgan cazenove in 2005 until 
january 2010 when he became vice chairman 
of jpmorgan
external appointments current and recent
vice chairman of jpmorgan effective january 
2010 chairman of cazenove group limited 
between 2001 and january 2010 chairman 
of jpmorgan cazenove holdings limited 
formerly cazenove group plc between 
2005 and january 2010 
14 hon paul tellier  a b c and e
non executive director
lll blittoxon lld cc age 70
appointment and election
director of rio tinto plc and rio tinto limited 
since 2007 paul was elected by shareholders 
at the 2008 annual general meetings  w w w riotint oc om 87
governance
financial 
statements
shareholder
information governance
financial 
statements
shareholder
information
skills and experience
paul was clerk of the privy council offi ce and 
secretary to the cabinet of the government of 
canada from 1985 to 1992 and was president 
and chief executive offi cer of the canadian 
national railway company from 1992 to 
2002 until 2004 he was president and chief 
executive offi cer of bombardier inc
external appointments current and recent
chairman of global container terminals 
since 2007 director of bce inc since 1999 
director of mccain foods since 1996 
director of bell canada since 1996 trustee 
of the international accounting standards 
foundation since 2007 cochair of the prime 
minister of canada’s advisory committee on 
the renewal of the public service since 2006 
strategic advisor to société générale canada 
since 2005 member of the advisory board 
of general motors of canada since 2005 
non executive director of alcan inc from 
1998 to 2007
15 sam walsh
executive director
b com melbourne age 60
appointment and election
director of rio tinto plc and rio tinto limited 
effective 5 june 2009 sam will stand for 
election at the 2010 annual general meetings
skills and experience
sam was appointed executive director and 
chief executive iron ore and australia in 
june 2009 he joined rio tinto in 1991 
following 20 years in the automotive industry 
at general motors and nissan australia he 
has held a number of management positions 
within the group including managing 
director of comalco foundry products cra 
industrial products hamersley iron sales 
and marketing hamersley iron operations 
vice president of rio tinto iron ore with 
responsibility for hamersley iron and robe 
river and from 2001 to 2004 chief executive 
of the aluminium group and from 2004 to 
2009 chief executive of the iron ore group 
sam is also a fellow of the australian institute 
of management the australasian institute 
of mining and metallurgy and the australian 
institute of company directors
external appointments current and recent
director of western australian newspaper 
holdings limited since december 2008 chair 
of black swan state theatre company limited 
since march 2009 chair of w a chapter of 
australian business arts foundation since 
2008 director of the committee for perth ltd 
between 2006 and august 2009 director of 
the australian mines and metals association 
between 2001 and 2005 director of the 
australian chamber of commerce and 
industry between 2003 and 2005 
16 robert brown
non executive director
bsc age 65
appointment and election 
appointed a director of rio tinto plc and rio 
tinto limited on 9 february 2010 to take 
effect from 1 april 2010 bob will stand for 
election by shareholders at the 2010 annual 
general meetings
skills and experience
bob is chairman of groupe aeroplan inc and 
serves on the board of bell canada enterprises 
bce inc the holding company for bell canada 
he was previously president and chief executive 
offi cer of cae inc a world leader in fl ight 
simulation and training before that he spent 16 
years at bombardier inc where he was fi rst head 
of the aerospace group and then president and 
chief executive offi cer he has also served as 
chairman of air canada and of the aerospace 
industries association of canada
bob was inducted to the order of canada as 
well as l’ordre national du québec he has 
been awarded honorary doctorates from fi ve 
canadian universities
external appointments current and recent
non executive director of groupe aeroplan 
inc since 2005 and chairman since january 
2008 non executive director of bell canada 
enterprises bce inc since may 2009 president 
and chief executive offi cer of cae inc from 
august 2004 until september 2009 non 
executive director of nortel corporation from 
2000 to 2006 allen vanguard corporation 
from 2003 to 2005 and ace aviation holdings 
inc from 2004 to april 2009 
directors who left the group during 2009
paul skinner 
ba hons law dpba business administration
director of rio tinto plc and rio tinto limited 
from 2001 paul was chairman of the group 
until his retirement at the conclusion of the 
2009 annual general meetings 
skills and experience
he was previously a managing director of 
the “shell” transport and trading company 
plc and group managing director of the 
royal dutchshell group of companies for 
whom he had worked since 1966 
external appointments current and recent 
upon leaving the group 
director of air liquide sa since 2006 director 
of the tetra laval group since 2005 director of 
standard chartered plc since 2003 chairman 
of the commonwealth business council since 
2007 non executive member of the defence 
board of the uk ministry of defence since 
2006 chairman of the international chamber 
of commerce uk from 2005 to 2008
dick evans 
bs industrial engineering ms management
director of rio tinto plc and rio tinto limited 
from 2007 until his retirement at the conclusion 
of the 2009 annual general meetings
skills and experience 
dick joined rio tinto following the acquisition 
of alcan where he had held several senior 
management positions since 1997 including 
executive vice president and president and 
chief executive offi cer from 2006 to 2007 
external appointments current and recent 
upon leaving the group 
director of abitibibowater inc since 2003 and 
its chairman since february 2009 director of 
the international aluminium institute since 
2001 and chairman since 2008 director of the 
conference board of canada since 2007
jim leng 
appointment and election 
director of rio tinto plc and rio tinto 
limited from january 2009 until february 
2009 he resigned from the boards of 
rio tinto prior to his election at the 2009 
annual general meetings
skills and experience
jim was chairman of tata steel europe 
limited and deputy chairman of tata steel 
of india following the corus takeover by 
tata in april 2007 he was also chairman 
of doncasters group ltd an international 
specialist engineering company and a non 
executive director of alstom sa a senior 
adviser of hsbc and a member of their 
european advisory council and chairman of 
the european advisory board of aea a new 
york based private equity partnership 
external appointments current and recent 
upon leaving the group
director of tnkbp since january 2009 
chairman of tata steel europe limited since 
november 2008 deputy chairman of tata steel 
of india since 2007 chairman of doncasters 
group limited since 2006 non executive 
director alstom sa since 2003 and director of 
corus group limited from 2001 to 2008
notes
a audit committee
b remuneration committee
c nominations committee
d committee of social and environmental
 accountability
e independent governance
88 rio tinto 2009 annual report
executive committee
1 hugo bague 
ma linguistics age 49
skills and experience
hugo bague was appointed group executive 
people and organisations in october 2009 
having joined rio tinto as global head of 
human resources in 2007 previously he 
worked for six years for hewlettpackard 
where he was the global vice president human 
resources for the technology solutions group 
based in the us prior to this he worked for 
compaq computers nortel networks and 
abbott laboratories based in switzerland 
france and germany
external appointments current and recent
member of the advisory council of united 
business institute in brussels belgium 
since 1995
2 preston chiaro 
bsc hons environmental engineering meng 
environmental engineering age 56
skills and experience
preston was appointed group executive 
technology  innovation in october 2009 
he joined the group in 1991 at kennecott 
utah copper’s bingham canyon mine as vice 
president technical services in 1995 he 
became vice president and general manager 
of the boron operations in california and was 
chief executive of rio tinto borax from 1999 
to 2003 preston then became chief executive 
of the energy group and in november 2007 
upon a management reorganisation he also 
assumed responsibility for the industrial 
minerals group
external appointments current and recent
director of rössing uranium limited from 
2004 to 2009 director of the world coal 
institute between 2003 and 2009 chairman 
from 2006 to 2008 chairman of the coal 
industry advisory board to the international 
energy agency between 2004 and 2006 
director of energy resources of australia 
limited between 2003 and 2006 director of 
coal  allied industries limited between 2003 
and 2006
3 bret clayton 
ba accounting age 48
skills and experience 
bret was appointed group executive 
business support  operations in october 
2009 he joined the group in 1995 and 
has held a series of management positions 
including chief executive of the copper 
and diamonds groups president and chief 
executive offi cer of rio tinto energy america 
and chief fi nancial offi cer of rio tinto iron 
ore prior to joining the group bret worked 
for pricewaterhousecoopers for nine years 
providing auditing and consulting services 
to the mining industry
external appointments current and recent
director of ivanhoe mines limited between 
2007 and 2009 member of the executive 
committee of the international copper 
association between 2006 and 2009 
member of the coal industry advisory board 
to the international energy agency iea 
between 2003 and 2006 member of the 
board of directors of the us national mining 
association between 2002 and 2006
4 jacynthe côté 
bchem age 52
skills and experience 
jacynthe became chief executive rio tinto 
alcan on 1 february 2009 she joined alcan 
in 1988 and has signifi cant operational and 
international experience in the aluminium 
industry she was chief executive offi cer 
primary metal rio tinto alcan where she 
was responsible for all primary metal facilities 
and power generation installation worldwide 
her previous roles in alcan include president 
and chief executive offi cer bauxite  alumina 
business group and senior management roles 
in business planning human resources and 
environment health and safety jacynthe has 
a bachelor’s degree in chemistry from laval 
university in quebec
external appointments current and recent
member of the hautes etudes commerciales 
board since june 2009 member of the 
quebec council of manufacturers since 
april 2008 member of the international 
aluminium institute since 2006
5 andrew harding 
beng mining engineering mba age 43
skills and experience 
andrew was appointed chief executive 
of rio tinto copper in october 2009 he 
joined rio tinto in 1992 initially working 
for hamersley iron andrew went on to 
hold operating roles within the energy 
aluminium and iron ore product groups 
including at the mount thorley hunter 
valley weipa mount tom price marandoo 
and brockman mines in 2007 he became 
global practice leader mining within 
rio tinto’s technology  innovation 
group prior to his current role andrew 
was president and chief executive offi cer 
kennecott utah copper
external appointments current and recent 
director of ivanhoe mines limited since 
november 2009
6 harry kenyonslaney 
bsc hons geology age 49
skills and experience 
harry was appointed chief executive of 
rio tinto’s diamonds  minerals product 
group in october 2009 he joined the group 
in 1990 from anglo american corporation 
and has held management positions in south 
africa australia and the uk harry spent his 
early career at rio tinto in marketing and 
operational roles in the uranium copper 
and industrial minerals business in 2004 
he was appointed chief executive of energy 
resources of australia and prior to his 
current role became managing director of 
rio tinto iron  titanium in 2007
external appointments current and recent
chairman of the australian uranium 
association from 2006 to 2007 chairman 
of the copper development association 
south africa from 2000 to 2003 director of 
energy resources of australia limited from 
2004 to 2007
1 2 3 4  w w w riotint oc om 89
governance
financial 
statements
shareholder
information governance
financial 
statements
shareholder
information
7 doug ritchie
llb f ausimm f aim f aicd age 53
skills and experience 
doug was appointed chief executive of 
rio tinto’s energy group in october 2009 
he has been with the group since 1986 when 
he joined cra as corporate counsel since then 
he has held various legal commercial business 
analysis strategy operational and project 
evaluation and development roles including 
in the aluminium energy and diamonds  
minerals product groups and within corporate 
functions doug’s previous roles have included 
managing director of dampier salt rio tinto 
coal australia and rio tinto diamonds prior 
to his current role he was managing director 
strategy of rio tinto
external appointments current and recent
director of australian coal association from 
2006 to 2008 director of dalrymple bay coal 
terminal pty ltd from 2006 to 2007 director 
of port waratah coal services ltd from 2006 
to 2007 director of queensland resources 
council from 2006 to 2007 member of the 
coal industry advisory board to the iea 
from 2006 to 2008 director of coal  allied 
industries limited between 2006 and 2007 
and since 2008 director of rössing uranium 
limited since november 2009
8 debra valentine 
ba history jd age 56
skills and experience 
debra was appointed group executive
legal  external affairs in october 
2009 having joined rio tinto as global 
head of legal in january 2008 debra 
previously worked at united technologies 
corporation in the us where she was vice 
president deputy general counsel and 
secretary before then she was a partner 
with the law fi rm o’melveny  myers 
in washington dc debra served as 
general counsel at the us federal trade 
commission from 1997 to 2001
external appointments current and recent
member council on foreign relations 
since 1993 american law institute 1991 
commissioner congressional antitrust 
modernisation commission from 2004 
to 2007
tom albanese guy elliott and sam walsh 
were also members of the executive 
committee in 2009 through their positions 
as chief executive chief fi nancial offi cer 
and chief executive of the iron ore group 
respectively their biographies are shown 
on pages 84 85 and 87
company secretaries
ben mathews 
ba hons fcis age 43
skills and experience 
ben joined as company 
secretary of rio tinto plc 
during 2007 prior to joining 
rio tinto he spent fi ve years 
with bg group plc two of 
them as company secretary 
he has previously worked 
for national grid plc british 
american tobacco plc and 
pricewaterhousecoopers llp 
ben is a fellow of the institute 
of chartered secretaries and 
administrators
external appointments 
current and recent none
stephen consedine 
b bus cp a age 48
skills and experience
stephen joined rio tinto in 
1983 and has held various 
positions in accounting 
treasury and employee 
services before becoming 
company secretary of 
rio tinto limited in 2002 
he holds a bachelor of 
business degree and is 
a certifi ed practising 
accountant
external appointments 
current and recent none
5 6 7 8 directors’ report
governance
dual listed structure
an explanation of the dual listed companies 
structure dlc which unifi ed rio tinto plc 
and rio tinto limited in 1995 can be found 
on page 232 this section also provides a 
description of voting rights restrictions which 
may apply in respect of the shares of either 
company under specifi ed circumstances
constitutional documents
rio tinto plc’s articles of association were 
adopted by special resolution on 20 april 2009 
and amended by special resolution passed on 
20 april 2009 effective from 1 october 2009 
rio tinto limited’s constitution was adopted 
by special resolution passed on 24 may 2000 
and amended by special resolutions passed on 
18 april 2002 29 april 2005 27 april 2007 
24 april 2008 and 20 april 2009 effective 
from 20 april and 1 october 2009
activities and business review
details of the group’s results operations 
and principal activities signifi cant changes 
during the year post balance sheet events 
and likely future developments are set out in 
the overview and performance sections from 
pages 2 to 61
during 2009 and until the date of this report 
the signifi cant changes and events affecting 
the group have been
• the announcement on 12 january 2009 
of the appointment of jacynthe côté as 
chief executive rio tinto alcan effective 
1 february 2009
• on 14 january 2009 jim leng was 
appointed as chairman designate and a 
non executive director he subsequently 
resigned on 9 february 2009 and paul 
skinner agreed to remain as chairman on 
18 march 2009 it was announced that jan 
du plessis would be appointed chairman 
and that paul skinner would retire with 
effect from the conclusion of the 2009 
annual general meetings
• the announcement on 20 january 2009  
that rio tinto alcan planned to implement 
further production curtailments to align 
market production with customer demand 
bringing the total production decrease 
to approximately 11 per cent of its total 
annualised aluminium capacity
• on 12 february 2009 a proposal for the 
formation of a strategic partnership with 
chinalco was announced but on 5 june 
2009 the group announced that it had 
terminated the agreement with chinalco 
and would pay the agreed break fee of 
us195 million
• the announcement on 5 june 2009 of a 
non binding agreement between rio tinto 
and bhp billiton to establish a production 
joint venture covering the entirety of both 
companies’ western australian iron ore 
assets and the appointment of sam walsh 
to the board of rio tinto with immediate 
effect on 15 october 2009 it was agreed 
that the partners would not proceed with 
any joint venture marketing activity on 
5 december 2009 binding agreements 
on the proposed joint venture that cover 
all aspects of how the joint venture will 
operate and be governed were signed
• the announcement on 5 june 2009 
of a fully underwritten rights issue to 
raise approximately us152 billion of 
gross proceeds 
• on 5 july 2009 four employees were 
detained for questioning by the chinese 
authorities in shanghai on 11 february 
2010 rio tinto was advised that the 
people’s procuratorate had transferred 
the case to the shanghai number one 
intermediate court for trial the charges 
related to receiving bribes and stealing 
commercial secrets
• the announcement on 6 july 2009 that 
rio tinto had signed an agreement to 
sell its alcan packaging food americas 
division to bemis company inc for a total 
consideration of us12 billion the sale 
completed on 1 march 2010
• the announcement on 18 august 2009 
that a binding offer from amcor had been 
received to acquire the majority of the alcan 
packaging businesses comprising alcan 
packaging global pharmaceuticals global 
tobacco food europe and food asia divisions 
for a total consideration of us2025 billion 
which was accepted on 23 december 2009 
on 1 february 2010 the majority of the sale 
completed for us1948 million 
• on 15 september 2009 rio tinto announced 
that it had agreed to the sale of 56 per cent 
of alcan engineered products cable division 
to platinum equity  and on 1 december 
2009 rio tinto completed the sale of alcan 
composites part of the alcan engineered 
products division to schweiter t echnologies 
for a total consideration of us349 million 
the sale of the cable division was terminated 
on 1 december 2009
• on 16 october 2009 a number of senior 
management appointments and changes 
to rio tinto’s organisational structure 
were announced with effect from 
1 november 2009 
• with effect from 28 october 2009 
rio tinto cancelled its listing on the new 
zealand stock exchange
• on 23 november 2009 rio tinto announced 
that it would receive total proceeds of at least 
us741million in connection with cloud 
peak energy inc’s initial public offering and 
related transactions
• on 9 february 2010 the group announced 
the appointment of ann godbehere and 
robert brown as non executive directors 
with effect from 9 february 2010 and 
1 april 2010 respectively and that sir david 
clementi and david mayhew would retire as 
non executive directors upon the conclusion 
of the 2010 annual general meetings
• on 1 march 2010 the group announced it 
had agreed to acquire 15 million shares in 
ivanhoe mines ltd at a subscription price of 
c1631 per share increasing its ownership 
in ivanhoe mines by 27 per cent to 224 
per cent the total consideration was 
c2447 million
as permitted by sections 2993 and 299a3 
of the australian corporations act 2001 
information which is likely to result in 
unreasonable prejudice regarding likely 
future developments in and the expected 
results of the operations of the group or its 
strategies and prospects has been omitted 
the group’s principal risks and uncertainties 
are described on pages 16 to 19
share capital buybacks and options
details of the group’s share capital as at 
31 december 2009 can be found at notes 28 
and 29 to the fi nancial statements details of 
the rights and obligations attached to each 
class of shares can be found on page 232 under 
the heading “dual listed companies structure 
– v oting rights”  the voting rights of shares held 
benefi cially by a third party in line with an 
employee share plan are set out on page 109
details of certain agreements triggered on 
a change of control can be found on page 
232 under the heading “dual listed 
companies structure” 
details of certain restrictions on holding 
shares in rio tinto are described on page 233 
under the heading “dual listed companies 
structure – limitations on ownership of 
shares and merger obligations”  there are no 
other restrictions on the transfer of ordinary 
shares in rio tinto plc save for
• restrictions that may from time to time be 
imposed by laws and regulations 
for example those relating to market 
abuse and insider dealing
• restrictions that may be imposed pursuant to 
the listing rules of the uk financial services 
authority whereby certain employees of the 
group require approval to deal in shares
90 rio tinto 2009 annual report  w w w riotint oc om 91
overview performance
production
 reserves governance
financial 
statements
shareholder
information
• restrictions on the transfer of shares that 
may be imposed under rio tinto plc’s 
articles of association or under part 22 of 
the uk companies act 2006 in either case 
following a failure to supply information 
required to be disclosed following service 
of a request under section 793 of the uk 
companies act 2006 and
• restrictions on the transfer of shares held 
under certain employee share plans while 
they remain subject to the plan
details of substantial shareholders of 
rio tinto plc and rio tinto limited can be 
found on page 235
at the rio tinto limited annual general meeting 
held in april 2009 the shareholders renewed 
the authority to buy back up to all the rio tinto 
limited shares held indirectlyby rio tinto plc
no shares were bought back during 2009 
under the renewed authority or during 
the period from 1 january 2010 to 
18 february 2010
at the rio tinto plc annual general meeting 
shareholders approved an increase in 
authorised share capital from £142123283 to 
£170000000 however in accordance with 
the uk companies act 2006 shareholders 
also approved an amendment to rio tinto plc’s 
articles of association to refl ect the abolition 
of the concept of authorised share capital with 
effect from 1 october 2010
on 5 june 2009 the group announced a fully 
underwritten rights issue consisting of a 
21 for 40 rights issue of 524460478 new 
rio tinto plc shares at 1400 pence per share 
and a 21 for 40 rights issue of 150015297 
new rio tinto limited shares at a2829 
per share rio tinto plc received valid 
acceptances in respect of 508577688 
shares representing 9697 per cent of the 
total number of new shares and rio tinto 
limited received valid acceptances in respect 
of 142149887 shares representing 9476 
per cent of the total number of new shares 
the remaining shares over which valid 
acceptances were not received were placed 
in the market by the underwriters the 
group raised gross proceeds of approximately 
us152 billion from the issues net proceeds 
of us148 billion were used to pay down the 
group’s debt
during 2009 in order to satisfy obligations 
under employee share plans rio tinto plc 
issued 1314943 ordinary shares of which 
874925 ordinary shares were issued from 
treasury and rio tinto limited’s registrar 
purchased on market and delivered 
1274277 shares to plan participants
also during the year the companies’ registrars 
purchased on market 241889 rio tinto plc 
ordinary shares and 586752 rio tinto limited 
shares to satisfy obligations to shareholders 
under the dividend reinvestment plans
for the period 1 january 2010 to 18 february 
2010 rio tinto plc issued 699915 shares in 
connection with employee share plans and 
rio tinto limited’s registrars purchased 
on market and delivered 556359 shares 
to plan participants
awards over 3460646 rio tinto plc ordinary 
shares and 2566504 rio tinto limited 
shares were granted under employee share 
plans during 2009 in addition as a result 
of the rights issues the awards over rio 
tinto plc shares were adjusted by 2261327 
options and a further grant of 514354 
options over rio tinto limited shares were 
made as at 18 february 2010 there were 
options outstanding over 5437403 rio tinto 
plc ordinary shares and 2380868 rio tinto 
limited shares upon vesting awards may 
be satisfi ed by the issue of new shares the 
purchase of shares on market or in the case 
of rio tinto plc from treasury shares 
dividends
further to the rights issues described above 
the group did not pay an interim dividend 
for 2009 the fi nal and total dividend for 
2009 will be us 45 cents the fi nal dividends 
payable to shareholders of 2884 pence or 
5156 australian cents per share will be
paid on 1 april 2010 full details of dividends 
paid and the dividend policy can be found 
on page 230
purchases of shares
 
a total
number of
shares purchased
b average
price paid per
share us
rio tinto plc
c total number of
shares purchased
as part of publicly
announced plans or
programmes
a total
number of shares 
purchased
b average
price paid per
share us
rio tinto limited
c total number of
shares purchased
as part of publicly
announced plans or
programmes
 rio tinto group 
d approximate
dollar value of shares 
that may yet be 
purchased under the 
plans or programmes
us
2009
1 jan to 31 jan – – – 26530 2736 – –
1 feb to 28 feb – – – 175937 3144 – –
1 mar to 31 mar – – – 105533 3257 – –
1 apr to 30 apr 241889 3162 – 652598 3811 – –
1 may to 31 may – – – 247587 4684 – –
1 jun to 30 jun – – – 377811 5736 – –
1 jul to 31 jul – 30532 4329 – –
1 aug to 31 aug – 16526 4966 – –
1 sep to 30 sep – 23774 5112 – –
1 oct to 31 oct – 58135 6109 – –
1 nov to 30 nov – 80630 6639 – –
1 dec to 31 dec – – – 65436 6667 – –
total 241889 3162 – 1861029 4538 – –
 
2010
1 jan to 31 jan – – – 270326 7196 – –
1 feb to 18 feb – – – 286033 6321 – –
notes
1 rio tinto plc ordinary shares of 10p each rio tinto limited shares
2 the average prices paid have been translated into us dollars at the exchange rate on the day of settlement
3  shares purchased by the companies’ registrars in connection with the dividend reinvestment plans  and employee share plans are not deemed to form part of any publicly announced plan 
or programme governance
92 rio tinto 2009 annual report
directors’ report continued
annual general meetings
the 2010 annual general meetings will be 
held on 15 april in london and on 22 april 
in melbourne separate notices of the 2010 
annual general meetings are produced for 
the shareholders of each company
directors
the names of the directors who served during 
the year together with their biographical 
details and other information are shown on 
pages 84 to 87 jim leng was appointed a non 
executive director and chairman designate on 
14 january 2009 but subsequently resigned 
on 9 february 2009 paul skinner and dick 
evans retired at the conclusion of the rio tinto 
limited annual general meeting held on 20 
april 2009 jan du plessis succeeded paul 
skinner as chairman of the board sam 
w alsh ann godbehere and robert brown 
were appointed as directors with effect from 
5 june 2009 9 february 2010 and 1 april 
2010 respectively  in line with the group’s 
constitutional documents they will stand for 
election at the 2010 annual general meetings 
guy elliott mike fitzpatrick and lord kerr 
retire by rotation and being eligible will offer 
themselves for reelection at those meetings 
sir david clementi and david mayhew have 
advised the board of their intention to retire 
at the conclusion of the 2010 annual general 
meetings details of directors’ service contracts 
and letters of appointment can be found on 
page 114 and page 115
a table of directors’ attendance at board and 
committee meetings during 2009 is on page 96
remuneration of directors and executives 
the remuneration report starting on page 104 
forms part of the directors’ report and includes 
details of the nature and amount of each 
element of the remuneration including share 
options of each of the directors and of the 
key management personnel and highest paid 
executives below board level in respect 
of whom disclosures are required in 2009
the 2008 remuneration report was approved 
by shareholders at the annual general 
meetings in april 2009
secretaries
details of the company secretary of each of 
rio tinto plc and rio tinto limited together 
with their qualifi cations and experience are 
set out on page 89
corporate governance
a full report on corporate governance can be 
found on pages 94 to 103 and forms part of 
this directors’ report
indemnities and insurance
the articles of association and constitution 
of the companies require them to indemnify 
to the extent permitted by law offi cers of 
the companies including offi cers of wholly 
owned subsidiaries against liabilities arising 
from the conduct of the group’s business 
to the extent permitted by law deeds of 
indemnity and access have been provided 
to the directors and the company secretaries 
of the companies and to certain employees 
serving as directors of subsidiaries at the 
group’s request no amount has been paid 
under any of these indemnities during the year
the group has purchased directors’ and 
offi cers’ insurance during the year in broad 
terms the insurance indemnifi es individual 
directors’ and offi cers’ personal legal liability 
and legal defence costs for claims arising out 
of actions taken in connection with group 
business it is a condition of the insurance 
policy that detailed terms and premiums 
paid cannot be disclosed
employment policies 
and communication
information about the group’s employment 
policies and our employees is available 
on pages 28 and 29 of the sustainable 
development review
donations
during 2009 the group spent us119 million 
on community assistance programmes and 
payments into benefi t receiving trusts set 
up in directly negotiated community impact 
benefi t agreements donations in the uk 
during 2009 amounted to £18 million 2008 
£19 million of which £03 million 2008 
£04 million was for charitable purposes 
as defi ned by the companies act 2006 and 
£15 million 2008 £15 million for other 
community purposes as in previous years no 
donations were made for political purposes in 
the eu australia or elsewhere as defi ned by 
the uk companies act 2006
governmental regulations
rio tinto is subject to extensive governmental 
regulations affecting all aspects of its 
operations and consistently seeks to apply 
best practice in all of its activities due 
to rio tinto’s product and geographical 
spread there is unlikely to be any single 
governmental regulation that could have a 
material effect on the group’s business 
rio tinto’s operations in australia and 
new zealand are subject to state and federal 
regulations of general application governing 
mining and processing land tenure and use 
environmental requirements including site 
specifi c environmental licences permits and 
statutory authorisations workplace health 
and safety trade and export corporations 
competition access to infrastructure foreign 
investment and taxation some operations 
are conducted under specifi c agreements 
with the respective governments and 
associated acts of parliament 
in addition rio tinto’s uranium operations in 
the northern territory australia and namibia 
are subject to specifi c regulation in relation to 
mining and the export of uranium 
us and canada based operations are 
subject to local state provincial and 
national regulations governing land 
tenure and use environmental aspects of 
operations product and workplace health 
and safety trade and export administration 
corporations competition securities and 
taxation in relation to hydro electric power 
generation in canada water rentals and 
royalties as well as surplus power sales 
are regulated by the quebec and british 
columbia provincial governments 
rio tinto’s south african based operations 
are subject to black economic empowerment 
legislation which includes the requirement to 
transfer for fair value 26 per cent of the group’s 
south african mining assets to historically 
disadvantaged south africans by 2014
environmental regulation
rio tinto measures its performance against 
environmental regulation by rating incidents 
on a low moderate high or critical scale of 
likelihood and consequence of impacting 
the environment high and critical ratings 
are reported to the executive management 
team and the committee on social and 
environmental accountability including 
progress with remedial actions prosecutions 
and other breaches are also used to gauge 
rio tinto’s performance
in 2009 there were 12 high or critical 
environment incidents at rio tinto managed 
operations compared with 17 in 2008 
these incidents were of a nature to impact 
the environment or may have concerned 
local communities of these eight resulted 
from water discharge and four were spills 
examples of these include
• spillage of caustic soda on to soil and into 
the adjacent river following overfl ow from a 
truck at port facilities in saguenay canada
• release of untreated water from the 
treatment plant to a lake at diavik canada  w w w riotint oc om 93
governance
financial 
statements
shareholder
information
• discharge of water from a dam into a local 
creek in excess of licence conditions at 
hail creek australia
• hydrocarbon leakage to soil and 
groundwater at havre st pierre canada
• overfl ow of a storm water tank releasing 
leachate and surface run off into 
the surrounding environment at 
alucam cameroon
• processing liquor releases to a sea water 
channel at gove australia
• loss of lubrication oil into the local river 
following a valve failure on a generator at 
kemano canada
• overfl ow of process water containing 
red mud from a holding pond into a local 
stream at gardanne france
during 2009 two operations incurred fi nes 
amounting to us80150 us15500 in 
2008 an amount of us70320 relates to a 
fi ne paid during 2009 that resulted from an 
incident that occurred in march 2006 at the 
port facility in saguenay in canada
australian corporations that exceed 
specifi ed thresholds are required under the 
australian national greenhouse and energy 
reporting act 2007 to register and report 
upon greenhouse emissions and energy use 
and production three rio tinto entities 
rio tinto limited alcan gove pty limited 
and pechiney consolidated australia limited 
are separately covered by the act all three 
companies submitted their reports ahead 
of the required 31 october 2009 deadline 
following an external review of the data and 
internal strengthening of measurement and 
reporting systems
the same three rio tinto entities have 
obligations under the australian energy 
effi ciency opportunities act 2006 eeo all 
three completed the second round of public 
reporting thirteen operations were scheduled 
for eeo assessments in 2009 the government 
was advised of the deferral of the hismelt
®
 
assessment on account of suspension 
of operations assessment reports were 
completed for nine sites the assessments 
for the remaining three sites scheduled for 
2009 have been completed and a draft public 
report prepared eeo requirements were 
recommunicated to all sites covered by the 
act with internal reporting and compliance 
systems augmented
further information in respect of the group’s 
environmental performance is included 
throughout this annual report in the 
sustainable development section on pages 
29 to 31 and on the website
legal proceedings
neither rio tinto plc nor rio tinto limited 
nor any of their subsidiaries is a defendant 
in any proceedings which the directors 
believe will have a material effect on either 
company’s fi nancial position or profi tability 
contingencies are disclosed in note 35 to the 
fi nancial statements
exploration research and development
the group carries out exploration research 
and development in support of its activities as 
described more fully under exploration and 
technology  innovation on pages 54 to 57 
notwithstanding signifi cant decreases in cash 
expenditure due to cost reduction initiatives 
the amounts charged for the year generated 
a net profi t for exploration and evaluation 
of us380 million 2008 net costs us645 
million research and development costs 
were us193 million 2008 us307 million
auditors 
pricewaterhousecoopers llp and 
pricewaterhousecoopers are the auditors of 
rio tinto plc and rio tinto limited respectively  
pricewaterhousecoopers llp have indicated 
their willingness to continue in offi ce as 
auditors of rio tinto plc and a resolution to 
reappoint them as auditors of rio tinto plc 
will be proposed at the 2010 annual general 
meetings the resolution will also seek 
authority for the audit committee to determine 
their remuneration pricewaterhousecoopers 
will continue in offi ce as auditors of rio tinto 
limited pricewaterhousecoopers as the 
auditors of rio tinto limited are required to 
provide an auditor’s independence declaration 
to the directors under section 307c of the 
australian corporations act 2001 a copy is set 
out on page 224 in the fi nancial statements 
principal auditor – audit and non audit 
fees and services
the amounts payable to the group’s principal 
auditors were
 
2009
usm
2008
usm
audit fees 
1
232 297
audit services in connection 
with divestment programme 
2
220 244
tax fees 21 33
all other fees 
3
148 378
 621 952
1 audit fees relating to statutory audits
2 represents fee for audit of carve out fi nancial statements
3  all other fees in 2009 include those relating to the capital 
raising divestment programme and similar corporate 
projects all other fees in 2008 including those relating to 
the divestment programme the preconditional offer from 
bhp billiton and the acquisition of alcan inc
further information on audit and non audit fees 
is set out in note 43 to the fi nancial statements
a description of rio tinto’s policies to 
uphold the independence of the group’s 
principal auditors is set out in the corporate 
governance section on page 96 based on 
advice provided by the audit committee as 
set out in the report of the audit committee 
on page 97 the directors are satisfi ed that 
the provision of non audit services by 
pricewaterhousecoopers is compatible with 
the general standard of independence for 
auditors and the standards imposed by the 
australian corporations act 2001
financial instruments
details of the group’s fi nancial risk 
management objectives and policies and 
exposure to risk are described in the financial 
review on page 58
value of land
most of the group’s interests in mining 
properties and leases and in other land and 
buildings have been included in the fi nancial 
statements at cost in accordance with its 
accounting policies it is not possible to 
estimate the market value of such interests 
in land as this will depend on product prices 
over the long term which will vary with 
market conditions
creditor payments 
it is the group’s policy to agree terms of 
payments with suppliers when entering 
into contracts and to meet its obligations 
accordingly the group does not follow 
any specifi c published code or standard on 
payment practice 
at 31 december 2009 there were 47 days’ 
2008 26 days purchases outstanding in 
respect of the group based on the total 
invoiced by suppliers during the year 
going concern 
the directors report that these fi nancial 
statements have been prepared on a going 
concern basis as the directors have satisfi ed 
themselves that the companies and the 
group are a going concern with adequate 
fi nancial resources to continue in operational 
existence for the foreseeable future 
the directors’ report is made in accordance 
with a resolution of the board 
jan du plessis
chairman 
5 march 2010  governance
94 rio tinto 2009 annual report
corporate governance
the board of directors fi rmly believes that 
high standards of corporate governance 
form an essential underpinning to the 
delivery of rio tinto’s core objective to 
maximise total return to shareholders 
through a strategy of investing in and 
operating large long term cost competitive 
mines and businesses driven not by choice 
of commodity but rather by the quality of 
each opportunity 
rio tinto is a dual listed company but 
structured as a single economic entity it 
has adopted a unifi ed approach to corporate 
governance to comply with the regulatory 
obligations associated with its three main 
stock exchange listings in the uk australia 
and the us
in compiling this report the directors 
have referred to the combined code 
on corporate governance published by 
the uk financial reporting council the 
code the australian securities exchange 
asx corporate governance principles 
and recommendations 2nd edition the 
asx principles and the new york stock 
exchange nyse corporate governance 
standards the nyse standards statements 
of compliance with the requirements of 
these codes are set out on page 103 rio 
tinto’s website contains further information 
about the corporate governance framework
board
rio tinto plc and rio tinto limited have 
a common board of directors the board 
is responsible for the success of the group 
and is accountable to shareholders for the 
performance of the business
membership
as of the date of this report the board 
consists of 15 directors the chairman 
three executive directors and 11 non 
executive directors of whom ten are deemed 
independent robert brown was appointed 
as a non executive director on 9 february 
2010 with effect from 1 april 2010 bob’s 
appointment will bring the number of 
board members to 16 11 of whom are 
deemed independent the names skills 
and experience of each director together 
with their terms in offi ce are shown in the 
biographical details on pages 84 to 87 
details of changes to the board during 
2009 and in the year to date are set out 
in the directors’ report on page 92
sir david clementi and david mayhew 
have announced their intention to retire 
from the boards upon the conclusion of 
the annual general meetings of rio tinto 
on 22 april 2010 the board will then 
comprise 14 directors of which ten will 
be independent non executive directors
role and responsibilities
the principal role of the board is to set 
the group’s core objective and to regularly 
review its strategic direction in doing this 
the board also has responsibility for the 
establishment and maintenance of effective 
standards of corporate governance across 
the group and oversees management’s 
control and accountability framework 
a formal schedule of matters specifi cally 
reserved for decision or consideration by 
the board as a whole has been agreed by the 
directors this schedule covers areas such as 
the group’s strategy major investments and 
acquisitions it is available on the corporate 
governance section of the website
in line with its principal role the board 
is ultimately accountable to rio tinto’s 
shareholders for the performance of the 
business responsibility for day to day 
management of the business is undertaken 
through delegated authority and rests 
with the chief executive who in turn 
has established an executive team the 
executive committee with authorities 
delegated to individual executives within 
an agreed fi nancial control framework 
the board agrees annual performance 
targets which include personal and 
business performance measures under 
the group’s short term incentive plan 
detailed on page 107 of the remuneration 
report these performance targets are 
determined by the remuneration committee 
on behalf of the board for the chief 
executive based upon his proposals and 
objectives for the year the chief executive 
establishes complementary targets for 
the other members of his executive 
committee which are then cascaded 
throughout management teams further 
details of the process for the evaluation 
of the performance of the executive 
directors and other senior executives is 
discussed in the remuneration report
the board meets regularly in order to 
effectively conduct its business in 2009 
there were eight scheduled board meetings 
and eight board meetings convened 
and held at short notice the number of 
meetings held in 2009 is a refl ection of the 
considerable corporate activity of the board 
during the year particularly in relation 
to mergers and acquisitions matters 
including the proposed iron ore production 
joint venture and the recapitalisation of 
the group’s balance sheet details of the 
directors’ attendance at all of the board and 
committee meetings held in 2009 is set out 
on page 96 
the board has regular discussions with the 
executive during the year on the group’s 
strategy these discussions will typically 
include strategy presentations that are 
given by product group chief executives 
other members of the executive committee 
or global heads of functions the board also 
holds an annual two day strategy setting 
meeting with the executive committee 
which includes broader detailed review 
sessions on the group’s strategic direction 
the outputs from this annual event help 
underpin the board’s annual budget 
planning exercise and provide direction 
and focus to the executive team and to the 
rest of rio tinto’s people through effective 
allocation of the group’s resources  w w w riotint oc om 95
governance
financial 
statements
shareholder
information
directors receive timely regular and 
appropriate management and other 
information to enable them to fulfi l their 
duties they also have direct access to 
the advice and services of the company 
secretaries in the event that they consider 
it to be required in the delivery of their 
fi duciary duties the directors are also able 
to obtain independent professional advice 
at the group’s expense through the 
company secretaries
in addition to these formal processes 
directors are in regular informal 
communication with members of the 
executive committee and other senior 
executives which encourages an open 
and regular exchange of knowledge and 
experience between management and 
the non executive directors 
to continue building on the formal 
induction programmes which all new non 
executive directors undertake they are 
encouraged to take every opportunity to 
make site visits to the group’s operations 
around the world and to meet local 
employees in 2009 directors were able to 
benefi t in this way by visits to the group’s 
operations in australia and canada the 
board also takes the opportunity to combine 
attendance at the annual general meeting in 
australia and at the two day strategy review 
meeting with site visits
chairman
the chairman meets regularly with non 
executive directors without the executive 
directors being present at meetings of the 
nominations committee the membership 
of which comprises the chairman and other 
non executive directors
board performance evaluation
each year the board undertakes a process 
to evaluate its effectiveness and that of the 
board committees and individual directors 
each non executive director’s performance is 
appraised personally by the chairman and in 
a meeting chaired by the senior independent 
non executive director the non executive 
directors assess the chairman’s performance 
taking into consideration the views of 
executive colleagues
for 2009 the board and board committee 
evaluation process was overseen by jan 
du plessis in his capacity as chairman of 
the board this process was supported by 
the company secretary and took the form 
of a detailed questionnaire circulated 
to all members of the board the board 
questionnaire invited comments on a 
number of key areas including board 
dynamics board capability board process 
board structure corporate governance 
strategic clarity and alignment and the 
performance of individual committees and 
directors the results of the questionnaire 
formed the basis of discussions led by the 
chairman with each individual director 
which also provided the chairman with an 
opportunity to provide feedback on their 
individual performance following the 
conclusion of this exercise the board held 
a dedicated session at one of its scheduled 
meetings to discuss the output from its 
performance evaluation and to agree a 
number of actions these actions which are 
in the course of implementation include 
practical measures to make board meetings 
more effective including allowing more 
regular opportunities with members of the 
executive committee during the year to 
review individual product group strategies 
as well as presentations by the group’s 
functional leaders in the areas of technology 
and innovation risk management and 
climate change
for the board committees a similar 
questionnaire was produced in 2009 in 
agreement with the committee chairman and 
was circulated to each committee member 
and regular attendees the questionnaire 
invited comments on a number of areas 
including the role and responsibilities of the 
committee its organisation and effectiveness 
and the qualifi cations of its members the 
results of the questionnaires were collated 
and presented for discussion and debate at 
meetings of the audit and remuneration 
committees and the committee on social 
and environmental accountability actions 
were agreed from this process for example 
the realignment of committee meeting 
governance structure
board committees
management committees
board of directors
executive committee
committee on social 
and environmental 
accountability
audit 
committee
closure
committee
continuous 
disclosure
committee
disclosure 
and procedures
committee
finance
committee
investment
committee
ore reserves 
steering
committee
nominations
committee
chairman’s
committee
remuneration
committee governance
96 rio tinto 2009 annual report
corporate governance continued
schedules to allow greater time to be spent 
on areas affecting the group including risk 
management executive remuneration policy 
and dedicated sessions on local community 
engagement practices
in respect of the chairman’s own performance 
evaluation andrew gould in his capacity as 
senior independent director discussed and 
agreed with the other non executive directors 
that no individual performance evaluation 
of the chairman would be undertaken for 
the period since his appointment to that role 
on 20 april 2009 such an evaluation will be 
undertaken in 2010
independence
the tests of independence of a non 
executive director in the jurisdictions 
where rio tinto has listings are not wholly 
consistent the board has therefore adopted 
a formal policy for the determination of the 
independence of its non executive directors 
this policy which includes materiality 
thresholds for the measurement of 
independence to be approved by the board 
is on the corporate governance section of 
the website among the key criteria are 
independence from management and the 
absence of any business relationship which 
could materially interfere with the director’s 
independence of judgement and ability to 
provide a strong valuable contribution to 
the board’s deliberations or which could 
interfere with the director’s ability to act 
in the best interest of the group where 
contracts in the ordinary course of business 
exist between rio tinto and a company in 
which a director has declared an interest 
these are reviewed for materiality to both 
the group and the other party to the 
contract “material” is defi ned in the policy 
as being where the relationship accounts 
for more than two per cent of either rio 
tinto’s or the other parties’ consolidated 
gross revenue per annum although the test 
also takes other circumstances into account 
applying these criteria the board is satisfi ed 
that all of its non executive directors with 
the exception of david mayhew who is 
chairman of jp morgan cazenove limited 
one of rio tinto plc’s corporate brokers are 
independent in accordance with this policy
david mayhew has announced his intention 
to retire from the board at the conclusion of 
the annual general meetings in april 2010 
following which all of the non executive 
directors will be independent in accordance 
with this policy
jan du plessis upon his original appointment 
to the board as a non executive director 
in september 2008 was deemed to be 
independent in accordance with the criteria 
set by the board’s policy at the time of his 
appointment as non executive chairman 
from 20 april 2009 the board determined 
that he continued to be independent under 
the policy in the board’s view he continues 
to satisfy the tests for independence under 
the asx principles and the nyse standards
board committee membership and attendance at board and committee meetings during 2009
audit committee
remuneration 
committee
committee on social 
and environmental 
accountability
nominations 
committee
chairman’s 
committee
chairman sir david clementi andrew gould richard goodmanson jan du plessis jan du plessis
members vivienne cox sir david clementi sir rod eddington all non executive directors tom albanese
michael fitzpatrick michael fitzpatrick yves fortier guy elliott
ann godbehere richard goodmanson lord kerr
lord kerr paul tellier
paul tellier 
1 paul skinner was chair of the nominations committee and chairman’s committee until his retirement on 20 april 2009 
2 upon his appointment as chairman jan du plessis ceased to be a member of the audit committee 
3 all non executive directors became members of the nominations committee with effect from 1 january 2010 
4  david mayhew attends the audit committee in an advisory capacity 
5  ann godbehere became a member and chairman designate of the audit committee upon her appointment on 9 february 2010 ann will become chairman of the audit committee 
upon sir david clementi’s retirement at the conclusion of the 2010 annual general meetings
board – scheduled board – short notice audit committee
remuneration 
committee
nominations 
committee
committee on social 
and environmental 
accountability
chairman’s 
committee
ab ab ab ab ab ab ab
tom albanese 8 8 8 8 22 17
sir david clementi 8 7 8 5 10 10 8 7
vivienne cox 8 8 8 6 10 8
jan du plessis 8 8 8 8 4 3 2 2 15 15
sir rod eddington 8 8 8 7 3 3 5 5
guy elliott 8 8 8 8 22 20
dick evans 2 2 5 4
michael fitzpatrick 8 8 8 7 10 8 8 7
yves fortier 8 8 8 7 3 3 5 5
richard goodmanson 8 8 8 5 8 8 5 5
andrew gould 8 7 8 5 8 7 3 3
lord kerr 8886 109 55
jim leng 1 1 1 1 11
david mayhew 8 8 8 7 3 3
paul skinner 2 2 5 5 1 1 8 8
paul tellier 8 8 8 7 10 10 8 8
sam walsh 5 5
notes
a  maximum number of meetings the director could have attended b  number of meetings attended  w w w riotint oc om 97
governance
financial 
statements
shareholder
information
directors’ confl icts of interest
uk company law allows the board to 
authorise a “situation” in which there is or 
may be a confl ict between the interests of 
rio tinto and the direct or indirect interests 
of a director or between the director’s 
duties to rio tinto and to another person 
in 2008 rio tinto shareholders approved 
changes to the companies’ constitutions 
to give directors the power to authorise 
such confl icts the board has adopted 
procedures for ensuring that its powers to 
authorise confl icts operate effectively for 
this purpose a register of confl icts and 
any authorisation granted by the board is 
maintained by the company secretary and 
regularly reviewed by the board
executive directors’ other directorships
executive directors may on occasion be 
invited to become non executive directors 
of other companies the board has adopted 
a procedure under which approval may be 
given to accept such invitations recognising 
the benefi t to be derived to the individual 
and to rio tinto from such exposure for 
full details see page 113
election and reelection
the directors may appoint additional 
members to join the board during the year 
directors appointed in this way will upon 
the recommendation of the board offer 
themselves for election by shareholders at 
the fi rst annual general meetings after their 
appointment subject to that election and 
to satisfactory performance directors will 
offer themselves for reelection at least once 
every three years non executive directors 
are normally expected to serve at least two 
terms of three years and except in special 
circumstances would not normally serve 
more than three such terms the directors 
standing for election and reelection at the 
2010 annual general meetings are set out 
in the directors report on page 92
chairman and chief executive
the roles of the chairman and chief 
executive are separate and the division of 
their respective responsibilities has been 
formally approved by the board
board committees
there are fi ve committees that have been 
established to assist the board in meeting 
its responsibilities the audit committee 
remuneration committee nominations 
committee the committee on social and 
environmental accountability and the 
chairman’s committee each committee 
plays a key role in helping the board ensure 
that high standards of corporate governance 
report of the audit committee
the audit committee met ten times in 
2009 the audit committee terms of 
reference were reviewed in 2009 and 
changes were adopted to refl ect evolving 
regulatory requirements and in the 
light of external developments to clarify 
that the audit committee is the board 
committee responsible for oversight 
of risk management generally whilst 
accountability for risk management 
remains with the chief executive and his 
executive committee
in 2009 the committee reviewed the 
independence of the external auditors 
pricewaterhousecoopers who have been 
auditors to the group since 1995 the 
effectiveness of the external auditors 
was also reviewed to ensure that the 
group continues to receive an effi cient 
and unbiased service from them having 
concluded its review the committee 
reported to the board that it is satisfi ed 
that the provision of non audit services 
by the external auditors during 2009 is 
compatible with the general standard 
of independence for auditors and the 
standards imposed by the australian 
corporations act 2001 
as part of its responsibility to foster 
open communication the committee met 
separately with management the external 
auditors and the internal auditor during 
the year
the committee has reviewed and 
discussed with management the group’s 
audited fi nancial statements for the year 
ended 31 december 2009
the committee discussed with the 
external auditors the matters described 
in the international standard on auditing 
uk and ireland 260 communication of 
audit matters with those charged with 
governance isa 260 including their 
judgements regarding the quality of 
the group’s accounting principles and 
underlying estimates 
the committee has discussed with the 
external auditors their independence 
and received and reviewed their written 
disclosures as required by the public 
company accounting oversight board 
rule 3526 “communication with audit 
committees concerning independence” 
based on the reviews and discussions referred 
to above the committee has recommended 
to the board that the fi nancial statements 
referred to above be approved
on behalf of the audit committee
sir david clementi chairman
are maintained throughout the group 
each committee is governed by terms of 
reference which are reviewed annually by 
the committees and the board to ensure 
they continue to meet requirements and 
to be at the forefront of best practice 
the current terms of reference for each 
committee can be viewed in the corporate 
governance section of the website
audit committee
the primary function of the audit committee 
as set out in its terms of reference which are 
summarised below is to assist the board in 
fulfi lling its responsibilities by monitoring 
decisions and processes designed to ensure 
the integrity of fi nancial reporting and 
sound systems of internal control and risk 
management the scope of the committee’s 
responsibilities includes fi nancial reporting 
and internal controls over fi nancial reporting 
internal controls corporate assurance 
external auditors risk management and the 
whistle blowing programme
in carrying out its responsibilities the 
committee has full authority to investigate 
all matters that fall within its terms of 
reference accordingly the committee may 
• obtain independent professional advice in 
the satisfaction of its duties at the cost of 
the group
• have such direct access to the resources 
of the group as it may reasonably require 
including the external and internal auditors  governance
98 rio tinto 2009 annual report
corporate governance continued
the audit committee’s main responsibilities 
include the review of accounting principles 
policies and practices adopted in the 
preparation of public fi nancial information 
review with management of procedures 
relating to fi nancial and capital expenditure 
controls including internal audit plans 
and reports review with external auditors 
of the scope and results of their audit the 
nomination of auditors for appointment 
by shareholders and the review of and 
recommendation to the board for approval 
of rio tinto’s risk management policies 
and processes its responsibilities also 
include the review of the annual fi nancial 
statements of group sponsored pension and 
superannuation funds and oversight of the 
whistleblowing programme
to ensure the committee discharges its 
responsibilities it meets not less than four 
times per year and arranges occasional 
training sessions which may cover new 
legislation and other information relevant 
to the committee’s role the group’s chief 
fi nancial offi cer other senior fi nancial 
management external and internal 
auditors regularly attend its meetings
the members of the committee are 
independent and free of any relationship that 
would interfere with impartiality in carrying 
out their responsibilities the members 
meet the independence requirements of the 
code the asx principles and the nyse code 
and the committee meets the composition 
operation and responsibility requirements 
of the asx principles
report of the nominations committee
the committee’s activities in 2009 covered 
the succession of the chairman executive 
directorships non executive succession and 
changes to the executive committee
in 2008 as the end of his second three 
year term of appointment as chairman 
approached paul skinner notifi ed the 
committee of his intention to retire from 
the board under the guidance of the senior 
independent director andrew gould the 
committee considered the desired skills and 
experience required for the appointment of a 
new non executive chairman and developed 
and agreed a profi le for this role consultants 
were engaged to assist the committee in the 
identifi cation of the new chairman as a result 
of which following a formal assessment 
by the committee a recommendation was 
made to the board jim leng was appointed 
as an independent non executive director 
and chairman designate on 14 january 2009 
however mr leng subsequently decided to 
resign from the board on 9 february 2009
in response to mr leng’s decision to 
resign from the board a new process 
was immediately initiated by the senior 
independent director which was aimed 
at identifying a suitable successor to 
paul skinner based upon the previously 
agreed criteria for the role this process was 
supported by all of the other non executive 
directors together with external 
consultants taking into account the 
leadership skills and experience required in 
the role the committee discussed the 
opportunity with jan du plessis who with 
the unanimous support of the committee 
and all of the other members of the board 
agreed to accept the nomination and was 
therefore appointed as chairman with effect 
from 20 april 2009 upon the retirement of 
paul skinner
in accordance with its terms of reference the 
committee reviewed with the chief executive 
proposed changes to the executive committee’s 
organisation and an announcement 
concerning its revised membership was 
made on 15 october 2009 the committee 
also reviewed non executive succession 
arrangements for the board resulting most 
recently in an announcement to appoint ann 
godbehere and robert brown as additional 
non executive directors from 9 february 2010 
and 1 april 2010 respectively  further details 
of these appointments are contained in the 
annual report 
on behalf of the board
ben mathews secretary
nominations committee
the committee is also bound by sec 
requirements for audit committees’ 
fi nancial experts and the code and asx 
principles requirement that at least one 
committee member should have recent and 
relevant fi nancial experience following 
the retirement of sir david clementi as its 
chairman with effect from the conclusion 
of the 2010 annual general meetings 
ann godbehere currently a member of 
the committee and who becomes its 
chairman at that time and mike fitzpatrick 
are considered by the board to have recent 
and relevant fi nancial experience and are 
therefore the committee’s fi nancial experts 
all other members of the committee are 
deemed to be fi nancially literate by virtue 
of their business experience in the opinion 
of the audit committee
remuneration committee
the remuneration committee assists the 
board to fulfi l its oversight responsibility to 
shareholders to ensure that remuneration 
policy and practices reward fairly and 
responsibly and with a clear link to 
corporate and individual performance
the report of the remuneration committee 
which has been reviewed by the committee 
and approved by the board can be found 
on pages 104 to 129
nominations committee
the nominations committee is governed 
by terms of reference which the committee 
regularly reviews and assesses and which 
are approved by the board the terms 
of reference are set out in the corporate 
governance section of the website
the nominations committee is chaired 
by jan du plessis chairman of the board 
and comprises all the other non executive 
directors the committee is responsible on 
behalf of the board for regularly assessing 
the balance of executive and non executive 
directors and the composition of the board 
in terms of the skills diversity and capacity 
required to ensure it remains relevant and 
appropriately aligned to oversee the delivery 
of rio tinto’s core objective and strategy the 
committee further reviews the time required 
to be committed to group business by non 
executive directors and assesses whether non 
executive directors are devoting suffi cient 
time to carry out their duties
taking into account these factors the 
committee develops and agrees the desired 
profi les of potential candidates for board 
membership in consultation with external 
search consultants it then oversees the 
review and recruitment process to fi ll 
vacancies as they arise the recruitment 
process itself includes identifi cation of 
suitable candidates followed by a formal 
assessment of each candidate leading to a 
fi nal selection process proposals for new 
board members are submitted to the full 
board for approval on behalf of the board 
the committee also reviews proposals 
for senior executive appointments and 
monitors executive succession planning  w w w riotint oc om 99
governance
financial 
statements
shareholder
information
the members of the nominations 
committee are independent with the 
exception of david mayhew the chairman 
is considered independent under the 
asx principles under the code he is not 
considered independent following his 
appointment as chairman however the 
code specifi cally allows the chairman to 
chair the nominations committee the 
composition of the committee is therefore 
also compliant with the code
committee on social and 
environmental accountability
the committee on social and environmental 
accountability is governed by terms of 
reference which it reviews and assesses each 
year and which are approved by the board 
the terms of reference are available in the 
corporate governance section of the website
the committee assists the board to oversee 
management processes standards and 
strategies designed to manage social 
and environmental risks and achieve 
compliance with social and environmental 
responsibilities and commitments the 
committee reviews the effectiveness of 
management policies and procedures 
relating to safety health employment 
practices relationships with neighbouring 
communities environment human rights 
land access political involvement and 
sustainable development 
a report on the group’s sustainable 
development activities is set out on 
pages 24 to 33 of this of this report
chairman’s committee
the committee acts on behalf of the board 
between scheduled board meetings either in 
accordance with authority delegated by the 
board or as specifi cally set out within its terms 
of reference it supports the functioning 
of the board and ensures that the business 
of the board and its committees is properly 
planned and aligned with management 
when mandated by the board the chairman’s 
committee will consider urgent matters 
between board meetings and deal with the 
implementation of board decisions on 
transactions and other corporate matters 
other than for the chairman of the board the 
committee performs the annual review of non 
executive directors’ fees and makes a 
recommendation to the board as appropriate
the membership of the committee comprises 
the chairman chief executive and chief 
fi nancial offi cer
australia and canada forum
an advisory forum has been established 
in each of australia and canada to advise 
the board and executive management on 
political economic and social developments 
in those countries which could impact 
the successful development of rio tinto’s 
businesses each forum meets twice annually 
and is attended by the chairman chief 
executive chief fi nancial offi cer local 
directors and senior management
management
on behalf of the board the chief executive 
has delegated authority for the day to day 
management of the group’s operations the 
chief executive chief fi nancial offi cer and 
the heads of the product and global support 
groups share management responsibility for 
the management of the business
the chief executive is assisted by the work 
of management committees in monitoring 
performance and achieving rio tinto’s 
strategy the management committees are 
described below
executive committee
the executive committee is responsible 
under the leadership of the chief executive 
for the day to day management of the 
business setting performance targets and 
implementation of the group’s strategy 
and direction as determined by the board 
the members of the committee are the 
chief executive the chief fi nancial offi cer 
the product group chief executives the 
group executive technology  innovation 
the group executive legal  external 
affairs the group executive people and 
organisation and the group executive 
business support  operations
closure committee
this committee oversees the closure 
management programme in place 
to manage the signifi cant fi nancial 
reputational and operational risk of site 
closures the members of the committee 
are global head of planning and reporting 
the global head of health safety  
environment group executive legal  
external affairs global practice leader 
communities senior vice president human 
resources health safety  environment 
rio tinto alcan and until his retirement 
in october 2009 the former group 
executive technology  innovation the 
activities of the committee are supported 
by a sub committee working group to 
assist coordinate and implement the 
closure management programme
continuous disclosure committee
the committee is chaired by the chief 
fi nancial offi cer and has ultimate 
responsibility for determining the 
information that requires disclosure 
to the markets under the continuous 
disclosure requirements in the 
jurisdictions in which rio tinto is listed 
the members of the committee are the 
chief fi nancial offi cer company secretary 
of rio tinto plc managing director of 
rio tinto australia head of business 
development head of investor relations 
and global practice leader media relations governance
100 rio tinto 2009 annual report
corporate governance continued
disclosure and procedures committee
the primary role of this committee is to 
assist the board audit committee and 
individual directors and offi cers who are 
required under various regulations to 
endorse the group’s shareholder reports and 
other public documents the members of 
the committee are the company secretary 
of rio tinto plc global head of planning 
 reporting head of compliance head of 
corporate assurance and the global head 
of health safety  environment
finance committee
the finance committee is responsible 
under the leadership of the chief fi nancial 
offi cer to review and advise on issues that 
arise in the day to day workings within 
the functional areas of the chief fi nancial 
offi cer’s direct reports the members of the 
committee are the chief fi nancial offi cer 
global head of planning and reporting 
global head of treasury global head of 
taxation head of investor relations and 
the head of business development
investment committee
the purpose of the investment committee 
is to review proposals for major capital 
decisions by the board and by group 
companies to ensure that they accord with 
the strategic objectives established by the 
board the members of the committee are 
the chief executive chief fi nancial offi cer 
group executive technology  innovation 
and group executive business support 
 operations
ore reserves steering committee 
the ore reserves steering committee is 
the primary governance body over the ore 
reserve estimation and disclosure processes 
the members of the committee are the 
group executive technology  innovation 
global head of planning and reporting 
global practice leader strategic production 
planning technology  innovation chief 
advisor evaluation chief advisor orebody 
knowledge technology  innovation chief 
advisor resources and reserves technology 
 innovation general manager resource 
development rio tinto iron ore and 
consulting geologist rio tinto exploration
communication
rio tinto recognises the importance 
of effective timely communication 
with shareholders and the wider 
investment community
to ensure that trading in its securities 
takes place in an informed market the 
group has adopted continuous disclosure 
standards which are overseen by the 
continuous disclosure committee and 
form part of the group’s corporate 
governance standards rio tinto makes 
immediate disclosure to the listing 
authorities of any information that a 
reasonable person would expect to 
have a material effect on its share price 
in accordance with their rules all 
information released to the markets is 
posted on the media section of the website
in addition to statutory documents 
rio tinto’s website features in depth 
information on health safety and the 
environment as well as general investor 
information publications and policies 
and guidance full and half year results 
as well as any major presentations are 
also webcast presentation material from 
investor seminars is also made available 
on the website
full advantage is taken of the annual general 
meetings to inform shareholders of recent 
developments and to give shareholders the 
opportunity to ask questions generally 
the chairs of all board committees will be 
available to answer questions raised by 
shareholders and all directors are expected 
to attend where possible rio tinto’s external 
auditor pricewaterhousecoopers attends 
the annual general meeting and is available 
to answer shareholder questions about the 
conduct of the audit and the preparation 
and content of the auditor’s report rio tinto 
limited’s shareholders may also submit 
written questions regarding the statutory 
audit report to the auditors any questions 
received and answers provided are made 
available at that meeting
the main channels of communication with 
the investment community are through 
the chairman chief executive and chief 
fi nancial offi cer who have regular meetings 
with the companies’ major shareholders 
the senior independent director and other 
non executive directors are also available 
as appropriate the group organises 
regular investor seminars which provide 
a two way communication opportunity 
with investors and analysts the valuable 
feedback is communicated to the board 
surveys of major shareholders’ opinions and 
perceptions of the group are presented to 
the board by the group’s investor relations 
advisors on a regular basis
business practice
statement of business practice
the way we work is rio tinto’s global code 
of conduct and one of the group’s most 
important documents the global code 
was fi rst launched in 1997 and was revised 
and reissued in 2009 to refl ect rio tinto’s 
changing environment and take into 
account the integration of rio tinto alcan 
its objective is to help protect and promote 
rio tinto’s reputation which plays a critical 
role in the success of the business and 
ability to generate shareholder value
the way we work contains principles and 
standards of conduct which reaffi rm 
the group’s commitment to corporate 
responsibility it is inspired by our four core 
values accountability respect teamwork 
and integrity it is largely derived from 
and supported by rio tinto’s extensive 
framework of policies and standards
core policies are adopted by the board after 
wide consultation externally and within the 
group once adopted they are communicated 
to business units worldwide together with 
mandatory standards and guidance notes to 
support implementation business units are 
required to devote the necessary effort by 
management to implement and report 
on these policies and standards  w w w riotint oc om 101
governance
financial 
statements
shareholder
information
rio tinto’s core policies addressed in 
the way we work include access to land 
business integrity communities corporate 
governance employment environment 
human rights internal controls and 
reporting occupational health political 
involvement safety sustainable development 
and transparency these are supported by 
policies in the areas of risk information 
management and security 
each policy is supported by standards 
expanding on the minimum expectations 
on topics such as antitrust continuous 
disclosure antibribery compliance 
cultural heritage and health safety and the 
environment many of these standards are 
supplemented by guidance notes these 
policies and standards apply to all rio tinto 
managed businesses where the group 
does not have operating responsibility 
for a business rio tinto’s policies are 
communicated to its business partners 
and they are encouraged to adopt similar 
policies of their own rio tinto employees 
are required to undertake mandatory on
line training about the requirements of the 
way we work and several other core policies
“whistleblowing” programme
the board has adopted a groupwide 
whistleblowing programme called speak
out employees are encouraged to report 
any concerns including any suspicion of a 
violation of the group’s fi nancial reporting 
or environmental procedures through 
an independent third party and without 
fear of recrimination a process has been 
established for the investigation of any 
matters reported with clear lines of reporting 
and responsibility in each group business
sustainable development
rio tinto’s report on sustainable development 
follows the guidelines of the association of 
british insurers and is set out on pages 24 to 33 
in addition the performance of the group and of 
its separate businesses has been disclosed on the 
website rio tinto reports online in accordance 
with the global reporting initiative guidelines
dealing in rio tinto securities
rio tinto has a set of rules which restrict the 
dealing in rio tinto securities by directors and 
employees with access to “inside information”  
these rules require those people to seek 
clearance from the chairman or the company 
secretary before any proposed dealing to ensure 
that they do not deal when in possession of 
inside information directors or members of 
the executive committee will not be given 
clearance during “close periods” immediately 
preceding the announcement of annual and 
interim results the rules prohibit the hedging of 
unvested options the “rules for dealing in rio 
tinto securities” can be viewed in the corporate 
governance section of the website
risk management
rio tinto’s overriding objective is to maximise 
the overall long term return to shareholders 
through a strategy of investing in large cost 
competitive mines and businesses the 
directors recognise that creating shareholder 
return is the reward for taking and accepting 
risk the directors have established a process 
for identifying evaluating and managing the 
material business risks faced by the group this 
process was in place during 2009 and up 
to and including the date of approval of 
the 2009 annual report
a description of some of the principal risks 
and uncertainties that could affect rio tinto 
are found on pages 16 to 19
risk management policies and approach
rio tinto recognises that risk is an integral 
and unavoidable component of the business 
and that it is characterised by both threat 
and opportunity the group fosters a risk 
aware corporate culture in all decision 
making and is committed to managing all 
risk in a proactive and effective manner 
through competent risk management to 
support this commitment risk is analysed 
in order to inform the management decisions 
taken at all levels within the organisation 
the principles of the risk analysis and 
management process are set out in the risk 
policy and standard which is in the corporate 
governance section of the website
roles and responsibilities
the risk policy and standard is supported by 
an integrated framework of risk governance 
and reporting specifying how the group 
organises the handling of risk together 
with the policy the supporting roles and 
infrastructure the framework makes up the 
complete rio tinto approach to risk analysis 
and management 
the directors are responsible for the 
group’s system of internal controls and 
for reviewing annually its effectiveness in 
providing shareholders with a return on 
their investments that is consistent with a 
responsible assessment and management 
of risks this includes reviewing fi nancial 
operational and compliance controls and 
risk management procedures and their 
effectiveness the directors have completed 
their annual review and assessment for 2009 
whilst the audit committee is responsible 
for oversight of the effectiveness of the risk 
management process accountability for 
identifying and managing risks rests with the 
chief executive and is cascaded throughout 
the group through the executive committee governance
102 rio tinto 2009 annual report
corporate governance continued
internal risk control systems
two of the group’s management 
committees the executive committee and 
the disclosures and procedures committee 
regularly review reports related to the 
group’s control framework each year 
the leaders of the group’s businesses and 
administrative offi ces complete an internal 
control questionnaire that seeks to confi rm 
that adequate internal controls are in place 
are operating effectively and are designed 
to capture and evaluate failings and 
weaknesses if any exist and take prompt 
action as appropriate once reviewed by 
the executive committee the results of 
this process are presented to the audit 
committee and the board as a further part of 
their review of the group’s internal controls 
assurance functions including internal 
auditors and sustainable development 
auditors perform reviews of the integrity 
and effectiveness of control activities and 
provide regular written and oral reports to 
directors and management committees
in 2009 information was reported by 
management to the audit committee to 
enable it to assess the effectiveness of the 
internal controls and the management of 
material business risks in addition as part 
of their role the board and its committees 
monitor the group’s material business 
risks these reports and risk management 
processes satisfy the internal control 
requirements of the code and asx principles
due to the limitations inherent in any 
risk management system the process for 
identifying evaluating and managing the 
material business risks is designed to manage 
rather than eliminate risk and to provide 
reasonable but not absolute assurance 
against material misstatement or loss 
certain risks for example natural disasters 
cannot be managed to an acceptable 
degree using internal controls such major 
risks are transferred to third parties in the 
international insurance markets to the 
extent considered appropriate the group 
has material investments in a number of 
jointly controlled entities and associates 
where rio tinto does not have managerial 
control it cannot guarantee that local 
management of mining and related assets 
will comply with rio tinto standards or 
objectives accordingly the review of their 
internal controls is less comprehensive than 
that of the group’s managed operations
this process for identifying evaluating 
and managing the material business risks 
is continually reviewed and strengthened 
as appropriate 
auditors and internal assurance
auditor independence
as indicated in the audit committee 
section on pages 97 to 98 rio tinto has 
adopted policies designed to uphold the 
independence of the group’s principal 
auditors by prohibiting their engagement 
to provide a range of accounting and 
other professional services that might 
compromise their appointment as 
independent auditors
the engagement of the group’s principal 
auditors to provide statutory audit services 
other services pursuant to legislation taxation 
services and certain other services are pre
approved any engagement of the group’s 
principal auditors to provide other permitted 
services is subject to the specifi c approval of 
the audit committee or its chairman
prior to the commencement of each 
fi nancial year the group’s chief fi nancial 
offi cer and its principal auditors submit 
to the audit committee a schedule of the 
types of services that are expected to be 
performed during the following year for 
its approval the audit committee may 
impose a us dollar limit on the total value 
of other permitted services that can be 
provided any non audit service provided 
by the group’s principal auditors where 
the expected fee exceeds a pre determined 
level must be subject to the group’s normal 
tender procedures
in exceptional circumstances the chief 
fi nancial offi cer is authorised to engage the 
group’s principal auditors to provide such 
services without going to tender but if the 
fees are expected to exceed us250000 
then the chairman of the audit committee 
must approve the engagement
the remuneration of the group’s principal 
auditors for audit services and other services 
as well as remuneration payable to other 
accounting fi rms has been set out in note 43 
to the fi nancial statements on page 199
the board has established a policy that the 
principal auditors’ engagement partners will 
rotate every fi ve years
corporate assurance
the corporate assurance function provides 
independent and objective assurance on the 
adequacy and effectiveness of the group’s 
systems for risk management internal 
control and governance together with 
ideas and recommendations to improve 
those systems the function has adopted 
international auditing standards set by the 
institute of internal auditors inc
the function operates independently of 
management under a mandate approved 
by the audit committee and the committee 
on social and environmental accountability 
csea and has full access to all functions 
records property and personnel of the 
group the head of corporate assurance 
reports functionally to both the audit 
committee and csea providing each 
committee with information relevant to 
their specifi c terms of reference
a risk based approach is used to focus 
assurance activities on high risk areas and 
audit plans are presented annually to the 
audit committee and csea for approval 
in respect of its internal audit function 
rio tinto has an external service provider 
the audit committee has a policy which 
addresses confl icts of interest in relation 
to management requested engagements of 
the service provider the policy complies 
with the institute of internal auditor’s 
international standards on independence 
certain services are preapproved under 
the policy as they would not be in confl ict 
with the internal auditor’s role there is a 
list of prohibited services which may not be 
undertaken without approval of the head of 
corporate assurance and guidance on the 
consideration of services which may give 
rise to a confl ict of interest
financial reporting
internal control
management is responsible for establishing 
and maintaining adequate internal control 
over fi nancial reporting internal control 
over fi nancial reporting is a process designed 
under the supervision of the chief executive 
and chief fi nancial offi cer to provide 
reasonable assurance regarding the reliability 
of fi nancial reporting and the preparation 
and fair presentation of the group’s published 
fi nancial statements for external reporting 
purposes in accordance with ifrs
because of its inherent limitations internal 
control over fi nancial reporting cannot 
provide absolute assurance and may not 
prevent or detect all misstatements whether 
caused by error or fraud if any within each 
of rio tinto plc and rio tinto limited
the group’s internal control over fi nancial 
reporting includes policies and procedures 
that pertain to the maintenance of records 
that in reasonable detail accurately and 
fairly refl ect transactions and dispositions 
of assets provide reasonable assurances 
that transactions are recorded as necessary 
to permit preparation of fi nancial statements 
in accordance with ifrs and that receipts   w w w riotint oc om 103
governance
financial 
statements
shareholder
information
and expenditures are being made only 
in accordance with authorisation of 
management and the directors of the 
companies and provide reasonable assurance 
regarding prevention or timely detection of 
unauthorised acquisition use or disposition 
of the company’s assets that could have a 
material effect on the fi nancial statements 
there were no signifi cant changes in the 
internal controls or in other factors that 
could signifi cantly affect internal controls 
of each of rio tinto plc and rio tinto 
limited subsequent to the date of their 
most recent evaluation
financial statements
the directors are required to prepare 
fi nancial statements for each fi nancial 
period which give a true and fair view of 
the state of affairs of the group as at the 
end of the fi nancial period and of the profi t 
or loss and cash fl ows for that period this 
includes preparing fi nancial statements in 
accordance with uk company law which 
give a true and fair view of the state of 
the company’s affairs and preparing 
a remuneration report which includes 
the information required by regulation 
11 schedule 8 of the large and medium 
sized companies and groups accounts 
and reports regulations 2008 and the 
australian corporations act 2001
the directors are responsible for maintaining 
proper accounting records in accordance 
with the uk companies act 2006 and the 
australian corporations act 2001 they have a 
general responsibility for taking such steps as 
are reasonably open to them to safeguard the 
assets of the group and to prevent and detect 
fraud and other irregularities the directors are 
also responsible for ensuring that appropriate 
systems are in place to maintain and preserve 
the integrity of the group’s website legislation 
in the uk governing the preparation and 
dissemination of fi nancial statements may 
differ from current and future legislation in 
other jurisdictions the work carried out by the 
auditors does not involve consideration of such 
developments and accordingly  the auditors 
accept no responsibility for any changes should 
any be made to the fi nancial statements after 
they are made available on the website 
the directors senior executives senior 
fi nancial managers and other members of 
staff who are required to exercise judgement 
in the course of the preparation of the 
fi nancial statements are required to conduct 
themselves with integrity and honesty and 
in accordance with the ethical standards of 
their profession andor business 
the directors consider that the 2009 
annual report presents a true and fair view 
and have been prepared in accordance with 
applicable accounting standards using the 
most appropriate accounting policies for 
rio tinto’s business and supported by 
reasonable judgements and estimates the 
accounting policies have been consistently 
applied the directors have received a 
written statement from the chief executive 
and the chief fi nancial offi cer to this effect 
in accordance with the internal control 
requirements of the code and the asx 
principles recommendation 73 this written 
statement relies on a sound system of risk 
management and internal compliance and 
controls which implements the policies 
adopted by the board and confi rms that 
the group’s risk management and internal 
compliance and control systems are 
operating effi ciently and effectively 
in all material respects
disclosure controls and procedures
management with the participation of 
the chief executive and chief fi nancial 
offi cer has evaluated the effectiveness of 
the design and operation of the group’s 
disclosure controls and procedures as of 
the end of the period covered by this report 
and have concluded that these disclosure 
controls and procedures were effective at 
a reasonable assurance level
compliance statements
the code
by virtue of its uk listing rio tinto is 
required to state how it has applied the 
principles set out in section 1 of the 
code and which relate to its directors 
remuneration accountability and audit and 
relations with shareholders this annual 
report provides a statement to satisfy that 
obligation rio tinto is also required to 
disclose whether it has complied with the 
provisions set out in section 1 of the code 
and to provide an explanation where it does 
not rio tinto confi rms that it has continued 
to comply fully with the detailed provisions 
of section 1 of the code throughout 2009
asx principles
the listing rules of the asx require 
rio tinto to report the extent to which 
it complies with the good practice 
recommendations in the asx principles 
and the reasons for any non compliance 
rio tinto confi rms that it has continued 
to comply fully with the asx principles 
throughout 2009
nyse standards
rio tinto plc as a foreign issuer with 
american depositary shares listed on the 
nyse is obliged by the nyse standards to 
disclose any signifi cant ways in which its 
practices of corporate governance differ 
from the nyse standards
the company has reviewed the nyse 
standards and believes that its practices 
are broadly consistent with them with 
one exception the nyse standards state 
that companies must have a nominating
corporate governance committee composed 
entirely of independent directors with 
written terms of reference which in 
addition to identifying individuals 
qualifi ed to become board members 
develops and recommends to the board 
a set of corporate governance principles 
applicable to the company rio tinto has 
a nominations committee information 
about which is set out on page 98 this 
committee does not develop corporate 
governance principles for the board’s 
approval the board itself performs this 
task and approves the group’s overall 
system of governance and internal controls governance
remuneration report
104 rio tinto 2009 annual report
introduction
this report to rio tinto’s shareholders is 
aimed at helping to explain the activities of 
the remuneration committee its role and 
responsibilities and the implementation of 
measures so as to ensure that the group’s 
biggest asset – its people – are appropriately 
focused on driving continuous improvements 
in performance
the report has been drawn up in 
accordance with the combined code on 
corporate governance schedule 8 of the 
large and medium sized companies and 
groups accounts and reports regulations 
2008 the uk listing authority listing 
rules the australian corporation act 2001 
and principle 8 of the revised australian 
securities exchange corporate governance 
principles and recommendations 2nd 
edition the asx principles 
international accounting standards require 
disclosures in respect of “key management 
personnel”  being those persons having 
authority and responsibility for planning 
directing and controlling the activities 
of the group including the directors in 
addition the australian legislation requires 
disclosures in respect of the fi ve highest 
paid executives below board level selected 
from the senior managers who make or 
participate in making decisions that affect 
the whole or a substantial part of the 
business of the group or have the capacity 
to affect signifi cantly the group’s fi nancial 
standing the committee has determined 
that below board level only members of the 
executive committee constitute the group 
of senior managers that make decisions 
that affect the whole or a substantial part 
of the business of the group the executive 
committee comprises the  executive 
directors product group chief executive 
offi cers pgceos and group executives
for the purposes of this report the committee 
has determined that the key management 
personnel are in addition to the directors 
those members of the executive committee 
who served during 2009 
throughout this report the members of 
the executive committee including the 
executive directors are collectively referred 
to as “executives”  the name position and 
date of appointment of  each executive is 
set out in the executive services contract 
section on page 114 
remuneration committee 
responsibilities
the remuneration committee’s role 
is to fulfi l the board’s responsibilities 
to shareholders in relation to the 
establishment and implementation of 
executive remuneration policy the 
committee’s responsibilities are set out in 
its terms of reference which may be viewed 
in the corporate governance section of the 
website these responsibilities include
• monitoring the effectiveness and 
appropriateness of executive 
remuneration policy and practice
• recommending executive remuneration 
policy to the board
• reviewing and determining the terms 
of service including remuneration 
and any termination arrangements 
for the chairman executive directors 
pgceos group executives and the 
company secretary  of rio tinto plc
• reviewing and confi rming the 
remuneration and conditions of 
employment for other senior managers 
and
• recommending sharebased long term 
incentive plans to the board
the committee considers the level of 
pay and conditions throughout the 
group when determining executive 
directors’ remuneration
the committee is committed to ensuring 
that remuneration policy and practices 
reward fairly and responsibly with a clear 
link to corporate and individual performance
during 2009 the committee met eight 
times the membership and meeting 
attendances are detailed in the corporate 
governance section on page 96 the 
committee reviewed its terms of 
reference in 2009 and concluded that its 
responsibilities had been met and that these 
terms of reference remain appropriate 
the chairman and chief executive 
participated in meetings at the invitation 
of the committee during 2009 in addition 
the committee is supported by members 
of senior management who regularly 
attend meetings to provide information as 
requested by the committee these people 
included hugo bague group executive 
people  organisation jane craighead 
global practice leader total rewards and 
ben mathews company secretary rio tinto 
plc none of the attendees mentioned 
above were present when matters 
associated with their own remuneration 
were considered 
advisers
the independent advisers engaged by and 
reporting to the committee during 2009 
were deloitte llp in addition to specialist 
remuneration advice deloitte llp provided 
taxation advice related to rio tinto’s share 
plans and other taxation matters deloitte 
llp did not provide advice on executive 
remuneration matters other than to the 
committee the committee has also 
drawn on the services and publications of 
a range of external service providers and 
remuneration consultants such as towers 
watson hay group mercer and port 
jackson partners in relation to market data 
and external validation of total shareholder 
return tsr performance  w w w riotint oc om 105
governance
financial 
statements
shareholder
information
executive remuneration
remuneration philosophy
rio tinto operates in global as well as local 
markets where it competes for a limited 
resource of talented executives it recognises 
that to achieve its business objectives the 
group needs high quality committed people 
rio tinto’s remuneration philosophy is that 
its executive remuneration policy should 
support its business goals by enabling it 
to attract retain and appropriately reward 
executives of a necessary calibre our best 
approach set out below aims to align this 
philosophy with our policy
business alignment
ensure remuneration directly supports the ultimate goal of meeting rio tinto’s business objectives including superior long term 
shareholder value creation in a healthy safe and environmentally appropriate way
this means providing remuneration including incentive plans that
• drive and reward behaviours to achieve annual mid and long term business priorities consistent with shareholder value creation
• are competitive to attract and retain with stretching performance targets from a shareholder perspective 
• align executives with shareholders through shareholding requirements
empowerment
reward employees for doing their jobs well by differentiating top performers who deliver shareholder value and behave consistently 
with the way we work 
this means providing incentive plan features that
• reward employees based on what they can control
• create a direct relationship between the payout from the plan and the individual’s performance
• promote the right level of risktaking from a shareholder perspective
simplicity
keep the remuneration arrangements including incentive plan design simple 
this means providing
• plan features that are easy to understand
• communication that is concise and comprehensive 
transparency
demonstrate internal equity to employees for greater buyin and to ensure global mobility between businesses of key management 
this means providing
• clear direction on the behaviour rio tinto is seeking
• open and timely information on performance targets and how rewards are determined
remuneration policy
during 2009 rio tinto undertook a review 
of its short term incentive plan and the 
performance condition for its mining 
companies comparative plan during the 
review process the company consulted 
with shareholders in making changes to 
remuneration arrangements to enhance 
alignment with business strategy and 
shareholder value creation over the short 
medium and long term and to be market 
competitive rio tinto will review its long 
term incentive plan during 2010
offering remuneration which is appropriately 
competitive is an important part of rio tinto’s 
remuneration policy rio tinto’s primary 
comparator market for executives is the 
median remuneration offered by other 
large global organisations as represented by 
the ftse 30 excluding fi nancial services 
consideration is also given to remuneration 
practices in the local market where each role 
is based
the following provides details of the 
operation of the current remuneration 
arrangements and details of how they 
will operate from 2010 onwards
 objective of component 2009 policy 2010 onwards
salary fi xed
• provides the fi xed element of the 
remuneration package
• target median of international 
companies of similar size global 
reach and complexity including other 
large natural resource companies
• salaries frozen since march 2008 • salaries will remain frozen in 2010 
for executives
short term incentive 
plan “stip” 
at risk
 
• focuses participants on achieving 
calendar year performance goals 
which contribute to sustainable 
shareholder value
• maximum stip opportunity of 120 per 
cent of salary and 60 per cent of salary 
awarded for target performance
• payable wholly in cash
• performance targets include earnings 
cash fl ow safety and individual 
performance objectives
• maximum stip opportunity of 200 
per cent of salary with 50 per cent 
payable in cash and 50 per cent 
delivered in shares generally subject 
to continued employment deferred 
for a three year period 
• increased focus on fi nancial earnings 
and cash fl ow targets  
• safety continues to be an integral part 
of the stip framework
performance options 
– share option plan 
“sop” at risk
• rewards participants for increasing the 
share price and delivering strong tsr 
performance against other companies
• market value share options vest based 
on tsr performance against the hsbc 
global mining index as at 31 december 
of the third year after grant
• target and maximum face value of 
300 per cent of salary
• before awards vest the committee must 
also satisfy itself that tsr performance 
is an appropriate refl ection of the 
underlying performance of the business 
and can adjust vesting accordingly
• no changes
• whilst options will be granted to 
members of the executive committee 
in 2010 the longerterm use of the 
sop will be reviewed in the context of 
changing tax legislation in australia governance
106 rio tinto 2009 annual report
remuneration report continued
 objective of component 2009 policy 2010 onwards
performance shares 
– mining companies 
comparative plan 
“mccp” at risk
• rewards participants for increasing the 
share price and delivering strong tsr 
performance against other companies
• conditional share awards vest based 
on tsr ranking against a bespoke 
comparator group of eight other mining 
companies as at 31 december of the 
fourth year after grant
• target award equal to face value of 
200 per cent of base salary 
• 150 per cent of target award vesting 
for being ranked fi rst ie a maximum  
award of 300 per cent of base salary 
• 23 per cent of the maximum potential 
award vests for median performance
• before awards vest the committee must 
also satisfy itself that tsr performance 
is an appropriate refl ection of the 
underlying performance of the business 
and can adjust vesting accordingly
• no changes to the length of the 
performance period or the overall 
individualplan limits
• performance measures amended to
• 50 per cent – performance relative 
to the hsbc global mining index
• 50 per cent – performance relative 
to the morgan stanley capital world 
index msci
• 150 per cent of target award vesting for 
outperformance of the relevant index by 
eight per cent per annum top quartile
• 23 per cent of the maximum potential 
award vesting for index performance
• 0 per cent vesting below index performance
• before awards vest the committee must 
also satisfy itself that tsr performance 
is an appropriate refl ection of the 
underlying performance of the business 
and can adjust vesting accordingly
service awards 
management 
share plan 
“msp” usually 
service based
• enhance the group’s ability to attract 
and retain key staff in an increasingly 
tight and competitive labour market
• executive directors and pgceos are not 
eligible to participate in awards under 
this plan as a regular component of 
remuneration special awards if any will 
generally have performance conditions
• shares to satisfy the awards are 
purchased in the market and no new 
shares are issued to satisfy awards
• from 2010 msp awards granted to group 
executives will be subject to performance 
criteria other than in exceptional 
circumstances eg recruitment
postemployment
benefi ts fi xed
• provides locally competitive 
postemployment benefi ts for 
participants in a cost effi cient manner
• postemployment benefi t 
arrangements offered 
• no change
shareholding 
requirement
 
• provides alignment with 
shareholders’ interests 
• two times salary over a fi ve year period 
for executive directors and pgceos
• requirement extended to the 
executive committee
 
at risk 34
2009 remuneration mix

37 29 12 22
base salary
group 
executives
msp
1
performance options
13
performance shares
1
annual cash bonus
2
fixed 66
at risk 68
32 16 33 19
executive directors
and pgceo
fixed 32
at risk 72
2010 remuneration mix

28 14 30 14 14
base salary
pgceo and 
group executives
performance options performance shares annual cash bonus annual bonus deferral
fixed 28
3 year bonus deferral  into shares
at risk 73
27
executive
directors
fixed 27
13 28 16 16
1 msp performance options performance shares constitute long term incentives as 
detailed above
2 annual bonus constitutes stip
3 the performance options are the percentage of each executives remuneration that 
consists of options
remuneration mix
consistent with the group’s business strategy 
to utilise and develop high quality long term 
mining assets the group seeks to achieve a 
remuneration mix which best refl ects the 
long term nature of the business the total 
remuneration package is designed to provide 
an appropriate balance between fi xed and 
variable components fixed pay is base salary 
and the value of the msp awards that are not 
related to company performance v ariable pay 
is the stip  sop and mccp respectively  
for 2010 the revised remuneration 
structure shifts the remuneration mix more 
towards variable pay for all executives 
for group executives in particular the 
committee has taken steps during the year 
to align the fi xed and variable elements of 
the total package with those of the other 
executives the following tables illustrate 
the remuneration mix which is identical for 
each group of identifi ed executives  w w w riotint oc om 107
governance
financial 
statements
shareholder
information
remuneration components
base salary
in order to refl ect the prevailing economic 
climate and to move the mix of the package 
towards more variable pay executive 
salaries will be frozen again in 2010
short term incentive plan “stip”
the stip is an annual bonus plan designed 
to support overall remuneration policy by 
focusing participants on achieving annual 
fi nancial strategic and operational goals 
which contribute to sustainable shareholder 
value
2009 stip
for 2009 the maximum annual bonus 
opportunity under the stip for the executives 
is 120 per cent of salary target opportunity 
of 60 per cent of salary this amount is 
payable wholly in cash  
bonuses payable under the stip are based 
on performance against fi nancial safety and 
individual business objectives outcomes 
are based on a multiplicative approach the 
fi nancial objectives are balanced equally 
between earnings performance and cash 
fl ow performance the committee selected 
these measures as they are key performance 
indicators kpis used in managing the 
business cash fl ow was added as a metric 
in 2009 in recognition of the importance 
of this measure to the business in more 
challenging economic times in addition 
the all injury frequency rate is also a kpi 
under the stip 
as the potential impact of fl uctuations in 
exchange rates and some prices are outside 
the control of the group for earnings and 
cash fl ow metrics the committee compares 
on an equal weighting the actual results 
unfl exed and underlying performance 
fl exed for prices and exchange rates 
safety is an important rio tinto value 
its inclusion in stip measured in relation 
to all injury frequency rates signifi cant 
potential incidents rate and semi
quantitative risk assessment is a strong 
reminder that employees are not to be 
put at risk when businesses target 
superior earnings and cash fl ow 
individual performance metrics for 
executives are calibrated to be specifi c 
measurable objectives which are aligned 
with rio tinto’s strategy  these objectives are 
set with the committee in the fi rst quarter 
of each year they consist of three to fi ve  
performance objectives that are directly 
linked to strategic business priorities for the 
year the individual objectives for 2009 are 
summarised on pages 110 and 111
the table below illustrates the balance of 
performance measures for 2009
policy for 2010 onwards
in consultation with shareholders the 
committee reviewed the framework 
for the stip and has decided to increase 
the maximum opportunity for executives 
under the stip to 200 per cent of base salary 
from an existing maximum of 120 per cent 
for the 2010 stip and onwards half of any 
bonus earned will be payable in cash with 
the remaining 50 per cent being deferred 
into shares which vest generally subject to 
continued employment three years after the 
deferral the objective of this change to the 
stip is to increase its competitiveness  and 
to strengthen the link between the group’s 
short term strategic objectives and the 
medium term delivery of shareholder value
stip measures 2009
 
executive directors and 
group executives  pgceos 
business measures – rio tinto group 5000 2000
earnings – fl exed  unfl exed 50  50 2500 1000
cash fl ow – fl exed  unfl exed 50  50 2500 1000
business measures – product group   3000
earnings – fl exed  unfl exed 50  50   1500
cash fl ow – fl exed  unfl exed 50  50   1500
total business weighting 5000 5000
individual objectives 3750 3750
safety – rio tinto group  product group 1250 1250
all injury free rate aifr 625 625
semi quantitative risk assessment sqra 375 375
signifi cant potential incidents spi 250 250
total individual weighting 5000 5000
total business  individual 10000 10000
stip measures 2010 onwards
 
executive directors and 
group executives  pgceos 
business measures – rio tinto group 5250 2100
earnings – fl exed  unfl exed 50  50 2625 1050
cash fl ow – fl exed  unfl exed 50  50 2625 1050
business measures – product group   3150
earnings – fl exed  unfl exed 50  50   1575
cash fl ow – fl exed  unfl exed 50  50   1575
safety – rio tinto group  product group 1750 1750
all injury free rate aifr  875 875
semi quantitative risk assessment sqra  525 525
signifi cant potential incidents spi  350 350
total business weighting 7000 7000
individual objectives 3000 3000
total individual weighting 3000 3000
total business  individual 10000 10000
 financial measures are 75 per cent of the total business measures
  safety is 25 per cent of the total business measures 
sam walsh is considered a pgceo with regard to stip performance measures
the performance metrics for the stip 
described above will be maintained as the 
committee continues to believe that these 
are most appropriate for our business going 
forward however an additive model will 
be used for determining stip awards with 
70 per cent based on earnings cash fl ow 
and safety and 30 per cent on individual 
measures this represents an increased 
focus on fi nancial and safety measures at 
this level the committee believes that this 
approach will increase simplicity and line 
of sight for participants in the future the 
committee will consider supplementing the 
safety metrics to include measures relating 
to environmental factors in keeping with the 
responsibility that mining companies such as 
rio tinto have to limit the impact of mining 
on the environment 
the table below illustrates the balance of 
performance measures for 2010 governance
108 rio tinto 2009 annual report
remuneration report continued
long term incentives
the group operates three long term 
incentive plans
• the 2004 share option plan – a market 
value share option plan which is subject 
to tsr performance and has been 
approved by shareholders
• the 2004 mining companies comparative 
plan – a performance share plan which is 
subject to tsr performance and has also 
been approved by shareholders
• the management share plan – a plan which 
generally provides service based awards 
share option plan “sop”
under the sop options are granted to 
purchase shares at an exercise price based 
on the share price at the date of grants the 
maximum face value of grants under the 
sop is three times base salary 
the vesting of options is subject to the 
achievement of a stretching total shareholder 
return performance condition comparing 
rio tinto’s tsr performance to that of the 
hsbc global mining index as at 31 december 
of the third year after grant if rio tinto’s tsr 
performance is equal to the performance of 
the index then the higher of one third of the 
actual grant or 20000 options may vest the 
full award will only vest if tsr performance 
is equal to or greater than the hsbc global 
mining index plus fi ve per cent per annum 
between these points options will become 
exercisable on a sliding scale 
the committee considers that tsr 
is an appropriate performance measure 
as it captures the return rio tinto delivers 
to shareholders
given the market nature of the performance 
condition for sop awards the committee 
recognises the importance of ensuring that 
the level of vesting is commensurate with 
the underlying performance of the business 
therefore when approving vesting the 
committee will look to satisfy itself that 
tsr performance is a genuine refl ection of 
the value available to shareholders and the 
underlying performance of the group and 
will adjust levels accordingly 
rio tinto believes that common 
remuneration arrangements should be 
used throughout the group and while 
options are still considered to be an 
important part of the package for the 
executive committee in 2010 a review of 
the sop will be undertaken in 2010 in light 
of the potential changes to the taxation 
of option awards in australia 
mining companies comparative plan 
“mccp”
rio tinto’s performance share plan the mccp  
is designed to incentivise management to 
drive shareholder value creation awards 
under the plan can be made with a face value 
of up to 200 per cent of base salary  awards 
vest subject to rio tinto’s tsr performance 
compared to a bespoke comparator group as 
at 31 december of the fourth year after grant 
the comparator group for mccp awards has 
been reconstituted several times over the last 
few years due to continued consolidation in 
the comparator group 
the comparator group for the 2009 
awards includes 
• alcoa
• anglo american
• barrick gold
• bhp billiton
• freeportmcmoran
• newmont mining
• vale do rio dolce
• xstrata
the vesting profi le for awards is as follows 
rank in group percentage vesting 
1st 150
2nd 1213
3rd 925
4th 638
5th 35
6th – 9th 0
the comparator group and the vesting 
profi le for awards granted in 2005 – 2008 
are broadly similar 
where applicable participants receive the 
cash amount of the dividends that would 
have been received had the recipient owned 
the shares between the grant date and the 
vesting date
due to the small number of comparator 
companies and the impact of corporate 
transactions  on such a small group the 
committee has decided to move away 
from a bespoke comparator group to two 
recognised market indices for awards 
made from 2010 onwards 
vesting of mccp awards will be subject to 
rio tinto tsr performance compared
• 50 per cent to the performance of the 
hsbc global mining index and
• 50 per cent to the performance of the 
morgan stanley capital world index
the use of the msci world index refl ects 
the fact that rio tinto competes against a 
global market for investors as well as within 
the mining sector and is consistent with 
rewarding executives for providing stable 
returns over the long term relative to the 
broader market as well as the mining sector 
vesting for awards is as follows
outperformance of the 
index by 8 per annum 
150 of initial award 
vests
performance between index 
and 8 out performance
straightline vesting
performance equal to index 23 of maximum 
award
the outperformance required for maximum 
vesting has been calibrated to be equivalent 
to upper quartile performance against these 
indicies and as such is considered by the 
committee to be particularly stretching 
independent analysis carried out on behalf 
of the committee illustrates that over the 
last fi fteen years eight per cent per annum 
out performance against both of these 
indices would have led to maximum vesting 
occurring less than 15 per cent of the time 
the committee believes that the revised 
performance condition provides a 
more robust approach to assessing the 
performance of rio tinto compared to key 
peers and are better aligned with our core 
business strategy of providing stable long 
term returns to investors
given the market nature of the performance 
condition for mccp awards the committee 
recognises the importance of ensuring that 
the level of vesting is commensurate with 
the underlying performance of the business 
therefore when approving vesting the 
committee will look to satisfy itself that 
tsr performance is a genuine refl ection of 
the value available to shareholders and the 
underlying performance of the group and 
will adjust levels accordingly 
management share plan “msp”
the primary focus of the msp is to support 
the group’s ability to attract and retain key 
staff in an increasingly tight and competitive 
labour market msp awards are conditional 
awards which vest subject to continued 
employment and thus act as a strong 
retention tool generally these awards 
do not have performance conditions 
executive directors and pgceos are 
not eligible to participate in the service 
based msp awards from 2010 msp 
awards granted to group executives 
will be subject to performance criteria 
other than in exceptional circumstances 
eg recruitment of key talent  w w w riotint oc om 109
governance
financial 
statements
shareholder
information
all employee share plans
executives may participate in broad based share 
and share option plans which are available 
to group employees generally and for which 
performance conditions do not apply  these 
plans form part of standard remuneration 
practice whereby employees are offered 
participation in plans to encourage alignment 
with the long term performance of the company  
executives may participate in the rio tinto 
plc share savings plan or the rio tinto limited 
share savings plan depending on whether 
they are employed by rio tinto plc or rio tinto 
limited the plans require the participant to 
save for a defi ned period before exercising 
options granted at a discount of up to twenty 
per cent to the market value at the time of grant 
grants made to executives under these plans are 
set out in t able 5 on pages 126 to 129 
the share ownership plan is available to 
eligible employees in the uk who may receive 
an annual award of shares up to fi ve per cent 
of salary  subject to a cap of £3000 under this 
plan employees may also make contributions 
from salary each month to purchase shares at 
the prevailing market price subject to a cap of 
£1500 per annum the company matches the 
purchases on a one for one basis 
where under an employee share plan 
operated by the company participants are 
the benefi cial owners of the shares but not 
the registered owner the voting rights are 
normally exercised by the registered owner 
at the direction of the participant
dilution
awards under the sop and mccp may be 
satisfi ed by treasury shares the issue of 
new shares or the purchase of shares in the 
market currently rio tinto plc satisfi es 
awards by the issue of new shares or the 
transfer of shares from treasury rio tinto 
limited satisfi es awards by the purchase 
on market and delivery of shares to plan 
participants rio tinto plc complies with the 
abi guidelines in relation to the issue of new 
shares all other share awards are satisfi ed 
by the use of shares which are purchased in 
the market further information in respect 
of the number of shares issued under plan 
arrangements can be found in note 49 to 
the fi nancial statements
postemployment benefi ts 
executives may participate in post
employment benefi t arrangements offered 
by the group no postemployment benefi ts 
are provided to non executive directors the 
following table details the postemployment 
benefi t components for rio tinto’s executive 
director population
details of executives’ pension entitlements 
are set out in table 2 on pages 118 and 119
2010 performance payment potential 
provided below is the minimum and maximum performance payment potential for each current member of the executive committee 
in 2010 based on the new remuneration framework
annual bonus 
potential range of cash bonus payments 
in march 2011 in respect of 2010
annual bonus 
potential range of bonus deferral in 
march 2011 in respect of 2010
performance options sop
 of march 2010 salary
performance shares mccp 
 of march 2010 salary
executive min max min max min max min max
2
tom albanese 0 £907500 0 £907500 0 300 0 300
guy elliott 0 £675500 0 £675500 0 300 0 300
sam walsh 0 a1475000 0 a1475000 0 300 0 300
hugo bague 0 £360000 0 £360000 0 300 0 300
preston chiaro 0 us725000 0 us725000 0 300 0 300
bret clayton 0 us700000 0 us700000 0 300 0 300
jacynthe côté
1
0 us825000 0 us825000 0 300 0 300
andrew harding 0 us650000 0 us650000 0 300 0 300
harry kenyonslaney 0 £360000 0 £360000 0 300 0 300
doug ritchie 0 a850000 0 a850000 0 300 0 300
debra valentine 0 us570000 0 us570000 0 300 0 300
1 in addition to the payments above jacynthe côté has two special msp grants which vest in 2010 as part of her legacy alcan arrangements see page 123
2 maximum refl ects potential under the plan to vest 150 per cent of the original award for outstanding performance
country  executive director postemployment benefi t
uk
tom albanese
guy elliott
plan membership – uk employer pension plans as provided to other ukbased employees
pension is indexed to the uk retail price index to a maximum of ten per cent per annum 
tom albanese specifi c provision
• target defi ned benefi t of 23rds of basic salary at age 60 inclusive of benefi ts accrued in the us 
guy elliott specifi c provision
• target defi ned benefi t of 23 per cent of basic salary for each year of service with the company to age 60
dick evans • retirement date – 31 december 2009
• unfunded defi ned contribution benefi t
• company’s contribution was 20 per cent of basic salary plus interest 
• unfunded benefi t will be used to purchase an annuity at retirement
• also participated in the alcan employee savings plan canada to which the company pays a maximum contribution 
of 60 per cent of any employee contribution up to four per cent of base salary 
australia
sam walsh • plan membership – australian employer funded superannuation plan as provided to other australian based employees
• target defi ned benefi t is a lump sum multiple of 405 times fi nal basic salary at age 62
• additional company contribution on a defi ned contribution basis of 20 per cent of the lesser of 50 per cent of the annual 
stip award or 20 per cent of basic salary this is in line with typical market practice in australia governance
110 rio tinto 2009 annual report
remuneration report continued
remuneration received in 2009
the table below provides a summary of the executives’ remuneration actually received in 2009 stated in the currency in which they were 
paid this information is provided by way of additional disclosure to assist shareholders in understanding actual remuneration outcomes 
tables 1a and 1b on pages 116 to 118 provide the statutory disclosures
actual remuneration received in 2009
executive base salary paid
other payments 
and benefi ts 
1
2009 stip 
7
 
payment
total short 
term pay
value of ltip awards 
granted in 2009 
2
remuneration received 
for 2009
tom albanese £907500 £884522 £589285 £2381307 £1415700 £3797007
guy elliott £675500 £370035 £552444 £1597979 £1053780 £2651759
dick evans us1500000 us5278915 us976037 us7754952 us2340000 us10094952
sam walsh a1475000 a510860 a1307534 a3293394 a2301000 a5594394
hugo bague £360000 £437251 £284336 £1081587 £396000 £1477587
preston chiaro us725000 us792322 us389955 us1907277 us1131000 us3038277
bret clayton us700000 us574426 us534492 us1808918 us1092000 us2900918
jacynthe côté 
3
us813125 – us686116 us1499241 us1287000 us2786241
 –c2200049–c2200049–c2200049
andrew harding 
4
us421373 us559259 us401653 us1382285 us386131 us1768416
harry kenyonslaney 
5
£266933 £258475 £113997 £639405 £174843 £814248
keith johnson £245000 £1029954 £178322 £1453276 – £1453276
doug ritchie 
6
 a734333 a873286 a540161 a2147780 a606900 a2754680
grant thorne a920000 a243722 a662890 a1826612 a1012000 a2838612
debra valentine us570000 us712799 us467541 us1750340 us627000 us2337340
1  includes superannuation pension health care expatriate payments car allowances or cars other perquisite payments and any special one time bonus payments as detailed in table 1a
2  the ltip value is the expected value of the ltip award granted in 2009
3  total pay received for time as both ceo rio tinto alcan – primary metal and ceo rio tinto alcan c amount includes the one time special bonus payments as detailed in table 1a
4  total pay received in us for time as both ceo kuc and ceo copper
5  total pay received in £ for time as both ceo rtit and ceo diamonds  minerals
6  total pay received in a for time as both managing director strategy within rio tinto australia and ceo energy 
7 stip payment made in 2010 in respect of 2009 performance
short term incentive plan
performance evaluation process for 
individual executives
rio tinto conducts an annual performance 
evaluation process for all of its senior 
executives in the case of members of the 
executive committee the chief executive 
conducts the review in the case of the chief 
executive the chairman of the committee 
conducts the review in conjunction with the 
chairman of the board 
the key objectives of the performance 
evaluation process are to
• improve organisational effectiveness 
by creating alignment between the 
executives’ individual objectives and 
rio tinto’s business strategy 
• provide a consistent transparent and 
balanced approach to measure recognise 
and reward executive performance 
annual individual objectives are fi nalised 
at the beginning of the calendar year 
performance evaluations are completed 
during early january of the following year 
individual objectives and awards in respect 
of 2009 for the executives are set out below 
as outlined above there is a rigorous annual 
evaluation process undertaken during 
which performance against stated objectives 
is assessed personal performance for messrs 
albanese elliott bague chiaro kenyon
slaney and jacynthe côté was adversely 
affected due to fatalities in the group 
annual bonus stip performance 
assessment for 2009 
tom albanese
based on individual objectives related to the 
strengthening of the balance sheet achieving 
signifi cant cost reductions brought on by the 
economic downturn and the reorganisation of 
the product groups and executive committee 
the committee assessed personal performance 
including group safety  as 925 per cent of target 
the overall stip award is 108 per cent of target 
which is 65 per cent of salary 
guy elliott
based on individual objectives related to 
the strengthening of the balance sheet 
leadership of the cfo function and 
divestments the committee assessed 
personal performance including group 
safety as 117 per cent of target the overall 
stip award is 136 per cent of target which 
is 82 per cent of salary
sam walsh
based on individual objectives related to the 
proposed iron ore production joint venture 
leadership of rio tinto chinaasia and 
rio tinto india and w est africa effective 
implementation of the planning and rio tinto 
iron ore operations centre and the business 
sustainability and joint venture management 
the committee assessed personal performance 
including product group safety  as 123 per cent 
of target the overall stip award is 148 per cent 
of target which is 89 per cent of salary 
dick evans
based on individual objectives related to the 
transition of duties to new leadership and 
the delivery of integration activities and 
fi nancial synergies the committee assessed 
personal performance including product 
group safety as 92 per cent of target the 
overall stip award is 108 per cent of target 
which is 65 per cent of salary
hugo bague
based on individual objectives related 
to talent retention and engagement 
organisational and workforce management 
development of a ‘business driven’ 
communities practice and improvement 
on the focus and intensity of internal 
communications the committee assessed 
personal performance including group 
safety as 117 per cent of target the overall 
stip award is 136 per cent of target which 
is 79 per cent of salary
preston chiaro
based on individual objectives related 
to management of asset divestments 
progression of the climate and energy strategy 
and cash fl ow initiatives the committee 
assessed personal performance including   w w w riotint oc om 111
governance
financial 
statements
shareholder
information
product group safety as 83 per cent of target 
the overall stip award is 90 per cent of target 
which is 54 per cent of salary
bret clayton
based on individual objectives related to 
the progress of development projects and 
identifi cation of new opportunities and the 
successful management of the slowdown of 
major projects in diamonds group and its 
impact on the business units the committee 
assessed personal performance including 
product group safety as 105 per cent of 
target the overall stip award is 127 per cent 
of target which is 76 per cent of salary
jacynthe côté 
based on individual objectives related to the 
delivery of integration goals cash initiatives 
and management of business sustainability 
and key stakeholders the committee 
assessed personal performance including 
product group safety as 117 per cent of 
target the overall stip award is 139 per cent 
of target which is 83 per cent of salary
andrew harding
based on individual objectives related to 
the successful transition of business unit 
managing director duties and the objectives 
of his previous role as president kuc the 
committee assessed personal performance 
including business unit safety as 134 per cent 
of target the overall stip award is 174 per 
cent of target which is 95 per cent of salary
harry kenyonslaney
based on individual objectives related to the 
successful transition of business unit managing 
director duties and the objectives of his previous 
role as managing director rtit  the committee 
assessed personal performance including 
business unit safety  as 94 per cent of target the 
overall stip award is 88 per cent of target which 
is 43 per cent of salary 
doug ritchie
based on individual objectives related to the 
successful transition of his managing director 
strategy duties and the objectives of his 
previous role as managing director strategy 
the committee assessed personal performance 
including group safety as 119 per cent of 
target the overall stip award is 141 per cent 
of target which is 74 per cent of salary
grant thorne
based on individual objectives related to the 
major project execution progression of key 
technology initiatives and leadership of ti 
group the committee assessed personal 
performance including ti safety as 103 
per cent of target the overall stip award is 
120 per cent of target which is 72 per cent 
of salary
debra valentine
based on individual objectives related 
to the leadership of the legal external 
relations security and compliance functions 
delivery on key corporate projects and cost 
management the committee assessed 
personal performance including group 
safety as 119 per cent of target the overall 
stip award is 139 per cent of target which is 
82 per cent of salary
long term incentive programmes
performance of rio tinto 
the companies’ share price showed strong 
improvement in 2009 as a result of rio tinto’s 
cost containment measures completion of 
divestments and the strengthening of the 
balance sheet 
the graph illustrates the performance of the 
company against the ftse 100 the asx 
all ordinaries index and the hsbc global 
mining index these indexes have been 
chosen as they represent major markets 
and the mining sector in which the group 
competes for investors 
the effect of this performance on shareholder 
wealth as measured by tsr delivered during 
the relevant calendar year is detailed in the 
table below 

rio tinto shareholder return 20052009
year
dividends paid 
during the year
share price –
rio tinto plc pence
share price –
rio tinto limited a total shareholder return tsr 
 us cents per share 1 jan 31 dec 1 jan 31 dec plc ltd group
2009 680 1231 3390 2997 7489 1822 1567 1725
2008 1520 4392 1231 10565 2997 715 711 715
2007 1160 2245 4392 5860 10565 995 829 927
2006 1915 2193 2245 5442 5860 62 92 75
2005 835 1266 2193 3086 5442 774 802 785
ltip award results
rio tinto group and product group performance during 2009 and over the performance periods of the long term incentive plans which ended 
on 31 december 2009 affected executives’ remuneration as follows
mccp
plan period plan period that ended 31 december 2009 
comparator companies
 
alcoa anglo american barrick gold bhp billiton cameco freeportmcmoran gmexico ‘b’ newmont mining peabody energy 
teck cominco vale do rio dolce xstrata
tsr ranking 6th 448 per cent tsr
 of shares vested
 
3960 per cent of initial award 264 per cent of maximum for executive directors and participants who were pgceos at the time of 
the grant and 571 per cent for all other plan participants based on tsr results the committee believes that this is consistent with the 
company’s underlying performance over the four year vesting period the vesting matrix for the 2006 award which vested in 2010 was 
adjusted in 2007 by the committee to refl ect industry consolidation
total return basis index 2004  100 
key rio tinto dlc     
 ftse 100
 asx all share
 hsbc index   
tsr us – rio tinto group vs ftse100 asx all share and hsbc global mining index
100
200
300
400
2009 2008 2007 2006 2005 2004 governance
112 rio tinto 2009 annual report
remuneration report continued
sop
plan period plan period that ended 31 december 2009
hsbc mining index tsr 1020 per cent
rio tinto tsr 620 per cent
 of shares vested 0 per cent vested based on tsr results as reviewed and approved by the committee and were cancelled
despite a strong share price recovery in 2009 the share price for each performance period included baseline prices from periods of very strong 
commodity markets that existed prior to the 20089 downturn therefore share options granted in 2007 did not vest and were cancelled 
msp
plan period plan period that ended 31 december 2009 
 of shares vested 10000 per cent
executive directors and pgceos are not eligible for awards under this plan from 2010 msp awards granted to group executives will be subject 
to performance criteria other than in exceptional circumstances for example the recruitment of key talent
bonus and ltip vested in respect of 2009
 bonus sop performance options mccp performance shares msp service awards
executive
 of maximum 
stip awarded
 of maximum 
stip forfeited
 of target 
stip awarded  vested  forfeited  vested  forfeited  vested  forfeited
tom albanese 5400 4600 108 – 100 396 604 na na
guy elliott 6800 3200 136 – 100 396 604 na na
dick evans 5400 4600 108 na na na na na na
sam walsh 7400 2600 148 – 100 396 604 na na
hugo bague 7900 2100 136 – 100 na na 100 na
preston chiaro 4500 5500 90 – 100 396 604 na na
bret clayton 6400 3600 127 – 100 571 429 na na
jacynthe côté 6900 3100 139 na na na na na na
andrew harding 9100 900 174 – 100 571 429 100 –
keith johnson 3500 6500 122 – 100 396 604 na na
harry kenyonslaney 4400 5600 88 – 100 571 429 100 –
doug ritchie 7050 2950 141 – 100 571 429 100 –
grant thorne 6000 4000 120 – 100 571 429 100 –
debra valentine 6800 3200 139 na na na na na na
long term incentives granted in 2009
sop
options over either rio tinto plc or 
rio tinto limited shares as appropriate 
were granted to each executive under the 
sop on 17 march 2009 the performance 
condition for these awards is as outlined 
in the policy section above
mccp 
a conditional award of performance 
shares in either rio tinto plc or rio tinto 
limited shares was made to each executive 
under the mccp on 17 march 2009 the 
performance condition for these awards is 
as outlined in the policy section above
msp 
the objective of service based awards when 
they are used for employees is to enhance 
retention each year for senior management 
below the executive committee level the 
committee will determine the makeup of 
the long term incentive grant by employee 
level given market and industry conditions 
in 2009 the committee decided to use 
servicebased awards for a portion of 
each employee’s award below the level of 
executive director and pgceo
the awards are servicebased with no 
performance conditions and vest subject to 
continuous employment on 1 january 2012 
executive directors and pgceos are not 
eligible for servicebased awards other than 
in relation to bonus deferrals as occurred in 
2009 for the 2008 bonus
other payments during 2009 
this section provides information on 
any onetime payments made during the 
year which are not a core element of the 
remuneration package
• retention of key talent – in 2007 at the 
time of the preconditional offer from bhp 
billiton rio tinto introduced a retention 
programme for key executives below the 
level of executive director and pgceo 
retention payments under this programme 
were made in december 2008 and july 
2009 hugo bague andrew harding 
harry kenyonslaney and doug ritchie 
received payments under this programme 
as detailed in table 1 the retention 
programme was put in place prior to 
messrs harding kenyonslaney and ritchie 
becoming pgceos doug ritchie received 
an additional award of a835000 in 
recognition of his particular contribution to 
the business as managing director strategy 
of this a275550 was paid in cash and 
a559450 as msp shares as detailed in 
table 1a
• integration bonuses – as disclosed in 
the 2008 remuneration report dick 
evans was eligible for a rio tinto alcan 
integration bonus of up to 426 per cent 
of salary us6397500 at target and 
640 per cent of salary us9596250 at 
maximum the committee determined 
that this bonus was justifi ed in order to 
lock in the essential skills and knowledge 
of dick evans and to incentivise him 
to deliver synergies and accelerate the 
integration of rio tinto alcan into the 
group the committee has reviewed 
performance against the objectives set 
for this bonus and determined that 
dick evans should receive 71 per cent 
of the target reward or 301 per cent of 
salary us4515036 this refl ects the   w w w riotint oc om 113
governance
financial 
statements
shareholder
information
exceptional synergy savings generated 
over the past two years the strong 
progress in developing and appointing 
a successor and the organisational and 
cultural integration of rio tinto alcan 
into the wider group
• alcan inc long term cash plan – 
consistent with its normal granting 
schedule in september 2007 the human 
resources committee of the board of 
the former alcan inc approved the fi nal 
long term incentive award made prior to 
alcan inc being acquired by rio tinto 
to encourage retention of alcan inc 
employees the last award did not vest at 
the change of control in october 2007 
and was made in the form of a long term 
cash award that vested on 15 december 
2009 subject to participants remaining in 
employment jacynthe côté was granted 
an award under the 2007 alcan long 
term cash plan in september 2007 and 
received payment of the award when it 
vested in december 2009 as reported in 
table 1a dick evans was not eligible for a 
payment in december 2009 there are no 
further payments to be made under the 
2007 alcan long term cash plan
• oneoff long term incentive grant – 
upon promotion to the role of pgceo 
rio tinto alcan and based on the terms 
of her legacy alcan inc contract jacynthe 
côté was granted a onetime conditional 
award of shares equal to 25 per cent 
of her current annual base salary to 
incentivise her to deliver synergy savings 
and to promote the effective integration 
of rio tinto alcan from an organisational 
and cultural perspective the award is 
subject to performance conditions which 
provide for 50 per cent of the award to 
vest on 1 february 2010 and 50 per cent 
on 1 february 2011 if the performance 
conditions are met effective from october 
2007 jacynthe côté was also granted a 
oneoff service based special retention 
grant as part of her legacy alcan inc 
arrangements on assuming the role 
of president and ceo primary metals 
rio tinto alcan forty per cent of the award 
vested on 25 january 2009 and 60 per cent 
vests on 25 october 2010 the payment 
made under this award is detailed in 
table 1a 
• termination – as disclosed in the 2008 
remuneration report keith johnson’s 
position was deemed redundant and 
he left the group on 31 july 2009 after 
many valued years of service consistent 
with policy keith johnson received 
a redundancy payment equal to 12 
months’ base salary plus car allowance 
this payment was in addition to the 12 
months’ notice period provided for in his 
contract in addition keith johnson will 
be reimbursed for taxation and fi nance 
planning advice not to exceed £10000 
for 2009 and 2010 the payments are 
detailed in table 1a the payments 
detailed above are in line with his 
contract and local policy given keith 
johnson’s many years of service and 
performance the committee considers 
these payments appropriate
other remuneration 
disclosures
rio tinto rights issue
in july 2009 the group undertook a capital 
raising as discussed in the directors’ report 
on page 91 as permitted under the rules of 
the rio tinto share plans adjustments were 
made to ensure that the value of options 
and awards held by participants was not 
signifi cantly impacted by the rights issue 
these adjustments are shown in tables 4a 
4b and 5 the adjustments refl ected the 
plan rules and governing laws and involved 
the award of additional shares or options 
and the adjustment of the exercise price of 
outstanding options
shareholding policy for executives
the company recognises the importance of 
aligning directors’ and executives’ interests 
with those of shareholders and they are 
therefore expected to build up a shareholding 
the committee determined that executive 
directors should aim to reach a holding 
equivalent in value to two times their base 
salary over three years and pgceos should 
aim to achieve this over fi ve years from 2010 
all members of the executive committee will 
be subject to the same shareholding policy as 
the executive directors
share dealing policy
key management personnel and employee 
insiders are bound by the “rules for dealing 
in rio tinto securities” “rules” which are 
available on the rio tinto website directors 
and executives are required to certify 
that they do not hold any price sensitive 
information when seeking clearance to 
deal in rio tinto securities executives 
participate in long term incentive plans 
which involve the award of rio tinto 
securities at a future date the board has a 
policy contained in the rules prohibiting 
an executive from limiting his or her 
exposure to risk in relation to the securities 
the grants of shares and options under 
the incentive plans are conditional upon 
compliance with the rules all employees 
subject to the rules receive regular training 
and information
executives’ external and 
other appointments
executives may be invited to become non 
executive directors of other companies it 
is rio tinto’s policy that such appointments 
can broaden their experience and 
knowledge to the benefi t of the group 
this policy limits each executive’s external 
directorships to one ftse 100 company or 
equivalent consequently where there is 
no likelihood that such a directorship will 
give rise to a confl ict of interest the boards 
will normally give their consent to the 
appointment the executive is permitted to 
retain the fees earned 
in the course of 2009 the following 
executives received fees from external 
appointments guy elliott received 
us124000 2008 us89000 and sam 
walsh a12000000 2008 a10000
company secretary remuneration
the executive remuneration policy applies 
to the company secretary of each of 
rio tinto plc and rio tinto limited they 
participate in the same performance 
based remuneration arrangements as the 
executives the individual performance
measures for the company secretaries’ stip 
comprise group and individual objectives 
their personal measures refl ect the key 
responsibilities of the company secretarial 
role and include ensuring compliance with 
regulatory requirements oversight of good 
corporate governance practice and the 
provision of corporate secretarial services
executive service contracts
all executives have service contracts that 
can be terminated by the company giving 
12 months’ notice in writing or immediately 
by paying base salary only in lieu of any 
unexpired notice period with the following 
exceptions for debra valentine the 
company must provide six months’ notice 
in writing and for jacynthe côté where 
the 12 months’ notice includes salary and 
target bonus opportunity in line with typical 
market practice in canada and her legacy 
alcan inc contract 
if termination is a result of a redundancy 
then the terms of the relevant policy 
would apply in the same way it would 
apply to other local employees in the case 
of involuntary termination jacynthe côté 
would receive 24 months’ salary and bonus 
inclusive of notice as per her entitlement  governance
114 rio tinto 2009 annual report
remuneration report continued
in her legacy alcan inc contract 
in the case of dismissal for cause employment 
may be terminated by the company without 
notice and without payment of any salary or 
compensation in lieu of notice the annual 
bonus and outstanding awards under the long 
term incentive programme are forfeited
the rules of the stip and the long term 
incentive plans cover any entitlements 
participants may have on termination if 
termination is due to any reason besides cause 
or resignation then participants are eligible 
to receive a prorata stip paid based on the 
portion of the performance period worked 
options or performance shares will vest at the 
normal vesting date subject to performance 
against the performance condition options 
or performance shares held for less than 12 
months at the date of termination are reduced 
prorata msp awards vest prorata upon 
termination no awards vest if a participant 
resigns or is terminated for cause
contractual entitlements to severance 
are not triggered by a change of control 
all of the company’s share plans contain 
provisions relating to a change of control 
outstanding awards and options would 
normally vest and become exercisable 
on a change of control on a prorata 
basis subject to the satisfaction of any 
performance conditions at that time
from 1 november 2009 grant thorne 
stood down from the executive committee 
and became a special adviser to undertake 
a knowledge transfer prior to his intended 
retirement on 1 november 2011 a new 
contract was entered into with grant 
thorne that continues his current 
employment conditions until his retirement 
on 1 november 2011 
chairman and non 
executive directors’ 
remuneration
remuneration policy
chairman
the remuneration committee determines 
the terms of service including remuneration 
of the chairman 
it is rio tinto’s policy that the chairman 
should be remunerated on a competitive 
basis and at a level which refl ects his 
contribution to the group as assessed by 
the board the chairman is not present at 
any discussion regarding his own 
remuneration and he does not participate 
in the group’s incentive plans or pension 
arrangements the chairman receives a 
fi xed fee and does not receive additional 
payment for committee membership or 
overseas travel
non executive directors
the chairman’s committee comprising the 
chairman the chief executive and the chief 
fi nancial offi cer annually reviews the level 
of non executive directors’ fees including 
fees for committee work and overseas travel 
fees paid to non executive directors refl ect 
their respective duties and responsibilities 
and the time required to be spent by them 
so as to make a meaningful and effective 
contribution to the affairs of rio tinto non 
executive directors receive a fi xed annual 
fee comprising a base fee committee 
membership or committee chairmanship fees 
as applicable and fees for attending meetings 
which involve medium or long distance air 
travel rio tinto does not pay retirement 
benefi ts or allowances to non executive 
directors nor do any of them participate in 
any of the group’s incentive plans 
the chairman’s committee reviewed the non 
executive directors’ fees during 2009 to take 
account of market and related developments 
and made no increase to annual base fees or 
committee fees the fees are detailed in the 
table on page 115
name positions held
date of 
appointment
notice period
contract end date 
2010 
base salary
executive directors
tom albanese chief executive 1may07 12 months £907500
guy elliott chief fi nancial offi cer 19jun02 12 months £675500
dick evans
1
special adviser 1feb09
31dec09 na
 ed  ceo rio tinto alcan 25oct07
sam walsh ed  ceo iron ore and australia 5jun09
12 months a1475000
 ceo iron ore 1nov04
other members of executive committee
hugo bague group executive people  organisation support 1aug07 12 months £360000
preston chiaro group executive technology  innovation 1nov09
12 months us725000
 ceo energy  minerals 15nov07
bret clayton group executive business support  operations 1nov09
12 months us700000
 ceo copper  diamonds 15nov07
jacynthe côté ceo rio tinto alcan 1feb09
12 months us825000
 ceo primary metal rta 25oct07
andrew harding ceo copper 1nov09
12 months us650000
 ceo kuc 1nov07
keith johnson na
harry kenyonslaney ceo diamonds  minerals 1nov09
12 months £360000
 md rtit 1mar07
doug ritchie ceo energy 1nov09
12 months a850000
 md strategy 19nov07
grant thorne special adviser 1nov09
31oct11 a920000
 group executive technology  innovation 1jun07
debra valentine group executive legal  external affairs 15jan08 6 months us570000
1 dick evans was not entitled to receive any termination payment at the cessation of his contract on 31 december 2009  w w w riotint oc om 115
governance
financial 
statements
shareholder
information
 as at 31 dec 2009 as at 31 dec 2008
director fees
non executive director base fee £70000a160000 £70000a160000
chairman’s fee £700000 £693000
senior independent director £35000 £35000
committee fees
audit committee chairman £30000 £30000
audit committee member £15000a37500 £15000a37500
remuneration committee chairman £20000 £20000
remuneration committee member £10000a25000 £10000a25000
nominations committee member £7500 £7500
committee on social and environmental accountability chairman £20000 £20000
committee on social and environmental accountability member £7500a18750 £7500a18750
overseas meeting allowances
long distance fl ights over 10 hours per journey £4000a10000 £4000a10000
medium distance fl ights of 510 hours per journey £2000a5000 £2000a5000
remuneration components
the table below sets out the annual fees 
payable to the chairman and the non 
executive directors in £a as appropriate 
remuneration paid during 2009
details of each element of remuneration 
paid to the chairman and non executive 
directors during 2009 is set out in table 1b 
non executive directors’ remuneration no 
post employment long term or termination 
payments were paid and no share based 
payments made the total payments 
made to the chairman and non executive 
directors come within the maximum 
aggregate annual amount of £3 million 
set out in the group’s constitutional 
documents and which was approved by 
shareholders at the 2009 annual general 
meetings
shareholding policy
in 2006 the board recommended that non 
executive directors be encouraged to build 
up a shareholding within three years of their 
appointment equal in value to one year of 
the base fee to help facilitate this the group 
put in place a non executive directors’ share 
purchase plan through which non executive 
directors could elect to invest a proportion 
of their fees net of tax on a regular basis to 
acquire shares on the open market details of 
non executive directors’ share interests in the 
group are set out in table 3 on page 119
letters of appointment
non executive directors have formal letters 
of appointment setting out their duties and 
responsibilities these letters are available 
for inspection at rio tinto plc’s registered 
offi ce and at the annual general meeting 
each non executive director is appointed 
by the boards subject to their subsequent 
election and periodic reelection by 
shareholders as detailed on page 97 
ann godbehere and robert brown were 
appointed with effect from 9 february 2010 
and 1 april 2010 respectively and will stand 
for election at the 2010 annual general 
meetings there are no provisions for 
compensation payable on termination of 
any non executive director’s appointment
jim leng was appointed as a non executive 
director and chairman designate on 
14 january 2009 his letter of appointment 
provided for an annual fee upon his 
appointment as chairman of £650000 
in the interim period his fee as a non 
executive director and chairman designate 
was set at 50 per cent of this amount jim 
leng resigned from the board on 9 february 
2009 no termination payments were 
payable and the amounts disclosed in table 
1b on page 118 refl ect amounts paid for jim 
leng’s services during this period
paul skinner retired as chairman on 20 april 
2009 and was succeeded by jan du plessis 
mr skinner remained as an adviser to the 
board on his existing terms and conditions 
until 14 july 2009 the amounts shown 
table 1b on page 118 refl ect amounts paid 
to paul skinner until that date
jan du plessis’ letter of appointment 
stipulates his duties as chairman of the 
group his appointment may be terminated 
without liability on the part of rio tinto 
in accordance with the constitutional 
documents dealing with retirement by 
rotation disqualifi cation from offi ce or 
other vacation from offi ce otherwise his 
appointment may be terminated by giving 
12 months’ notice the chairman receives 
a base fee and no additional committee 
attendance or travel fees he is provided 
with a car and driver for business purposes 
private medical insurance and participates 
in the rio tinto medical expenses plan 
which group employees are eligible to 
join he is also covered under the group’s 
accident policy these are disclosed as 
benefi ts in table 1 on page 118 
auditable information
under schedule 8 of the large and medium 
sized companies and groups accounts and 
reports regulations 2008 the information 
included in respect of the non executive 
directors and the directors’ short term 
employee benefi ts and termination benefi ts 
in tables 1a and 1b and the information 
included in respect of the directors accrued 
benefi ts transfer values and defi ned 
contribution pension in table 2 tables 
4a and 4b and table 5 are all auditable
the australian securities and investments 
commission issued an order dated 
27 january 2006 and amended on 
22 december 2006 under which the 
information included in the remuneration 
report to comply with paragraph 25 of 
australian accounting standard aasb 124 
“related party disclosures” relating to “key 
management personnel” compensation is 
also auditable this information comprises 
tables 1 executive and non executive 
directors set out in table 1a and 1b 
respectively 3 4 and 5 and the disclosures 
provided under the headings executive 
remuneration and chairman and non 
executive director remuneration 
annual general meetings
shareholders will be asked to vote on this 
remuneration report at the companies’ 
2010 annual general meetings
by order of the board
ben mathews
secretary
remuneration committee
5 march 2010 governance
116 rio tinto 2009 annual report
remuneration report continued
table 1a – executives’ remuneration
short term benefi ts
long term benefi ts
value of share based awards
6
stated in us’000
1
 year base salary cash bonus
2
other cash
based 
benefi ts
3
 
non 
monetary 
benefi ts
4
t otal 
short term 
benefi ts
5
other long 
term benefi ts
deferred 
shares
7
cca
8
mccp
executive directors
tom albanese 2009 1421 947 8 323 2699 – 186 – 3915
 20081664–103292003–169–2837
guy elliott 2009 1057 888 24 168 2137 – 122 – 2862
 20081239–281661433–111–2518
dick evans 2009 1500 5491 – 422 7413 – 505 – 4013
 200815001350–4133263–139–48
sam walsh 2009 1167 1170 71 20 2428 – 184 – 2697
 20081245–77371359–163–2434
other key management personnel
hugo bague 2009 564 752 139 210 1665 – 36 59 344
 20086634621072161448–32–8
preston chiaro 2009 725 390 83 492 1690 – 125 – 2265
 2008714–216931428–110–2092
bret clayton 2009 700 534 – 444 1678 – 34 – 1486
 2008680––6511331–30–698
jacynthe côté 2009 813 2226 – 27 3066 – 60 97 556
andrew harding 2009 421 596 – 298 1315 – 26 47 415
keith johnson 2009 383 287 78 19 767––– 2340
 200877431724301145–––1655
harry kenyonslaney 2009 418 362 77 61 918 – 37 41 455
doug ritchie 2009 581 986 23 2 1592 – 31 57 756
grant thorne 2009 728 593 4 1 1326 – 60 74 1232
 200877317841956–52–763
debra valentine 2009 570 468 – 543 1581 – 50 67 203
 2008548146–7211415–43–18
notes to table 1a 
1 the total remuneration is reported in us dollars the amounts can be converted into sterling at the rate of us1  £06389 into australian dollars at the rate of us1  a12637 or 
alternatively into canadian dollars at the rate of us1  c113740 each being the average exchange rate for 2009 the annual cash bonus is payable under the stip and this may 
be converted at the 2009 year end exchange rate of us1  £06222 to ascertain the sterling equivalent us1  a11179 to calculate the australian dollar value or alternatively 
us1c10546 to calculate the canadian dollar value the 2009 fi gures reported in this table are less than the 2008 fi gures due to exchange rate variation 
2 ‘cash bonus’ includes stip and other special oneoff bonuses as described in the remuneration report on page 110 to 113 it includes a retention payment for andrew harding hugo bague 
doug ritchie and harry kenyonslaney for jacynthe côté it also includes the 2007 alcan lti payout and the coc award payment for doug ritchie it also includes a oneoff recognition 
award cash payment
3 ‘other cash based benefi ts’ include cash in lieu of a car and fuel and cash in lieu of holiday for hugo bague and harry kenyonslaney it also includes a cash supplement equal to 
20 per cent of the amount by which their ‘contributory salary’ exceeds the ‘earning cap’ as defi ned in the rio tinto pension fund cash in lieu of company share dividend payments 
is included for hugo bague 
4 ‘non monetary benefi ts’ for executives include healthcare the provision of a car fl exible perquisites and secondment costs comprising housing education professional advice tax 
equalisation and relocation payments made to and on behalf of executives living outside their home country for harry kenyonslaney and andrew harding it includes a 2008 tax payable 
that was paid by the company in 2009 for tom albanese and guy elliott it includes the cost of spouse travel and the value of company provided transport rio tinto provides accident 
cover for employee members of the rio tinto pension fund some of the executive directors and key management personnel are members of the rio tinto pension fund the total premium 
paid in 2009 was us7827
5 ‘total short term benefi ts’ represents the short term benefi ts total required by the uk companies act 2006 and total remuneration under the australian corporations act 2001 and 
applicable accounting standards
6 the value of share based awards has been determined in accordance with the recognition and measurement requirements of ifrs2 “sharebased payment” the fair value of awards granted 
under the share option plan sop the management share plan msp the bonus deferral plan bdp and the share savings plan ssp have been calculated at their dates of grant using 
an independent latticebased option valuation model provided by external consultants lane clark and peacock llp some of these awards will be settled in cash rather than the transfer 
of shares and so the fair value of these cash settled awards has been calculated based on rio tinto’s share price at 31 december 2009 the fair value of awards granted under the mining 
companies comparative plan the mccp has been calculated using a monte carlo valuation model based on the market price of shares and their relative tsr performance at 31 december 
2009 over 2009 the increase in rio tinto’s share price has led to a signifi cant increase in the value attached to the mccp under the ifrs2 accounting standard further details of the 
valuation methods and assumptions used for these awards are included in note 49 share based payments in the 2009 fi nancial statements the fair value of other share based awards 
is measured at the purchase cost of the shares from the market the non executive directors do not participate in the long term incentive share schemes
7 ‘deferred shares’ represents the deferral of the 2008 bonus under stip into rio tinto shares
8 ‘cca company contributed awards’ represents the shares provided to employees below the executive directors and pgceo level under the 2008 bonus deferral programme to provide 
and enhance retention  w w w riotint oc om 117
governance
financial 
statements
shareholder
information
long term benefi ts
post employment benefi ts
10
value of share based awards
6
stated in us’000
1
 yearmspsopothers
9
pension and 
superannuation
other post 
employment 
benefi ts
termination 
benefi ts
total 
remuneration
currency
11
 
of actual 
payment
executive directors
tom albanese 2009 – 1179 4 1056 – – 9039 £
 2008–132751443––2110£
guy elliott 2009 – 691 5 389 – – 6206 £
 2008–8409534––409£
dick evans 2009 – 1838 – 342 – – 14111 usc
 2008–621–338––4409us
sam walsh 2009 – 636 – 313 – – 6258 a
 2008–7184327––137a
other key management personnel
hugo bague 2009 341 39 2 41 – – 2527 £
 200883544346––2416£
preston chiaro 2009 – 550 1 218 – – 4849 us
 2008–71721778–350us
bret clayton 2009 – 494 1 129 1 – 3823 us
 2008–4841792–1229us
jacynthe côté 2009 990 75 – 364 3 – 5211 usc
andrew harding 2009 144 36 3 67 – – 2053 us
keith johnson 2009 – 689 2 158 – 1357 5313 £
 2008–5518384––433£
harry kenyonslaney 2009 114 44 1 88 – – 1698 £
doug ritchie 2009 247 69 3 164 – – 2919 a
grant thorne 2009 280 101 3 188 – – 3264 a
 20081251363195––704a
debra valentine 2009 427 29 1 163 8 – 2529 us
 2008281––1238–1888us
9 ‘others’ include the share savings plan and share ownership plan as described in the section on other share awards on page 109
10 the costs shown for defi ned benefi t pension plans and post retirement medical benefi ts are the service costs attributable to the individual calculated in accordance with ias19 the cost for 
defi ned contribution plans is the amount for dick evans contributed in the year by the company american pgceos enjoy a company matching of personal contribution for shares under 
the 401k arrangements up to a maximum of us14700 the company matched personal contributions of us14700 for preston chiaro bret clayton and debra valentine 
11 for jacynthe côté and dick evans base salary is paid in us dollars all other short term benefi ts received are paid in canadian dollars
table 1a – executives’ remuneration continued governance
118 rio tinto 2009 annual report
table 2 – directors’ pension entitlements as at 31 december 2009
defi ned benefi t pensions
accrued benefi ts transfer values 
 age
years of 
service 
completed
at 
31 dec 2008 
£’000 pa 
pension
at 
31 dec 2009 
£’000 pa 
pension
change in accrued benefi ts 
during the year ended 31 
dec 2009 £’000 pa pension
change in 
accrued benefi t 
net of infl ation
1
£’000 pa pension
at 31 dec 
2008 £’000
at 31 dec 
2009 £’000
change net 
of personal 
contributions 
£’000
transfer value of 
change in accrued 
benefi t net of 
infl ation
1
 £’000
uk directors
tom albanese 
2 3 4
52 28 286 336 50 43 2836 4060 1224 692
guy elliott 
3
54 29 434 456 22 12 6728 7706 978 196
 
a’000 
lump sum
a’000 
lump sum
a’000 
lump sum
a’000 
lump sum a’000 a’000 a’000 a’000
australian director 
sam walsh 60 18 4904 5203 299 237 4904 5203 218 237
notes to table 2
1 price infl ation is calculated as the increase in the relevant retail or consumer price index over the year to 31 december 2009 except for australia where a september to september change is used
2 tom albanese became a director of rio tinto plc and rio tinto limited with effect from 7 march 2006 he accrued pension benefi ts in the us plans for service up to 30 june 2006 and is 
accruing benefi ts under the uk fund for subsequent service
3  the transfer value of benefi ts in the uk plans is calculated in a manner consistent with “retirement benefi t schemes – transfer values gn11” published by the institute of actuaries 
and the faculty of actuaries
4  the transfer value of benefi ts in the us plans is represented by the accumulated benefi t obligation calculated on the accounting assumptions used for the group’s postretirement 
benefi ts disclosures
table 1b – non executive directors’ remuneration
 short term benefi ts
stated in us’000
1
year fees
other cash based 
benefi ts
2
non monetary 
benefi ts
3
total 
remuneration
4
currency of 
actual payment
chairman
jan du plessis 2009 808 – 37 845 £
 200853––53£
non executive directors
sir david clementi 2009 172 9 – 181 £
 200819672205£
vivienne cox 2009 133 9 – 142 £
 2008158721186£
sir rod eddington 2009 143 29 – 172 a
 20081552411190a
michael fitzpatrick 2009 162 29 – 191 a
 2008175242201a
yves fortier 2009 133 22 – 155 £
 20081582637221£
richard goodmanson 2009 157 13 6 176 £
 20081862615227£
andrew gould 2009 200 – – 200 £
 200823111–242£
lord kerr 2009 168 9 – 177 £
 20082001154265£
jim leng 2009 37 – 13 50 £
david mayhew 2009 197 – – 197 £
 2008158726191£
paul skinner 2009 584 14 82 680 £
 20081310311971538£
paul tellier 2009 149 22 – 171 £
 20081772241240£
notes to table 1b
1 the total remuneration is reported in us dollars the amounts can be converted into sterling at the rate of us1  £06389 or alternatively into australian dollars at the rate of 
us1  a12637 each being the average exchange rate for 2009 the 2009 fi gures reported in this table are less than the 2008 fi gures due to exchange rate variation 
2 the ‘other cash based benefi ts’ for non executive directors comprise overseas meeting allowances the values of car and fuel allowances are included for paul skinner
3 ‘non monetary benefi ts’ include for jim leng the cost of accompanied travel in 2009 for richard goodmanson it includes the value of professional advice received for paul skinner 
and jan du plessis it includes the value of company provided transport and medical insurance premiums the value of a retirement gift is also included for paul skinner rio tinto plc 
provides accident cover for non executive directors the total premium paid in 2009 was us6418 
4 represents short term benefi ts total required under the uk companies act 2006 and total remuneration under australian corporations act 2001 and applicable accounting standards
remuneration report continued  w w w riotint oc om 119
governance
financial 
statements
shareholder
information
table 3 – directors’ and executives’ benefi cial interests in rio tinto shares
  rio tinto plc  rio tinto limited   movements
 
1 jan
 2009
1
31 dec
 2009
2
18 feb
 2010
2
1 jan
 2009
1
31 dec
 2009
2
18 feb
 2010
2
exercise of 
options
3
compensation
4
other
5
directors
tom albanese 
6 7
57176 129438 129438 –– – – 32433 39829
sir david clementi 454 1024 1024 –– – – – 570
vivienne cox 826 2912 2912 –– – – – 2086
jan du plessis – 30000 30000 –– – – – 30000
sir rod eddington –– – –– ––––
guy elliott 
7
60771 95099 95113 –– – 1431 193 32718
dick evans – 40000 na –– – – – 40000
michael fitzpatrick –– – 2100 6252 6252 – – 4152
yves fortier – 2697 2697 –– – – – 2697
richard goodmanson 2307 4990 4990 –– – – – 2683
andrew gould
7
1077 1642 1642 –– – – – 565
lord kerr 3000 12000 12000 –– – – – 9000
jim leng – – na – – – – – –
david mayhew 2500 3812 3812 –– – – – 1312
paul skinner 5795 9920 na –– – – – 4125
paul tellier – 10396 10396 –– – – – 10396
sam walsh –– – 43033 66950 66950 601 – 23316
executives
hugo bague 
7
5950 16296 16296 –– – – 7195 3151
preston chiaro 
6
64849 79776 79810 –– – 207507 – 192546
bret clayton 
6
8502 18927 22078 –– – 197 7441 5938
jacynthe côté –– – –– ––––
andrew harding –– – 5184 5184 5184 – – –
harry kenyonslaney 15802 15818 15832 –– – – 6633 6603
keith johnson 25330 25346 na –– – – 16 –
doug ritchie –– – 6825 6825 7280 455 – –
grant thorne –– – 7213 25016 na 22560 8883 13640
debra valentine –– – –– ––––
notes to table 3
1 or date of appointment if later
2 or date of retirement or resignation or at date no longer a kmp if earlier
3 shares obtained through the exercise of options under the rio tinto share savings plan or the rio tinto share option plan the number of shares retained may differ from the number 
of options exercised
4 shares obtained through the rio tinto share ownership plan and  or vesting of awards under the mining companies comparative plan or management share plan 
5 share movements due to sale or purchase of shares shares received under the dividend reinvestment plan shares purchased  sold through the rio tinto america savings plan or 
non executive directors share purchase plan
6 the shareholdings of tom albanese preston chiaro and bret clayton include rio tinto plc adrs held through the rio tinto america savings plan
7 the balances at 31 december 2008 for the following individuals were understated in the 2008 remuneration report tom albanese by 97 rio tinto plc shares hugo bague by 50 
rio tinto plc shares guy elliott by 52 rio tinto plc shares and andrew gould by 77 rio tinto plc shares
table 2 – directors’ pension entitlements as at 31 december 2009 continued
defi ned contribution pensions
company contributions
 age years of service completed year to 31 dec 2008 us’000 year to 31 dec 2009 us’000
uk director
dick evans
5
62 2 338 342
 a’000 a’000
australian director
sam walsh 60 18 54 59
notes to table 2
5  dick evans became a director of rio tinto plc and rio tinto limited with effect from 25 october 2007 and has a uk unfunded defi ned contribution benefi t he also participated 
in the alcan employee savings plan he ceased to be an executive director on 20 april 2009 and retired on 31 december 2009 governance
120 rio tinto 2009 annual report
remuneration report continued
table 4a – executives with awards under long term incentive plans 2009
 
conditional 
award 
granted
market 
price at 
award 1 jan 2009
1
awarded
rights issue 
adjustment 
or top up 
jul09
lapsed 
cancelled vested
31 dec 
2009
2
performance 
period 
concludes
date of 
vesting
market price 
at vesting
monetary 
value of 
vested 
award 
us’000
rio tinto plc bonus deferral plan
tom albanese
9
17mar09 £1982 – 23361 4917 – – 28278 30dec11
hugo bague
10
 17mar09£1982 – 1917 403 – – 232030dec10
17mar09 £1982 – 1917 404 – – 2321 30dec11
17mar09 £1982 – 2248 473 – – 2721 30dec10
 17mar09£1982–2249473––272230dec11
preston chiaro
9
17mar09 £1982 – 15764 3318 – – 19082 30dec11
bret clayton
9
17mar09 £1982 – 4320 909 – – 5229 30dec11
jacynthe côté
10
 
disclosure 
from 1209
17mar09 £1982 – 3183 670 – – 3853 30dec10
17mar09 £1982 – 3183 670 – – 3853 30dec11
17mar09 £1982 – 3708 780 – – 4488 30dec10
 17mar09£1982–3709781––449030dec11
guy elliott
9
17mar09 £1982 – 15402 3242 – – 18644 30dec11
dick evans
9
disclosure
to 20409
17mar09 £1982 – 19925––– 19925 30dec11
harry kenyonslaney
10
 
disclosure
from 11109
17mar09 £1982 2396 – – – – 2396 30dec10
17mar09 £1982 2396 – – – – 2396 30dec11
17mar09 £1982 1888 – – – – 1888 30dec10
 17mar09£19821888––––188830dec11
debra valentine
10
17mar09 £1982 – 2630 553 – – 3183 30dec10
17mar09 £1982 – 2630 554 – – 3184 30dec11
17mar09 £1982 – 2562 539 – – 3101 30dec10
 17mar09£1982–2563539––310230dec11
rio tinto limited bonus deferral plan
andrew harding
10
 
disclosure
from 11109
17mar09 a5201 1112–––– 1112 30dec10
17mar09 a5201 1113–––– 1113 30dec11
9jul09 a4760 234–––– 234 30dec10
9jul09 a4760 234–––– 234 30dec11
17mar09 a5201 1486–––– 1486 30dec10
17mar09 a5201 1486–––– 1486 30dec11
9jul09 a4760 312–––– 312 30dec10
 9jul09a4760313–––– 313 30dec11
doug ritchie
10
disclosure
from 11109
17mar09 a5201 1368 – – – – 1368 30dec10
17mar09 a5201 1368 – – – – 1368 30dec11
9jul09 a4760 287 – – – – 287 30dec10
9jul09 a4760 288 – – – – 288 30dec11
17mar09 a5201 1800 – – – – 1800 30dec10
17mar09 a5201 1801 – – – – 1801 30dec11
9jul09 a4760 379 – – – – 379 30dec10
 9jul09a4760379––––37930dec11
grant thorne
10
 
disclosure
to 311009
17mar09 a5201 – 2591 – – – 2591 30dec10
17mar09 a5201 – 2592 – – – 2592 30dec11
9jul09 a4760 – – 545 – – 545 30dec10
9jul09 a4760 – – 546 – – 546 30dec11
17mar09 a5201 – 2320––– 2320 30dec10
17mar09 a5201 – 2320––– 2320 30dec11
9jul09 a4760 – – 488 – – 488 30dec10
 9jul09a4760––488––48830dec11
sam walsh
9
17mar09 a5201 – 19022––– 19022 30dec11
 9jul09a4760––4004––400430dec11  w w w riotint oc om 121
governance
financial 
statements
shareholder
information
table 4a – executives with awards under long term incentive plans 2009 continued
 
conditional 
award 
granted
market 
price at 
award 1 jan 2009
1
awarded
rights issue 
adjustment 
or top up 
jul09
lapsed 
cancelled vested
31 dec 
2009
2
performance 
period 
concludes
date of 
vesting
market 
price at 
vesting
monetary 
value of 
vested 
award 
us’000
rio tinto plc mining companies comparative plan
tom albanese 7mar06 £2630 45007 – 9473 – – 54480 31dec09
13mar07 £2681 44124 – 9288 – – 53412 31dec10
10mar08 £5258 49040 – 10322 – – 59362 31dec11
 17mar09£1982–396698350––4801931dec12
hugo bague 13mar07 £2681 6035 – 1270 – – 7305 31dec10
 10mar08£525811672–2456––1412831dec11
preston chiaro 7mar06 £2630 34182 – 7195 – – 41377 31dec09
13mar07 £2681 25679 – 5405 – – 31084 31dec10
10mar08 £5258 19569 – 4119 – – 23688 31dec11
 17mar09£1982–172693635––2090431dec12
bret clayton 7mar06 £2630 10767 – 2266 – – 13033 31dec09
13mar07 £2681 22566 – 4750 – – 27316 31dec10
10mar08 £5258 18894 – 3977 – – 22871 31dec11
 17mar09£1982–166733509––2018231dec12
jacynthe côté 
disclosure 
from 1209
10mar08 £5258 18422 – 3877 – – 22299 31dec11
17mar09 £1982 – 19651 4136 – – 23787 31dec12
guy elliott 7mar06 £2630 40670 – 8561 – – 49231 31dec09
13mar07 £2681 30837 – 6491 – – 37328 31dec10
10mar08 £5258 25552 – 5378 – – 30930 31dec11
 17mar09£1982–295286215––3574331dec12
dick evans 10mar08 £5258 40489 – – – – 40489 31dec11
disclosure 
to  20409
17mar09 £1982 – 35729––– 35729 31dec12
keith johnson 
disclosure 
to 1209
7mar06 £2630 26508 – – – – 26508 31dec09
13mar07 £2681 19805 – – – – 19805 31dec10
10mar08 £5258 15887 – – – – 15887 31dec11
harry kenyonslaney
disclosure 
from 11109 
7mar06 £2630 6028 – – – – 6028 31dec09
13mar07 £2681 8514 – – – – 8514 31dec10
10mar08 £5258 7210 – – – – 7210 31dec11
debra valentine 10mar08 £5258 11539 – 2428 – – 13967 31dec11
rio tinto limited mining companies comparative plan
andrew harding 
disclosure 
from 11109
7mar06 a6960 5253 – – – – 5253 31dec09
9jul09 a4760 1105 – – – – 1105 31dec09
13mar07 a7450 3777 – – – – 3777 31dec10
9jul09 a4760 795 – – – – 795 31dec10
10mar08 a12648 6485 – – – – 6485 31dec11
 9jul09a47601365––––136531dec11
doug ritchie
disclosure 
from 11109
7mar06 a6960 7308 – – – – 7308 31dec09
9jul09 a4760 1538 – – – – 1538 31dec09
13mar07 a7450 10200 – – – – 10200 31dec10
9jul09 a4760 2147 – – – – 2147 31dec10
10mar08 a12648 8691 – – – – 8691 31dec11
 9jul09a47601829––––182931dec11
grant thorne 
disclosure 
to 311009
7mar06 a6960 14568 – – – – 14568 31dec09
9jul09 a4760 – – 3066 – – 3066 31dec09
13mar07 a7450 13037 – – – – 13037 31dec10
9jul09 a4760 – – 2744 – – 2744 31dec10
10mar08 a12648 16658 – – – – 16658 31dec11
  9jul09 a4760 – – 3506 – – 3506 31dec11
sam walsh 7mar06 a6960 33655 – – – – 33655 31dec09
9jul09 a4760 – – 7084 – – 7084 31dec09
13mar07 a7450 25103 – – – – 25103 31dec10
9jul09 a4760 – – 5284 – – 5284 31dec10
10mar08 a12648 21366 – – – – 21366 31dec11
9jul09 a4760 – – 4497 – – 4497 31dec11
17mar09 a5201 – 26670––– 26670 31dec12
  9jul09 a4760 – – 5614 – – 5614 31dec12 governance
122 rio tinto 2009 annual report
remuneration report continued
table 4a – executives with awards under long term incentive plans 2009 continued
 
conditional 
award 
granted
market 
price at 
award 1 jan 2009
1
awarded
rights issue 
adjustment 
or top up 
jul09
lapsed 
cancelled vested
31 dec 
2009
2
performance 
period 
concludes
date of 
vesting
market 
price at 
vesting
monetary 
value of 
vested 
award 
us’000
rio tinto plc management share plan
hugo bague 9sep07 £3594 10000 – 2105 – 12105 – 31jul09 1aug09 £2610 495
10mar08 £5258 1509 – 317 – – 1826 31dec10
 17mar09£1982–138532916––1676931dec11
jacynthe côté 10mar08 £5258 6028 – 1268 – – 7296 25oct10
disclosure 
from 1209
17mar09 
17mar09
£1982 
£1982
–
–
4513
4513
949
950
–
–
–
–
5462
5463
1feb10
1feb11
harry kenyonslaney
disclosure 
from 11109
13mar07 £2681 3026 – – – – 3026 31dec09
10mar08 £5258 932 – – – – 932 31dec10
17mar09 £1982 7403 – – – – 7403 31dec11
debra valentine 10mar08 £5258 1504 – 316 – – 1820 31dec10
10mar08 £5258 5000 – 1052 – – 6052 15jan11
10mar08 £5258 5000 – 1053 – – 6053 15jan12
 17mar09£1982–157853322––1910731dec11
rio tinto limited management share plan
andrew harding
disclosure 
from 11109
13mar07 a7450 1250 – – – – 1250 31dec09
9jul09 a4760 263 – – – – 263 31dec09
10mar08 a12648 837 – – – – 837 31dec10
9jul09 a4760 176 – – – – 176 31dec10
17mar09 a5201 8490 – – – – 8490 31dec11
 9jul09a47601787––––178731dec11
doug ritchie
disclosure 
from 11109
13mar07 a7450 2750 – – – – 2750 31dec09
9jul09 a4760 578 – – – – 578 31dec09
10mar08 a12648 1252 – – – – 1252 31dec10
9jul09 a4760 263 – – – – 263 31dec10
17mar09 a5201 8572 – – – – 8572 31dec11
9jul09 a4760 1804 – – – – 1804 31dec11
 14sep09a58059879––––987931dec11
grant thorne
disclosure 
to 311009
13mar07 a7450 2750 – – – – 2750 31dec09
9jul09 a4760 – – 578 – – 578 31dec09
10mar08 a12648 2056 – – – – 2056 31dec10
9jul09 a4760 – – 432 – – 432 31dec10
17mar09 a5201 – 14293 – – – 14293 31dec11
 9jul09a4760––3008––300831dec11
notes to tables 4a and 4b
1 or at date of appointment if later balance as at 1 january 2009 relates to awards granted for service prior to being designated a kmp for remuneration report disclosure purposes
2 or at date of resignation or at date no longer a kmp if earlier
3  awards denominated in pounds sterling were for rio tinto plc ordinary shares of 10p each and awards denominated in australian dollars were for rio tinto limited shares
4  the weighted fair value per share of conditional awards granted in 2009 was as follows  bonus deferral plan was £1732 adjusted for rights issue for rio tinto plc and a4175 
adjusted for rights issue for rio tinto limited mining companies comparative plan was £1356 adjusted for rights issue for rio tinto plc and a3274 adjusted for rights issue 
for rio tinto limited management share plan was £1732 march 2009 grant as adjusted for rights issue and £2617 september 2009 grant for rio tinto plc and a4177 
march 2009 grant as adjusted for rights issue and a5915 september 2009 grant for rio tinto limited
5 conditional awards are awarded at no cost to the recipient and no amount remains unpaid on any shares granted
6  where an election was made prior to 18 february 2010 the transaction value is shown based on share prices being the respective closing prices for rio tinto plc and rio tinto limited 
shares otherwise the value of  vested awards has been based on share prices of £3441 and a7210 respectively being the closing prices for rio tinto plc and rio tinto limited shares on 
18 february 2010 the latest practicable date prior to the publication of this report
7  the amount in us dollars has been converted from sterling at the rate of £1  us15652 and australian dollars at the rate of a1  us07913 being the average exchange rate for 2009
used elsewhere in the annual report
8  for information on the rights issue please see “other remuneration disclosures” in the remuneration report
9  100 per cent of the 2008 bonus under stip was deferred into rio tinto shares
10  50 per cent of the 2008 bonus under stip was deferred into rio tinto shares which vests equally in 2010 and 2011 in addition a company contribution award was made which 
vests equally in 2010 and 2011  w w w riotint oc om 123
governance
financial 
statements
shareholder
information
table 4b – executives with awards under long term incentive plans 2010
 
conditional 
award granted
market 
price at award 1 jan 2010
1
lapsed 
cancelled
dividend 
shares 
entitlement vested 18 feb 2010
2
date of 
vesting
market 
price at 
vesting
monetary 
value of 
vested 
award 
us’000
rio tinto plc bonus deferral plan
tom albanese
9
17mar09 £1982 28278 – – – 28278
hugo bague
10
17mar09 £1982 2320 – – – 2320
17mar09 £1982 2321 – – – 2321
17mar09 £1982 2721 – – – 2721
 17mar09£19822722–––2722
preston chiaro
9
17mar09 £1982 19082 – – – 19082
bret clayton
9
17mar09 £1982 5229 – – – 5229
jacynthe côté
10
17mar09 £1982 3853 – – – 3853
17mar09 £1982 3853 – – – 3853
17mar09 £1982 4488 – – – 4488
 17mar09£19824490–––4490
guy elliott
9
17mar09 £1982 18644 – – – 18644
harry kenyonslaney
10
17mar09 £1982 2396 – – – 2396
17mar09 £1982 2396 – – – 2396
17mar09 £1982 1888 – – – 1888
 17mar09£19821888–––1888
debra valentine
10
17mar09 £1982 3183 – – – 3183
17mar09 £1982 3184 – – – 3184
17mar09 £1982 3101 – – – 3101
 17mar09£19823102–––3102
rio tinto limited bonus deferral plan
andrew harding
10
17mar09 a5201 1112 – – – 1112
17mar09 a5201 1113 – – – 1113
9jul09 a4760 234 – – – 234
9jul09 a4760 234 – – – 234
17mar09 a5201 1486 – – – 1486
17mar09 a5201 1486 – – – 1486
9jul09 a4760 312 – – – 312
 9jul09a4760313–––313
doug ritchie
10
17mar09 a5201 1368 – – – 1368
17mar09 a5201 1368 – – – 1368
9jul09 a4760 287 – – – 287
9jul09 a4760 288 – – – 288
17mar09 a5201 1800 – – – 1800
17mar09 a5201 1801 – – – 1801
9jul09 a4760 379 – – – 379
 9jul09a4760379–––379
sam walsh
9
17mar09 a5201 19022 – – – 19022
 9jul09a47604004–––4004 governance
124 rio tinto 2009 annual report
remuneration report continued
table 4b – executives with awards under long term incentive plans 2010 continued
 
conditional 
award granted
market 
price at award 1 jan 2010
1
lapsed 
cancelled
dividend 
shares 
entitlement vested 18 feb 2010
2
date of vesting
market price at 
vesting
monetary 
value of 
vested 
award 
us’000
rio tinto plc mining companies comparative plan
tom albanese 7mar06 £2630 54480 32906 – 21574 – 18feb10 £3441 1162
13mar07 £2681 53412 – – – 53412
10mar08 £5258 59362 – – – 59362
 17mar09£198248019–––48019
hugo bague 13mar07 £2681 7305 – – – 7305
 10mar08£525814128–––14128
preston chiaro 7mar06 £2630 41377 24992 – 16385 – 18feb10 £3441 882
13mar07 £2681 31084 – – – 31084
10mar08 £5258 23688 – – – 23688
 17mar09£198220904–––20904
bret clayton 7mar06 £2630 13033 5592 – 7441 – 15feb10 £3275 381
13mar07 £2681 27316 – – – 27316
10mar08 £5258 22871 – – – 22871
 17mar09£198220182–––20182
jacynthe côté 10mar08 £5258 22299 – – – 22299
  17mar09 £1982 23787 – – – 23787
guy elliott 7mar06 £2630 49231 29736 – 19495 – 18feb10 £3441 1050
13mar07 £2681 37328 – – – 37328
10mar08 £5258 30930 – – – 30930
 17mar09£198235743–––35743
harry kenyonslaney 7mar06 £2630 6028 2587 – 3441 – 18feb10 £3441 185
 13mar07£26818514–––8514
 10mar08£52587210–––7210
debra valentine 10mar08 £5258 13967 – – – 13967
rio tinto limited mining companies comparative plan
andrew harding 7mar06 a6960 5253 2254 – 2999 – 18feb10 a7210 171
9jul09 a4760 1105 475 – 630 – 18feb10 a7210 36
13mar07 a7450 3777 – – – 3777
9jul09 a4760 795 – – – 795
10mar08 a12648 6485 – – – 6485
 9jul09a47601365–––1365
doug ritchie 7mar06 a6960 7308 3136 – 4172 – 18feb10 a7210 238
9jul09 a4760 1538 660 – 878 – 18feb10 a7210 50
13mar07 a7450 10200 – – – 10200
9jul09 a4760 2147 – – – 2147
10mar08 a12648 8691 – – – 8691
 9jul09a47601829–––1829
sam walsh 7mar06 a6960 33655 20328 – 13327 – 18feb10 a7210 720
9jul09 a4760 7084 4279 – 2805 – 18feb10 a7210 160
13mar07 a7450 25103 – – – 25103
9jul09 a4760 5284 – – – 5284
10mar08 a12648 21366 – – – 21366
9jul09 a4760 4497 – – – 4497
 17mar09a520126670–––26670
 9jul09a47605614–––5614  w w w riotint oc om 125
governance
financial 
statements
shareholder
information
table 4b – executives with awards under long term incentive plans 2010
 
conditional 
award granted
market 
price at 
award 1 jan 2010
1
lapsed 
cancelled
dividend 
shares 
entitlement vested 18 feb 2010
2
date of 
vesting
market 
price at 
vesting
monetary 
value of 
vested 
award 
us’000
rio tinto plc management share plan
hugo bague 10mar08 £5258 1826 – – – 1826
 17mar09£198216769–––16769
jacynthe côté 10mar08 £5258 7296 – – – 7296
 17mar09£19825462––5462–18feb10£3441294
 17mar09£19825463–––5463
harry kenyonslaney 13mar07 £2681 3026 – 136 3162 – 18feb10 £3441 170
10mar08 £5258 932 – – – 932
 17mar09£19827403–––7403
debra valentine 10mar08 £5258 1820 – – – 1820
10mar08 £5258 6052 – – – 6052
10mar08 £5258 6053 – – – 6053
  17mar09 £1982 19107 – – – 19107
rio tinto limited management share plan
andrew harding 13mar07 a7450 1250 – 70 1320 – 18feb10 a7210 75
9jul09 a4760 263 – – 263 – 18feb10 a7210 15
10mar08 a12648 837 – – – 837
9jul09 a4760 176 – – – 176
17mar09 a5201 8490 – – – 8490
 9jul09a47601787–––1787
doug ritchie 13mar07 a7450 2750 – 154 2904 – 18feb10 a7210 166
9jul09 a4760 578 – – 578 – 18feb10 a7210 33
10mar08 a12648 1252 – – – 1252
9jul09 a4760 263 – – – 263
17mar09 a5201 8572 – – – 8572
9jul09 a4760 1804 – – – 1804
 14sep09a58059879 9879 governance
126 rio tinto 2009 annual report
remuneration report continued
table 5 – executives holding options to acquire rio tinto plc and rio tinto limited shares
 date of grant 1 jan 2009
1
granted
vested during 
2009 exercised
lapsed 
cancelled
rights issue 
adjustment 
jul09
rio tinto plc share savings plan
tom albanese 6oct06 791 –––– 166
hugo bague 17oct08 238 –––– 50
 20oct09–84––––
preston chiaro 6oct06 298 – 298 298 – –
 17oct08304 –––– 63
bret clayton 5oct07 163 –––– 34
guy elliott 7oct03 1431 – 1431 1431 – –
 17oct08520 –––– 109
keith johnson disclosure to 1209 6oct06 456 –––––
harry kenyonslaney disclosure from 11109
  
5oct07 280 –––––
20oct09 434 –––––
debra valentine 17oct08 304 –––– 63
rio tinto plc share option plan
tom albanese 6mar01 102718 –––– 21622
13mar02 125336 –––– 26383
7mar03 139165 –––– 29294
22apr04 84020 – 84020 – – 17686
9mar05 83926 –––– 17666
7mar06 67511 – 67511 – – 14211
13mar07 66186 –––– 13931
10mar08 73561 –––– 15484
 17mar09–59504–––12525
hugo bague 9sep07 8835 –––– 1858
 17mar09–12982–––2732
preston chiaro 7mar03 37160 –––– 7822
22apr04 70490 – 70490 – – 14838
9mar05 63527 – – – – 13372
7mar06 51274 – 51274 – – 10793
13mar07 38519 – – – – 8108
10mar08 29354 – – – – 6179
 17mar09–25903–––5452
bret clayton 22apr04 13315 – 13315 – – 2802
9mar05 11539 – – – – 2428
7mar06 10767 – 10767 – – 2266
13mar07 33850 – – – – 7125
10mar08 28342 – – – – 5965
 17mar09–25010–––5264
jacynthe côté disclosure from 1209 17mar09 – 29476 – – – 6204
guy elliott 13mar02 61703 – – – – 12988
7mar03 97387 – – – – 20499
22apr04 73700 – 73700 – – 15513
9mar05 72972 – – – – 15360
7mar06 58100 – 58100 – – 12230
13mar07 44052 – – – – 9272
10mar08 36503 – – – – 7683
 17mar09–44292–––9323
dick evans disclosure to 20409
 
10mar08 60733 – – – – –
17mar09 – 53594 – – – –
keith johnson disclosure to 1209 22apr04 43500 – – – – –
9mar05 47937 – – – – –
7mar06 37869 – – – – –
13mar07 28294 – – – – –
 10mar0822696–––––
harry kenyonslaney disclosure from 11109
 
13mar07 9103 – – – – –
17mar09 6938 – – – – –
debra valentine 17mar09 – 11201 – – – 2357  w w w riotint oc om 127
governance
financial 
statements
shareholder
information
 
vested and 
exercisable on 
31 dec 2009
2
31 dec 2009
2
pre 
rights issue 
option price
post 
rights issue 
option price
value of 
options 
exercised 
during 2009
7
market price 
on date of 
exercise
date from 
which fi rst 
exercisable expiry date
rio tinto plc share savings plan
tom albanese – 957 £2068 £17084 – – 1jan12 1jul12
hugo bague – 288 £3217 £26576 – – 1jan12 1jul12
 –84na£21480––1jan131jul13
preston chiaro – – £2088 na £105492 £1734 1jan09 7jan09
 –367£2050£16935––1jan1117jan11
bret clayton – 197 £3557 £29385 – – 1jan10 6jan10
guy elliott – – £1107 na £1111887 £1884 1jan09 1jul09
 –629£3217£26576––1jan141jul14
keith johnson disclosure to 1209 – 456 £2068 na – – 1aug09 1feb10
harry kenyonslaney disclosure from 11109
 
– 280 na £23850 – – 1jan13 1jul13
– 434 na £21480 – – 1jan15 1jul15
debra valentine – 367 £2050 £16935 – – 1jan11 18jan11
rio tinto plc share option plan
tom albanese 124340 124340 £12656 £10455 – – 6mar05 6mar11
151719 151719 £14586 £12050 – – 13mar05 13mar12
168459 168459 £12630 £10434 – – 7mar06 7mar13
101706 101706 £13290 £10979 – – 22apr09 22apr14
101592 101592 £18262 £15086 – – 9mar08 9mar15
81722 81722 £27112 £22397 – – 7mar09 7mar16
– 80117 £27012 £22315 – – 13mar10 13mar17
– 89045 £57232 £47280 – – 10mar11 10mar18
 –72029£20010£16530––17mar1217mar19
hugo bague – 10693 £34506 £28506 – – 9sep10 9sep17
 –15714£20010£16530––17mar1217mar19
preston chiaro 44982 44982 £12630 £10434 – – 7mar06 7mar13
85328 85328 £13290 £10979 – – 22apr09 22apr14
76899 76899 £18262 £15086 – – 9mar08 9mar15
62067 62067 £27112 £22397 – – 7mar09 7mar16
– 46627 £27012 £22315 – – 13mar10 13mar17
– 35533 £57232 £47280 – – 10mar11 10mar18
 –31355£20010£16530––17mar1217mar19
bret clayton 16117 16117 £13290 £10979 – – 22apr09 22apr14
13967 13967 £18262 £15086 – – 9mar08 9mar15
13033 13033 £27112 £22397 – – 7mar09 7mar16
– 40975 £27012 £22315 – – 13mar10 13mar17
– 34307 £57232 £47280 – – 10mar11 10mar18
 –30274£20010£16530––17mar1217mar19
jacynthe côté disclosure from 1209 – 35680 £20010 £16530 – – 17mar12 17mar19
guy elliott 74691 74691 £14586 £12050 – – 13mar05 13mar12
117886 117886 £12630 £10434 – – 7mar06 7mar13
89213 89213 £13290 £10979 – – 22apr09 22apr14
88332 88332 £18262 £15086 – – 9mar08 9mar15
70330 70330 £27112 £22397 – – 7mar09 7mar16
– 53324 £27012 £22315 – – 13mar10 13mar17
– 44186 £57232 £47280 – – 10mar11 10mar18
 –53615£20010£16530––17mar1217mar19
dick evans disclosure to 20409
 
– 60733 £57232 na – – 10mar11 10mar18
– 53594 £20010 na 17mar12 17mar19
keith johnson disclosure to 1209 – 43500 £13290 na – – 22apr09 31jul10
47937 47937 £18262 na – – 9mar08 31jul10
– 37869 £27112 na – – 7mar09 31jul10
– 28294 £27012 na – – 13mar10 13mar11
 –22696£57232na––10mar1110mar12
harry kenyonslaney disclosure from 11109
 
– 9103 na £22315 – – 13mar10 13mar17
– 6938 na £16530 – – 17mar12 17mar19
debra valentine – 13558 £20010 £16530 – – 17mar12 17mar19 governance
128 rio tinto 2009 annual report
remuneration report continued
table 5 – executives holding options to acquire rio tinto plc and rio tinto limited shares continued
 date of grant 1 jan 2009
1
granted
vested during 
2009 exercised
lapsed 
cancelled
rights issue 
adjustment 
jul09
rio tinto limited share savings plan
andrew harding disclosure from 11109
 
6oct06 455 –––– na
20oct09 723 –––– na
doug ritchie disclosure from 11109
 
6oct06 455 –––– na
20oct09 422 –––– na
grant thorne disclosure to 311009 05oct07 567 –––– na
sam walsh 7oct05 601 – 601 601 – na
17oct08 505 –––– na
 20oct09–125––– na
rio tinto limited share option plan
andrew harding disclosure from 11109 13mar02 2 894 –––– na
7mar03 9383 –––– na
22apr04 1526 –––– na
9mar05 2275 –––– na
7mar06 5253 –––– na
13mar07 3777 –––– na
 17mar096268 –––– na
doug ritchie disclosure from 11109 7mar06 7308 –––– na
13mar07 10200 –––– na
 17mar098230 –––– na
grant thorne disclosure to 311009 13mar02 939 – – 939 – na
7mar03 11159 – – 11159 – na
22apr04 10462 – 10462 10462 – na
9mar05 10665 –––– na
7mar06 14568 – 14568 – – na
13mar07 13037 –––– na
 17mar09–13724–––na
sam walsh 22apr04 54400 – 54400 – – na
9mar05 58823 –––– na
7mar06 48079 – 48079 – – na
13mar07 35861 –––– na
10mar08 30523 –––– na
 17mar09–40005–––na
notes to table 5
1 or at date of appointment if later balance as at 1 january 2009 relates to awards granted for service prior to being designated a kmp for remuneration report disclosure purposes
2 or at date of resignation or at date no longer a kmp if earlier
3  all options granted over ordinary shares rio tinto plc – ordinary shares of 10p each stated in sterling rio tinto limited shares – stated in australian dollars  each option is granted 
over one share
4  the closing price of rio tinto plc ordinary shares at 31 december 2009 was £3390 2008 £1490 and the closing price of rio tinto limited shares at 31 december 2009 was a7489 
2008 a13350  the adjusted high and low prices during 2009 of rio tinto plc and rio tinto limited shares were £3420 and £1140 and a7489 and a2938 respectively
5  the option prices represents the exercise price payable on the options no amounts are unpaid on any shares allocated on the exercise of options
6  the weighted fair value per option granted in 2009 was as follows rio tinto plc share savings plan two year contract £796 three year contract £970 four year contract £930 and fi ve year 
contract £928 rio tinto limited share savings plan three year contract a2109 and fi ve year contract a2063  rio tinto plc share option plan £547 march 2009 grant as adjusted for the 
rights issue and £829 september 2009 grant rio tinto limited share option plan a1336 march 2009 grant as adjusted for the rights issue
7  the value of options exercised during 2009 is calculated by multiplying the number of options exercised by the difference between the market price and the option price on date of exercise
8 no options lapsed for failure to satisfy a performance condition
9 for information on the rights issue please see “other remuneration disclosures” on page 113  w w w riotint oc om 129
governance
financial 
statements
shareholder
information
 
vested and 
exercisable on 
31 dec 2009
2
31 dec 2009
2
pre 
rights issue  
option price
post 
rights issue 
option price
value of options 
exercised during 
2009
7
market price 
on date of 
exercise
date from 
which fi rst 
exercisable expiry date
rio tinto limited share savings plan
andrew harding disclosure from 11109
 
– 455 a5680 a40691 – – 1jan10 1jul10
– 723 na a48730 – – 1jan15 1jul15
doug ritchie disclosure from 11109
 
– 455 a5680 a40691 – – 1jan10 1jul10
– 422 na a4873 – – 1jan15 1jul15
grant thorne disclosure to 311009 – 567 na a63161 – – 1jan13 1jul13
sam walsh – – a4092 na a380433 a4725 1jan09 1jul09
– 505 a8219 a66081 – – 1jan14 1jul14
 –125naa4873––1jan151jul15
rio tinto limited share option plan
andrew harding disclosure from 11109 2894 2894 na a23762 – – 13mar05 13mar12
9383 9383 na a17227 – – 7mar06 7mar13
1526 1526 na a18297 – – 22apr09 22apr14
2275 2275 na a30933 – – 9mar08 9mar15
5253 5253 na a54951 – – 7mar09 7mar16
– 3777 na a58479 – – 13mar10 13mar17
 –6268naa33451––17mar1217mar19
doug ritchie disclosure from 11109 7308 7308 na a54951 – – 7mar09 7mar16
– 10200 na a58479 – – 13mar10 13mar17
 –8230naa33451––17mar1217mar19
grant thorne disclosure to 311009 – – a398708 a23762 a3330445 a5923 13mar05 13mar12
– – a333360 a17227 a46871148 a5923 7mar06 7mar13
– – a344060 a18297 a42824105 a5923 22apr09 22apr14
10665 10665 a470420 a30933 – – 9mar08 9mar15
14568 14568 a710600 a54951 – – 7mar09 7mar16
– 13037 a745880 a58479 – – 13mar10 13mar17
 –13724a495600a33451––17mar1217mar19
 sam walsh 54400 54400 a344060 a18297 – – 22apr09 22apr14
58823 58823 a470420 a30933 – – 9mar08 9mar15
48079 48079 a710600 a54951 – – 7mar09 7mar16
– 35861 a745880 a58479 – – 13mar10 13mar17
– 30523 a1341760 a118067 – – 10mar11 10mar18
 –40005a495600a33451––17mar1217mar19
  2009 financial statements 
130 rio tinto 2009 annual report 
financial statements 
contents  
  
primary financial statements page 
group income statement 131 
group statement of comprehensive income 132 
group cash flow statement 133 
group statement of financial position 134 
group statement of changes in equity 135 
reconciliation with australian ifrs 136 
outline of dual listed companies structure and basis  
of financial statements 
136 
 
notes to the 2009 financial statements 
 
note 1 – principal accounting policies 137 
  
group income statement  
note 2 – reconciliation of net earnings to underlying earnings 155 
note 3 – net operating costs 156 
note 4 – employment costs 156 
note 5 – impairment charges 157 
note 6 – share of profit after tax of equity accounted units 157 
note 7 – interest receivable and payable 157 
note 8 – tax on profit 158 
note 9 – earningsloss per ordinary share 159 
note 10 – dividends 160 
  
group statement of financial position  
note 11 – goodwill 160 
note 12 – intangible assets 162 
note 13 – property plant and equipment 163 
note 14 – investments in equity accounted units 164 
note 15 – net debt of equity accounted units 165 
note 16 – inventories 165 
note 17 – trade and other receivables 166 
note 18 – deferred taxation 167 
note 19 – assets held for sale 168 
note 20 – other financial assets 168 
note 21 – cash and cash equivalents 168 
note 22 – borrowings 169 
note 23 – capitalised finance leases 170 
note 24 – consolidated net debt 170 
note 25 – trade and other payables 171 
note 26 – other financial liabilities 171 
note 27 – provisions not including taxation 172 
  
capital and reserves  
note 28 – share capital – rio tinto plc 173 
note 29 – share capital – rio tinto limited 173 
note 30 – other reserves and retained earnings 174 
 
  
  
additional disclosures page 
note 31 – operating segments  176 
note 32 – operating segments – additional information 179 
note 33 – financial risk management 180 
note 34 – financial instruments 185 
note 35 – contingent liabilities and commitments 192 
note 36 – average number of employees 193 
note 37 – principal subsidiaries 194 
note 38 – principal jointly controlled entities 195 
note 39 – principal associates 196 
note 40 – principal jointly controlled assets and other  
 proportionally consolidated units 
196 
note 41 – purchases and sales of subsidiaries joint ventures 
 associates and other interests in businesses 
197 
note 42 – directors’ and key management remuneration 198 
note 43 – auditors’ remuneration 199 
note 44 – related party transactions 200 
note 45 – exchange rates in us 200 
note 46 – rights issues 201 
note 47 – bougainville copper limited ‘bcl’ 201 
note 48 – events after the statement of financial position date 201 
note 49 – share based payments 202 
note 50 – post retirement benefits 208 
note 51 – rio tinto limited balance sheet 213 
note 52 – rio tinto limited balance sheet disclosures 214 
note 53 – rio tinto limited income statement 215 
note 54 – rio tinto limited cash flow statement 215 
  
rio tinto plc 216 
  
rio tinto financial information by business unit 219 
  
australian corporations act – summary of asic relief 222 
  
directors declaration 223 
  
auditors independence declaration 224 
  
independent auditors report to the members of rio tinto plc 
and rio tinto limited 
225 
  
financial summary 20002009 227 
  
summary financial data 229 
  
   group income statement 
years ended 31 december 
 wwwriotintocom 131
shareholder 
information 
financial
statements
 note 
2009 
usm 
2008 
usm 
gross sales revenue including share of equity accounted units 
a
  44036 58065 
    
continuing operations    
consolidated sales revenue  41825 54264 
net operating costs excluding items shown separately 3 33818 37641
impairment charges 5 1573 8015
profits on disposal of interests in businesses 41 692 2231 
exploration and evaluation costs 12 514 1134
profits on disposal of interests in undeveloped projects 
b
 12 894 489 
operating profit  7506 10194 
share of profit after tax of equity accounted units 6 786 1039 
profit before finance items and taxation  8292 11233 
    
finance items    
net exchange gainslosses on external debt and intragroup balances 24 365 176
net gainslosses on derivatives not qualifying for hedge accounting  261 173
interest receivable and similar income 7 120 204 
interest payable and similar charges 7 929 1618
amortisation of discount   249 292
  432 2055
profit before taxation  7860 9178 
taxation 8 2076 3742
profit from continuing operations  5784 5436 
discontinued operations    
loss after tax from discontinued operations 19 449 827
profit for the year  5335 4609 
– attributable to outside equity shareholders  463 933 
– attributable to equity shareholders of rio tinto net earnings  4872 3676 
    
basic earningsloss per share 
c
 2008 restated    
profit from continuing operations  9 3017c 2868c 
loss from discontinued operations 9 255c 527c
profit for the year 9 2762c 2341c 
diluted earningsloss per share 
c
 2008 restated    
profit from continuing operations 9 3007c 2855c 
loss from discontinued operations  9 254c 524c
profit for the year 9 2753c 2331c 
a  gross sales revenue includes the sales revenue of equity accounted units of us3197 million 2008 us3801 million in addition to consolidated sales revenue after adjusting for intrasubsidiaryequity 
accounted units sales consolidated revenue includes subsidiary sales to equity accounted units which are not included in gross sales revenue  
b  profits arising on the disposal of interests in undeveloped projects are stated net of charges of nil 2008 us156 million related to such projects  
c the rights issues were at a discount to the then market price accordingly earnings per share for all periods up to the date on which the shares were issued have been adjusted for the bonus element of the 
issues the 2008 comparatives have been restated accordingly see note 46 for other information relating to the rights issues  
the notes on pages 137 to 212 are an integral part of these consolidated financial statements   group statement of comprehensive income 
years ended 31 december 
 132 rio tinto 2009 annual report 
financial statements 
 
 2009 2008 
 
attributable to 
shareholders of 
rio tinto 
usm 
outside 
interests 
usm 
total 
usm 
attributable to 
shareholders of 
rio tinto  
usm 
outside  
interests  
usm 
total 
usm 
profit after tax for the year   4872  463 5335 3676  933  4609 
other comprehensive income       
currency translation adjustment 3732 429 4161 4383 411 4794
currency translation on companies disposed  
of transferred to the income statement 13 – 13 2 – 2
cash flow hedge fair value lossesgains       
– cash flow hedge fair value lossesgains 206 107 313 28  6  34 
– cash flow hedge losses transferred to the 
income statement 16 34 50 245  107  352 
– cash flow hedge gains on companies disposed 
of transferred to the income statement 4 1 5 – – – 
gainslosses on revaluation of available for 
sale securities 357 1 358 173 1 174
gains on revaluation of available for sale 
securities transferred to the income statement 3 – 3 1 – 1
actuarial lossesgains on post retirement 
benefit plans note 30 847 3 844 1294 20 1314
share of other comprehensive income 
expense of equity accounted units 368 – 368 283 – 283
tax relating to components of other 
comprehensive income note 8 297 24 321 280  36 244 
other comprehensive incomeexpense  
for the year net of tax 3697 383 4080 5583 355 5938
total comprehensive incomeexpense 
for the year 8569 846 9415 1907 578  1329
the notes on pages 137 to 212 are an integral part of these consolidated financial statements   group cash flow statement 
years ended 31 december 
 wwwriotintocom 133
shareholder 
information 
financial
statements
 note 
2009 
usm 
2008 
usm 
cash flow from consolidated operations 
a
  13224 19195 
dividends from equity accounted units  610 1473 
cash flows from operations  13834 20668 
    
net interest paid  1136 1538
dividends paid to outside shareholders of subsidiaries  410 348
tax paid  3076 3899
net cash generated from operating activities  9212 14883 
    
cash flow from investing activities    
cash inflow from disposalsacquisitions of subsidiaries joint ventures  associates 41 2028 2563 
purchase of property plant and equipment and intangible assets  5388 8574
sales of financial assets  253 171 
purchases of financial assets  44 288
other funding of equity accounted units  265 334
other investing cash flows  59 281 
cash used in investing activities  3357 6181
    
cash flow before financing activities  5855 8702 
    
cash flow from financing activities    
equity dividends paid to rio tinto shareholders  876 1933
proceeds from issue of ordinary shares in rio tinto  14877 23 
proceeds from additional borrowings  5775 4697 
repayment of borrowings  22195 12667
finance lease repayments  25 10
receipt from close out of interest rate swaps  – 710 
other financing cash flows  19 72 
cash used in financing activities  2463 9108
effects of exchange rates on cash and cash equivalents  284 101
net increasedecrease in cash and cash equivalents  3108 507
opening cash and cash equivalents less overdrafts  1034 1541 
closing cash and cash equivalents less overdrafts 21 4142 1034 
    
a cash flow from consolidated operations    
profit from continuing operations  5784 5436 
adjustments for    
taxation 8 2076 3742 
finance items  432 2055 
share of profit after tax of equity accounted units 6 786 1039
profit on disposal of interests in businesses 41 692 2231
impairment charges 5 1573 8015 
depreciation and amortisation  3427 3475 
provisions including exchange lossesgains on provisions 27 930 265 
utilisation of provisions 27 363 464
utilisation of provision for post retirement benefits 27 470 448
change in inventories  653 1178
change in trade and other receivables  908 658 
change in trade and other payables  570 951 
other items  322 42
  13224 19195 
the notes on pages 137 to 212 are an integral part of these consolidated financial statements   group statement of financial position 
at 31 december 
 134 rio tinto 2009 annual report 
financial statements 
 note 
2009  
usm 
2008 
usm 
non current assets   
goodwill 11 14268  14296 
intangible assets 12 5730  6285 
property plant and equipment 13 45803  41753 
investments in equity accounted units 14 6735  5053 
loans to equity accounted units  170  264 
inventories 16 284  166 
trade and other receivables 17 1375  1111 
deferred tax assets 18 2231  1367 
tax recoverable  85  220 
other financial assets 20 841  666 
  77522  71181 
current assets    
inventories 16 4889  5607 
trade and other receivables 17 4447  5401 
loans to equity accounted units  168  251 
tax recoverable  501  406 
other financial assets 20 694  264 
cash and cash equivalents 21 4233  1181 
  14932  13110 
assets of disposal groups held for sale  19 4782  5325 
total assets  97236  89616 
current liabilities   
bank overdrafts repayable on demand 21 91 147
borrowings 22 756 9887
trade and other payables 25 5759 7197
other financial liabilities 26 412 480
tax payable  1329 1442
provisions 27 1182 826
  9529 19979
non current liabilities   
borrowings 22 22155 29724
trade and other payables 25 591 452
other financial liabilities 26 601 268
tax payable  299 450
deferred tax liabilities 18 4304 4054
provision for post retirement benefits 27 4993 3601
other provisions 27 7519 6506
  40462 45055
liabilities of disposal groups held for sale  19 1320 2121
total liabilities  51311 67155
net assets  45925  22461 
capital and reserves   
share capital  – rio tinto plc 28 246  160 
 – rio tinto limited excluding rio tinto plc interest 29 4924  961 
share premium account 
a
  4174  4705 
other reserves 30 14010  2322
retained earnings 30 20477  17134 
equity attributable to rio tinto shareholders 30 43831  20638 
attributable to outside equity shareholders 
a
  2094  1823 
total equity  45925  22461 
a refer to statement of changes in equity 
the notes on pages 137 to 212 are an integral part of these consolidated financial statements  
the financial statements on pages 131 to 224 were approved by the directors of rio tinto plc and rio tinto limited on 5 march 2010 and signed 
on their behalf by 
   
jan du plessis chairman tom albanese chief executive guy elliott chief financial officer  group statement of changes in equity 
years ended  
 wwwriotintocom 135
shareholder 
information 
financial
statements
31 december 2009 attributable to shareholders of rio tinto 
 
share capital 
notes 28 and 29  
usm 
share   
premium
a
usm   
retained 
earnings
note 30 
usm 
other reserves
note 30 
usm 
total  
usm 
outside 
interests 
usm 
total equity 
usm 
opening balance 1121  4705 17134 2322 20638   1823  22461 
total comprehensive income 
for the year 
b
 –  –  4168  4401  8569   846  9415 
currency translation arising 
from rio tinto limited’s  
share capital 
c
  710  – – –  710  –  710 
dividends  – –  876 –  876  410 1286
own shares purchased from  
rio tinto shareholders to 
satisfy share options – –  17 35 52 –  52
ordinary shares issued  3339   531 3  11936  14747  –  14747 
shares issued to outside 
interests – – – – –  53  53 
subsidiaries now equity 
accounted – – – – –  218 218
employee share options and 
other ifrs 2 charges taken  
to the income statement – –  65  30  95  –  95 
closing balance  5170   4174  20477  14010  43831   2094  45925 
a  charges to share premium in 2009 include underwriting fees and other fees for the rio tinto plc rights issue together with the marktomarket losses from inception to receipt of proceeds on forward 
contracts taken out by rio tinto plc to provide confidence in the absolute dollar proceeds of the rights issue 
b refer to statement of comprehensive income 
c refer to note 1 d 
 
31 december 2008 attributable to shareholders of rio tinto 
 
share capital 
notes 28 and 29 
usm 
share 
premium
 
 usm 
retained 
earnings
note 30 
usm 
other reserves
note 30 
usm 
total  
usm 
outside 
interests 
usm 
total equity 
usm 
opening balance  1391   1932  19033  2416  24772   1521  26293 
total comprehensive 
incomeexpense for  
the year 
b
 – –  2742  4649 1907  578  1329
currency translation arising 
from rio tinto limited’s  
share capital 
c 
  258 – – –  258 –  258
dividends  – –  1933 –  1933  348 2281
own shares purchased from  
rio tinto shareholders to 
satisfy share options – – –  128 128 –  128
ordinary shares issued –  6  25 –  31  –  31 
own shares purchased  
and cancelled  12  2767  2767 12 – – – 
shares issued to outside 
interests – – – – –  72  72 
employee share options taken 
to the income statement – –  34  27  61  –  61 
closing balance  1121   4705  17134  2322 20638   1823  22461 
the notes on pages 137 to 212 are an integral part of these consolidated financial statements   reconciliation with australian ifrs 
 136 rio tinto 2009 annual report 
financial statements 
the group’s financial statements have been prepared in accordance with ifrs as adopted by the european union ‘eu ifrs’ which differs in 
certain respects from the version of ifrs that is applicable in australia ‘australian ifrs’ 
prior to 1 january 2004 the group’s financial statements were prepared in accordance with uk gaap under eu ifrs goodwill on acquisitions 
prior to 1998 which was eliminated directly against equity in the group’s uk gaap financial statements has not been reinstated this was 
permitted under the rules governing the transition to eu ifrs set out in ifrs 1 the equivalent australian standard aasb 1 does not provide for 
the netting of goodwill against equity as a consequence shareholders’ funds under australian ifrs include the residue of such goodwill which 
amounted to us597 million at 31 december 2009 2008 us752 million 
save for the exception described above the group’s financial statements drawn up in accordance with eu ifrs are consistent with the 
requirements of australian ifrs 
outline of dual listed companies structure and basis of 
financial statements 
the rio tinto group  
these are the financial statements of the rio tinto group the ‘group’ formed through the merger of economic interests ‘merger’ of  
rio tinto plc and rio tinto limited and presented by both rio tinto plc and rio tinto limited as their consolidated accounts in accordance  
with both united kingdom and australian legislation and regulations 
merger terms 
on 21 december 1995 rio tinto plc and rio tinto limited which are listed respectively on stock exchanges in the united kingdom and 
australia entered into a dual listed companies ‘dlc’ merger this was effected by contractual arrangements between the companies and 
amendments to rio tinto plc’s memorandum and articles of association and rio tinto limited’s constitution as a result rio tinto plc and  
rio tinto limited and their respective groups operate together as a single economic enterprise with neither assuming a dominant role  
in particular the arrangements 
• confer upon the shareholders of rio tinto plc and rio tinto limited a common economic interest in both groups 
• provide for common boards of directors and a unified management structure 
• provide for equalised dividends and capital distributions and  
• provide for the shareholders of rio tinto plc and rio tinto limited to take key decisions including the election of directors through an 
electoral procedure in which the public shareholders of the two companies effectively vote on a joint basis  
the merger involved no change in the legal ownership of any assets of rio tinto plc or rio tinto limited nor any change in the ownership of  
any existing shares or securities of rio tinto plc or rio tinto limited nor the issue of any shares securities or payment by way of consideration 
save for the issue by each company of one special voting share to a trustee company which provides the joint electoral procedure for public 
shareholders during 2002 each of the parent companies issued a dlc dividend share to facilitate the efficient management of funds within  
the dlc structure 
accounting standards 
the financial statements have been drawn up in accordance with international financial reporting standards as adopted by the european union 
‘eu ifrs’ the merger of economic interests of rio tinto plc and rio tinto limited was accounted for as a merger under uk gaap as permitted 
under the rules governing the transition to eu ifrs which are set out in ifrs 1 the group did not restate business combinations that occurred 
before the transition date of 1 january 2004 as a result the dlc merger of economic interests described above continues to be accounted for as  
a merger under eu ifrs 
the main consequence of adopting merger rather than acquisition accounting is that the statement of financial position of the merged group 
includes the assets and liabilities of rio tinto plc and rio tinto limited at their carrying values prior to the merger subject to adjustments to 
achieve uniformity of accounting policies rather than at their fair values at the date of the merger for accounting purposes rio tinto plc and  
rio tinto limited are viewed as a single public parent company with their respective public shareholders being the shareholders in that single 
company as a result the amounts attributable to both rio tinto plc and rio tinto limited public shareholders are included in the amounts 
attributed to equity shareholders on the statement of financial position income statement and statement of comprehensive income  
australian corporations act 
the financial statements are drawn up in accordance with an order under section 340 of the australian corporations act 2001 issued by the 
australian securities and investments commission ‘asic’ on 27 january 2006 as amended on 22 december 2006 the main provisions of the 
order are that the financial statements are 
• to be made out in accordance with ifrs as adopted by the european union ‘eu ifrs’ and  
• to include a reconciliation from eu ifrs to the australian equivalents of ifrs see above 
for further details of the asic class order relief see page 222 
  notes to the 2009 financial statements 
 
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financial
statements
1  principal accounting policies 
corporate information 
the financial statements of the group were authorised for issue in accordance with a directors’ resolution on 5 march 2010 rio tinto plc and  
rio tinto limited are listed and incorporated respectively on stock exchanges in the united kingdom and australia rio tinto plc‘s registered 
office is at 2 eastbourne terrace london w2 6lg united kingdom rio tinto limited‘s registered office is at 120 collins street melbourne 
australia 3000  
rio tinto‘s business is finding mining and processing mineral resources major products are aluminium copper diamonds coal uranium gold 
industrial minerals borax titanium dioxide salt talc and iron ore activities span the world but are strongly represented in australia and north 
america with significant businesses in south america asia europe and africa  
basis of preparation 
the basis of preparation and accounting policies used in preparing the financial statements for the year ended 31 december 2009 are set  
out below 
the financial statements for the year ended 31 december 2009 have been prepared in accordance with international financial reporting 
standards both as adopted by the eu ‘eu ifrs‘ and as issued by the international accounting standards board ‘ifrs‘ interpretations issued 
from time to time by the international financial reporting interpretations committee ‘ifric’ adopted by the european union that are 
mandatory for year ended 31 december 2009 the companies act 2006 applicable to companies reporting under ifrs and in accordance with 
applicable united kingdom law applicable australian law as amended by the australian securities and investments commission order dated  
27 january 2006 as amended on 22 december 2006 and article 4 of the european union ias regulation  
the eu ifrs financial information has been drawn up on the basis of accounting policies consistent with those applied in the financial 
statements for the year to 31 december 2008 except for the following 
• ifrs 8 operating segments 
• ifrs 7 financial instruments – disclosures amendment  
• ias 1 presentation of financial statements revised  
• ifrs 2 amendment share based payment – vesting conditions and cancellations  
• amendment to ias 32 financial instruments presentation and ias 1 presentation of financial statements puttable financial instruments  
and obligations arising on liquidation 
• amendment to ias 39 – eligible hedged items  
• amendment to ias 39 and ifrs 7 – reclassification of financial assets  
• amendment to ifric 9 and ias 39 on embedded derivatives  
• improvements to ifrs 2008 – to the extent mandatory in 2009 this standard collates many minor changes to ifrs the amendments most 
relevant to the group relate to the classification of derivatives which are not hedges by maturity rather than as short term and the imputation 
of interest on government grants 
• ifric 12 service concession arrangements 
• ifric 13 customer loyalty programmes 
• ifric 15 agreements for construction of real estate  
• ifric 16 hedges of a net investment in a foreign operation  
• ifric 18 transfers of assets from customers 
the effect of adopting the above standards and interpretations is not material to group earnings or to shareholders’ funds in the current or prior 
year therefore prior year information has not been restated ifrs 7 ifrs 8 and ias 1 revised relate to disclosure only prior year information 
has been reclassified to conform with the current presentation the reclassifications do not affect prior year statements of financial position 
in addition the group has early adopted amendment to ias 32 classification of rights issues the amendment permits rights issues to existing 
shareholders which allow those shareholders to receive a fixed number of shares at a fixed price in a currency other than the entity’s functional 
currency to be classed as equity transactions provided the offer is pro rata to all shareholders prior to the amendment such an offer was treated 
as giving rise to a derivative liability as a consequence the us827 million gain in the income statement which arose at the half year under the 
previous accounting rules has been removed with a corresponding credit to equity  
the group has not applied the following pronouncements those which are expected to be most relevant to the group are ifrs 3 and  
ias 27 revised 
• ias 1 amendment presentation of financial statements – mandatory for year 2010 
• ias 27 revised consolidated and separate financial statements – mandatory for year 2010 the standard requires the effects of all increases 
or decreases in the ownership of subsidiaries to be recorded in equity if there is no change in control they will therefore no longer result  
in goodwill or gains and losses the standard also specifies the accounting when control is lost any remaining interest in the company is  
remeasured to fair value and a gain or loss is recognised in profit or loss  
• ias 38 amendment intangible assets – mandatory for year 2010  notes to the financial statements continued 
 
 138 rio tinto 2009 annual report 
financial statements 
1  principal accounting policies continued  
• ifrs 3 amendment business combinations – mandatory for business combinations after 1 january 2010 under the revised standard  
all payments to purchase a business are to be recorded at fair value at the acquisition date with contingent payments classified as debt 
subsequently remeasured through the income statement all acquisition related costs should be expensed when a business is acquired  
in which the group previously held a noncontrolling stake or the group increases its stake in a business which it does not control the 
existing stake is remeasured to fair value at the date of acquisition any difference between fair value and carrying value is taken to the 
income statement 
• ifrs 5 amendment noncurrent assets held for sale and discontinued operations – mandatory for year 2010 
• eligible hedged items an amendment to ias 39 financial instruments recognition and measurement – mandatory for year 2010 
• ifric 17 non cash distributions to owners – mandatory for year 2010 
standards and interpretations not yet endorsed by the european union  
• ifrs 2 share based payment – group cash settled share based payment transactions – mandatory for year 2010  
• improvements to ifrs 2009 – mandatory for year 2010 this standard collates further minor changes to ifrs 
• amendment to ifric 14 ias 19 – prepayments of a minimum funding requirement – mandatory for year 2011 
• amendment to ias 24 related party disclosures – mandatory for year 2011 
• ifric 19 extinguishing financial liabilities with equity instruments – mandatory for year 2011 
• ifrs 9 financial instruments – mandatory for year 2013 
the group is evaluating the impact of the above pronouncements the above changes are not expected to be material to the group’s earnings or 
to shareholders’ funds 
judgements in applying accounting policies and key sources of estimation uncertainty 
many of the amounts included in the financial statements involve the use of judgement andor estimation these judgements and estimates are 
based on management’s best knowledge of the relevant facts and circumstances having regard to previous experience but actual results may 
differ from the amounts included in the financial statements information about such judgements and estimation is contained in the accounting 
policies andor the notes to the financial statements and the key areas are summarised below 
areas of judgement that have the most significant effect on the amounts recognised in the financial statements are 
• merger accounting for the 1995 merger of the economic interests of rio tinto plc and rio tinto limited into the dual listed companies ‘dlc’ 
structure page 136 
• review of asset carrying values and impairment charges and reversals note 1e and i note 5 and note 11 
• estimation of asset lives note 1 e and i 
• determination of ore reserve estimates – note 1j 
• close down restoration and clean up obligations – note 1k 
• deferral of stripping costs – note 1h 
• recognition of deferred tax on mineral rights recognised in acquisitions – note 1m 
• capitalisation of exploration and evaluation costs – note 1f  
• identification of functional currencies – note 1d 
• the definition of underlying earnings – note 2 
• acquisitions – note 1b 
key sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and 
liabilities within the next financial year are 
• review of asset carrying values and impairment charges and reversals note 1e and i note 5 and note 11 
• estimation of close down and restoration costs and the timing of expenditure – note 1k and note 27 
• estimation of environmental clean up costs and the timing of expenditure – note 1k and note 27 
• estimation of liabilities for post retirement costs – note 50 
• recoverability of potential deferred tax assets – note 1 m and note 18 d 
• contingencies – note 35 
these areas of judgement and estimation are discussed further on page 149 
a accounting convention 
the financial information included in the financial statements for the year ended 31 december 2009 and for the related comparative period  
has been prepared under the historical cost convention as modified by the revaluation of certain derivative contracts financial assets and post 
retirement assets and liabilities the group’s policy in respect of these items is set out in the notes below  
b basis of consolidation 
the financial statements consist of the consolidation of the accounts of rio tinto plc and rio tinto limited together ‘the companies’ and their 
respective subsidiaries together ‘the group’ 
all intragroup balances transactions income and expenses and profits or losses including unrealised profits arising from intragroup 
transactions have been eliminated on consolidation unrealised losses are eliminated in the same way as unrealised gains except that they  
are only eliminated to the extent that there is no evidence of impairment   
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statements
subsidiaries subsidiaries are entities over which the companies have the power to govern the financial and operating policies in order to obtain 
benefits from their activities control is presumed to exist where the companies own more than one half of the voting rights which does not 
always equate to percentage ownership unless it can be demonstrated that ownership does not constitute control control does not exist where 
other parties hold veto rights over significant operating and financial decisions in assessing control potential voting rights that are currently 
exercisable or convertible are taken into account the consolidated financial statements include all the assets liabilities revenues expenses and 
cash flows of the companies and their subsidiaries after eliminating intragroup transactions as noted above  
for partly owned subsidiaries the allocation of net assets and net earnings to outside shareholders is shown in the line ‘amounts attributable  
to outside equity shareholders’ on the face of the group statement of financial position and group income statement  
associates an associate is an entity that is neither a subsidiary nor a joint venture over whose operating and financial policies the group 
exercises significant influence significant influence is presumed to exist where the group has between 20 per cent and 50 per cent of the voting 
rights but can also arise where the group holds less than 20 per cent if it has the power to be actively involved and influential in policy decisions 
affecting the entity the group’s share of the net assets post tax results and reserves of associates are included in the financial statements using 
the equity accounting method this involves recording the investment initially at cost to the group which therefore includes any goodwill on 
acquisition and then in subsequent periods adjusting the carrying amount of the investment to reflect the group’s share of the associate’s 
results less any impairment of goodwill and any other changes to the associate’s net assets such as dividends unrealised gains on transactions 
between the group and its associates are eliminated to the extent of the group’s interest in the associates  
joint ventures a joint venture is a contractual arrangement whereby two or more parties undertake an economic activity that is subject to joint 
control joint control is the contractually agreed sharing of control such that significant operating and financial decisions require the unanimous 
consent of the parties sharing control in some situations joint control exists even though the group has an ownership interest of more than  
50 per cent because of the veto rights held by joint venture partners the group has two types of joint ventures 
jointly controlled entities ‘jces’ a jce is a joint venture that involves the establishment of a corporation partnership or other entity in which  
each venturer has a long term interest jces are accounted for using the equity accounting method in addition for both associates and jointly 
controlled entities the carrying value will include any long term debt interests that in substance form part of the group’s net investment 
jointly controlled assets ‘jcas’ a jca is a joint venture in which the venturers have joint control over the assets contributed to or acquired for the 
purposes of the joint venture jcas do not involve the establishment of a corporation partnership or other entity this includes situations where 
the participants derive benefit from the joint activity through a share of the production rather than by receiving a share of the results of trading 
the group’s proportionate interest in the assets liabilities revenues expenses and cash flows of jcas are incorporated into the group’s financial 
statements under the appropriate headings 
the group uses the term ‘equity accounted units’ to refer to associates and jointly controlled entities collectively 
where necessary adjustments are made to the results of subsidiaries joint ventures and associates to bring their accounting policies into line 
with those used by the group 
acquisitions 
on the acquisition of a subsidiary the purchase method of accounting is used whereby the purchase consideration is allocated to the identifiable 
assets liabilities and contingent liabilities identifiable net assets of the subsidiary on the basis of fair value at the date of acquisition provisional 
fair values allocated at a reporting date are finalised within twelve months of the acquisition date  
when part or all of the amount of purchase consideration is contingent on future events the cost of the acquisition initially recorded includes a 
reasonable estimate of the fair value of the contingent amounts expected to be payable in the future the cost of the acquisition is adjusted when 
revised estimates are made with corresponding adjustments made to goodwill until the ultimate outcome is known 
the results of businesses acquired during the year are brought into the consolidated financial statements from the date on which control joint 
control or significant influence commences and taken out of the financial statements from the date on which control joint control or significant 
influence ceases 
disposals  
individual non current assets or ‘disposal groups’ ie groups of assets and liabilities to be disposed of by sale or otherwise in a single transaction 
are classified as ‘held for sale’ if the following criteria are met  
• the carrying amount will be recovered principally through a sale transaction rather than through continuing use and 
• the disposal group is available for immediate sale in its present condition subject only to terms that are usual and customary for such  
sales and  
• the sale is highly probable  
disposal groups held for sale are carried at the lower of their carrying amount and fair value less costs to sell and are presented separately on the 
face of the statement of financial position with the related assets and liabilities being presented as a single asset and a single liability respectively 
comparative statement of financial position information is not restated disposal groups acquired with a view to resale are held at fair value 
determined at the acquisition date and no profits or losses are recognised between acquisition date and disposal date  notes to the financial statements continued 
 
 140 rio tinto 2009 annual report 
financial statements 
1  principal accounting policies continued 
disposals continued  
for a disposal group held for sale that continues to be carried at its carrying amount the profit on disposal calculated as net sales proceeds less 
the carrying amount is recognised in the income statement in the period during which control passes to the buyer where the fair value less 
costs to sell of a disposal group is lower than the carrying amount at the time of classification as held for sale the resulting charge is recognised 
in the income statement in that period on classification as held for sale the assets are no longer depreciated when the fair value less costs to 
sell of a disposal group falls below the carrying amount during the period in which it is classified as held for sale the charge is included in the 
income statement at that time  
if the disposal group or groups represent a separate major line of business or geographical area of operations or are part of a single coordinated 
plan to dispose of a separate major line of business or geographical area of operations or are subsidiaries acquired exclusively with a view to 
resale they are classified as discontinued operations the net results attributable to such discontinued operations are shown separately and 
comparative figures in the income and cash flow statements are restated 
the group accounts for transactions with outside equity shareholders using the ‘parent company’ model under this model acquisitions  
of an outside equity shareholders’ interest will generally give rise to additional goodwill and a disposal will give rise to a profit or loss in the 
income statement  
c sales revenue 
sales revenue comprises sales to third parties at invoiced amounts with most sales being priced ex works free on board fob or cost insurance 
and freight cif amounts billed to customers in respect of shipping and handling are classed as sales revenue where the group is responsible 
for carriage insurance and freight all shipping and handling costs incurred by the group are recognised as operating costs if the group is acting 
solely as an agent amounts billed to customers are offset against the relevant costs revenue from services is recognised as services are rendered 
and accepted by the customer 
sales revenue excludes any applicable sales taxes mining royalties are presented as an operating cost or where they are in substance a profit 
based tax within taxes gross sales revenue disclosed as part of the income statement includes the group’s share of the sales revenue of equity 
accounted units to avoid duplication this excludes sales by jointly controlled entities to third parties of products purchased from the group and 
sales by jointly controlled entities of products to the group for onward sale to third parties it also excludes charges by jointly controlled entities 
to the group coproduct revenues are included in sales revenue 
a large proportion of group production is sold under medium to long term contracts but sales revenue is only recognised on individual sales 
when persuasive evidence exists that all of the following criteria are met 
• the significant risks and rewards of ownership of the product have been transferred to the buyer  
• neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold has 
been retained 
• the amount of revenue can be measured reliably 
• it is probable that the economic benefits associated with the sale will flow to the group and 
• the costs incurred or to be incurred in respect of the sale can be measured reliably 
these conditions are generally satisfied when title passes to the customer in most instances sales revenue is recognised when the product  
is delivered to the destination specified by the customer which is typically the vessel on which it will be shipped the destination port or the 
customer’s premises 
sales revenue is commonly subject to adjustment based on an inspection of the product by the customer in such cases sales revenue is initially 
recognised on a provisional basis using the group’s best estimate of contained metal and adjusted subsequently  
certain products are ‘provisionally priced’ ie the selling price is subject to final adjustment at the end of a period normally ranging from 30 to 
180 days after delivery to the customer based on the market price at the relevant quotation point stipulated in the contract 
as is customary in the industry revenue on provisionally priced sales is recognised based on estimates of the fair value of the consideration 
receivable based on forward market prices at each reporting date provisionally priced metal is marked to market based on the forward selling 
price for the quotational period stipulated in the contract for this purpose the selling price can be measured reliably for those products such as 
copper for which there exists an active and freely traded commodity market such as the london metals exchange and the value of product sold 
by the group is directly linked to the form in which it is traded on that market  
the marking to market of provisionally priced sales contracts is recorded as an adjustment to sales revenue information on provisionally priced 
sales contracts is included in note 33  
certain other of the group’s products such as iron ore are sold under long term contracts at a benchmark price which is agreed annually  
where the benchmark price has not been finally agreed at the end of an accounting period revenue is estimated based on the best available 
information having reference to the terms of the contractual agreement and where appropriate to sales with other customers   
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d currency translation 
the functional currency for each entity in the group and for jointly controlled entities and associates is the currency of the primary economic 
environment in which it operates for many entities this is the currency of the country in which they operate transactions denominated in 
other currencies are converted to the functional currency at the exchange rate ruling at the date of the transaction unless hedge accounting 
applies in which case the contract rate is used generally this applies when derivatives or embedded derivatives are designated as cashflow 
hedges of the group’s sales the group’s accounting policies for derivative financial instruments and hedge accounting are explained in more 
detail in note p iii below monetary assets and liabilities denominated in foreign currencies are retranslated at year end exchange rates 
the us dollar is the currency in which the group’s financial statements are presented as it most reliably reflects the global business  
performance of the group as a whole 
on consolidation income statement items are translated from the functional currency into us dollars at average rates of exchange statement  
of financial position items are translated into us dollars at year end exchange rates exchange differences on the translation of the net assets  
of entities with functional currencies other than the us dollar and any offsetting exchange differences on net debt hedging those net assets  
are recognised directly in the foreign currency translation reserve via the statement of comprehensive income net of translation adjustments 
relating to rio tinto limited’s share capital 
exchange gains and losses which arise on balances between group entities are taken to the foreign currency translation reserve where the 
intragroup balance is in substance part of the group’s net investment in the entity  
the balance of the foreign currency translation reserve relating to an operation that is disposed of is transferred to the income statement  
at the time of the disposal 
the group finances its operations primarily in us dollars but part of the group’s us dollar debt is located in subsidiaries having functional 
currencies other than the us dollar except as noted above exchange gains and losses relating to such us dollar debt are charged or credited  
to the group’s income statement in the year in which they arise this means that the impact of financing in us dollars on the group’s income 
statement is dependent on the functional currency of the particular subsidiary where the debt is located 
exchange differences arising on closure provisions are capitalised at operating mines except as noted above or in note p below relating  
to derivative contracts all other exchange differences are charged or credited to the income statement in the year in which they arise 
e goodwill and intangible assets excluding exploration and evaluation expenditure 
goodwill represents the difference between the cost of acquisition and the fair value of the identifiable assets liabilities and contingent liabilities 
acquired goodwill is initially determined based on provisional fair values fair values are finalised within 12 months of the acquisition date 
goodwill on acquisition of subsidiaries is separately disclosed and goodwill on acquisitions of associates and jces is included within investments 
in equity accounted units for non wholly owned subsidiaries interests attributable to outside equity shareholders are initially recorded based  
on the proportion of the fair values of the identifiable assets and liabilities and contingent liabilities recognised at acquisition attributable  
to outside equity shareholders where the group’s interest in the net fair value of the acquired company’s identifiable assets liabilities and 
contingent liabilities exceeds costs the values assigned are reassessed any excess after that reassessment is recognised immediately in the 
income statement 
in 1997 and previous years goodwill was eliminated against reserves in the year of acquisition as a matter of accounting policy as was then 
permitted under uk gaap such goodwill was not reinstated under subsequent uk accounting standards or on transition to ifrs  
goodwill is not amortised rather it is tested annually for impairment goodwill is allocated to the cash generating unit or group of cash 
generating units expected to benefit from the related business combination for the purposes of impairment testing which is carried out in 
accordance with accounting policy note 1i goodwill impairments cannot be reversed investments in equity accounted units are tested for 
impairment as a single asset goodwill included in the group’s investment in equity accounted units is not tested on an annual basis therefore 
but only as part of the group’s overall testing for impairment when a trigger for impairment has been identified  
intangible assets acquired as part of an acquisition of a business are capitalised separately from goodwill if the asset is separable or arises from 
contractual or legal rights and the fair value can be measured reliably on initial recognition  
purchased intangible assets are initially recorded at cost and finite life intangible assets are amortised over their useful economic lives on a 
straight line or units of production basis as appropriate intangible assets having indefinite lives and intangible assets that are not yet ready  
for use are not amortised and are reviewed annually for impairment in accordance with accounting policy note 1i  
intangible assets are considered to have indefinite lives when based on an analysis of all of the relevant factors there is no foreseeable limit to 
the period over which the asset is expected to generate cash flows for the group the factors considered in making this determination include the 
existence of contractual rights for unlimited terms or evidence that renewal of the contractual rights without significant incremental cost can be 
expected for indefinite periods into the future in view of the group’s future investment intentions the life cycles of the products and processes 
that depend on the asset are also considered 
where amortisation is calculated on a straight line basis the following useful lives have been determined for classes of intangible assets 
trademark patented and non patented technology 
trademarks 14 to 20 years  
patented and non patented technology 10 to 20 years   notes to the financial statements continued 
 
 142 rio tinto 2009 annual report 
financial statements 
1  principal accounting policies continued 
other intangible assets 
internally generated intangible assets and computer software 2 to 5 years 
other intangible assets 2 to 20 years 
contract based intangible assets 
power contracts 2 to 39 years  
other purchase and customer contracts 5 to 15 years 
f exploration and evaluation 
exploration and evaluation expenditure comprises costs that are directly attributable to  
• researching and analysing existing exploration data 
• conducting geological studies exploratory drilling and sampling 
• examining and testing extraction and treatment methods andor 
• compiling prefeasibility and feasibility studies 
exploration expenditure relates to the initial search for deposits with economic potential evaluation expenditure arises from a detailed 
assessment of deposits or other projects that have been identified as having economic potential  
expenditure on exploration activity is not capitalised  
capitalisation of evaluation expenditure commences when there is a high degree of confidence in the project’s viability and hence it is probable 
that future economic benefits will flow to the group 
the carrying values of capitalised evaluation amounts are reviewed twice per annum by management and the results of these reviews are 
reported to the audit committee in the case of undeveloped projects there may be only inferred resources to form a basis for the impairment 
review the review is based on a status report regarding the group’s intentions for development of the undeveloped project in some cases the 
undeveloped projects are regarded as successors to ore bodies smelters or refineries currently in production where this is the case it is intended 
that these will be developed and go into production when the current source of ore is exhausted or to replace the reduced output which results 
where existing smelters andor refineries are closed it is often the case that technological and other improvements will allow successor smelters 
andor refineries to more than replace the capacity of their predecessors  
subsequent recovery of the resulting carrying value depends on successful development or sale of the undeveloped project if a project does not 
prove viable all irrecoverable costs associated with the project net of any related impairment provisions are written off 
g property plant and equipment 
property plant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses the cost of property plant 
and equipment comprises its purchase price any costs directly attributable to bringing the asset to the location and condition necessary for it to 
be capable of operating in the manner intended by management and the estimated close down and restoration costs associated with the asset 
once a mining project has been established as commercially viable expenditure other than that on land buildings plant and equipment is 
capitalised under ‘mining properties and leases’ together with any amount transferred from ‘exploration and evaluation’ 
in open pit mining operations it is necessary to remove overburden and other waste materials to access ore from which minerals can be 
extracted economically the process of mining overburden and waste materials is referred to as stripping during the development of a mine  
or pit before production commences stripping costs are capitalised as part of the investment in construction of the mine  
costs associated with commissioning new assets in the period before they are capable of operating in the manner intended by management are 
capitalised development costs incurred after the commencement of production are capitalised to the extent they are expected to give rise to a 
future economic benefit interest on borrowings related to construction or development projects is capitalised until the point when substantially 
all the activities that are necessary to make the asset ready for its intended use are complete 
h deferred stripping 
as noted above stripping costs incurred in the development of a mine or pit before production commences are capitalised as part of the cost  
of constructing the mine or pit and subsequently amortised over the life of the mine or pit on a units of production basis 
where a mine operates several open pits that are regarded as separate operations for the purpose of mine planning stripping costs are  
accounted for separately by reference to the ore from each separate pit if however the pits are highly integrated for the purpose of mine 
planning the second and subsequent pits are regarded as extensions of the first pit in accounting for stripping costs in such cases the initial 
stripping ie overburden and other waste removal of the second and subsequent pits is considered to be production phase stripping relating  
to the combined operation  
the group’s determination of whether multiple pit mines are considered separate or integrated operations depends on each mine’s specific 
circumstances the following factors would point towards the stripping costs for the individual pits being accounted for separately  
• if mining of the second and subsequent pits is conducted consecutively with that of the first pit rather than concurrently 
• if separate investment decisions are made to develop each pit rather than a single investment decision being made at the outset  
• if the pits are operated as separate units in terms of mine planning and the sequencing of overburden and ore mining rather than  
as an integrated unit   
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• if expenditures for additional infrastructure to support the second and subsequent pits are relatively large 
• if the pits extract ore from separate and distinct ore bodies rather than from a single ore body  
this additional factor would point to an integrated operation in accounting for stripping costs 
• if the designs of the second and subsequent pits are significantly influenced by opportunities to optimise output from the several pits 
combined including the cotreatment or blending of the output from the pits  
the relative importance of each of the above factors is considered in each case to determine whether on balance the stripping costs should be 
attributed to the individual pit or to the combined output from the several pits as this analysis requires judgment another company could make 
the determination that a mine is separate or integrated differently than the group even if the fact pattern appears to be similar to the extent 
the determination is different the resulting accounting would also be different  
the group defers stripping costs incurred subsequently during the production stage of its operations for those operations where this is the most 
appropriate basis for matching the costs against the related economic benefits and the effect is material this is generally the case where there 
are fluctuations in stripping costs over the life of the mine or pit the amount of stripping costs deferred is based on the ratio ‘ratio’ obtained 
by dividing the tonnage of waste mined either by the quantity of ore mined or by the quantity of minerals contained in the ore stripping costs 
incurred in the period are deferred to the extent that the current period ratio exceeds the life of mine or pit ratio such deferred costs are then 
charged against reported profits to the extent that in subsequent periods the current period ratio falls short of the life of mine or pit ratio  
the life of mine or pit ratio is based on proved and probable reserves of the mine or pit 
the life of mine or pit wastetoore ratio is a function of the pit designs and therefore changes to that design will generally result in changes  
to the ratio changes in other technical or economic parameters that impact on reserves will also have an impact on the life of mine or pit ratio 
even if they do not affect the pit designs changes to the life of mine or pit ratio are accounted for prospectively 
in the production stage of some mines or pits further development of the mine or pit requires a phase of unusually high overburden removal 
activity that is similar in nature to preproduction mine development the costs of such unusually high overburden removal activity are deferred 
and charged against reported profits in subsequent periods on a units of production basis this accounting treatment is consistent with that for 
stripping costs incurred during the development phase of a mine or pit before production commences 
if the group were to expense production stage stripping costs as incurred there would be greater volatility in the year to year results from 
operations and excess stripping costs would be expensed at an earlier stage of a mine’s operation 
deferred stripping costs are included in ‘mining properties and leases’ within property plant and equipment or in investments in equity 
accounted units as appropriate these form part of the total investment in the relevant cash generating unit which is reviewed for impairment  
if events or changes in circumstances indicate that the carrying value may not be recoverable amortisation of deferred stripping costs is included 
in net operating costs or in the group’s share of the results of its equity accounted units as appropriate 
i depreciation and impairment 
depreciation of non current assets 
property plant and equipment is depreciated over its useful life or over the remaining life of the mine if shorter depreciation commences when 
an asset is available for use the major categories of property plant and equipment are depreciated on a units of production andor straightline 
basis as follows 
units of production basis 
for mining properties and leases and certain mining equipment the economic benefits from the asset are consumed in a pattern 
which is linked to the production level except as noted below such assets are depreciated on a units of production basis  
straight line basis 
assets within operations for which production is not expected to fluctuate significantly from one year to another or which have a 
physical life shorter than the related mine are depreciated on a straight line basis as follows 
land and buildings 
land not depreciated 
buildings 5 to 50 years 
plant and equipment  
other plant and equipment 3 to 35 years 
power assets 25 to 100 years 
capital work in progress not depreciated 
residual values and useful lives are reviewed and adjusted if appropriate at each statement of financial position date changes to the estimated 
residual values or useful lives are accounted for prospectively in applying the units of production method depreciation is normally calculated 
using the quantity of material extracted from the mine in the period as a percentage of the total quantity of material to be extracted in current 
and future periods based on proved and probable reserves and for some mines other mineral resources such non reserve material may be 
included in depreciation calculations in limited circumstances and where there is a high degree of confidence in its economic extraction 
development costs that relate to a discrete section of an ore body and which only provide benefit over the life of those reserves are depreciated 
over the estimated life of that discrete section development costs incurred which benefit the entire ore body are depreciated over the estimated 
life of the ore body   notes to the financial statements continued 
 
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i depreciation and impairment continued 
impairment of non current assets 
property plant and equipment and intangible assets with finite lives are reviewed for impairment if there is any indication that the carrying 
amount may not be recoverable impairment is normally assessed at the level of cashgenerating units which in accordance with ias 36 
‘impairment of assets’ are identified as the smallest identifiable group of assets that generates cash inflows which are largely independent  
of the cash inflows from other assets  
in addition an impairment loss is recognised for any excess of carrying amount over the fair value less costs to sell of a non current asset or 
disposal group held for sale 
goodwill and indefinitelife intangible assets are reviewed for impairment annually or at any time during the year if an indicator of impairment 
is considered to exist goodwill acquired through business combinations is allocated to groups of cashgenerating units that are expected to 
benefit from the related business combination the groups of cashgenerating units represent the lowest level within the group at which 
goodwill is monitored for internal management purposes and these groups are not larger than the reporting segments determined in accordance 
with ifrs 8 ‘operating segments’  
when an impairment review is undertaken recoverable amount is assessed by reference to the higher of value in use being the net present value 
of expected future cash flows of the relevant cash generating unit and fair value less costs to sell ‘fair value’ the best evidence of fair value is 
the value obtained from an active market or binding sale agreement where neither exists fair value is based on the best information available to 
reflect the amount the group could receive for the cash generating unit in an arm’s length transaction this is often estimated using discounted 
cash flow techniques  
where recoverable amount is assessed using discounted cash flow techniques the resulting estimates are based on detailed mine andor 
production plans for value in use recent cost levels are considered together with expected changes in costs that are compatible with the current 
condition of the business and which meet the requirements of ias 36 
the cash flow forecasts are based on best estimates of expected future revenues and costs including the future cash costs of production capital 
expenditure close down restoration and environmental clean up these may include net cash flows expected to be realised from extraction 
processing and sale of mineral resources that do not currently qualify for inclusion in proved or probable ore reserves such non reserve material 
is included where there is a high degree of confidence in its economic extraction this expectation is usually based on preliminary drilling and 
sampling of areas of mineralisation that are contiguous with existing reserves typically the additional evaluation to achieve reserve status for 
such material has not yet been done because this would involve incurring costs earlier than is required for the efficient planning and operation  
of the mine  
where the recoverable amount of a cash generating unit is dependent on the life of its associated ore body expected future cash flows reflect 
long term mine plans which are based on detailed research analysis and iterative modelling to optimise the level of return from investment 
output and sequence of extraction the mine plan takes account of all relevant characteristics of the ore body including waste to ore ratios ore 
grades haul distances chemical and metallurgical properties of the ore impacting on process recoveries and capacities of processing equipment 
that can be used the mine plan is therefore the basis for forecasting production output in each future year and for forecasting production costs 
the group’s cash flow forecasts are based on estimates of future commodity prices which assume market prices will revert to the group’s 
assessment of the long term average price generally over a period of three to five years these long term commodity prices for most 
commodities are derived from an analysis of the marginal costs of the producers of these commodities these assessments often differ from 
current price levels and are updated periodically for the long run the group does not believe that forward prices quoted in the metals markets 
provide a good indication of future price levels since forward prices tend to be strongly influenced by spot price levels 
in some cases prices applying to some part of the future sales volumes of a cash generating unit are predetermined by existing sales contracts 
the effects of such contracts are taken into account in forecasting future cash flows 
the discount rates applied to the future cash flow forecasts represent an estimate of the rate the market would apply having regard to the time 
value of money and the risks specific to the asset for which the future cash flow estimates have not been adjusted the group’s weighted average 
cost of capital is used as a starting point for determining the discount rates with appropriate adjustments for the risk profile of the countries in 
which the individual cash generating units operate 
for operations with a functional currency other than the us dollar the impairment review is undertaken in the relevant functional currency  
the great majority of the group’s sales are based on prices denominated in us dollars to the extent that the currencies of countries in which  
the group produces commodities strengthen against the us dollar without commodity price offset cash flows and therefore net present values 
are reduced 
when calculating value in use ias 36 requires that calculations should be based on exchange rates current at the time of the assessment 
non financial assets other than goodwill that have suffered an impairment are tested for possible reversal of the impairment whenever events  
or changes in circumstances indicate that the impairment may have reversed   
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j determination of ore reserve estimates 
the group estimates its ore reserves and mineral resources based on information compiled by competent persons as defined in accordance  
with the australasian code for reporting of exploration results mineral resources and ore reserves of december 2004 the jorc code 
reserves and for certain mines other mineral resources determined in this way are used in the calculation of depreciation amortisation and 
impairment charges the assessment of life of mine stripping ratios and for forecasting the timing of the payment of close down and restoration 
costs and clean up costs 
in assessing the life of a mine for accounting purposes mineral resources are only taken into account where there is a high degree of confidence 
of economic extraction 
there are numerous uncertainties inherent in estimating ore reserves and assumptions that are valid at the time of estimation may change 
significantly when new information becomes available changes in the forecast prices of commodities exchange rates production costs or 
recovery rates may change the economic status of reserves and may ultimately result in the reserves being restated  
k provisions for close down and restoration and for environmental clean up costs  
close down and restoration costs include the dismantling and demolition of infrastructure and the removal of residual materials and 
remediation of disturbed areas estimated close down and restoration costs are provided for in the accounting period when the obligation arising 
from the related disturbance occurs whether this occurs during the mine development or during the production phase based on the net present 
value of estimated future costs provisions for close down and restoration costs do not include any additional obligations which are expected to 
arise from future disturbance the costs are estimated on the basis of a closure plan the cost estimates are updated annually during the life of 
the operation to reflect known developments eg revisions to cost estimates and to the estimated lives of operations and are subject to formal 
review at regular intervals  
close down and restoration costs are a normal consequence of mining and the majority of close down and restoration expenditure is incurred  
at the end of the life of the mine although the ultimate cost to be incurred is uncertain the group’s businesses estimate their respective costs 
based on feasibility and engineering studies using current restoration standards and techniques 
the amortisation or ‘unwinding’ of the discount applied in establishing the net present value of provisions is charged to the income statement  
in each accounting period the amortisation of the discount is shown as a financing cost rather than as an operating cost  
the initial closure provision together with other movements in the provisions for close down and restoration costs including those resulting  
from new disturbance updated cost estimates changes to the estimated lives of operations and revisions to discount rates are capitalised within 
property plant and equipment these costs are then depreciated over the lives of the assets to which they relate  
where rehabilitation is conducted systematically over the life of the operation rather than at the time of closure provision is made for  
the estimated outstanding continuous rehabilitation work at each statement of financial position date and the cost is charged to the  
income statement 
provision is made for the estimated present value of the costs of environmental clean up obligations outstanding at the statement of financial 
position date these costs are charged to the income statement movements in the environmental clean up provisions are presented as an 
operating cost except for the unwind of the discount which is shown as a financing cost remediation procedures may commence soon after the 
time the disturbance remediation process and estimated remediation costs become known but can continue for many years depending on the 
nature of the disturbance and the remediation techniques 
as noted above the ultimate cost of environmental remediation is uncertain and cost estimates can vary in response to many factors including 
changes to the relevant legal requirements the emergence of new restoration techniques or experience at other mine sites the expected timing 
of expenditure can also change for example in response to changes in ore reserves or production rates as a result there could be significant 
adjustments to the provision for close down and restoration and environmental clean up which would affect future financial results  
l inventories  
inventories are valued at the lower of cost and net realisable value primarily on a weighted average cost basis average costs are calculated  
by reference to the cost levels experienced in the current month together with those in opening inventory cost for raw materials and stores is 
purchase price and for partly processed and saleable products is generally the cost of production for this purpose the costs of production include  
• labour costs materials and contractor expenses which are directly attributable to the extraction and processing of ore 
• the depreciation of mining properties and leases and of property plant and equipment used in the extraction and processing of ore and 
• production overheads 
stockpiles represent ore that has been extracted and is available for further processing if there is significant uncertainty as to when the 
stockpiled ore will be processed it is expensed as incurred where the future processing of this ore can be predicted with confidence eg because  
it exceeds the mine’s cut off grade it is valued at the lower of cost and net realisable value if the ore will not be processed within the 12 months 
after the statement of financial position date it is included within non current assets work in progress inventory includes ore stockpiles and 
other partly processed material quantities are assessed primarily through surveys and assays 
m taxation 
current tax is the tax expected to be payable on the taxable income for the year calculated using rates that have been enacted or substantively 
enacted by the statement of financial position date it includes adjustments for tax expected to be payable or recoverable in respect of  
previous periods  notes to the financial statements continued 
 
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temporary differences are the difference between the carrying value of an asset or liability and its tax base full provision is made for deferred 
taxation on all temporary differences existing at the statement of financial position date with certain limited exceptions the main exceptions  
to this principle are as follows  
• tax payable on the future remittance of the past earnings of subsidiaries associates and jointly controlled entities is provided for except 
where the group is able to control the remittance of profits and it is probable that there will be no remittance in the foreseeable future 
• deferred tax is not provided on the initial recognition of an asset or liability in a transaction that does not affect accounting profit or taxable 
profit and is not a business combination such as on the recognition of a provision for close down and restoration costs and the related asset 
or on the recognition of new finance leases furthermore with the exception of the unwind of discount deferred tax is not recognised on 
subsequent changes in the carrying value of such assets and liabilities for example where the related assets are depreciated or finance leases 
are repaid and  
• deferred tax assets are recognised only to the extent that it is probable that they will be recovered probable is defined as ‘more likely than 
not’ recoverability is assessed having regard to the reasons why the deferred tax asset has arisen and projected future taxable profits for the 
relevant entity or group of entities 
deferred tax is provided in respect of fair value adjustments on acquisitions these adjustments may relate to assets such as mining rights that  
in general are not eligible for income tax allowances in such cases the provision for deferred tax is based on the difference between the carrying 
value of the asset and its nil income tax base the existence of a tax base for capital gains tax purposes is not taken into account in determining 
the deferred tax provision relating to such mineral rights because it is expected that the carrying amount will be recovered primarily through use 
and not from the disposal of mineral rights also the group is only entitled to a deduction for capital gains tax purposes if the mineral rights are 
sold or formally relinquished 
current and deferred tax relating to items recognised directly in equity are recognised in equity and not in the income statement 
n post employment benefits 
for defined benefit post employment plans the difference between the fair value of the plan assets if any and the present value of the plan 
liabilities is recognised as an asset or liability on the statement of financial position any asset recognised is restricted if appropriate to the 
present value of any amounts the group expects to recover by way of refunds from the plan or reductions in future contributions actuarial gains 
and losses arising in the year are taken to the statement of comprehensive income for this purpose actuarial gains and losses comprise both the 
effects of changes in actuarial assumptions and experience adjustments arising because of differences between the previous actuarial 
assumptions and what has actually occurred  
other movements in the net surplus or deficit are recognised in the income statement including the current service cost any past service cost 
and the effect of any curtailment or settlements the interest cost less the expected return on assets is also charged to the income statement  
the amount charged to the income statement in respect of these plans is included within operating costs or in the group’s share of the results  
of equity accounted units as appropriate 
the most significant assumptions used in accounting for pension plans are the long term rate of return on plan assets the discount rate and the 
mortality assumptions the long term rate of return on plan assets is used to calculate interest income on pension assets which is credited to the 
group’s income statement the discount rate is used to determine the net present value of future liabilities the discount rate used is the yield on 
high quality corporate bonds with maturity and terms that match those of the post employment obligations as closely as possible where there is 
no developed corporate bond market in a country the rate on government bonds is used each year the unwinding of the discount on those 
liabilities is charged to the group’s income statement as the interest cost the mortality assumption is used to project the future stream of benefit 
payments which is then discounted to arrive at a net present value of liabilities 
the values attributed to plan liabilities are assessed in accordance with the advice of independent qualified actuaries 
the group’s contributions to defined contribution pension plans are charged to the income statement in the period to which the contributions relate 
o cash and cash equivalents 
for the purposes of the statement of financial position cash and cash equivalents comprise cash on hand deposits held on call with banks and 
short term highly liquid investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of 
changes in value for the purposes of the cash flow statement cash and cash equivalents are net of bank overdrafts that are repayable on demand 
which are shown as current liabilities on the statement of financial position 
p financial instruments 
i financial assets 
the group classifies its financial assets in the following categories at fair value through profit or loss loans and receivables availableforsale 
and held to maturity investments the classification depends on the purpose for which the financial assets were acquired management 
determines the classification of financial assets at initial recognition  
a financial assets at fair value through profit or loss 
derivatives are included in this category unless they are designated as hedges assets in this category are classified based on their maturity 
generally the group does not acquire financial assets for the purpose of selling in the short term  
financial assets carried at fair value through profit or loss are initially recognised at fair value and transaction costs are expensed in the  
income statement   
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b loans and receivables 
loans and receivables are non derivative financial assets with fixed or determinable payments that are not quoted in an active market they are 
classified as current assets or non current assets based on their maturity date loans and receivables comprise ‘trade and other receivables’ ‘other 
financial assets’ and ‘cash and cash equivalents’ in the statement of financial position loans and receivables are carried at amortised cost less 
any impairment  
c availableforsale financial assets 
availableforsale financial assets are non derivatives that are either designated as available for sale or not classified in any of the other 
categories they are included in non current assets unless the group intends to dispose of the investment within 12 months of the statement of 
financial position date  
changes in the fair value of availableforsale financial assets denominated in a currency other than the functional currency of the holder other 
than equity investments are analysed between translation differences and other changes in the carrying amount of the security the translation 
differences are recognised in profit or loss any impairment charges are also recognised in profit or loss while other changes in fair value are 
recognised in equity 
when financial assets classified as availableforsale are sold the accumulated fair value adjustments recognised in equity are included in the 
income statement within ‘net operating costs’ 
dividends on availableforsale equity instruments are also recognised in the income statement within ‘interest receivable and similar income’ 
when the group’s right to receive payments is established 
financial assets not carried at fair value through profit and loss are initially recognised on the trade date at fair value plus transaction costs  
financial assets are derecognised when the investments mature or are sold and substantially all the risks and rewards of ownership have  
been transferred  
ii financial liabilities 
borrowings and other financial liabilities are recognised initially at fair value net of transaction costs incurred and are subsequently stated at 
amortised cost any difference between the amounts originally received net of transaction costs and the redemption value is recognised in the 
income statement over the period to maturity using the effective interest method  
borrowings and other financial liabilities are classified as current liabilities unless the group has an unconditional right to defer settlement  
of the liability for at least 12 months after the statement of financial position date 
iii derivative financial instruments and hedge accounting 
the group’s policy with regard to ‘financial risk management’ is set out in note 33 when the group enters into derivative contracts these 
transactions are designed to reduce exposures related to assets and liabilities firm commitments or anticipated transactions 
commodity based contracts that meet the definition of a derivative in ias 39 but are entered into in accordance with the group’s expected 
purchase or sales requirements are recognised in earnings as described in note 1c sales revenue above  
all other derivatives are initially recognised at their fair value on the date the derivative contract is entered into and are subsequently  
remeasured subject to ias 39 at their fair value at each statement of financial position date the method of recognising the resulting gain or  
loss depends on whether or not the derivative is designated as a hedging instrument and if so the nature of the item being hedged the group 
designates certain derivatives as either hedges of the fair value of recognised assets or liabilities or of firm commitments fair value hedges or 
hedges of highly probable forecast transactions cash flow hedges 
at the inception of a hedge relationship the group formally designates and documents the hedge relationship to which the group wishes to 
apply hedge accounting and the risk management objective and strategy for undertaking the hedge the documentation includes identification 
of the hedging instrument the hedged item or transaction the nature of the risk being hedged and how the entity will assess the hedging 
instrument’s effectiveness in offsetting the exposure to changes in the hedged item’s fair value or cash flows attributable to the hedged risk 
hedges that are expected to be highly effective in achieving offsetting changes in fair value or cash flows are assessed on an ongoing basis to 
determine that they actually have been highly effective throughout the financial reporting periods for which they were designated 
fair value hedges changes in the fair value of derivatives that are designated and qualify as fair value hedges are recorded in the income statement 
together with any changes in the fair value of the hedged asset or liability or firm commitment that is attributable to the hedged risk where derivatives 
are held with different counterparties to the underlying asset or liability or firm commitment the fair values of the derivative assets and liabilities are 
shown separately in the statement of financial position as there is no legal right of offset the gain or loss relating to the effective portion of interest rate 
swaps hedging fixed rate borrowings is recognised in the income statement within ‘interest payable and similar charges’  notes to the financial statements continued 
 
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cash flow hedges the effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges is recognised 
in equity the gain or loss relating to the ineffective portion is recognised immediately in the income statement within ‘net operating costs’ 
amounts accumulated in equity are recycled in the income statement in the period when the hedged item affects profit or loss for example 
when the forecast sale that is being hedged takes place the realised gain or loss relating to the effective portion of forward foreign exchange or 
commodity contracts hedging sales is recognised in the income statement within ‘sales revenue’ when the forecast transaction that is being 
hedged results in the recognition of a non financial asset the gains and losses previously deferred in equity are transferred from equity and adjust 
the cost of the asset the gains and losses are recognised subsequently in the income statement within ‘net operating costs’ when the non 
financial asset is amortised  
when a cash flow hedging instrument expires or is sold or when a cash flow hedge no longer meets the criteria for hedge accounting although 
the forecasted transaction is still expected to occur any cumulative gain or loss relating to the instrument which is held in equity at that time 
remains in equity and is recognised when the forecast transaction is ultimately recognised in the income statement when a forecast transaction 
is no longer expected to occur the cumulative gain or loss that was reported in equity is immediately transferred to the income statement 
when a fair value interest rate hedging instrument expires or is sold or when a fair value interest rate hedge no longer meets the criteria for 
hedge accounting the fair value adjustments which have been made to the hedged item are amortised through the income statement over its 
remaining life  
iii derivative financial instruments and hedge accounting continued 
derivatives that do not qualify for hedge accounting any derivative contracts that do not qualify for hedge accounting are marked to market at the 
statement of financial position date in respect of currency swaps the gain or loss on the swap and offsetting gain or loss on the financial asset or 
liability against which the swap forms an economic hedge are shown in separate lines in the income statement within the lines ‘net gainslosses 
on derivatives not qualifying for hedge accounting’ and ‘net exchange gainslosses on external debt and intragroup balances’ in respect of other 
derivatives the mark to market may give rise to charges or credits to the income statement in periods before the transaction against which the 
derivative is held as an economic hedge is recognised these charges or credits would be recognised in the line ‘net gainslosses on derivatives 
not qualifying for hedge accounting’  
embedded derivatives derivatives embedded in other financial instruments or other host contracts are treated as separate derivatives when their 
risks and characteristics are not closely related to their host contracts in some cases the embedded derivatives may be designated as hedges and 
will be accounted for as described above  
iv fair value 
fair value is the amount at which a financial instrument could be exchanged in an arm’s length transaction between informed and willing 
parties where relevant market prices are available these have been used to determine fair values in other cases fair values have been calculated 
using quotations from independent financial institutions or by using valuation techniques consistent with general market practice applicable to 
the instrument  
a  the fair values of cash short term borrowings and loans to joint ventures and associates approximate to their carrying values as a result  
of their short maturity or because they carry floating rates of interest 
b  the fair values of medium and long term borrowings is calculated as the present value of the estimated future cash flows using an 
appropriate market based yield curve the carrying value of the borrowings is amortised cost  
c  derivative financial assets and liabilities are carried at fair value based on published price quotations for the period for which a liquid active 
market exists beyond this period the group’s own assumptions are used  
the fair values of the various derivative instruments used for hedging purposes are disclosed in note 34 movements on the hedging reserve are 
disclosed within note 30  
v impairment of financial assets 
availableforsale financial assets 
the group assesses at each statement of financial position date whether there is objective evidence that a financial asset or a group of financial 
assets is impaired in the case of equity securities classified as available for sale an evaluation is made as to whether a decline in fair value is 
‘significant’ or ‘prolonged’ based on an analysis of indicators such as significant adverse changes in the technological market economic or legal 
environment in which the company invested in operates 
if an availableforsale financial asset is impaired an amount comprising the difference between its cost net of any principal payment and 
amortisation and its current fair value less any impairment loss previously recognised in the income statement is transferred from equity to the 
income statement reversals in respect of equity instruments classified as availableforsale are not recognised in the income statement 
reversals of impairment losses on debt instruments are reversed through the income statement if the increase in fair value of the instrument can 
be objectively related to an event occurring after the impairment loss was recognised 
vi derecognition of financial assets and liabilities  
financial assets 
a financial asset is derecognised when its contractual rights to the cash flows that comprise the financial asset expire or substantially all the risks 
and rewards of the asset are transferred   
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financial liabilities 
a financial liability is derecognised when the obligation under the liability is discharged cancelled or expired gains and losses on derecognition 
are recognised within finance income and finance costs respectively  
where an existing financial liability is replaced by another from the same lender on substantially different terms or the terms of an existing 
liability are substantially modified such an exchange or modification is treated as a derecognition of the original liability and the recognition  
of a new liability and the difference in the respective carrying amounts is recognised in the income statement 
vii trade receivables 
trade receivables are recognised initially at fair value and are subsequently measured at amortised cost reduced by any provision for impairment 
a provision for impairment of trade receivables is established when there is objective evidence that the group will not be able to collect all 
amounts due indicators of impairment would include financial difficulties of the debtor likelihood of the debtor’s insolvency default in 
payment or a significant deterioration in credit worthiness any impairment is recognised in the income statement within ‘net operating costs’ 
when a trade receivable is uncollectable it is written off against the allowance account subsequent recoveries of amounts previously written  
off are credited against ‘net operating costs’ in the income statement 
viii trade payables  
trade payables are recognised initially at fair value and subsequently measured at amortised cost using the effective interest method 
q share based payments 
the fair value of cash settled share plans is recognised as a liability over the vesting period of the awards movements in that liability between 
accounting dates are recognised as an expense the grant date fair value of the awards is determined from the market value of the shares at  
the date of award and adjusted for any market based vesting conditions attached to the award eg relative total shareholder return ‘tsr’ 
performance fair values are subsequently remeasured at each accounting date to reflect the market value of shares at the measurement date 
and where relevant the number of awards expected to vest based on the current and anticipated tsr performance if any awards are ultimately 
settled in shares the liability is transferred directly to equity as part of the consideration for the equity instruments issued 
the group’s equitysettled share plans are settled either by the issue of shares by the relevant parent company by the purchase of shares on 
market or by the use of shares previously acquired as part of a share buyback the fair value of the share plans recognised as an expense over the 
expected vesting period with a corresponding entry to retained earnings for rio tinto plc plans and to other reserves for rio tinto limited plans 
if the cost of shares acquired to satisfy the plans exceeds the expense charged the excess is taken to the appropriate reserve the fair value of  
the share plans is determined at the date of grant taking into account any market based vesting conditions attached to the award eg tsr  
the group uses fair values provided by independent actuaries calculated using a lattice based option valuation model 
non market based vesting conditions eg earnings per share targets are taken into account in estimating the number of awards likely to vest  
the estimate of the number of awards likely to vest is reviewed at each statement of financial position date up to the vesting date at which point the 
estimate is adjusted to reflect the actual awards issued no adjustment is made after the vesting date even if the awards are forfeited or not exercised  
further information about the treatment of individual share based payment plans is provided in note 49 
r contingencies 
contingent liabilities are not recognised in the financial statements but are disclosed by way of note unless their occurrence is remote  
contingent assets are not recognised in the financial statement but they are disclosed by way of note if they are deemed probable  
s share capital 
ordinary shares are classified as equity incremental costs directly attributable to the issue of new shares or options are shown in equity  
as a deduction net of tax from the proceeds  
where any group company purchases the group’s equity share capital treasury shares the consideration paid including any directly 
attributable incremental costs net of income taxes is deducted from equity attributable to rio tinto’s equity shareholders where such shares 
are subsequently reissued any consideration received net of any directly attributable incremental transaction costs and the related income tax 
effects is included in equity attributable to rio tinto’s equity shareholders 
critical accounting policies and estimates 
i dual listed company reporting 
as explained in detail in the ‘outline of dual listed companies’ structure and basis of financial statements’ section on page 136 the consolidated 
financial statements of the rio tinto group deal with the results assets and liabilities of both of the dual listed companies rio tinto plc and  
rio tinto limited and their subsidiaries in other words rio tinto plc and rio tinto limited are viewed as a single parent company with their 
respective shareholders being the shareholders in that single company 
the 2009 annual report satisfies the obligations of rio tinto limited to prepare consolidated accounts under australian company law as 
amended by an order issued by the australian securities and investments commission on 27 january 2006 as amended on 22 december 2006 
the 2009 financial statements disclose the effect of the adjustments to consolidated eu ifrs profit consolidated total comprehensive  
income and consolidated shareholders’ funds for the group that would be required under the version of ifrs that is applicable in australia 
‘australian ifrs’ 
the us dollar is the presentation currency used in these financial statements as it most reliably reflects the group’s global business performance  notes to the financial statements continued 
 
 150 rio tinto 2009 annual report 
financial statements 
1  principal accounting policies continued 
ii asset carrying values 
events or changes in circumstances can give rise to significant impairment charges or reversals of impairment provisions in a particular year 
when such events or changes in circumstances impact on a particular asset or cash generating unit its carrying value is assessed by reference to 
its recoverable amount being the higher of fair value less costs to sell and value in use being the net present value of expected future cash flows 
of the relevant cash generating unit this is often estimated using discounted cash flow techniques 
where the recoverable amounts of group cash generating units are assessed by analyses of discounted cash flows the resulting valuations are 
particularly sensitive to changes in long term commodity prices exchange rates operating costs and discount rates 
the great majority of the group’s sales are based on prices denominated in us dollars to the extent that the currencies of countries in which the 
group produces commodities strengthen against the us dollar without commodity price offset cash flows and therefore net present values are 
reduced management considers that over the long term there is a tendency for movements in commodity prices to compensate to some extent 
for movements in the value of the us dollar and vice versa however such compensating changes are not synchronised and do not fully offset 
each other 
reviews of carrying values relate to cash generating units which in accordance with ias 36 ‘impairment of assets’ are identified as the smallest 
identifiable group of assets that generates cash inflows which are largely independent of the cash inflows from other assets in some cases the 
business units within the product groups consist of several operations with independent cash generating streams which therefore constitute 
separate cash generating units 
goodwill acquired through business combinations has been allocated to groups of cash generating units that are being managed as a combined 
business these groups of cash generating units represent the lowest level within the group at which goodwill is monitored for internal 
management purposes and these groups are not larger than the group’s reporting segments which are its product groups 
the cash flow forecasts are based on best estimates of expected future revenues and costs these may include net cash flows expected to be 
realised from extraction processing and sale of mineralised material that does not currently qualify for inclusion in proven or probable ore 
reserves such non reserve material is included where there is a high degree of confidence in its economic extraction this expectation is usually 
based on preliminary drilling and sampling of areas of mineralisation that are contiguous with existing reserves typically the additional 
evaluation to achieve reserve status for such material has not yet been done because this would involve incurring costs earlier than is required  
for the efficient planning and operation of the mine 
where the recoverable amount of a cash generating unit is dependent on the life of its associated ore body expected future cash flows reflect 
long term mine plans which are based on detailed research analysis and iterative modelling to optimise the level of return from investment 
output and sequence of extraction the mine plan takes account of all relevant characteristics of the ore body including waste to ore ratios ore 
grades haul distances chemical and metallurgical properties of the ore impacting on process recoveries and capacities of processing equipment 
that can be used the mine plan is therefore the basis for forecasting production output in each future year and for forecasting production costs 
rio tinto’s cash flow forecasts are based on assessments of expected long term commodity prices which for most commodities are derived from 
an analysis of the marginal costs of the producers of the relevant commodities these assessments often differ from current price levels and are 
updated regularly 
in some cases prices applying to some part of the future sales volumes of a cash generating unit are predetermined by existing sales contracts 
the effects of such contracts are taken into account in forecasting future cash flows 
as denoted above cost levels incorporated in the cash flow forecasts are based on the current long term mine plan or long term production plan 
for the cash generating unit for value in use calculations used in impairment reviews recent cost levels are considered together with expected 
changes in costs that are compatible with the current condition of the business because future cash flows are estimates for the asset in its 
current condition value in use does not reflect future cash flows associated with improving or enhancing an asset’s performance 
the useful lives of the major assets of a cash generating unit are often dependent on the life of the ore body to which they relate where this is 
the case the lives of mining properties and their associated refineries concentrators and other long lived processing equipment generally relate 
to the expected life of the ore body the life of the ore body in turn is estimated on the basis of the long term mine plan where the major assets 
of a cash generating unit are not dependent on the life of a related ore body management applies judgement in estimating the remaining service 
potential of long lived assets in the case of smelters factors affecting the remaining service potential include smelter technology and electricity 
contracts when the power is not sourced from the company’s own electricity generating capacity 
forecast cash flows are discounted to present values using rio tinto’s weighted average cost of capital with appropriate adjustment for the  
risks associated with the relevant cash flows to the extent that such risks are not reflected in the forecast cash flows for final feasibility studies 
and ore reserve estimation internal hurdle rates are used which are generally higher than the weighted average cost of capital 
value in use and ore reserve estimates are based on the exchange rates current at the time of the evaluation in final feasibility studies  
and estimates of fair value a forecast of the long term exchange rate is made having regard to spot exchange rates historical data and  
external forecasts 
forecast cash flows for ore reserve estimation for jorc purposes and for impairment testing are generally based on rio tinto’s long term  
price forecasts for aluminium the prices used fall within the range of analyst’s long term consensus forecasts current around the date of  
the evaluation   
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all goodwill and intangible assets that are not yet ready for use or have an indefinite life are tested annually for impairment regardless of 
whether there has been any change in events or circumstances 
iii asset lives 
intangible assets are considered to have indefinite lives when based on an analysis of all of the relevant factors there is no foreseeable limit to 
the period over which the asset is expected to generate cash flows for the group the factors considered in making this determination include the 
existence of contractual rights for unlimited terms or evidence that renewal of the contractual rights without significant incremental cost can be 
expected for indefinite periods into the future in view of the group’s future investment intentions 
there are numerous uncertainties inherent in estimating ore reserves and assumptions that are valid at the time of estimation may change 
significantly when new information becomes available 
changes in the forecast prices of commodities exchange rates production costs or recovery rates may change the economic status of reserves 
and may ultimately result in the reserves being restated such changes in reserves could impact on depreciation and amortisation rates asset 
carrying values deferred stripping calculations and provisions for close down restoration and environmental clean up costs 
iv ore reserve estimates 
rio tinto estimates its ore reserves and mineral resources based on information compiled by competent persons as defined in accordance with 
the australasian code for reporting of exploration results mineral resources and ore reserves of december 2004 the jorc code the amounts 
presented under eu and australian ifrs are based on the reserves and in some cases mineral resources determined under the jorc code 
there are numerous uncertainties inherent in estimating ore reserves and assumptions that are valid at the time of estimation may change 
significantly when new information becomes available 
changes in the forecast prices of commodities exchange rates production costs or recovery rates may change the economic status of reserves 
and may ultimately result in the reserves being restated such changes in reserves could impact on depreciation and amortisation rates asset 
carrying values deferred stripping calculations and provisions for close down restoration and environmental clean up costs 
v close down restoration and clean up obligations 
provision is made for environmental remediation costs when the related environmental disturbance occurs based on the net present value of 
estimated future costs 
close down and restoration costs are a normal consequence of mining and the majority of close down and restoration expenditure is incurred  
at the end of the life of the mine the costs are estimated on the basis of a closure plan the cost estimates are calculated annually during the life 
of the operation to reflect known developments eg updated cost estimates and revisions to the estimated lives of operations and are subject to 
formal review at regular intervals although the ultimate cost to be incurred is uncertain the group’s businesses estimate their respective costs 
based on feasibility and engineering studies using current restoration standards and techniques the initial closure provisions together with 
changes other than those arising from the unwind of the discount applied in establishing the net present value of the provision are capitalised 
within property plant and equipment and depreciated over the lives of the assets to which they relate 
clean up costs result from environmental damage that was not a necessary consequence of mining including remediation compensation and 
penalties these costs are charged to the income statement provisions are recognised at the time the damage remediation process and estimated 
remediation costs become known remediation procedures may commence soon after this point in time but may continue for many years 
depending on the nature of the disturbance and the remediation techniques 
as noted above the ultimate cost of environmental disturbance is uncertain and cost estimates can vary in response to many factors including 
changes to the relevant legal requirements the emergence of new restoration techniques or experience at other mine sites 
the expected timing of expenditure can also change for example in response to changes in ore reserves or production rates or economic 
conditions as a result there could be significant adjustments to the provision for close down and restoration and environmental clean up which 
would affect future financial results 
vi overburden removal costs 
in open pit mining operations it is necessary to remove overburden and other barren waste materials to access ore from which minerals can 
economically be extracted the process of mining overburden and waste materials is referred to as stripping during the development of a mine 
before production commences it is generally accepted that stripping costs are capitalised as part of the investment in construction of the mine 
where a mine operates several open pits that are regarded as separate operations for the purpose of mine planning stripping costs are accounted 
for separately by reference to the ore from each separate pit if however the pits are highly integrated for the purpose of mine planning the 
second and subsequent pits are regarded as extensions of the first pit in accounting for stripping costs in such cases the initial stripping of the 
second and subsequent pits is considered to be production phase stripping relating to the combined operation 
stripping of waste materials continues during the production stage of the mine or pit some mining companies expense these production stage 
stripping costs as incurred while others defer such stripping costs in operations that experience material fluctuations in the ratio of waste 
materials to ore or contained minerals on a year to year basis over the life of the mine or pit deferral of stripping costs reduces the volatility of 
the cost of stripping expensed in individual reporting periods those mining companies that expense stripping costs as incurred will therefore 
report greater volatility in the results of their operations from period to period  notes to the financial statements continued 
 
 152 rio tinto 2009 annual report 
financial statements 
1  principal accounting policies continued 
rio tinto defers production stage stripping costs for those operations where this is the most appropriate basis for matching costs with the related 
economic benefits and the effect is material stripping costs incurred in the period are deferred to the extent that the current period ratio exceeds 
the life of mine or pit ratio such deferred costs are then charged against reported profits to the extent that in subsequent periods the ratio falls 
short of the life of mine or pit ratio the life of mine or pit ratio is based on the proven and probable reserves of the mine or pit and is obtained by 
dividing the tonnage of waste mined either by the quantity of ore mined or by the quantity of minerals contained in the ore in some operations 
the quantity of ore is a more practical basis for matching costs with the related economic benefits where there are important coproducts or 
where the grade of the ore is relatively stable from year to year 
the life of mine or pit wastetoore ratio is a function of an individual mine’s pit design and therefore changes to that design will generally result 
in changes to the ratio changes in other technical or economic parameters that impact on reserves will also have an impact on the life of mine or 
pit ratio even if they do not affect the pit design changes to the life of mine or pit ratio are accounted for prospectively 
in the production stage of some operations further development of the mine requires a phase of unusually high overburden removal activity that 
is similar in nature to preproduction mine development the costs of such unusually high overburden removal activity are deferred and charged 
against reported profits in subsequent periods on a unitsofproduction basis this accounting treatment is consistent with that for stripping 
costs incurred during the development phase of a mine or pit before production commences 
deferred stripping costs are included in property plant and equipment or in investment in equity accounted units as appropriate 
these form part of the total investment in the relevant cash generating unit which is reviewed for impairment if events or changes in 
circumstances indicate that the carrying value may not be recoverable amortisation of deferred stripping costs is included in operating costs  
or in the group’s share of the results of its jointly controlled entities and associates as appropriate 
during 2009 production stage stripping costs incurred by subsidiaries and equity accounted operations were us174 million higher than the 
amounts charged against pre tax profit 2008 production stage costs exceeded the amounts charged against pre tax profit by us175 million  
in addition us59 million of deferred stripping has been written off in 2009 as part of the diamonds businesses impairment 
the net book value carried forward in property plant and equipment and in investments in jointly controlled entities and associates at  
31 december 2009 was us1171 million 2008 us1026 million 
information about the stripping ratios of the business units including equity accounted units that account for the majority of the deferred 
stripping balance at 31 december 2009 along with the year in which deferred stripping is expected to be fully amortised is set out in the 
following table 
 actual stripping ratio for the year life of mine stripping ratio 
 2009 2008 2009 2008 
kennecott utah copper 2020 
a
  213 198 121 124 
grasberg joint venture 2015 
a
 342 327 300 287 
diavik 2012 
b
 117 123 102 120 
escondida 2043 
c
 011 012 014 010 
notes 
a  stripping ratios shown are waste to ore 
b diavik’s stripping ratio is disclosed as bench cubic metre per carat the 2009 deferred stripping ratio is based on a dual pit commercial production a154 and a418 with the a154 open pit scheduled to end 
commercial production in the first quarter of 2010 and the a418 open pit scheduled to end commercial production in the third quarter of 2012 
c  escondida’s stripping ratio is based on waste tonnes to pounds of copper mined 
 rio tinto borax capitalised stripping costs as part of a distinct period of new development during the production stage of the mine capitalisation stopped in 2004 the capitalised costs will be fully 
amortised in 2034 
vii deferred tax on fair value adjustments 
on transition to eu ifrs with effect from 1 january 2004 deferred tax was provided in respect of fair value adjustments on acquisitions in 
previous years no other adjustments were made to the assets and liabilities recognised in such prior year acquisitions and accordingly 
shareholders’ funds were reduced by us720 million on transition to eu ifrs primarily as a result of deferred tax on fair value adjustments to 
mining rights in general these mining rights are not eligible for income tax allowances in such cases the provision for deferred tax was based 
on the difference between their carrying value and their nil income tax base the existence of a tax base for capital gains tax purposes was not 
taken into account in determining the deferred tax provision relating to such mineral rights because it is expected that the carrying amount will 
be recovered primarily through use and not from the disposal of the mineral rights also the group is only entitled to a deduction for capital 
gains tax purposes if the mineral rights are sold or formally relinquished 
for acquisitions after 1 january 2004 provision for such deferred tax on acquisition results in a corresponding increase in the amounts attributed 
to acquired assets andor goodwill under eu ifrs 
viii exploration 
under the group’s accounting policy exploration and evaluation expenditure is not capitalised until the point is reached at which there is a high 
degree of confidence in the project’s viability and it is considered probable that future economic benefits will flow to the group   
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the carrying values of exploration and evaluation assets are reviewed twice per annum by management and the results of these reviews are 
reported to the audit committee in the case of undeveloped projects there may be only inferred resources to form a basis for the impairment 
review the review is based on a status report regarding the group’s intentions for development of the undeveloped project in some cases the 
undeveloped projects are regarded as successors to ore bodies smelters or refineries currently in production and may therefore benefit from 
existing infrastructure and equipment 
ix functional currency 
the determination of functional currency affects the carrying value of non current assets included in the statement of financial position and  
as a consequence the amortisation of those assets included in the income statement it also impacts exchange gains and losses included in the 
income statement 
the functional currency for each entity in the group and for jointly controlled entities and associates is the currency of the primary economic 
environment in which it operates for many of rio tinto’s entities this is the currency of the country in which each operates transactions 
denominated in currencies other than the functional currency are converted to the functional currency at the exchange rate ruling at the date  
of the transaction unless hedge accounting applies monetary assets and liabilities denominated in foreign currencies are retranslated at year  
end exchange rates 
the us dollar is the currency in which the group’s financial statements are presented as it most reliably reflects the global business performance 
of the group as a whole 
on consolidation income statement items are translated into us dollars at average rates of exchange statement of financial position items  
are translated into us dollars at year end exchange rates exchange differences on the translation of the net assets of entities with functional 
currencies other than the us dollar and any offsetting exchange differences on net debt hedging those net assets are recognised directly in the 
foreign currency translation reserve exchange gains and losses which arise on balances between group entities are taken to the foreign currency 
translation reserve where the intragroup balance is in substance part of the group’s net investment in the entity 
the balance of the foreign currency translation reserve relating to an operation that is disposed of is transferred to the income statement at the 
time of the disposal 
the group finances its operations primarily in us dollars but part of the group’s us dollar debt is located in subsidiaries having functional 
currencies other than the us dollar except as noted above exchange gains and losses relating to such us dollar debt are charged or credited  
to the group’s income statement in the year in which they arise this means that the impact of financing in us dollars on the group’s income 
statement is dependent on the functional currency of the particular subsidiary where the debt is located 
with the above exceptions and except for derivative contracts which qualify as cash flow hedges exchange differences are charged or credited  
to the income statement in the year in which they arise 
x underlying earnings 
the group presents ‘underlying earnings’ as an additional measure to provide greater understanding of the underlying business performance  
of its operations the adjustments made to net earnings to arrive at underlying earnings are explained in note 2 
xi post retirement benefits 
the difference between the fair value of the plan assets if any of post retirement plans and the present value of the plan obligations is 
recognised as an asset or liability on the statement of financial position the group has adopted the option under ias 19 to record actuarial  
gains and losses directly in the group’s statement of comprehensive income 
the most significant assumptions used in accounting for post retirement plans are the long term rate of return on plan assets the discount rate 
the expected rate of long term inflation and the mortality assumptions 
the long term rate of return on plan assets is used to calculate interest income on pension assets which is credited to the group’s income 
statement the mortality assumption is used to project the length of time for which future pension payments will be made and the inflation 
assumption is used in projecting future increases in those payments the discount rate is used to determine the net present value of those  
future payments and each year the unwinding of the discount on those liabilities is charged to the group’s income statement 
valuations are carried out using the projected unit method the expected rate of return on pension plan assets is determined as management’s 
best estimate of the long term return on the major asset classes ie equity debt property and other weighted by the actual allocation of assets 
among the categories at the measurement date the expected rate of return is calculated using geometric averaging 
the sources used to determine management’s best estimate of long term returns are numerous and include country specific bond yields which 
may be derived from the market using local bond indices or by analysis of the local bond market and country specific inflation and investment 
market expectations derived from market data and analysts’ or governments’ expectations as applicable 
in particular the group estimates long term expected returns on equity based on the economic outlook analysts’ views and those of other 
market commentators this is the most subjective of the assumptions used and it is reviewed regularly to ensure that it remains consistent  
with best practice 
the discount rate used in determining the service cost and interest cost charged to income is the market yield at the start of the year  
on high quality corporate bonds for countries where there is no deep market in such bonds the yield on government bonds is used  notes to the financial statements continued 
 
 154 rio tinto 2009 annual report 
financial statements 
1  principal accounting policies continued  
xi post retirement benefits continued 
for determining the present value of obligations shown on the statement of financial position market yields at the statement of financial 
position date are used 
details of the key assumptions are set out in note 50 
xii deferred tax potentially recoverable on group tax losses 
the group has carried forward losses mainly in the uk french and canadian tax groups that have the potential to reduce tax charges in future 
years deferred tax assets have been recognised on these tax losses to the extent their recovery is probable having regard to the projected future 
taxable profits of the relevant tax groups 
the ‘possible tax assets’ on these losses totalled us1882 million at 31 december 2009 2008 us1000 million 
of these us1286 million have been recognised as deferred tax assets 2008 us899 million leaving us596 million 2008 us101 million 
unrecognised as recovery is not considered probable this amount excludes unrecognised capital losses which can only be recovered against 
future capital gains 
within the uk tax group us303 million in tax losses have been recognised as deferred tax assets 2008 us246 million with no amounts 
unrecognised within the french tax group us419 million in tax losses have been recognised as deferred tax assets 2008 us309 million  
with us503 million unrecognised within the canadian tax group us393 million in tax losses have been recognised as deferred tax assets 
2008 us172 million with no amounts unrecognised 
xiii contingencies 
disclosure is made of material contingent liabilities unless the possibility of any loss arising is considered remote contingencies are disclosed  
in note 35  
xiv acquisition accounting 
on the acquisition of a subsidiary the purchase method of accounting is used whereby the purchase consideration is allocated to the identifiable 
assets liabilities and contingent liabilities identifiable net assets on the basis of fair value at the date of acquisition   
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2  reconciliation of net earnings to underlying earnings 
exclusions from underlying earnings 
pretax
i
2009 usm  
taxation
2009 
usm 
outside 
interests
2009 
usm 
discontinued   
operations
i
 
2009   
usm   
net 
amount
2009 
usm 
net 
amount
2008
usm 
profits less losses on disposal of interests  
in businesses 
a
 692 193 – – 499 1470 
impairment charges 
b
 1573 445 25 – 1103 7579
loss after tax from discontinued operations 
b
 – – – 449 449 827
exchange differences and gainslosses  
on derivatives       
– exchange gainslosses on us dollar net  
debt and intragroup balances 
c
 368 438 14 – 56 960 
– lossesgains on currency and interest  
rate derivatives not qualifying for hedge 
accounting 
d
 
e
 21 12 18 – 9 22
– gainslosses on commodity derivatives  
not qualifying for hedge accounting 
f
 181 106 – – 75 95
chinalco break fee 195 13 – – 182 – 
restructuring costs from global headcount 
reduction 
g
 321 90 – – 231 57
other exclusions 
h
 56 86 18 – 12 477
total excluded from underlying earnings 925 91 39 449 1426 6627
net earnings 7860 2076 463 449 4872 3676 
underlying earnings 8785 1985 502 – 6298 10303 
‘underlying earnings’ is an alternative measure of earnings which is reported by rio tinto to provide greater understanding of the underlying business performance of its operations underlying earnings and 
net earnings both represent amounts attributable to rio tinto shareholders items a to h below are excluded from net earnings in arriving at underlying earnings 
a  profits arising on the disposal of interests in businesses in 2009 relate principally to sales of the corumba iron ore mine in brazil the jacobs ranch coal mine the sale of 52 per cent of rio tinto’s interest in 
cloud peak energy resources llc cper and are partially offset by a loss from the sale of alcan composites 
  profits arising on the disposal of interests in businesses in 2008 relate principally to the sales of the cortez gold mine and the greens creek mine 
  profits arising on the disposal of interests in undeveloped projects which in 2009 includes gains on disposal of undeveloped potash assets in argentina and canada amounting to us797 million net of 
tax are not excluded from underlying earnings the 2008 profits relate principally to the disposal of the undeveloped kintyre uranium project in western australia 
b  charges relating to impairment of goodwill and other noncurrent assets other than undeveloped projects but including discontinued operations  
  the impairment charges of us1103 million for the year ended 31 december 2009 related mainly to alcan engineered products us500 million the group’s aluminium businesses us212 million the 
group’s diamond businesses us348 million and us43 million in other impairments all impairments have been measured based upon an assessment of fair value 
  an impairment of us318 million 31 december 2008 us960 million relating to the alcan packaging business has been recognised during the year ended 31 december 2009 and is included in ‘loss 
after tax from discontinued operations’ this impairment is based on an estimate of fair value less costs to sell which is based on the group’s best estimate of expected proceeds to be realised on sale of 
alcan packaging less an estimate of remaining costs to sell ‘loss after tax from discontinued operations’ of us449 million 31 december 2008 us827 million also includes a us131 million tax charge 
31 december 2008 us133 million tax benefit relating to an increase in the group’s estimate of the tax to be paid on sale of the alcan packaging business 
  the weak economic environment continued to put downward pressure on the sales prices for these divestment businesses and resulted in the impairment of the alcan packaging businesses and alcan 
engineered products businesses the impairment charge related to the group’s aluminium businesses related mainly to the planned closure of certain smelters and was caused by a decrease in short term 
price assumptions at the date of the impairment review 
 the impairment to the group’s diamond business was caused by weak demand for luxury items and increased input costs  
 the impairment charge of us7579 million for the year ended 31 december 2008 related mainly to the group’s aluminium businesses us6127 million and alcan engineered products us980 million 
this includes amounts relating to equity accounted units of us15 million  
c  exchange gains and losses on us dollar debt and intragroup balances  
  the 2009 tax on exchange gains and losses on external debt and intragroup balances includes tax charges on gains on us dollar denominated debt however a significant proportion of the pretax losses 
on intragroup balances are not subject to tax 
  the 2008 tax on exchange gains and losses on external debt and intragroup balances included a benefit of us254 million through recovery of tax relating to prior years it also included a tax relief for 
losses on us dollar denominated debt the gains on intragroup balances were largely not subject to tax  
d  valuation changes on currency and interest rate derivatives which are ineligible for hedge accounting other than those embedded in commercial contracts 
e  the currency revaluation of embedded us dollar derivatives contained in contracts held by entities whose functional currency is not the us dollar  
f  valuation changes on commodity derivatives including those embedded in commercial contracts that are ineligible for hedge accounting but for which there will be an offsetting change in future group 
earnings 
g  during 2009 the group incurred further restructuring costs relating to the cost savings measures announced in december 2008 
h  other credits and charges that individually or in aggregate if of a similar type are of a nature or size to require exclusion in order to provide additional insight into underlying business performance 
  during 2008 the group incurred advisory and other costs related to the rejection by the board of the preconditional takeover proposal from bhp billiton which was withdrawn in november 2008 these 
costs totalled us270 million net of tax in 2008 and have been excluded from underlying earnings other charges excluded from underlying earnings in 2008 and 2009 comprise of costs relating to 
acquisitions disposals and similar corporate projects 
i  exclusions from underlying earnings relating to equity accounted units and discontinued operations are stated after tax   notes to the financial statements continued 
 
 156 rio tinto 2009 annual report 
financial statements 
3  net operating costs  
 note 
2009 
usm 
2008
usm 
raw materials and consumables  11501  16248 
amortisation of intangible assets 12 387  429 
depreciation of property plant  equipment 13 3040  3046 
employment costs  4 6198  6603 
repairs and maintenance  1771  1960 
shipping costs  1828  2495 
other freight costs  756  815 
decreaseincrease in finished goods and work in progress  517  163
royalties   1539  1946 
amounts charged by jointly controlled entities 
a
  2420  2473 
net foreign exchange lossesgains  123  379
other external costs  3127  2230 
provisions including exchange lossesgains on provisions 27 930  265 
research and development  193  307 
costs included above qualifying for capitalisation  136 259
other operating income  376 375
net operating costs excluding items shown separately  33818  37641 
a  amounts charged by jointly controlled entities mainly relate to toll processing but also include purchases from jointly controlled entities of bauxite and aluminium which are then processed by the product 
group or sold to third parties generally purchases are in proportion to the group’s share of the jointly controlled entity but in 2009 us491 million 2008 nil related to purchases of the other venturer’s 
share of production  
 information on auditors’ remuneration is included in note 43 
4  employment costs 
 note 
2009 
usm 
2008
usm 
employment costs     
– wages and salaries  6130  6414 
– social security costs  101  113 
– net post retirement cost 
a
 50 524  502 
– share option chargecredit 
b
 49 177  22
  6932 7007 
less charged within provisions  734 404
total employment costs 3 6198  6603 
a  post retirement costs include the aggregate service and interest cost of providing post retirement benefits under defined benefit plans net of the related expected return on plan assets additional detail of 
the amount charged to the income statement in respect of post retirement plans and the treatment of actuarial gains and losses is shown in note 50 
b  further details of the group’s share options and other share based payment plans are given in note 49   
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5  impairment charges 
 
pretax
2009
usm 
taxation
2009
usm 
outside interests 
2009 
usm 
net amount
2009
usm 
net amount
2008
usm 
aluminium 
b
 30467 25  212 6127
alcan engineered products 
c
 687187 –  500 980
diamonds 
e
 525177 –  348 107
hismelt® 
f
 – – –  – 182
other 5714 –  43 168
total 
a
 1573445 25  1103 7564
a  the majority of the 2009 pretax impairment charge relates to property plant and equipment us1290 million and intangible assets us179 million with the remainder relating to investments in 
equity accounted units the majority of the 2008 impairment charge related to goodwill us6621 million property plant and equipment us1222 million and intangible assets us129 million with 
the remainder relating to investments in equity accounted units 
b  the 2009 impairment charge related mainly to the planned closure of certain smelters and was caused by a decrease in short term price assumptions at the date of the impairment review the recoverable 
amount was based on fair value less costs to sell and was assessed in line with the policy in note 1i  
 the 2008 impairment charge related mainly to the writedown of goodwill resulting from the annual impairment review due to the deferral of growth projects following significant weakening in economic 
and market circumstances and increases in input costs  
c  alcan engineered products is part of the alcan group that was acquired in october 2007 and forms part of other operations it manufactures engineered or fabricated aluminium products  
 on 1 december 2009 rio tinto announced that it had completed the sale of alcan composites for us349 million the group’s intention is to sell the remaining businesses relating to alcan engineered 
products as such the recoverable amount has been based on fair value less costs to sell which represents the group’s best estimate of the expected proceeds to be realised from the sale of the remaining 
alcan engineered products businesses less an estimate of remaining costs to sell the estimated proceeds are assessed in line with the policy in note 1i  
 the weak economic environment continued to put downward pressure on the sales prices for these divestment businesses and resulted in the impairment of the property plant and equipment relating to 
the alcan engineered products businesses 
d  the specific details of the impairment review relating to alcan packaging are set out in note 19 
e  the impairment to the group’s diamonds business during 2009 was caused by weak demand for luxury items and higher input costs impairment of property plant and equipment was assessed by 
reference to the fair value less costs to sell of the cash generating units cgus the determination of fair value less costs to sell was based on the policy in note 1i this estimate was derived from 
discounting projections of cash flows using valuation assumptions that a buyer might be expected to apply  
f  in 2008 full provision was made against the carrying value of the hismelt® operation which is within the iron ore product group operations at the kwinana plant have been suspended and the group’s 
future role in developing this technology is under review leading to doubt about the recoverability of the amount invested 
g  total impairment charges in 2008 excluded from underlying earnings includes us15 million relating to equity accounted units which is not included in the table above 
6  share of profit after tax of equity accounted units 
 
2009
usm 
2008
usm 
sales revenue 
a
 3020 3801 
operating costs 1717 2158
profit before finance items and taxation 1303 1643 
exchange gains on net debt 4 37 
gainslosses on currency and interest rate derivatives not qualifying for hedge accounting 9 19
net interest payable 55 45
amortisation of discount  7 17
share of profit after tax of equity accounted units 23 36 
profit before taxation 1277 1635 
taxation 491 596
profit for the year rio tinto share 786 1039 
a  the sales revenue of equity accounted units excludes charges by jointly controlled entities to group subsidiaries  
7  interest receivable and payable  
 note 
2009
usm 
2008
usm 
interest receivable and similar income from     
– equity accounted units  36 43 
– other investments 
a
  66 107 
  102 150 
other interest receivable  18 54 
total interest receivable and similar income  120 204 
    
interest payable and similar charges 
b
  1127 1821
amounts capitalised 13 198 203 
total interest payable and similar charges  929 1618
a  interest income from other investments comprises us45 million 2008 us72 million of interest income from bank deposits and us21 million 2008 us35 million from other financial assets 
b  interest payable and similar charges relates to interest on bank loans and other borrowings this includes a fair value loss on the interest rate swaps designated as hedges of us59 million and an offsetting 
fair value gain on bank borrowings attributable to interest rate risk of us59 million 2008 fair value gain on the interest rate swaps of us669 million and a us655 million fair value loss on bank 
borrowings attributable to interest rate risk   notes to the financial statements continued 
 
 158 rio tinto 2009 annual report 
financial statements 
8  tax on profit 
 note 
2009 
usm 
2008
usm 
uk taxation     
corporation tax at 28     
– current  1  – 
– deferred  – 46
  1  46
australian taxation    
corporation tax at 30     
– current  1829  3005 
– deferred  391  812
  2220  2193 
other countries taxation    
– current  763  1711 
– deferred  908 116
  145 1595 
total taxation charge    
– current  2593  4716 
– deferred 18 517 974
  2076  3742 
 
prima facie tax reconciliation 
2009 
usm 
2008
usm 
profit before taxation 7860  9178 
deduct share of profit after tax of equity accounted units 786 1039
parent companies’ and subsidiaries’ profit before tax 7074  8139 
   
prima facie tax payable at uk rate of 28  1981  2279 
higher rate of taxation on australian earnings at 30 136  226 
impact of items excluded in arriving at underlying earnings 
a
 347  919 
adjustments to deferred tax liabilities following changes in tax rates 22 25
other tax rates applicable outside the uk and australia  113  206 
resource depletion and other depreciation allowances 132 129
research development and other investment allowances 55 72
utilisation of previously unrecognised deferred tax assets 36 160
unrecognised current year operating losses 105  163 
foreign exchange differences 167 197 
withholding taxes 73  95 
nontaxable gains on asset disposals 
b
 208 – 
other items 59 43 
total taxation charge 
c
 2076  3742 
a  an analysis of the impact on the tax reconciliation of items excluded in arriving at underlying earnings is given below 
 
2009 
usm 
2008
usm 
impairment charges 5 1806 
disposal of interests in businesses –  136 
exchange lossesgains on intragroup balances 332  723
exchange gains on external debt –  332
exchange lossesgains on derivatives and others 25 19
other exclusions 5 51 
 347  919 
b  the nontaxable gains on asset disposals relate to undeveloped potash assets in argentina  
c  this tax reconciliation relates to the parent companies subsidiaries and proportionally consolidated units the group’s share of profit of equity accounted units is net of tax charges of us491 million 
2008 us596 million   
 wwwriotintocom 159
shareholder 
information 
financial
statements
 
d  the tax creditcharge relating to components of other comprehensive income is as follows 
 2009 2008 
 
attributable to 
shareholders of 
rio tinto 
usm 
outside 
interests 
usm 
total 
usm 
attributable to 
shareholders of 
rio tinto  
usm 
outside 
interests 
usm 
total 
usm 
tax on exchange adjustments – – – 99  – 99 
cash flow hedge fair value lossesgains       
– cash flow hedge fair value lossesgains 62 35 97 11 8 19
– cash flow hedge losses transferred to the 
income statement 10 10 20 77 35 112
gainslosses on available for sale securities 1 – 1 10  – 10 
gains on revaluation of available for sale 
securities transferred to the income statement 1 – 1 – – – 
actuarial losses on post retirement benefit plans 233 1 232 457  7 464 
deferred tax on share options 50 – 50 179 – 179
 335 24 359 299  36 263 
share of tax on other comprehensive 
incomeexpense of equity accounted units 38 – 38 19 – 19
tax relating to components of other 
comprehensive incomeexpense  
for the year 
a
 297 24 321 280  36 244 
a this includes us319 million 2008 us205 million of deferred tax and us2 million 2008 us39 million of current tax see note 18 
9  earningsloss per ordinary share 
 
2009 
earnings
usm 
2009
weighted
average
number of
shares
millions 
2009  
per share  
amount
a
cents  
2008  
earnings 
usm 
2008
weighted
average
number of
shares
millions 
2008   
per share   
amount
a
cents   
basic earnings per share attributable to  
ordinary shareholders of rio tinto – 
continuing operations 5321 17636 3017 4503  15701 2868 
basic loss per share attributable to ordinary 
shareholders of rio tinto – discontinued 
operations 449 17636 255 827 15701 527
total basic earnings per share – profit for  
the year 
b
 4872 17636 2762 3676  15701 2341 
diluted earnings per share attributable to 
ordinary shareholders of rio tinto – 
continuing operations 5321 17696 3007 4503  15773 2855 
diluted loss per share attributable to ordinary 
shareholders of rio tinto – discontinued 
operations 449 17696 254 827 15773 524
total diluted earnings per share – profit for  
the year 
c
 4872 17696 2753 3676  15773 2331 
underlying earnings per share attributable  
to ordinary shareholders 
d
       
– basic 
b
 6298 17636 3571 10303  15701 6562 
– diluted 
c
 6298 17696 3559 10303  15773 6532 
a  the rights issues were at a discount to the then market price accordingly earnings per share for all periods up to the date on which the shares were issued have been adjusted for the bonus element of the 
issues the bonus factor for rio tinto plc was 12105 and for rio tinto limited was 12679 the 2008 comparatives have been restated accordingly other information relating to the rights issues is shown 
in note 46  
b  the weighted average number of shares is calculated as the average number of rio tinto plc shares outstanding not held as treasury shares of 13661 million 2008 restated 12078 million plus the 
average number of rio tinto limited shares outstanding not held by rio tinto plc of 3975 million 2008 restated 3623 million 
c  for the purposes of calculating diluted earnings per share the effect of dilutive securities of 60 million shares in 2009 2008 58 million shares is added to the weighted average number of shares 
described in b above this effect is calculated under the treasury stock method the group’s only potential dilutive ordinary shares are share options for which terms and conditions are described  
in note 49  
d   underlying earnings per share is calculated from underlying earnings detailed information on which is given in note 2 
  notes to the financial statements continued 
 
 160 rio tinto 2009 annual report 
financial statements 
10  dividends 
 2009 
usm 
2008
usm 
rio tinto plc previous year final dividend paid  670  838 
rio tinto plc interim dividend paid  –  679 
rio tinto limited previous year final dividend paid  206  228 
rio tinto limited interim dividend paid  – 188 
dividends paid during the year 876 1933 
   
dividends per share paid during the year restated 556c 1243c 
dividends per share proposed in the announcement of the results for the year 2008 restated 450c 556c 
 
 restated 
number 
of shares 
2009 
millions 
restated
number
of shares
2008
millions 
rio tinto plc previous year final  12084 12078 
rio tinto plc interim  – 12082 
rio tinto limited previous year final – fully franked at 30  3623 3623 
rio tinto limited interim – fully franked at 30  – 3623 
the dividends paid in 2009 are based on the following us cents per share amounts 2008 final restated – 556 cents 2009 interim – nil  
2008 dividends paid 2007 final restated – 687 cents 2008 interim restated – 556 cents the 2008 and 2007 dividends per share have  
been restated using a number of shares which reflects the discounted price of the 2009 july rights issues ‘the bonus factor’ refer to note 46  
for further details  
the number of shares on which the rio tinto limited dividends are based excludes those shares held by rio tinto plc in order that the dividends 
shown represent those paid to public shareholders the number of shares on which rio tinto plc dividends are based excludes those held as 
treasury shares  
in addition the directors of rio tinto announced a final dividend of 450 cents per share on 11 february 2010 this is expected to result in 
payments of us882 million rio tinto plc us686 million rio tinto limited us196 million the dividends will be paid on 1 april 2010 to  
rio tinto plc shareholders on the register at the close of business on 26 february 2010 and to rio tinto limited shareholders on the register at 
the close of business on 2 march 2010 
the proposed rio tinto limited dividends will be franked out of existing franking credits or out of franking credits arising from the payment  
of income tax during 2010 
the approximate amount of the rio tinto limited consolidated tax group’s retained profits and reserves that could be distributed as dividends 
and franked out of credits that arose from net payments of income tax in respect of periods up to 31 december 2009 after deducting franking 
credits expected to be utilised on the 2009 final dividend declared is us13035 million 
11  goodwill 
 
2009 
usm 
2008
usm 
net book value   
at 1 january  14296  21105 
adjustment on currency translation 156  196
additions –  8 
disposals 184 – 
impairment charges –  6621
at 31 december 14268  14296 
– cost 20854  21123 
– accumulated impairment 6586 6827
   
at 1 january    
– cost 21123 21366 
– accumulated impairment 6827 261
   
 wwwriotintocom 161
shareholder 
information 
financial
statements
impairment tests for goodwill  
at 31 december 2009 goodwill has been allocated as follows  
 2009
usm 
2008
usm 
net book value   
aluminium 13691 13563 
australian iron ore 446 345 
other 131 388 
 14268 14296 
aluminium 
the majority of the group’s goodwill has been allocated to cash generating units within the aluminium group of cash generating units 
‘aluminium’ which includes both alcan and the aluminium businesses previously owned by rio tinto which are now managed as a single 
business a large component of aluminium’s carrying value relates to the former alcan businesses purchased in 2007 
aluminium’s annual impairment review resulted in no impairment charge for 2009 2008 us6127 million after taxation the recoverable 
amount has been assessed by reference to fair value less costs to sell using discounted cash flows in line with the policy in note 1i  
in arriving at fair value less costs to sell a posttax discount rate of 68 per cent has been applied to the posttax cash flows expressed in real 
terms fair value less costs to sell was determined by estimating cash flows for a period of 12 years the cash flow projections are based on long 
term production plans these cash flows are then aggregated with a ‘terminal value’ the terminal value represents the value of cash flows 
beyond the twelfth year incorporating an annual real term growth rate of one and a half percent with a corresponding increase in capital 
expenditure to support the real term growth rate aluminium benefits from a global marketplace with substantial barriers to entry and there are  
a limited number of competitors who are able to access effectively the key resources necessary to make aluminium in addition continued global 
industrialisation is expected to support demand for aluminium the operating cost levels included in the fair value assessment are calculated 
based on aluminium’s long term production plans price assumptions for inputs into the aluminium smelting process are based on analysis of 
market fundamentals and are made consistent with related output price assumptions approximately 80 per cent of aluminium’s production is 
located in the first half of the industry cost curve aluminium’s intention is to maintain and where possible improve its relative position on the 
industry cash cost curve 
the key assumptions to which the calculation of fair value less costs to sell for aluminium is most sensitive are the long term aluminium price 
the canadian dollar and australian dollar exchange rates against the us dollar operating costs and discount rates cash flows for the periods 
included in the projections were translated into the functional currency using the group’s estimate of future exchange rates future selling  
prices and operating costs have been estimated in line with the policy in note 1i management believes that currently there are no reasonably 
possible changes in any of the key assumptions that would lead to the recoverable amount being below the carrying amount except for the long 
term aluminium price 
the long term aluminium price used in the terminal year of the fair value calculations include a component to reflect the impact of carbon 
pricing the group’s price without this carbon element is within the range of market consensus of us2014 to us2578 per tonne with  
an average of us2347 per tonne in real terms the carbon element within the long term price used in the fair value calculations is based on a 
price per tonne of carbon dioxide ‘co
2
’ emissions this price is also comparable to the range published by market commentators of between 
us10 and us35 per tonne of carbon dioxide emissions in real terms the relationship between the price per tonne of carbon dioxide emissions 
and the price per tonne of aluminium is dependent on how many tonnes of carbon dioxide are used per tonne of aluminium produced by 
marginal cost smelters industry data show that emissions for all producers range from about two tonnes to in excess of 15 tonnes of co
2
 per 
tonne of aluminium produced depending on the primary energy source used to generate the consumed electric power the weighted industry 
average for all producers is approximately 810 tonnes of co
2
 per tonne of aluminium the assumptions used in the group’s long term 
aluminium price used in the terminal year imply a carbon emission intensity for the marginal producers above the weighted industry average but 
below the top end of the industry range 
based on the assessment of fair value less costs to sell the recoverable amount exceeds the carrying value by approximately 21 per cent  
the calculation is highly sensitive to changes in the long term aluminium price and an eight per cent decrease in the long term aluminium price  
in isolation would lead to the fair value less costs to sell of aluminium being equal to its carrying amount however management believe that a 
decrease in the long term aluminium price would have an associated beneficial impact on input costs which would to a certain extent offset the 
impact of the change in the long term aluminium price in addition the assumed relationship between the long term aluminium price and the 
australian and canadian currencies provides further natural protection in the long term see also note 33 – financial risk management 
australian iron ore  
the recoverable amount of the goodwill relating to australian iron ore has been assessed by reference to fair value less costs to sell valuations 
are based on cash flow projections that incorporate best estimates of selling prices ore grades production rates future sustaining capital 
expenditure and production costs over the life of each mine in line with normal practice in the mining industry the cash flow projections are 
based on long term mine plans covering the expected life of each operation therefore the projections generally cover periods well in excess  
of five years 
assumptions about selling prices operating costs exchange rates and discount rates are particularly important in these valuations   notes to the financial statements continued 
 
 162 rio tinto 2009 annual report 
financial statements 
11  goodwill continued 
future selling prices and operating costs have been estimated in line with the policy in note 1i long term average selling prices are forecast 
taking account of estimates of the costs of producers of each commodity forecasts of operating costs are based on detailed mine plans which 
take account of all relevant characteristics of the ore body 
goodwill relating to australian iron ore has been reviewed applying a discount rate of 68 per cent to the posttax cash flows expressed in real 
terms if assessed based on pretax cash flows expressed in real terms the equivalent pretax discount rate would be around 95 per cent 
there are no reasonably possible changes in key assumptions which would cause the goodwill allocated to australian iron ore to be impaired 
other 
the recoverability of the remaining goodwill which is included within other in the table above has been assessed by reference to fair value 
using assumptions consistent with those described above the recoverable amounts were determined to be in excess of carrying value and there 
are no reasonably possible changes in key assumptions that would cause the remaining goodwill to be impaired by a significant amount 
12  intangible assets 
year ended 31 december 2009 
 
exploration and   
evaluation
a
usm   
trademarks
patented and
non patented
technology
usm 
contract    
based    
intangible    
assets
b
 
usm    
other 
intangible 
assets 
usm 
total
usm 
net book value      
at 1 january 2009  133 444 5208  500  6285 
adjustment on currency translation 10 6 2  71  89 
expenditure during the year 2 – – 53  55 
amortisation for the year  – 25 188 174 387
impairment charges – 23 156 – 179
subsidiaries now equity accounted – – – 2 2
subsidiaries no longer consolidated – 113 54 –  167
disposals transfers and other movements – – 10 46  36 
at 31 december 2009 145 289 4802  494  5730 
– cost 145 398 5445  1062  7050 
– accumulated amortisation – 109 643 568 1320
 
year ended 31 december 2008 
exploration and   
evaluation
a
usm   
trademarks
patented and
non patented
technology
usm 
contract    
based    
intangible    
assets
b
 
usm    
other 
intangible 
assets 
usm 
total
usm 
net book value      
at 1 january 2008 152 568 5500  584  6804 
adjustment on currency translation 10 9 6 69 94
expenditure during the year – – – 105  105 
amortisation for the year – 44 230 155 429
impairment charges – 57 69 3 129
disposals transfers and other movements 9 14 13  38  28 
at 31 december 2008 133 444 5208  500  6285 
– cost 133 565 5532  829  7059 
– accumulated amortisation – 121 324 329 774
at 1 january 2008      
– cost 152 576 5529  820  7077 
– accumulated amortisation – 8 29 236 273
a  exploration and evaluation useful life not determined until transferred to property plant  equipment 
b  the group benefits from certain intangible assets acquired with alcan including power supply contracts customer contracts and water rights the water rights are expected to contribute to the efficiency 
and cost effectiveness of operations for the foreseeable future accordingly these rights are considered to have indefinite lives and are not subject to amortisation these water rights constitute the majority 
of the amounts in the column of the above table entitled ‘contract based intangible assets’ 
 intangible assets with indefinite lives were provisionally valued at acquisition based on the advice of expert valuation consultants and subsequently this valuation was finalised in 2008 the carrying 
values are reviewed for impairment annually or at any time an indicator of impairment is considered to exist they are reviewed for impairment as part of the cash generating units to which they relate 
the water rights have been allocated to cash generating units within aluminium  
 in 2009 the recoverable amount of these cash generating units was determined based on fair value less costs to sell using a methodology and assumptions consistent with those described in note 1i and 
note 11 no impairment of these indefinitelived intangible assets was recognised during 2009 as the fair value less costs to sell of the related cash generating units was in excess of their carrying amounts  
 in 2008 the recoverable amount of these cash generating units was determined based on value in use using a methodology and assumptions consistent with those described in note 1i no impairment of 
these indefinitelived intangible assets was recognised during 2008 as the value in use of the related cash generating units was in excess of their carrying amounts 
c  there are no intangible assets either pledged as security or held under restriction of title   
 wwwriotintocom 163
shareholder 
information 
financial
statements
exploration and evaluation expenditure 
the charge for the year and the net amount of intangible assets capitalised during the year are as follows 
 2009
usm 
2008
usm 
net proceedsexpenditure in the year net of proceeds of us932 million 2008 us673 million on  
disposal of undeveloped projects  
486 440
changes in accruals including impairment of undeveloped projects of nil 2008 us156 million  
and non cash proceeds on disposal of undeveloped projects 
104 205
amount capitalised during the year 2 – 
net creditcharge for the year  380 645
reconciliation to income statement  
exploration and evaluation costs 514 1134
profit on disposal of interests in undeveloped projects 894 489 
net creditcharge for the year  380 645
13  property plant and equipment 
year ended 31 december 2009 
mining   
properties   
and leases
a
usm   
land and   
buildings
b
usm   
plant and 
equipment 
usm 
capital
works in
progress
usm 
total 
usm 
net book value      
at 1 january 2009 6118 5706 22112  7817 41753 
adjustment on currency translation 1130 349 2890  1257 5626 
capitalisation of additional closure costs note 27 268 – – – 268 
interest capitalised 
c
 note 7 8 – 9  181 198 
additions 242 115 1346  3108 4811 
depreciation for the year 
a
 412 364 2264 – 3040
impairment charges net of reversals 170 308 473 321 1272
disposals 4 16 49 21 82
subsidiaries now equity accounted  250 156 476 349 1231
subsidiaries no longer consolidated 319 184 503 6 1012
transfers and other movements 
d
 119 816 3003  4154 216
at 31 december 2009 6738 5958 25595  7512 45803 
– cost 11028 8973 41990  8154 70145 
– accumulated depreciation 4290 3015 16395 642 24342
fixed assets held under finance leases 
e
 – 21 67  – 88 
other fixed assets pledged as security 
f
 6 15 1703  27 1751 
refer to notes on page 164  notes to the financial statements continued 
 
 164 rio tinto 2009 annual report 
financial statements 
13  property plant and equipment continued 
year ended 31 december 2008 
mining   
properties   
and leases
a
usm   
land and   
buildings
b
usm   
plant and 
equipment 
usm 
capital 
works in 
progress 
usm 
total 
usm 
net book value      
at 1 january 2008 7131 5384 23955  5498  41968 
adjustment on currency translation 1075 374 2787 1050 5286
capitalisation of additional closure costs note 27 380 – – 13  393 
interest capitalised 
c
 note 7 13 – – 190  203 
additions 234 296 1861  6581  8972 
depreciation for the year 
a
 5173362178 15 3046
impairment charges net of reversals 99 219 792 112 1222
disposals – 16 64 15 95
subsidiaries no longer consolidated 48 4 56 6 114
transfers and other movements 
d
 99 975 2173  3267 20
at 31 december 2008 6118 5706 22112  7817  41753 
– cost 9496 7894 35140  8091  60621 
– accumulated depreciation 3378 2188 13028 274 18868
at 1 january 2008      
– cost 10911 7347 36265  5858  60381 
– accumulated depreciation 3780 1963 12310 360 18413
fixed assets held under finance leases 
e
 – 21 19  – 40 
other fixed assets pledged as security 
f
 20 – 1400  7  1427 
a  mining properties include deferred stripping costs of us900 million 2008 us820 million amortisation of deferred stripping costs of us3 million 2008 us35 million is included within ‘depreciation 
for the year’ there was also us59 million 2008 nil impairment of deferred stripping costs charged to the income statement 
b  at 31 december 2009 the net balance sheet amount for land and buildings includes freehold us5834 million 2008 us5557 million long leasehold us83 million 2008 us76 million and short 
leasehold us41 million 2008 us73 million 
c interest is capitalised at a rate based on the group’s cost of borrowing or at the rate on project specific debt where applicable the group’s average borrowing rate used for capitalisation of interest is  
42 per cent 2008 39 per cent 
d ‘transfers and other movements’ includes reclassifications between categories 
e the finance leases under which these assets are held are disclosed in note 23 
f excludes assets held under finance leases fixed assets pledged as security represent amounts pledged as collateral against us224 million 2008 us234 million of loans which are included in note 22 
14  investments in equity accounted units 
summary balance sheet rio tinto share 
2009 
usm 
2008
usm 
rio tinto’s share of assets   
non current assets 9707  7733 
current assets 2329  1921 
 12036  9654 
rio tinto’s share of liabilities   
current liabilities 1089 1551
non current liabilities  4212 3050
 5301 4601
rio tinto’s share of net assets 
a
 6735  5053 
a  further details of investments in jointly controlled entities and associates are set out in notes 38 and 39 
at 31 december 2009 the quoted value of the group’s share in associates having shares listed on recognised stock exchanges was us1230 million 
2008 us149 million 
investments in equity accounted units at 31 december 2009 include goodwill of us1782 million 2008 us1582 million 
   
 wwwriotintocom 165
shareholder 
information 
financial
statements
15  net debt of equity accounted units excluding amounts due to rio tinto 
 
group
interest
2009
 
rio tinto 
share of 
net debt 
2009 
usm 
group
interest
2008
 
rio tinto
share of
net debt
2008
usm 
jointly controlled entities     
minera escondida limitada 300 226  300 427 
sohar aluminium company llc 200 343  200 336 
queensland alumina limited qal 800 18  800 13
halco mining inc 450 37  450 28 
alcan ningxia aluminium company limited – – 500 45 
richards bay minerals 
d
 370 199  – – 
     
associates     
tisand pty limited 
d
 – – 500 50 
ivanhoe mines ltd 197 58 99 10
port waratah coal services 276 225  276 184 
mineração rio do norte sa  120 36  120 29 
cloud peak energy resources llc 483 170  – – 
     
other equity accounted units – 99 – 83
  1097   993 
a  in accordance with ias 28 and ias 31 the group includes its net investment in equity accounted units in its consolidated statement of financial position this investment is net of the group’s share of the 
net debt of such units which is set out above further details of investments in jointly controlled entities and associates are set out in notes 38 and 39 
b  some of the debt of equity accounted units is subject to financial and general covenants 
c  none of the debt shown above is with recourse to rio tinto at 31 december 2009 2008 us292 million 
d  on 9 december an agreement was signed with a broadbased black economic empowerment bbbee consortium transferring 26 per cent of the group’s interest in richards bay minerals ‘rbm’ to a 
group comprising local communities investors and rbm employees at the same time the group’s interest in rbm was restructured such that the 2009 net debt balance relates to the restructured holding 
in rbm which includes tisand pty limited the 2008 balance relates only to tisand pty limited  
16  inventories 
 
2009
usm 
2008
usm 
raw materials and purchased components 1120 1100 
consumable stores 1278 1108 
work in progress 1410 1800 
finished goods and goods for resale 1365 1765 
 5173 5773 
comprising   
expected to be used within one year 4889 5607 
expected to be used after more than one year 284 166 
 5173 5773 
inventory write downs amounting to us99 million 2008 us280 million were recognised during the year   notes to the financial statements continued 
 
 166 rio tinto 2009 annual report 
financial statements 
17  trade and other receivables 
 
non current
2009
usm 
current 
2009 
usm 
non current 
2008 
usm 
current
2008
usm 
trade receivables 14 3442  –  3792 
provision for doubtful debts – 62 – 71
trade receivables – net 14 3380  – 3721 
amounts due from equity accounted units  320 197  – 253 
other receivables 247 641  166  962 
pension surpluses note 50 15 2  137  23 
prepayment of tolling charges to jointly controlled entities 
a
 424 –  435  – 
other prepayments  355 227  373  442 
 1375 4447  1111  5401 
a rio tinto aluminium has made certain prepayments to jointly controlled entities for toll processing of bauxite and alumina these prepayments will be charged to group operating costs as processing  
takes place  
there is no material element of trade and other receivables that is interest bearing 
due to their short term maturities the fair value of trade and other receivables approximates their carrying value  
at 31 december 2009 trade and other receivables of us62 million 2008 us71 million were impaired the majority of these receivables were 
more than 90 days overdue  
at 31 december 2009 trade and other receivables of us454 million 2008 us427 million were past due but not impaired the ageing of these 
receivables is as follows  
 
2009 
usm 
2008
usm 
less than 30 days overdue 262 242 
between 30 and 60 days overdue 93 101 
between 60 and 90 days overdue 18 40 
more than 90 days overdue 81 44 
 454  427 
these relate to a number of customers for whom there is no recent history of default or other indicators of impairment  
with respect to trade and other receivables that are neither impaired nor past due there are no indications as of the reporting date that the 
debtors will not meet their payment obligations  
the provision for doubtful trade receivables decreased by us9 million in 2009 2008 us1 million of which us12 million was from net 
reversals of provisions credited within other external costs and us3 million other movements mainly from currency translation   
 wwwriotintocom 167
shareholder 
information 
financial
statements
18  deferred taxation 
 
2009
usm 
2008
usm 
at 1 january 2687 4327 
adjustment on currency translation 297 287
credited to the income statement 517 974
credited to statement of comprehensive income 
a
 319 205
subsidiaries no longer consolidated 82 – 
subsidiaries now equity accounted 14 – 
transfer from asset held for sale 190 – 
other movements 
b
 211 174
at 31 december 2073 2687 
   
comprising   
– deferred tax liabilities 
c
 4304 4054 
– deferred tax assets 
c
 2231 1367
deferred tax balances for which there is a right of offset within the same jurisdiction are presented net on the face of the balance sheet as 
permitted by ias 12 the closing deferred tax liabilities and assets prior to this offsetting of balances are shown below 
 
uk tax
usm 
australian tax
usm 
other  
countries’ tax 
usm 
total
2009
usm 
total
2008
usm 
deferred tax liabilities arising from      
accelerated capital allowances 94 1750 4138  5982 6468 
post retirement benefits – – – – 29 
unremitted earnings – – 616  616 340 
unrealised exchange losses – 47 37  84 493 
other temporary differences 1 347 246  594 161 
 95 2144 5037  7276 7491 
deferred tax assets arising from      
capital allowances – 48 15 63 202
provisions 717371100 1908 1468
post retirement benefits 167 30 1359 1556 1129
tax losses 303 132 851 1286 899
unrealised exchange losses – 149 – 149 1076
other temporary differences 11 95 135 241 30
 55211913460 5203 4804
      
creditedcharged to the income statement      
deceleratedaccelerated capital allowances 11 177 554 388 132
provisions 3223135  228 203 
post retirement benefits 11 8 13 6 100 
tax losses 15 119 344 448 20 
tax on unremitted earnings – 4 22 18 22 
unrealised exchange losses – 577 41  618 1039
other temporary differences 17 25 51 59 148
 – 391 908 517 974
a  the amounts credited directly to the statement of comprehensive income relate to tax relief on share options provisions for tax on exchange differences on intragroup loans qualifying for reporting as part 
of the net investment in subsidiaries on cash flow hedges and on actuarial gains and losses on pension schemes and post retirement healthcare plans 
b  ‘other movements’ include deferred tax relating to tax payable recognised by subsidiary holding companies on the profits of the equity accounted units to which it relates as well as the movements in the 
estimated tax accrual relating to the divestment of the alcan packaging businesses  
c  the deferred tax liability of us4304 million 2008 us4054 million includes us4091 million 2008 us3866 million due in more than one year the deferred tax asset of us2231 million 2008 
us1367 million includes us2109 million 2008 us594 million receivable in more than one year 
d  us1426 million 2008 us1311 million of potential deferred tax assets have not been recognised as assets in these accounts there is a time limit for the recovery of us20 million of these potential 
assets 2008 us32 million us620 million 2008 us1067 million of the potential assets relates to realised or unrealised capital losses recovery of which depends on the existence of capital gains in 
future years us503 million 2008 us543 million of the potential assets relates to trading losses in france which were acquired as part of the alcan acquisition 
e  deferred tax is not recognised on the unremitted earnings of subsidiaries and jointly controlled entities where the group is able to control the timing of the remittance and it is probable that there will be 
no remittance in the foreseeable future if these earnings were remitted tax of us888million 2008 us1130 million would be payable the reduction from prior year is due to the introduction of an 
exemption from taxation for foreign dividends in the uk in 2009 
f  there is a limited time period for the recovery of us401 million 2008 us187 million of tax losses which have been recognised as deferred tax assets in the financial statements   notes to the financial statements continued 
 
 168 rio tinto 2009 annual report 
financial statements 
19  assets held for sale 
at 31 december 2009 and 2008 assets and liabilities held for sale mainly comprise alcan’s packaging group ‘packaging’ in the announcement 
of rio tinto’s offer for alcan on 12 july 2007 it was stated that rio tinto and alcan had agreed to divest packaging as packaging was acquired 
with a view to resale its results are excluded from the group’s profit from continuing operations  
an impairment of us318 million 31 december 2008 us960 million relating to the packaging business has been recognised during the year 
ended 31 december 2009 and is included in ‘loss after tax from discontinued operations’ ‘loss after tax from discontinued operations’ of 
us449 million 31 december 2008 us827 million also includes a us131 million tax charge 31 december 2008 us133 million tax benefit 
relating to an increase in the group’s estimate of the tax to be paid on sale of the packaging business  
packaging’s fair value less costs to sell represents the group’s best estimate of the expected proceeds to be realised from the sale of packaging less 
an estimate of remaining costs to sell this estimate is based on proceeds from the sale of the global pharmaceuticals global tobacco food europe 
and food asia divisions to amcor which was completed on 1 february 2010 proceeds from the sale of the food americas division to bemis 
which was announced on 6 july 2009 and an estimate of fair value less costs to sell for packaging’s remaining businesses assessed in line with 
the policy in note 1i  
packaging’s impairment reduced the ‘assets held for sale’ line of the group’s statement of financial position  
20 other financial assets 
 
non current
2009
usm 
current 
2009 
usm 
non current 
2008 
usm 
current
2008
usm 
currency and commodity contracts designated as hedges – 8  38  60 
derivatives and embedded derivatives not related to net debt  
not designated as hedges 
a
 65 226  –  87 
equity shares and quoted funds 439 219  150  111 
other investments including loans  337 168  478  2 
other liquid resources non cash equivalent – 73  –  4 
 841 694  666  264 
a derivatives and embedded derivatives not designated as hedges include amounts of us65 million 2008 us21 million which mature beyond one year  
detailed information relating to other financial assets is given in note 34  
21 cash and cash equivalents 
 
2009 
usm 
2008
usm 
cash at bank and in hand 831  629 
short term bank deposits 3402  552 
 4233  1181 
bank overdrafts repayable on demand unsecured 91 147
balance per group cash flow statement 4142  1034 
cash and cash equivalents include us16 million 2008 us97 million for which there are restrictions on remittances   
 wwwriotintocom 169
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information 
financial
statements
22 borrowings 
borrowings at 31 december notes 
non current
2009
usm 
current 
2009 
usm 
non current
2008
usm 
current
2008
usm 
syndicated bank loans 
a
  8 480 – 19050 8846 
      
other bank loans  – – – 582 
      
commercial paper  – – – 90 
      
other loans      
finance leases 23 104 19  61 28 
rio tinto finance usa limited bonds 7125 2013  100 – 100 – 
rio tinto finance usa limited bonds 5875 2013 
c
  2622 – 2664 – 
rio tinto finance usa limited bonds 65 2018 
c
  1878 – 1953 – 
rio tinto finance usa limited bonds 7125 2028 
c
  871 – 912 – 
rio tinto finance usa limited bonds 8900 2014  1967 – – – 
rio tinto finance usa limited bonds 9250 2019  1449 – – – 
colowyo coal company lp bonds 956 2011  23 – 23 9 
colowyo coal company lp bonds 1019 2016  69 5  100 – 
alcan inc debentures 645 due 2011  406 – 410 – 
alcan inc global notes 4875 due 2012   494 – 497 – 
alcan inc global notes 450 due 2013  486 – 481 – 
alcan inc global notes 520 due 2014  495 – 493 – 
alcan inc global notes 500 due 2015   485 – 496 – 
alcan inc debentures 725 due 2028  109 – 109 – 
alcan inc debentures 725 due 2031  437 – 439 – 
alcan inc global notes 6125 due 2033  737 – 737 – 
alcan inc global notes 575 due 2035   281 – 281 – 
european medium term notes 
b
  – 322  295 – 
other secured loans  325 63  310 10 
other unsecured loans  337 347  313 322 
total borrowings  22155 756  29724 9887 
a in support of its acquisition of alcan inc in 2007 the group arranged for us40 billion in term loans and revolving credit facilities which were fully underwritten and subsequently syndicated the 
‘syndicated bank loans’ the syndicated bank loans were divided into four facilities as follows  
  facility a facility b facility c facility d 
facility amount us billions  15 10 5 10 
type  term loan revolving revolving term loan 
due   october 2009 october 2010 october 2012 december 2012 
repayment  bullet bullet bullet bullet 
outstanding balance us billions total     
at 31 december 2009 85 – – – 85 
at 31 december 2008 280 89 91  – 100 
undrawn facilities us billions      
at 31 december 2009  – 21  50 – 
at 31 december 2008  – 09  50 – 
 the amounts outstanding under these facilities are shown net of the unamortised costs of obtaining the facilities in addition to the syndicated bank loan facilities shown above there are us23 billion of 
unused committed bilateral banking facilities of which us10 billion matures december 2011 and us13 billion matures december 2012  
 facilities a and b were subject to mandatory prepayment and cancellation to the extent of the net proceeds from disposals of assets and from the raising of funds through equity or capital markets subject 
to specific thresholds and conditions all of facilities a and b have been repaid from the proceeds of the rights issues and disposal proceeds in 2009 the mandatory prepayments also reduced the available 
limit on facility b to us21 billion at 31 december 2009 refer to note 48 for partial repayment of facility d and cancellation of facility b subsequent to year end  
 the main financial covenant to which the group is subject is the covenant contained in the alcan facilities which requires it to maintain a ratio of net borrowings to ebitda of no greater than 45 times a 
compliance certificate must be produced for this ratio on a semi annual basis in addition the facility agreement contains restrictions on the group including that it be required to observe certain 
customary covenants including but not limited to i maintenance of authorisations ii compliance with laws iii change of business iv negative pledge subject to certain carve outs v environmental 
laws and licences and vi subsidiaries incurring financial indebtedness at 31 december 2009 the group is in compliance with the covenants contained in the alcan facilities  
b rio tinto has a us10 billion 2008 us10 billion european medium term note emtn programme for the issuance of debt of which approximately us03 billion was outstanding at 31 december 2009 
2008 us03 billion the group’s emtns are swapped to us dollars the fair value of currency swap liabilities at 31 december 2009 was us68 million 2008 us99 million these are included in ‘other 
financial liabilities’ in the statement of financial position details of the major currency swaps are shown in note 34b d  
c as at 31 december 2009 us5 billion of the fixed rate borrowings shown were swapped to floating rates 2008 none the fair value of interest rate swap liabilities at 31 december 2009 was us97 million 
2008 nil these are included in ‘other financial liabilities’ in the statement of financial position details of the major interest rate swaps are shown in note 34b d in december 2008 the group unwound 
interest rate swaps with a principal of us59 billion to take advantage of market conditions us50 billion of this amount was designated as a fair value hedge as a consequence the fair value 
adjustments which had been made to the hedged debt are being amortised to the income statement over the remaining life of the debt at 31 december 2009 the carrying value of the debt was us506 
million 2008 us565 million higher than the principal as a result of the unamortised fair value adjustment  
d the group’s borrowings of us229 billion 2008 us396 billion include some us46 billion 2008 us46 billion which relates to borrowings of subsidiaries that are without recourse to the group 
some of which are subject to various financial and general covenants with which the respective borrowers were in compliance as at 31 december 2009   notes to the financial statements continued 
 
 170 rio tinto 2009 annual report 
financial statements 
23 capitalised finance leases 
 
2009 
usm 
2008
usm 
present value of minimum lease payments   
total minimum lease payments 131  97 
effect of discounting 8 8
 123  89 
   
payments under capitalised finance leases   
due within one year  19  28 
between 1 and 3 years  40 11 
between 3 and 5 years 29  10 
more than 5 years 35  40 
 123  89 
24 consolidated net debt 
 
2009 
usm 
2008
usm 
analysis of changes in consolidated net debt   
at 1 january 38672 45191
adjustment on currency translation 2265 1296 
exchange gainslosses taken to the income statement 
a
 2222  1701
gains on derivatives related to net debt 20  105 
cash movements excluding exchange movements 19909  6864 
other movements 75 45
at 31 december 18861 38672
   
reconciliation to statement of financial position categories   
borrowings note 22 22911 39611
bank overdrafts repayable on demand note 21 91 147
cash and cash equivalents note 21 4233  1181 
other liquid resources note 20 73  4 
derivatives related to net debt note 34 165 99
 18861 38672
 
 
2009 
usm 
2008
usm 
exchange gainslosses on us dollar net debt and intragroup balances excluded from underlying earnings   
exchange gainslosses on us dollar net debt  2211  1675
exchange lossesgains on intragroup balances 1912 1523 
exchange gainslosses on loans from equity accounted units 36  36
exchange gain on settlement of dividend 30  12 
creditedcharged to income statement 365  176
a exchange gainslosses taken to the income statement include amounts taken to underlying earnings  
further information relating to the currency and interest rate exposures arising from net debt and related derivatives is given in note 34b d –
financial instruments   
 wwwriotintocom 171
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financial
statements
25 trade and other payables 
 
non current
2009
usm 
current 
2009 
usm 
non current
2008
usm 
current
2008
usm 
trade creditors – 1959  – 2875 
amounts owed to equity accounted units 197 205  11 269 
other creditors 
a
 128 512  243 641 
employee entitlements – 856  – 770 
royalties and mining taxes – 325  – 471 
accruals and deferred income 125 1865  79 2130 
government grants deferred 141 37  119 41 
 591 5759  452 7197 
a ‘other creditors’ include deferred consideration of us119 million 2008 us318 million relating to certain assets acquired the deferred consideration is included at its net present value  
the amortisation of the discount applied in establishing the net present value is treated as a finance cost all other accounts payable and accruals are non interest bearing 
due to their short term maturities the fair value of trade and other payables approximates their carrying value  
26 other financial liabilities 
 
non current
2009
usm 
current 
2009 
usm 
non current
2008
usm 
current
2008
usm 
forward commodity contracts designated as hedges 371 128  173 84 
derivatives related to net debt 97 68  95 4 
other derivatives and embedded derivatives not designated as hedges 133 167  – 355 
other financial liabilities – 49  – 37 
 601 412  268 480 
detailed information relating to other financial liabilities is given in note 34  notes to the financial statements continued 
 
 172 rio tinto 2009 annual report 
financial statements 
27 provisions not including taxation 
 
pensions   
and post   
retirement   
healthcare
a
usm   
other   
employee   
entitlements
b
usm   
close down and
restoration
environmental
cde
usm 
other
f
 
usm    
total 
2009 
usm 
total
2008
usm 
at 1 january 3713 523 6011 686  10933  11101 
adjustment on currency translation 123 103 638 49  913  959
amounts capitalised – – 268 – 268  393 
subsidiaries no longer consolidated – 1 94 12 107 42
subsidiaries now equity accounted 16 – 260 1 277 – 
chargedcredited to profit       
– new provisions – 23 1 38  62  53 
– increases to existing provisions 326 356 57 30  769  629 
– unused amounts reversed – 23 26 33 82 144
– exchange lossesgains on provisions – 5 169 7  181  273
amortisation of discount – 1 244 10  255  297 
utilised in the year 470 155 123 85 833 912
actuarial losses recognised in equity 693 – – – 693  809 
transfer from assets held for sale 774 – – – 774  – 
transfers and other movements  7 37 31 144  145  19
at 31 december 5150 795 6916 833  13694  10933 
balance sheet analysis       
current  157 465 211 349  1182  826 
non current 4993 330 6705 484  12512  10107 
total 5150 795 6916 833  13694  10933 
a  the main assumptions used to determine the provision for pensions and post retirement healthcare and other information including the expected level of future funding payments in respect of those 
arrangements are given in note 50 
b the provision for other employee entitlements includes a provision for long service leave of us205 million 2008us142 million based on the relevant entitlements in certain group operations it also 
includes the provisions relating to the group’s cashsettled share based payment plans of us111 million 2008 us43 million which are described in note 49 furthermore this includes us229 million 
2008 us118 million of provision for redundancy and severance payments 
c the group’s policy on close down and restoration costs is described in note 1k close down and restoration costs are a normal consequence of mining and the majority of close down and restoration 
expenditure is incurred at the end of the relevant operation remaining lives of mines and infrastructure range from one to over 50 years with an average weighted by closure provision of around 23 years 
2008 18 years although the ultimate cost to be incurred is uncertain the group’s businesses estimate their respective costs based on feasibility and engineering studies using current restoration 
standards and techniques provisions of us6916 million 2008 us6011 million for close down and restoration costs and environmental clean up obligations include estimates of the effect of future 
inflation and have been adjusted to reflect risk these estimates have been discounted to their present value at an average rate of approximately four per cent per annum being an estimate of the long 
term risk free pretax cost of borrowing excluding the effects of future inflation and before discounting this provision is equivalent to some us101 billion 2008 us82 billion 
d some us505 million 2008 us495 million of environmental clean up expenditure is expected to take place within the next five years the remainder includes amounts for the operation and 
maintenance of remediation facilities in later years the provision for environmental clean up expenditure includes the issue described in e below 
e in 1995 kennecott utah copper ‘kuc’ agreed with the us environmental protection agency ‘epa’ and the state of utah to complete certain  source control projects and perform specific environmental 
studies regarding contamination of ground water in the vicinity of the bingham canyon mine a remedial investigation and feasibility study on the south zone ground water contamination completed in 
march 1998 identified a range of alternative measures to address this issue additional studies were conducted to refine the workable alternatives a remedial design document was completed in 2002  
a joint proposal and related agreements with the state of utah natural resource damage trustee the state of utah and the jordan valley water conservancy district were approved in 2004 kuc entered 
into a formal agreement with the epa in 2007 on the remedial action in september 2008 the epa withdrew its proposal to list the kennecott south zone site on the superfund national priorities list  
this action recognises that soil clean up work is complete and that groundwater cleanup is adequately initiated and financial assurance is in place to assure completion of the work 
f other provisions deal with a variety of issues and include us101 million 2008 us103 million relating to the rio tinto alcan foundation commitment in canada made at the time of the alcan 
acquisition this involves payments of c200 million over a five year period    
 wwwriotintocom 173
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financial
statements
28 share capital – rio tinto plc 
 
2009
number 
million 
2008 
number 
 million 
2009
usm 
2008
usm 
issued and fully paid up share capital     
at 1 january 100410 107180  160 172 
ordinary shares issued 
a c
 52490 018   86 – 
own shares purchased and cancelled 
b
 – 6788 – 12
at 31 december 152900 100410  246 160 
– special voting share of 10p 
d
 1 only 1 only   
– dlc dividend share of 10p 
d
 1 only 1 only   
– shares repurchased and held in treasury 
b
 503 591    
– shares held by public 152397 99819    
     
shares held by public     
at 1 january 99819 99725    
ordinary shares issued 
a
 52490 018    
shares reissued from treasury 
b
 088 076    
at 31 december 152397 99819    
     
unissued share capital     
ordinary shares of 10p each 17100 41713  27 63 
equalisation share of 10p 
d
 1 only 1 only – – 
total authorised share capital 170000 142123  273 223 
a 524460478 ordinary shares were issued in july 2009 as a result of the rio tinto plc rights issue further details on the rights issues are provided in note 46 440018 ordinary shares were issued and 
874925 ordinary shares reissued from treasury during the year resulting from the exercise of options under rio tinto plc employee share based payment plans with exercise prices between £798p and 
£2938p per share 2008 183714 shares issued and 763919 shares reissued from treasury with exercise prices between £809p and £3557p per share  
b the authority for the company to buy back its ordinary shares was renewed at the 2008 annual general meeting no shares were bought back and held in treasury during 2009 and 2008 during 2008  
as part of the group’s internal capital management programme rio tinto undertook a series of transactions whereby 67880000 shares held by rio tinto plc in treasury were sold to rio tinto limited at 
market value before being immediately repurchased by rio tinto plc for a nominal amount pursuant to the share purchase approval granted by rio tinto plc shareholders at the 2008 rio tinto plc annual 
general meeting the shares were then cancelled upon their repurchase by rio tinto plc 
c the aggregate gross consideration received for new shares issued arising from the rights issue during 2009 was us120 billion 2008 nil the difference between the nominal value and issue price  
of the shares issued was credited to merger reserve and expenses associated with the rights issue were charged against the share premium account the aggregate consideration received for treasury  
shares reissued was us3 million 2008 us25 million and us32 million 2008 us6 million for new shares issued resulting from the exercise of options under rio tinto plc employee share based 
payment plans  
d the ‘special voting share’ was issued to facilitate the joint voting by shareholders of rio tinto plc and rio tinto limited on joint decisions following the dlc merger directors have the ability to issue an 
equalisation share if that is required under the terms of the dlc merger sharing agreement the ‘dlc dividend share’ was issued to facilitate the efficient management of funds within the dlc structure 
 during 2009 us17 million of shares were purchased by the employee share ownership trust on behalf of rio tinto plc to satisfy future share options and awards as they vest 
 information relating to share options and other share based incentive schemes is given in note 49 on share based payments 
29 share capital – rio tinto limited 
 
2009
number 
million 
2008 
number  
million 
2009
usm 
2008
usm 
issued and fully paid up share capital      
at 1 january 28575 28575  961 1219 
adjustment on currency translation – – 710 258
ordinary shares issued 
a
 15001 – 3253 – 
at 31 december 43576 28575  4924 961 
– share capital held by rio tinto plc  17107 17107    
– special voting share of 10p 
b
 1 only 1 only   
– dlc dividend share of 10p 
b
 1 only 1 only   
total share capital 
b
 60683 45682    
a 150015297 ordinary shares were issued during 2009 as a result of the rio tinto limited rights issue the aggregate gross consideration received for new shares issued during 2009 was us32 billion 
further details on the rights issue are provided in note 46 
b  the ‘special voting share’ was issued to facilitate the joint voting by shareholders of rio tinto limited and rio tinto plc on joint decisions following the dlc merger directors have the ability to issue an 
equalisation share if that is required under the terms of the dlc merger sharing agreement the ‘dlc dividend share’ was issued to facilitate the efficient management of funds within the dlc structure 
 the authority for the company to buy back shares was renewed at the 2008 annual general meeting no shares were bought back during 2009 and 2008  
 share options exercised during the year to 31 december 2009 under various rio tinto limited employee share option schemes were satisfied by the onmarket purchase of rio tinto limited shares by a 
third party on the group’s behalf  
 information relating to share options and other share based incentive schemes is given in note 49 on share based payments  notes to the financial statements continued 
 
 174 rio tinto 2009 annual report 
financial statements 
30 other reserves and retained earnings  
 
2009 
usm 
2008
usm 
capital redemption reserve 
a
   
at 1 january 12  – 
own shares purchased and cancelled –  12 
at 31 december 12  12 
   
hedging reserves 
b
   
at 1 january 14  174
parent and subsidiaries’ net cash flow hedge fair value lossesgains 206 28 
equity accounted units’ cash flow hedge fair value lossesgains 7 3 
parent and subsidiaries’ net cash flow hedge losses transferred to the income statement 16  245 
equity accounted units’ cash flow hedge losses transferred to the income statement 7  – 
cash flow hedge gains reclassified on disposal 4 – 
tax on the above 52  88
at 31 december 128 14 
   
available for sale revaluation reserves 
c
   
at 1 january 107 57 
gainslosses on available for sale securities 357  173
gains on available for sale securities transferred to the income statement 3 1
tax on the above – 10 
at 31 december 247  107
   
other reserves 
d
   
at 1 january 169 19 
own shares purchased from rio tinto limited shareholders to satisfy share options 35 128
employee share options value of services 30  27 
merger reserve arising from rio tinto plc’s rights issue 
d
 11936  – 
deferred tax on share options 14  87
at 31 december 11776  169
   
foreign currency translation reserve 
e
   
at 1 january 2072 2514 
parent and subsidiaries currency translation adjustments 3745  4168
equity accounted units currency translation adjustments 456  300
exchange losses 13 215
currency translation reclassified on disposal 13 2
tax on exchange adjustments – 99 
at 31 december 2103  2072
   
total other reserves per statement of financial position 14010  2322
   
 wwwriotintocom 175
shareholder 
information 
financial
statements
 
 
2009
usm 
2008
usm 
retained earnings 
f
   
at 1 january  17134 19033 
parent and subsidiaries’ profit for the year 4497 3879 
equity accounted units’ retained profitloss for the year 375 203
actuarial losses 
g
 973 1299
tax relating to components of other comprehensive income 269 365 
total comprehensive income for the year 4168 2742 
dividends paid 876 1933
own shares purchased and cancelled – 2767
own shares purchased from rio tinto plc shareholders to satisfy share options 17 – 
ordinary shares held in treasury reissued to satisfy share options 3 25 
employee share options and other ifrs 2 charges taken to the income statement 
h
 65 34 
at 31 december 20477 17134 
a the capital redemption reserve was set up to comply with section 170 of the companies act 1985 when shares of a company are redeemed or purchased wholly out of the company’s profits  
the amount at 31 december 2009 reflects the amount by which the company’s issued share capital is diminished in accordance with section 733 of the companies act 2006 
b the hedging reserve records gains or losses on cash flow hedges that are recognised initially in equity as described in note 1piii 
c the available for sale revaluation reserves record fair value gains or losses relating to available for sale securities as described in note 1pi 
d other reserves record the cumulative amount recognised under ifrs 2 in respect of options granted but not exercised to acquire shares in rio tinto limited less where applicable the cost of shares 
purchased to satisfy share options exercised the cumulative amount recognised under ifrs 2 in respect of options granted but not exercised to acquire shares in rio tinto plc is recorded in retained 
earnings  
 other reserves includes us11936 million which represents the difference between the nominal value and issue price of the shares issued arising from rio tinto plc’s rights issue no share premium  
was recorded in the rio tinto plc financial statements through the operation of the merger relief provisions of the companies act 1985 
e exchange differences arising on the translation of the group’s net investment in foreign controlled companies are taken to the foreign currency translation reserve as described in note 1d  
the cumulative differences relating to an investment are transferred to the income statement when the investment is disposed of 
f retained profit and movements in reserves of subsidiaries include those arising from the group’s share of proportionally consolidated units 
g this includes actuarial losses relating to equity accounted units of us126 million 2008 us5 million  
h includes ifrs 2 charges arising from a broad based black economic empowerment bbbee transaction the discount to fair value arising from this transaction is treated as a share based payment  
in accordance with ifric 8 scope of ifrs 2 share based payments and ac 503 accounting for bee transactions  notes to the financial statements continued 
 
 176 rio tinto 2009 annual report 
financial statements 
31 operating segments  
 
2009 
usm 
2008
usm 
sales revenue 
a
   
iron ore 12598 16527 
aluminium 12038 18297 
copper  6206 5748 
energy  6709 8018 
diamonds  minerals 2618 3820 
other operations 4743 7378 
reportable segments total 44912 59788 
intersegment transactions 876 1723
gross sales revenue  44036 58065 
share of equity accounted units and adjustments for intrasubsidiaryequity accounted units’ sales  2211 3801
consolidated sales revenue per income statement 41825 54264 
 
underlying earnings 
b
   
iron ore 4126 6017 
aluminium  578 1271 
copper  1866 1597 
energy  1420 2581 
diamonds  minerals 800 474 
other operations 188 133
reportable segments total 7446 11807 
intersegment transactions 28 25 
other items 547 366
exploration and evaluation not attributed to product groups 5 133
net interest 578 1030
underlying earnings 6298 10303 
items excluded from underlying earnings note 2 1426 6627
net earnings per income statement 4872 3676 
   
depreciation and amortisation 
c
   
iron ore 763 705 
aluminium 1551 1543 
copper  541 442 
energy  395 415 
diamonds  minerals 290 361 
other operations 216 332 
reportable segments total 3756 3798 
other items 111 91 
less depreciation and amortisation of equity accounted units 440 414
depreciation and amortisation per note 3 3427 3475 
   
tax charge 
d
   
iron ore 1868 2869 
aluminium 565 875 
copper  582 261 
energy  646 1016 
diamonds  minerals 37 287 
other operations 55 68
reportable segments total 2513 5240 
other items 270 99
exploration and evaluation not attributed to product groups 30 31
net interest  228 380
 1985 4730 
tax charge excluded from underlying earnings note 2 91 988
tax charge per income statement 2076 3742 
refer to notes on page 178   
 wwwriotintocom 177
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2009
usm 
2008
usm 
additions to non current assets other than financial instruments and deferred tax assets   
iron ore 2034 3494 
aluminium 1487 2206 
copper  828 836 
energy 718 1206 
diamonds  minerals 478 1379 
other operations 227 470 
reportable segments total 5772 9591 
other items 81 179 
reconciling items 
e
 497 1282
purchase of property plant  equipment and intangible assets per financial information by business unit 5356 8488 
proceeds of disposal of property plant and equity and intangible assets  32  90 
funding of equity accounted units for major capital expenditure –  4
purchase of property plant  equipment and intangible assets per statement of cash flow 5388 8574 
 
 
at 31 december
2009
usm 
at 31 december
2008
usm 
operating assets 
f
   
iron ore 11263 7632 
aluminium 35992 34735 
copper 5028 4223 
energy 2538 2665 
diamonds  minerals 4612 4287 
other operations 1756 3375 
reportable segments total 61189 56917 
net assets held for sale 3462 3204 
other items 1959 811
 62692 59310 
reconciling items   
liabilities of disposal groups held for sale 1320 2121 
trade and other payables 6350 7649 
tax payable 1628 1892 
deferred tax liabilities 4304 4054 
other financial liabilities excluding derivatives related to net debt 848 649 
provisions 13694 10933 
cash and cash equivalents 4233 1181 
other liquid resources 73 4 
outside interests 2094 1823 
 34544 30306 
total assets  97236 89616 
refer to notes on pages 178 and 179 
rio tinto’s management structure is based on the principal product groups shown above together with the global functions that support the 
business the chief executive of each product group reports to the chief executive of rio tinto the chief executive of rio tinto monitors the 
performance of each product group based on a number of measures including capital expenditure and operating cash flows with underlying 
earnings being the key financial performance indicator interest costs and net debt are managed on a group basis  
generally business units are allocated to product groups based on their primary product the energy product group includes both coal and 
uranium businesses the diamonds  minerals product group includes businesses with products such as borates talc and titanium dioxide 
feedstock together with diamonds operations the copper group includes certain gold operations in addition to copper the aluminium group 
excludes alcan engineered products which is included in ‘other operations’ and alcan packaging which is included in ‘assets held for sale’  
the segments differ from those reported under ias 14 in 2008 because of changes in the group’s organisational structure the diamonds  
minerals product group has been reinstated alongside the iron ore copper aluminium and energy product groups alcan engineered products 
was reclassified from ‘aluminium’ to ‘other operations’ during the year information for 2008 has been reclassified accordingly  notes to the financial statements continued 
 
 178 rio tinto 2009 annual report 
financial statements 
 
31 operating segments continued  
the financial information by business unit provided on page 219 of these financial statements provide additional voluntary disclosure which  
the group considers is useful to the users of the financial statements 
a gross sales revenue  
product group gross sales revenue includes 100 per cent of subsidiaries’ sales revenue and the group’s share of the sales revenue of equity 
accounted units the rio tinto’s share of the sales revenue of equity accounted units are deducted and intrasubsidiary equity accounted unit 
sales are adjusted in arriving at consolidated sales revenue as shown on the income statement  
intersegment transactions relate to sales between aluminium and alcan engineered products which is included in other operations  
b underlying earnings  
as discussed in note 2 ‘underlying earnings’ is an alternative measure of earnings which provides a greater understanding of the underlying 
business performance of the group’s operations the measure of underlying earnings is used by the chief executive of rio tinto to assess the 
performance of the product groups  
product group earnings include earnings of subsidiaries stated before finance items but after the amortisation of discount earnings attributable 
to equity accounted units include interest charges and amortisation of discount except that from 2009 onwards rbm earnings are before 
charging interest on third party debt  
rio tinto’s share of the underlying earnings of equity accounted units amounts to us864 million in 2009 2008 us1047 million  
this amount is attributable as follows us750 million profit to the copper group and us114 million profit to other product groups  
2008 us852 million profit is attributable to the copper product group and us195 million profit to other product groups these amounts  
are included in underlying earnings of the relevant product groups these amounts include the underlying earnings of the group’s tolling 
entities which process bauxite and alumina these entities recharge the majority of their costs and would generally have minimal earnings  
the diamonds  minerals underlying earnings in 2009 includes a us797 million profit after tax in relation to the divestment of undeveloped 
potash assets in argentina and canada in 2008 the energy group underlying earnings includes a us483 million profit after tax in relation  
to the divestment of the undeveloped kintyre uranium project in western australia 
c depreciation and amortisation 
product group totals of depreciation include 100 per cent of subsidiaries’ depreciation and amortisation and include rio tinto’s share of the 
depreciation and amortisation of equity accounted units the rio tinto’s share of the depreciation and amortisation charge of equity accounted 
units is deducted to arrive at depreciation and amortisation excluding equity accounted units as shown in note 3 these figures exclude 
impairment charges which are excluded from underlying earnings 
d tax charge 
this relates to the tax charges on the product group’s underlying earnings the reconciling item is the tax on amounts that are excluded in 
arriving at underlying earnings within product groups tax of subsidiaries is stated before tax on finance items but after tax on the amortisation 
of the discount related to provisions the tax charge excludes tax on the earnings of equity accounted units of us491 million 2008 us596 
million of which us498 million 2008 us515 million related to the copper product group 
e additions to non current assets other than financial instruments and deferred tax assets 
this represents the total cost incurred during the year to acquire non current assets other than financial instruments and deferred tax assets 
measured on an accruals basis in accordance with ifrs 8 
the reconciling items to arrive at capital expenditure shown in the financial information by business unit are shown below 
 
year ended 
31 december 
2009 
usm 
year ended
31 december
2008
usm 
capitalised interest costs 198  203 
capitalised closure costs and other provisions 268  393 
movement in payables for capital expenditure  595  503 
goodwill cash additions –  8
additions to investments in equity accounted units 412 29
increase in non current inventories 109 10
increase in non current prepayments – 50
finance leases taken out 73 – 
proceeds of disposal of property plant and equity and intangible assets 32 90
funding of equity accounted units for major capital expenditure – 4 
total  497 1282
   
 wwwriotintocom 179
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financial
statements
f operating assets 
product group totals of operating assets comprise net assets excluding post retirement assets and liabilities net of tax and are before deducting 
net debt operating assets are less outside shareholders’ interests which are calculated by reference to the net assets of the relevant companies 
ie net of such companies’ debt for equity accounted units rio tinto’s net investment excluding post retirement assets and liabilities net of 
tax is shown other items relate to assets held by entities not considered as reportable segments  
in 2009 rio tinto’s investment in equity accounted units of us6735 million is attributable as follows us3489 million to the aluminium 
product group us2777 million to the copper product group and us469 million to other product groups 31 december 2008 us5053 million 
of which us3294 million is attributable to the aluminium product group us1597 million is attributable to the copper product group and 
us162 million to other product groups 
32 operating segments – additional information 
gross sales revenue by destination 
a
 
 
2009
 
2008 
 
2009
usm 
2008
usm 
china  243 188 10691 10934 
north america 
b
  231 224 10190 12984 
other europe excluding united kingdom  144 207 6337 12015 
japan  135 152 5921 8825 
other asia  132 111 5822 6453 
australia  31 30 1373 1737 
united kingdom  26 36 1161 2112 
other 58 52 2541 3005 
gross sales revenue  1000 1000 44036 58065 
share of equity accounted units sales and intrasubsidiaryequity accounted 
units sales   2211 3801
consolidated sales revenue    41825 54264 
a sales by geographical destination are based on the ultimate country of destination of the product if known if the eventual destination of the product sold through traders is not known then revenue is 
allocated to the location of the product at the time when the risks and rewards of ownership are passed rio tinto is domiciled in both the united kingdom and australia  
b the united states of america and canada have been combined to form the ‘north america’ geographical segment having regard to the similarity of economic and political conditions in these countries 
gross sales revenue by product 
gross sales revenues of the group are derived from the following products sold to external customers 
 
2009
usm 
2008
usm 
iron ore 12096 15975 
aluminium 11126 16542 
coal  5683 7011 
copper 4775 4495 
industrial minerals 2677 3388 
gold 972 379 
diamonds 450 840 
other 6257 9435 
gross sales revenue  44036 58065 
share of equity accounted units sales and intrasubsidiaryequity accounted units sales 2211 3801
consolidated sales revenue 41825 54264 
  notes to the financial statements continued 
 
 180 rio tinto 2009 annual report 
financial statements 
32 operating segments – additional information continued 
noncurrent assets other than financial instruments and deferred tax assets  
the total of noncurrent assets other than financial instruments deferred tax assets postemployment benefit assets and assets held for sale by 
location is shown below this is allocated based on the location of the business units holding the assets 
 
2009 
usm 
2008
usm 
noncurrent assets other than financial instruments and deferred tax assets 
a
   
australia   31543  24080 
united kingdom 928 1034 
north america 
b
  29486   32197 
france  2298   2507 
europe excluding france  2041  2813 
south america  2419   1882 
africa  1665   1731 
indonesia  587   555 
other countries  1212   961 
  72179   67760 
   
noncurrent assets excluded from analysis above   
deferred tax assets  2231   1367 
tax recoverable  85   220 
derivative assets  841   666 
loans to equity accounted units 
c
  1593   862 
accounts receivable  593   306 
total noncurrent assets per statement of financial position 77522   71181 
a  includes investments in equity accounted units totalling us5312 million 2008 us4455 million which represents the group’s share of net assets excluding quasi equity loans shown separately within 
‘loans to equity accounted units’ above  
b the united states of america and canada have been combined to form the ‘north america’ geographical segment having regard to the similarity of economic and political conditions in these countries 
c loans to equity accounted units comprise quasi equity loans of us1423 million 2008 us598 million included in ‘investments in equity accounted units’ on the face of the statement of financial 
position and nonquasi equity loans of us170 million 2008 us264 million shown separately 
33 financial risk management 
the group’s policies with regard to financial risk management are clearly defined and consistently applied they are a fundamental part of the 
group’s long term strategy covering areas such as foreign exchange risk interest rate risk commodity price risk credit risk liquidity risk and 
capital management 
generally the group only sells commodities it has produced but also enters into third party direct transactions and physical swaps on alumina to 
balance the regional positions and to balance the loading on production facilities in the long term natural hedges operate in a number of ways 
to help protect and stabilise earnings and cash flow 
the group has a diverse portfolio of commodities and markets which have varying responses to the economic cycle the relationship between 
commodity prices and the currencies of most of the countries in which the group operates provides further natural protection in the long term 
production of minerals is an important contributor to the gross domestic products of australia and canada countries in which the group has a 
large presence as a consequence the australian and canadian currencies have historically tended to strengthen when commodity prices are 
high in addition the group’s policy of borrowing primarily at floating us dollar interest rates helps to counteract the effect of economic and 
commodity price cycles these natural hedges significantly reduce the necessity for using derivatives or other forms of synthetic hedging such 
hedging is therefore undertaken to a strictly limited degree as described below 
treasury operates as a service to the business of the rio tinto group and not as a profit centre strict limits on the size and type of transaction 
permitted are laid down by the rio tinto board and are subject to rigorous internal controls senior management is advised of corporate debt and 
currency commodity and interest rate derivatives through a monthly reporting framework  
rio tinto does not acquire or issue derivative financial instruments for trading or speculative purposes nor does it believe that it has material 
exposure to such trading or speculative holdings through its investments in joint ventures and associates derivatives are used to separate 
funding and cash management decisions from currency exposure and interest rate management the group uses interest rate and cross currency 
interest rate swaps in conjunction with longer term funds raised in the capital markets to achieve a predominantly floating rate obligation which 
is consistent with the group’s interest and exchange rate policies ie primarily us dollar libor however the group reserves the right to realise 
swap positions to take advantage of favourable market conditions and to manage counterparty credit risk no material exposure is considered to 
exist by virtue of the possible non performance of the counterparties to financial instruments held by the group  
derivative contracts are carried at fair value based on published quotations for the period for which a liquid active market exists beyond this 
period rio tinto’s own assumptions are used    
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i foreign exchange risk 
rio tinto’s shareholders’ equity earnings and cash flows are influenced by a wide variety of currencies due to the geographic diversity of the 
group’s sales and the countries in which it operates the us dollar however is the currency in which the great majority of the group’s sales are 
denominated operating costs are influenced by the currencies of those countries where the group’s mines and processing plants are located and 
also by those currencies in which the costs of imported equipment and services are determined the australian and canadian dollars and the 
euro are the most important currencies apart from the us dollar influencing costs in any particular year currency fluctuations may have a 
significant impact on rio tinto’s financial results a strengthening of the us dollar against the currencies in which the group’s costs are partly 
determined has a positive effect on rio tinto’s underlying earnings 
given the dominant role of the us currency in the group’s affairs the us dollar is the currency in which financial results are presented both 
internally and externally it is also the most appropriate currency for borrowing and holding surplus cash although a portion of surplus cash  
may also be held in other currencies most notably australian dollars canadian dollars and the euro this cash is held in order to meet short  
term operational and capital commitments and for the australian dollar dividend payments the group finances its operations primarily in  
us dollars either directly or using cross currency interest rate swaps a substantial part of the group’s us dollar debt is located in subsidiaries 
having a us dollar functional currency  
however certain us dollar debt and other financial assets and liabilities including intragroup balances are not held in the functional currency of 
the relevant subsidiary this results in an accounting exposure to exchange gains and losses as the financial assets and liabilities are translated 
into the functional currency of the subsidiary that accounts for those assets and liabilities these exchange gains and losses are recorded in the 
group’s income statement except to the extent that they can be taken to equity under the group’s accounting policy which is explained in note 
1d gains and losses on us dollar net debt and on intragroup balances are excluded from underlying earnings other exchange gains and losses 
are included in underlying earnings  
as noted above rio tinto hedges interest rate and currency risk on most of its foreign currency borrowings by entering into cross currency 
interest rate swaps andor interest rate swaps when required these have the economic effect of converting fixed rate foreign currency 
borrowings to floating rate us dollar borrowings see section b d of note 34 – financial instruments for the details of currency and interest rate 
contracts relating to borrowings 
after taking into account relevant swap instruments almost all of the group’s net debt is either denominated in us dollars or in the functional 
currency of the entity holding the debt the table below summarises the net debt by currency 
net debtfunds by currency 
2009
usm 
2008
usm 
united states dollar 18466 38111
australian dollar 232 351
south african rand 60 52 
uk sterling 35 34
euro 140 77
canadian dollar 137 122
other 89 29
total 18861 38672
currency hedging  
under normal market conditions the group does not generally believe that active currency hedging of transactions would provide long term 
benefits to shareholders the group reviews on a regular basis its exposure and reserves the right to enter into hedges to maintain financial 
stability currency protection measures may be deemed appropriate in specific commercial circumstances and are subject to strict limits laid 
down by the rio tinto board typically hedging of capital expenditures and other significant financial items such as tax and dividends there is a 
legacy of currency forward contracts used to hedge operating cash flow exposures which was acquired with the north companies refer to section 
b a to d of note 34  financial instruments for the currency forward and option contracts used to manage the currency risk exposures of the 
group at 31 december 2009  
foreign exchange sensitivity risks associated with exposure to financial instruments 
the sensitivities below give the estimated effect of a ten per cent strengthening in the full year closing us dollar exchange rate on the value  
of financial instruments the impact is expressed in terms of the effect on net earnings underlying earnings and equity assuming that each 
exchange rate moves in isolation the sensitivities are based on financial assets and liabilities held at 31 december 2009 where balances are not 
denominated in the functional currency of the subsidiary and exclude financial assets and liabilities held by equity accounted units see note b 
below they also exclude exchange movements on local currency deferred tax balances and provisions these balances will not remain constant 
throughout 2010 and therefore these numbers should be used with care  
  notes to the financial statements continued 
 
 182 rio tinto 2009 annual report 
financial statements 
33 financial risk management continued 
at 31 december 2009 
gainslosses associated with 10 strengthening of the us dollar 
currency exposure 
closing 
exchange
rate
us cents 
effect on net 
earnings 
usm 
of which 
amount 
impacting 
underlying 
earnings 
usm 
impact 
directly
on equity 
usm 
australian dollar 
a
 89 178  66  1
canadian dollar 95 5  61  – 
south african rand 14 13 2 42 
euro 144 252 13  – 
new zealand dollar 73 2  – – 
at 31 december 2008 
gainslosses associated with 10 strengthening of the us dollar 
currency exposure 
closing 
exchange 
rate 
us cents 
effect on net 
earnings  
usm 
of which 
amount 
impacting 
underlying 
earnings  
usm 
impact 
directly
on equity
 usm 
australian dollar 
a
 69 27 63  3 
canadian dollar 82 53  99  – 
south african rand 11 13  19  – 
euro 141 239  18  – 
new zealand dollar 58 21  2  – 
a the sensitivities show the net sensitivity of us exposures in a functional currency companies for example and a exposures in us functional currency companies  
b the sensitivities presented are on financial assets and liabilities of subsidiaries and proportionally consolidated entities and do not include nonfinancial instruments such as provisions or post retirement 
benefits or sensitivities arising from financial assets and liabilities within equity accounted units the impact of reflecting these items primarily impacts the canadian dollar sensitivity with a us69 
million reduction in net earnings 2008 us9 million reduction a us67 million reduction in underlying earnings 2008 us21 million reduction and a us114 million increase recorded directly in 
equity 2008 us56 million increase 
c  rio tinto alcan inc which has a us functional currency for accounting purposes has a significant amount of us dollar denominated external and intragroup debt held in canada and is taxed on a 
canadian currency basis the above sensitivities as at 31 december 2009 for a 10 per cent strengthening of the us dollar do not include any tax benefit related to this debt because the capital losses 
generated would not be recognised if the us dollar weakened below 97 canadian cents then tax charges would begin to be recognised at 15 per cent  
 similarly at 31 december 2008 the above sensitivities for a 10 per cent strengthening of the us dollar did not include any tax benefit related to this debt because the capital losses generated would not 
have been recognised if the us dollar had weakened below 97 canadian cents then tax charges would have begun to be recognised at 15 per cent  
ii interest rate risk 
interest rate risk refers to the risk that the value of a financial instrument or cash flows associated with the instruments will fluctuate due to 
changes in market interest rates rio tinto’s interest rate management policy is generally to borrow and invest at floating interest rates this 
approach is based on historical correlation between interest rates and commodity prices in some circumstances an element of fixed rate funding 
may be considered appropriate as noted above rio tinto hedges interest rate and currency risk on most of its foreign currency borrowings by 
entering into cross currency interest rate swaps in order to convert fixed rate foreign currency borrowings to floating rate us dollar borrowings 
the market value of these interest rate and cross currency interest rate swaps moves in alignment with the market and at times can act as 
alternative sources of funding the group reviews the positions on a regular basis and may act to either monetise inthemoney value or achieve 
lower costs of funding see section b d of note 34 – financial instruments for the details of currency and interest rate contracts relating to 
borrowings at the end of 2009 us83 billion 2008 us106 billion of the group’s debt was at fixed rates after taking into account interest rate 
swaps and finance leases making the fixed to floating debt ratio 36 per cent fixed to 64 per cent floating 
a monthly treasury report is provided to senior management which summarises corporate debt exposed to currency risks and where applicable 
the offsetting derivatives see section b d of note 34 – financial instruments for the details of currency and interest rate contracts relating to 
borrowings see note 22 – borrowings for the details of debt outstanding at 31 december 2009  
based on the group’s net debt and other floating rate financial instruments outstanding as at 31 december 2009 the effect on net earnings  
of a half percentage point increase in us dollar libor interest rates with all other variables held constant would be a reduction of us37 million 
2008 us100 million these balances will not remain constant throughout 2010 however and therefore these numbers should be used  
with care    
 wwwriotintocom 183
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 iii commodity price risk 
the group’s normal policy is to sell its products at prevailing market prices exceptions to this rule are subject to strict limits laid down by the rio tinto 
board and to rigid internal controls rio tinto’s exposure to commodity prices is diversified by virtue of its broad commodity base and the group does 
not generally believe commodity price hedging would provide long term benefit to shareholders the group may hedge certain commitments with 
some of its customers or suppliers details of commodity derivatives held at 31 december 2009 are set out in note 34 – b a to c financial instruments 
metals such as copper and aluminium are generally sold under contract often long term at prices determined by reference to prevailing market prices 
on terminal markets such as the london metal exchange lme and comex in new york usually at the time of delivery prices fluctuate widely in 
response to changing levels of supply and demand but in the long run prices are related to the marginal cost of supply gold is also priced in an active 
market in which prices respond to daily changes in quantities offered and sought newly mined gold is only one source of supply investment and 
disinvestment can be important elements of supply and demand contract prices for many other natural resource products including iron ore and  
coal are generally agreed annually or for longer periods with customers although volume commitments vary by product  
certain products predominantly copper concentrate are ‘provisionally priced’ ie the selling price is subject to final adjustment at the end of a 
period normally ranging from 30 to 180 days after delivery to the customer based on the market price at the relevant quotation point stipulated 
in the contract revenue on provisionally priced sales is recognised based on estimates of fair value of the consideration receivable based on 
forward market prices at each reporting date provisionally priced metal is marked to market based on the forward selling price for the period 
stipulated in the contract for this purpose the selling price can be measured reliably for those products such as copper for which there exists  
an active and freely traded commodity market such as the london metal exchange and the value of product sold by the group is directly linked 
to the form in which it is traded on that market  
the marking to market of provisionally priced sales contracts is recorded as an adjustment to sales revenue 
at the end of 2009 the group had 267 million pounds of copper sales 2008 183 million pounds that were provisionally priced at us 335 cents 
per pound 2008 us 133 cents per pound the final price of these sales will be determined during the first half of 2010 a ten per cent change  
in the price of copper realised on the provisionally priced sales would increase or reduce net earnings by us55 million 2008 15 million  
approximately 27 per cent of rio tinto’s 2009 underlying earnings from operating businesses came from products whose prices were terminal 
market related and the remainder came from products priced by direct negotiation 
commodity price sensitivity risks associated with derivatives 
the table below summarises the impact of changes in the market price on the following commodity derivatives including those aluminium forward and 
option contracts embedded in electricity purchase contracts outstanding at 31 december 2009 but excluding the impact of commodity and embedded 
derivatives held by equity accounted units see note a the impact is expressed in terms of the resulting change in the group’s net earnings for the year 
or where applicable the change in equity the sensitivities are based on the assumption that the market price increases by ten per cent with all other 
variables held constant the group’s ‘own use contracts’ are excluded from the sensitivity analysis below as they are outside the scope of ias 39 such 
contracts to buy or sell non financial items can be net settled but were entered into and continue to be held for the purpose of the receipt or delivery of 
the non financial item in accordance with the business unit’s expected purchase sale or usage requirements 
these sensitivities should be used with care the relationship between currencies and commodity prices is a complex one changes in exchange 
rates can influence commodity prices and vice versa  
at 31 december 2009  
gainslosses associated with 10 increase from year end price 
products 
effect on 
net earnings 
usm 
effect directly on 
equity attributable 
to rio tinto 
usm 
copper 1 18 
aluminium 19 24 
oil 3 – 
total 17 42
at 31 december 2008  
gainslosses associated with 10 increase from year end price 
products 
effect on 
net earnings
usm 
effect directly on 
equity attributable 
to rio tinto 
usm 
copper – 13
coal – 8
aluminium 21 16
total 21 37
a the sensitivities presented do not include those arising from balances within equity accounted units the impact of reflecting equity accounted units primarily relates to the aluminium sensitivity with a 
us55 million reduction in net earnings 2008 us83 million reduction  notes to the financial statements continued 
 
 184 rio tinto 2009 annual report 
financial statements 
33 financial risk management continued 
iv credit risk 
credit risk is the risk that a counterparty will not meet its obligations under a financial instrument or customer contract leading to a financial 
loss the group is exposed to credit risk from its operating activities primarily from customer receivables and from its financing activities 
including deposits with banks and financial institutions foreign exchange transactions and other financial instruments  
credit risks related to receivables 
customer credit risk is managed by each business unit subject to rio tinto’s established policy procedures and controls relating to customer 
credit risk management credit limits are established for all customers based on internal or external rating criteria where customers are rated  
by an independent credit rating agency these ratings are used to set credit limits in circumstances where no independent credit rating exists 
the credit quality of the customer is assessed based on an extensive credit rating scorecard outstanding customer receivables are regularly 
monitored and any credit concerns highlighted to senior management high risk shipments to major customers are generally covered by letters  
of credit or other forms of credit insurance  
at 31 december 2009 the group had approximately 70 customers 2008 86 customers that owed the group more than us5 million each  
and these balances accounted for approximately 52 per cent 2008 75 per cent of all receivables owing there were 17 customers 2008 21 
customers with balances greater than us20 million accounting for just over 30 per cent 2008 49 per cent of total amounts receivable  
the maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets mentioned on page 191  
the group does not hold collateral as security for any trade receivables  
credit risk related to financial instruments and cash deposits 
credit risk from balances with banks and financial institutions is managed by group treasury in accordance with a board approved policy 
investments of surplus funds are made only with approved counterparties and within credit limits assigned to each counterparty counterparty 
credit limits are reviewed by the rio tinto board on an annual basis and may be updated throughout the year subject to approval of the rio tinto 
finance committee the limits are set to minimise the concentration of risks and therefore mitigate the potential for financial loss through 
counterparty failure  
no material exposure is considered to exist by virtue of the possible non performance of the counterparties to financial instruments 
v liquidity and capital risk management 
the group’s total capital is defined as rio tinto’s shareholders’ funds plus funds attributable to outside equity shareholders plus net debt  
and amounted to us65 billion at 31 december 2009 2008 us61 billion   
the group’s overriding objectives when managing capital are to safeguard the business as a going concern to maximise returns for shareholders 
and benefits for other stakeholders and to maintain an optimal capital structure in order to provide a high degree of financial flexibility at the 
lowest cost of capital  
the unified credit status of the group is maintained through cross guarantees whereby contractual obligations of rio tinto plc and rio tinto 
limited are automatically guaranteed by the other following the successful us152 billion rights issues in july 2009 moody’s and standard  
poor’s ‘sp’ improved the groups credit rating sp upgraded the long term rating to bbb from bbb and its short term credit ratings to a2 from 
a3 the outlook improved from negative to stable moody’s affirmed the long term rating of baa1 and short term corporate credit rating of p2 
also with a stable outlook 
in 2007 rio tinto acquired alcan which was financed using a us40 billion syndicated bank facility as at 31 december 2009 there was us85 
billion drawn on this facility compared to us28 billion at 31 december 2008 the facility had two term facilities facilities a and d of which 
facility a was fully repaid in 2009 and us85 billion remained on facility d at 31 december 2009 revolving facility b had an initial capacity  
of us10 billion as at 31 december 2009 only us 21 billion of the facility remained available to draw upon the maturity date for facility b  
is october 2010 revolving facility c is for an amount of up to us5 billion all of which is undrawn the maturity date for facility c is october 
2012 the maturity date for facility d is december 2012 advances under each facility generally bear interest at rates per annum equal to the 
margin for that facility plus libor and any mandatory costs refer to note 48 – events after the statement of financial position date for the 
partial repayment of facility d and cancellation of facility b post year end  
the group’s backup facilities consist of revolving tranches of the syndicated bank facility and a series of standby bilateral bank facilities  
these standby bilateral bank facilities contain no financial covenants and are not affected to any material extent by a change in the group’s 
credit rating the syndicated bank facility contains a financial covenant requiring the maintenance of a ratio of no greater than 45 times of  
net borrowings to ebitda at 31 december 2009 the group has available committed financing of us50 billion under alcan facility c  
us21 billion under facility b and us23 billion unused committed bilateral banking facilities refer to note 22 – borrowings for further details 
refer to note 48 – events after the statement of financial position date for the partial repayment of facility d and cancellation of facility b post 
year end 
the group’s net debt as a percentage of total capital was 29 per cent at 31 december 2009 2008 63 per cent   
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statements
the table below analyses the group’s financial liabilities into relevant maturity groupings based on the remaining period from the statement of 
financial position date to the contractual maturity date as the amounts disclosed in the table are the contractual undiscounted cash flows these 
balances will not necessarily agree with the amounts disclosed in the statement of financial position 
at 31 december 2009 
trade
 and other
payables
usm 
borrowings
before
swaps
usm 
expected
future interest
payments 
a
usm 
derivatives 
related to 
net debt 
usm 
other
financial
liabilities
usm 
total
financial 
liabilities
usm 
financial liabilities      
within 1 year or on demand 4416 878 942 52 365 6653
between 1 and 2 years – 463 884 –  203 1550
between 2 and 3 years – 9087 910 2  204 10199
between 3 and 4 years – 3269 840 –  177 4286
between 4 and 5 years – 2767 591 –  58 3416
after 5 years – 6725 3857 162 54 10798
 4416231898024212 1061 36902
 
at 31 december 2008 
trade
 and other
payables
usm 
borrowings
before
swaps
usm 
expected
future interest
payments 
a
usm 
derivatives 
related to 
net debt 
usm 
other
financial
liabilities
usm 
total
financial 
liabilities
usm 
financial liabilities       
within 1 year or on demand 5478 10079 1375 –  414 17346
between 1 and 2 years – 9485 1139 85 129 10838
between 2 and 3 years – 417 914 –  130 1461
between 3 and 4 years – 10525 744 –  113 11382
between 4 and 5 years – 3112 486 –  106 3704
after 5 years – 5760 3366 –  123 9249
 547839378802485 101553980
a interest payments have been projected using interest rates applicable at 31 december including the impact of interest rate swap agreements where appropriate much of the debt is subject to variable 
interest rates future interest payments are therefore subject to change in line with market rates  
34 financial instruments  
except where stated the information given below relates to the financial instruments of the parent companies and their subsidiaries and 
proportionally consolidated units and excludes those of equity accounted units the information is grouped in the following sections  
a – financial assets and liabilities by categories  
b – derivative financial instruments  
c – fair values   notes to the financial statements continued 
 
 186 rio tinto 2009 annual report 
financial statements 
34 financial instruments continued 
a financial assets and liabilities by categories  
at 31 december 2009  
total 
usm 
loans and 
receivables 
usm 
available  
for sale  
securities  
usm 
held at  
fair value  
usm 
other financial 
assets and 
liabilities
usm 
financial assets       
cash and cash equivalents note 21  4233 4233 – – – 
trade and other receivables note 17
 a
  4739 4739 – – – 
equity shares and quoted funds note 20  658 – 658 – – 
other investments including loans note 20  505 270 77 158 – 
other liquid resources note 20  73 – – – 73 
currency and commodity contracts not designated as hedges 
note 20 8 – – 8 – 
derivatives and embedded derivatives not related to net debt 
not designated as hedges note 20 291  – 291 – 
loans to equity accounted units including quasi equity loans  1761 1761 – – – 
total financial assets  12268 11003 735 457 73 
financial liabilities       
trade and other payables note 25 
b
  4416 –  – 4416
short term borrowings and bank overdrafts notes 21 and 22  847 –  – 847
medium and long term borrowings note 22 22155 – – – 22155
deferred consideration note 25 
a
   119 – – – 119
forward commodity contracts designated as hedges note 26  499 – – 499 – 
derivatives related to net debt note 26  165 – – 165 – 
other derivatives and embedded derivatives not designated  
as hedges note 26  300 – – 300 – 
other financial liabilities note 26  49 – – – 49
total financial liabilities  28550 – – 964 27586
 
at 31 december 2008  
total 
usm 
loans and 
receivables 
usm 
available  
for sale  
securities  
usm 
held at  
fair value  
usm 
other financial 
assets and 
liabilities
usm 
financial assets       
cash and cash equivalents note 21  1181 1181 – – – 
trade and other receivables note 17 
a
  5054 5054 – – – 
equity shares and quoted funds note 20  261 – 261 – – 
other investments including loans note 20  480 480 – –  – 
other liquid resources note 20  4 – – – 4 
currency and commodity contracts designated as hedges  
note 20  98 – – – 98 
derivatives and embedded derivatives not related to net debt 
not designated as hedges note 20 87 – – 87 – 
loans to equity accounted units including quasi equity loans  1113 1113 – – – 
total financial assets  8278 7828 261 87 102 
financial liabilities       
trade and other payables note 25 
b
  5478 – – – 5478
short term borrowings and bank overdrafts notes 21 and 22  10034 – – – 10034
medium and long term borrowings note 22  29724 – – – 29724
deferred consideration note 25 
a
   318 – – – 318
forward commodity contracts designated as hedges note 26  257 – – – 257
derivatives related to net debt note 26 99 – – 99 – 
other derivatives and embedded derivatives not designated  
as hedges note 26  355 – – 355 – 
other financial liabilities note 26  37 – – – 37
total financial liabilities  46302 – – 454 45848
a this excludes pension surpluses prepayment of tolling charges to jointly controlled entities and other prepayments and accrued income  
b trade and other payables includes trade creditors amounts owed to equity accounted units other creditors excluding deferred consideration shown separately and accruals    
 wwwriotintocom 187
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information 
financial
statements
b derivative financial instruments  
the group’s derivatives including embedded derivatives as at 31 december 2009 are summarised below  
a forward contracts relating to operating transactions designated as hedges  
assets note 20 
buy australian dollar sell us dollar  
total fair
value
2009
usm 
total fair
value
2008
usm 
less than 1 year  8 7 
between 1 and 5 years  – 2 
total  8 9 
other currency forward contracts  – 12 
total currency forward contracts  8 21 
the above currency forward contracts were acquired with companies purchased in 2000 and were entered into by those companies in order to 
reduce their exposure to the us dollar through forecast sales 
aluminium price exposures embedded in electricity purchase contracts    
less than 1 year  – 6 
between 1 and 5 years  – 36 
total  – 42 
 
coal forward contracts    
less than 1 year  – 35 
between 1 and 5 years  – – 
total  – 35 
total commodity forward contracts  – 77 
total assets related to forward contracts designated as hedges  8 98 
coal commodity contracts have been entered into in order to reduce exposure to movements in the coal price  
liabilities note 26  
copper forward contracts  
total fair
value
2009
usm 
total fair
value
2008
usm 
less than 1 year  118 34
between 1 and 5 years  317 146
total  435 180
    
coal api 2 forward contracts    
less than 1 year  4 18
between 1 and 5 years  – 4
total  4 22
    
coal gc newc forward contracts    
less than 1 year  – 31
total  – 31
   
aluminium forward contracts embedded in electricity purchase contracts    
between 1 and 5 years  4 – 
total liabilities related to forward contracts designated as hedges  443 233
the above copper forward contracts were entered into as a condition of the refinancing of palabora in 2005 and reduce the group’s exposure  
to movements in the copper price coal forward contracts have been entered into in order to reduce exposure to movements in the coal price  
aluminium price exposures are embedded within certain aluminium smelter electricity purchase contracts these contracts reduce the group’s 
exposure to movements in the aluminium price   notes to the financial statements continued 
 
 188 rio tinto 2009 annual report 
financial statements 
34 financial instruments continued  
b options relating to operating transactions designated as hedges  
liabilities note 26  
aluminium options embedded in electricity purchase contracts  
total 
fair value  
2009  
usm 
total
fair value
2008
usm 
less than 1 year  6 1
between 1 and 5 years  50 23
total  56 24
embedded options exist within an electricity purchase contract for a smelter these derivatives reduce the group’s exposure to movements in the 
aluminium price a number of put and call options were combined to form synthetic forward contracts that were designated as hedges of variable 
priced aluminium sales  
reconciliation to statement of financial position categories for derivatives designated as hedges  
2009  
usm 
2008 
usm 
– noncurrent assets note 20  – 38 
– current assets note 20  8 60 
– current liabilities note 26  128 84
– noncurrent liabilities note 26  371 173
total derivatives designated as hedges detailed above  491 159
the hedged forecast transactions denominated in foreign currencies and the hedged commodity purchase or sales contracts are expected to 
occur in line with the maturity dates of the derivatives hedging these particular exposures gains and losses recognised in equity for these cash 
flow hedges will be recycled into the income statement in the period during which the hedged transaction affects the income statement where 
the hedged transaction relates to capital expenditures the gain or loss on the derivative will be recognised in the income statement within 
‘depreciation’ as the fixed asset is amortised  
gains and losses recognised in the hedging reserve in equity net of tax and outside interests for the year to 31 december 2009 comprised cash 
flow hedge fair value losses of us151 million including equity accounted units 2008 gains of us20 million and net cash flow hedge losses 
reclassified from equity and included in the income statement for the period amounted to us13 million 2008 us168 million  
the ineffective portion arising from cash flow hedges recognised in the income statement was us2 million 2008 us6 million    
 wwwriotintocom 189
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financial
statements
c forward and option contracts relating to operating transactions not designated as hedges  
assets  
forward contracts  
buy new zealand dollar sell us dollar  
total
fair value
2009
usm 
total
fair value
2008
usm 
less than 1 year  35 15 
between 1 and 5 years  – 15 
total  35 30 
the above currency forward contracts relating to the new zealand dollar were taken out to manage exposures impacting on operating costs  
aluminium forward contracts  
total
fair value
2009
usm 
total
fair value
2008
usm 
less than 1 year  153 – 
between 1 and 5 years  63 – 
total  216 – 
the above aluminium forward contracts were taken out to manage exposure to movements in the aluminium price  
option contracts 
aluminium options embedded in electricity purchase contracts 
total
fair value
2009 
usm 
total
fair value
2008 
usm 
less than 1 year  – 1 
between 1 and 5 years  – 26 
more than 5 years  – 18 
total  – 45 
the above aluminium options embedded in electricity purchase contracts reduce exposure to movements in the aluminium price  
others    
less than 1 year   
other embedded derivatives  – 6 
other commodity contracts  12 2 
other currency forward contracts and swaps  26 4 
between 1 and 5 years    
other commodity contracts  2 – 
total  40 12 
total assets relating to derivatives not designated as hedges note 20  291 87 
liabilities  
forward contracts  
aluminium forward contracts  
total fair
value
2009
usm 
total fair
value
2008
usm 
less than 1 year  44 158
between 1 and 5 years  3 7
total  47 165
the above aluminium forward contracts were taken out to manage exposure to movements in the aluminium price these contracts are not 
designated as hedges as they are predominantly offset by other aluminium forward contracts   notes to the financial statements continued 
 
 190 rio tinto 2009 annual report 
financial statements 
34 financial instruments continued 
option contracts  
aluminium options embedded in electricity purchase contracts 
total fair 
value 
2009 
usm 
total fair
value
2008
usm 
less than 1 year  29 10
between 1 and 5 years  103 79
more than 5 years  14 73
total  146 162
the above aluminium options embedded in electricity purchase contracts reduce exposure to movements in the aluminium price  
others 
less than 1 year    
other currency derivative contracts  – 3
other embedded derivatives  87 20
other commodity contracts  7 5
between 1 and 5 years    
other embedded derivatives  11 – 
other derivatives  2 – 
total  107 28
total liabilities relating to derivatives not designated as hedges note 26  300 355
 
reconciliation to statement of financial position categories for derivatives not designated as hedges 
2009 
usm 
2008
usm 
– noncurrent assets note 20  65 – 
– current assets note 20  226 87 
– current liabilities note 26  167 – 
– noncurrent liabilities note 26  133 355
total derivatives not designated as hedges detailed above  9 268
d currency and interest contracts relating to borrowings  
liabilities  
total fair 
value 
2009 
usm 
total fair
value
2008
usm 
buy us dollar sell gbp    
less than 1 year  68 95
   
other currency swaps  – 4
total currency swaps  68 99
   
interest contracts relating to borrowings    
between 1 and 5 years  8 – 
more than 5 years  89 – 
total interest rate swaps  97 – 
total derivatives related to net debt  165 99
 
designated as fair value hedges  165 99
 
reconciliation to statement of financial position categories for currency and interest derivatives  
2009 
usm 
2008
usm 
– current liabilities note 26  68 4
– noncurrent liabilities note 26  97 95
total currency and interest rate contracts detailed above  165 99
the currency contracts are used to swap non us dollar denominated external debt to us dollar floating the interest rate contracts are used to 
convert certain fixed rate obligations to a floating rate  
the ineffective portion arising from fair value hedges recognised in the income statement was nil 2008 us91 million the 2008 amount relates to 
interest rate swaps unwound during the year with a principal of us59 billion which were dedesignated as hedges ahead of the unwind    
 wwwriotintocom 191
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information 
financial
statements
c fair values  
the carrying values and the fair values of rio tinto’s financial instruments other than trade and other receivables and payables at 31 december 
are shown in the following table the fair values of the group’s cash short term borrowings and loans to jointly controlled entities and associates 
approximate their carrying values as a result of their short maturity or because they carry floating rates of interest  
 31 december 2009 31 december 2008 
 
carrying
value 
usm 
fair 
value 
usm 
carrying
value 
usm 
fair
value 
usm 
primary financial instruments held or issued to finance the  
group’s operations     
equity shares and quoted funds note 20  658 658 261 261 
other investments including loans note 20  505 505 480 480 
cash and cash equivalents note 21  4233 4233 1181 1181 
other liquid resources note 20  73 73 4 4 
short term borrowings and bank overdrafts notes 21 and 22  847 847 10034 10059
medium and long term borrowings note 22  22155 23318 29724 29752
loans to equity accounted units including quasi equity  1761 1761 1113 1113 
deferred consideration note 25  119 119 318 318
other financial liabilities note 26  49 49 37 37
 15940 17103 37074 37127
derivatives      
forward contracts designated as hedges section b a
 
of note 34  435 435 135 135
option contracts designated as hedges section b b of note 34  56 56 24 24
forward contracts and option contracts not designated as hedges section b c  
of note 34 9 9 268 268
currency swaps hedging borrowings section b d of note 34  68 68 99 99
interest rate swap agreements section b d of note 34  97 97 – – 
 16605 17768 37600 37653
valuation hierarchy  
the table below shows the financial instruments carried at fair value by valuation method at 31 december 2009  
 total level 1
a
level 2
b
 level 3
c
not held 
at fair value 
assets       
equity shares and quoted funds note 20  658 644 14 – – 
other investments including loans note 20  505 129 – 106 270 
cash and cash equivalents note 21  4233 – – – 4233 
other liquid resources note 20  73 – – – 73 
loans to equity accounted units including quasi equity  1761 – – – 1761 
liabilities       
short term borrowings and bank overdrafts notes 21 and 22 847 – – – 847
medium and long term borrowings note 22  22155 – – – 22155
deferred consideration note 25  119 – – – 119
other financial liabilities note 26  49 – – – 49
 15940773 14 106 16833
derivatives       
forward contracts designated as hedges  
section b a of note 34  435 – 430 5 – 
option contracts designated as hedges section b b of note 34 56 – – 56 – 
forward contracts and option contracts not designated as 
hedges section b c of note 34 9 – 132 141 – 
currency swaps hedging borrowings section b d of note 34  68 – 68 – – 
interest rate swap agreements section b d of note 34  97 – 97 – – 
 16605773 449 9616833
a valuation is based on unadjusted quoted prices in active markets for identical financial instruments this category includes listed equity shares and other quoted funds  
b valuation is based on inputs that are observable for the financial instruments which includes quoted prices for similar instruments or identical instruments in markets which are not considered to be active 
or either directly or indirectly based on observable market data 
c valuation is based on inputs for the asset or liability that are not based on observable market data unobservable inputs  notes to the financial statements continued 
 
 192 rio tinto 2009 annual report 
financial statements 
34 financial instruments continued 
level 3 financial assets and financial liabilities  
the table below shows the summary of changes in the fair value of the group’s level 3 financial assets and financial liabilities for the year ended 
31 december 2009  
 
level 3 financial assets 
and financial liabilities 
opening balance  50
currency translation adjustments  1
realised gains to income statement  24 
unrealised losses to income statement  35
unrealised losses to comprehensive income  66
additions  38 
disposals  6
closing balance  96
total losses for the year included in the income statement for assets and liabilities held at year end  31
35 contingent liabilities and commitments  
 
2009 
usm 
2008
usm 
capital commitments including those related to joint ventures and associates    
within 1 year  2439 3568 
between 1 and 3 years  1050 487 
between 3 and 5 years 308 228 
after 5 years  78 71 
 3875 4354 
a included in the above table is other commitments of us117 million 2008 us18 million capital commitments incurred by the group relating to joint ventures and associates amount to us261 million 
2008 us376 million capital commitments incurred jointly with other venturers rio tinto share relating to joint ventures amount to us539 million 2008 us713 million 
operating leases  
the aggregate amount of minimum lease payments under non cancellable operating leases are as follows  
 
2009 
usm 
2008
usm 
within 1 year  484 336 
between 1 and 3 years  628 565 
between 3 and 5 years 287 345 
after 5 years  451 315 
 1850 1561 
unconditional purchase obligations  
the aggregate amount of future payment commitments for the next 5 years under unconditional purchase obligations outstanding at  
31 december was  
 
2009 
usm 
2008
usm 
within 1 year  1339 1245 
between 1 and 2 years  1054 870 
between 2 and 3 years  1113 773 
between 3 and 4 years  1006 648 
between 4 and 5 years  891 505 
after 5 years  7404 6304 
 12807 10345 
   
 wwwriotintocom 193
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statements
unconditional purchase obligations relate to commitments to make payments in the future for fixed or minimum quantities of goods or services 
at fixed or minimum prices the future payment commitments set out above have not been discounted and mainly relate to commitments under 
‘take or pay’ power and freight contracts they exclude unconditional purchase obligations of jointly controlled entities apart from those relating 
to the group’s tolling arrangements  
 
2009 
usm 
2008 
usm 
contingent liabilities excluding those relating to joint ventures and associates    
indemnities and other performance guarantees  316 329 
contingent liabilities relating to joint ventures and associates 
a
    
share of contingent liabilities of joint ventures and associates  – 5 
incurred in relation to interests in joint ventures  233 187 
incurred in relation to other venturers’ contingent liabilities  73 67 
a amounts disclosed include those arising as a result of the group’s investments in both jointly controlled assets and jointly controlled entities  
b there are a number of legal claims currently outstanding against the group no material loss to the group is expected to result from these claims  
36 average number of employees  
 
subsidiaries and proportionally 
consolidated units 
equity accounted units  
rio tinto share 
a
 group total 
 2009 2008 2009 2008 2009 2008 
the principal locations of employment were        
australia and new zealand  17537 17875 2355 2471 19892 20346 
north america  21787 23167 580 370 22367 23537 
africa  6539 6329 1673 1980 8212 8309 
europe  16965 16909 274 520 17239 17429 
south america  2039 2909 1148 1116 3187 4025 
indonesia  2165 2206 – – 2165 2206 
other countries  844 942 356 605 1200 1547 
discontinued operations  27732 28386 – – 27732 28386 
 95608 98723 6386 7062 101994 105785 
a employee numbers which represent the average for the year include 100 per cent of employees of subsidiary companies employee numbers for proportionally consolidated and equity accounted units 
are proportional to the group’s interest average employee numbers include a part year effect for companies acquired or disposed of during the year  
part time employees are included on a full time equivalent basis temporary employees are included in employee numbers  
people employed by contractors are not included   notes to the financial statements continued 
 
 194 rio tinto 2009 annual report 
financial statements 
37 principal subsidiaries  
at 31 december 2009 
 
company and country of incorporationoperation  principal activities 
class of  
shares held 
proportion of 
class held  
group 
interest 
 
australia      
argyle diamond mines  mining and processing of diamonds 
a
 100 100 
coal  allied industries limited  coal mining ordinary 7571 7571 
dampier salt limited  salt production ordinary 6840 6840 
energy resources of australia limited  uranium mining class a 6839 6839 
hamersley iron pty limited  iron ore mining ordinary 100 100 
queensland coal pty limited 
b 
 coal mining ordinary 100 100 
rio tinto aluminium holdings limited 
 
bauxite mining alumina production  
primary aluminium smelting 
ordinary 
 
100 
 
100
 
canada      
iron ore company of canada inc  iron ore mining iron ore pellets series a e  f 5872 5872 
qitfer et titane inc  
 
titanium dioxide feedstock  
high purity iron and steel 
common shares 
 
100 
 
100
 
  
class b preference 
shares 
100 100 
rio tinto alcan inc  
 
 
 
bauxite mining alumina refining  
production of specialty alumina  
and recycling engineered products  
flexible and specialty packaging 
common shares 
 
 
 
100 
 
 
 
100
 
france      
talc de luzenac france sa  mining refining and marketing of talc ordinary 1525 100 100 
indonesia      
pt kelian equatorial mining gold mining now in close down phase ordinary us1 90 90 
madagascar      
qit madagascar minerals sa  ilmenite mining common shares 80 80 
namibia      
rössing uranium limited 
c
  
 
uranium mining 
 
b n1  
c n10c 
7116  
7059 
 
6858
 
papua new guinea      
bougainville copper limited 
d
  copper and gold mining ordinary 1 kina 5358 5358 
south africa      
palabora mining company limited  copper mining smelting and refining r1 7203 5767 
united states of america      
kennecott holdings corporation  
including kennecott utah copper  
kennecott land and kennecott exploration 
copper and gold mining smelting  
and refining land development and 
exploration activities 
common us001 100 
 
 
100
 
us borax inc  mining refining and marketing of borates  common us010 100 100 
a this entity is unincorporated  
b queensland coal pty limited is the main legal entity that owns the shares shown in note 40 of hail creek blair athol and kestrel  
c the group’s shareholding in rössing uranium limited carries 3554 per cent of the total voting rights rössing is consolidated by virtue of board control  
d  the results of bougainville copper limited are not consolidated see note 47  
e the group comprises a large number of companies and it is not practical to include all of them in this list the list therefore only includes those companies that have a more significant impact on the profit 
or assets of the group  
f the group’s principal subsidiaries are held by intermediate holding companies and not directly by rio tinto plc or rio tinto limited  
g companies operate mainly in the countries in which they are incorporated    
 wwwriotintocom 195
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financial
statements
38 principal jointly controlled entities  
at 31 december 2009 
company and country of incorporationoperation  principal activities 
number of 
shares held 
class of  
shares held 
proportion of 
class held 
 
group 
interest
 
australia       
boyne smelters limited 
a
  aluminium smelting 153679560 ordinary 594 594 
leichhardt coal pty limited 
b
  coal mining 20115000 ordinary 447 447 
queensland alumina limited 
a 
 alumina production 1769600 ordinary 80 80 
chile       
minera escondida limitada 
c
  copper mining and refining   30 30 
new zealand       
new zealand aluminium  
smelters limited 
a
  aluminium smelting 24998400 ordinary 794 794 
norway       
sornorge aluminium as  aluminium smelting 500000 ordinary 50 50 
oman       
sohar aluminium company llc  
 
aluminium smelting  power 
generation 37500 omr1 20 20 
south africa       
richards bay titanium pty ltd 
d
  ilmenite rutile and zircon mining – 
preferred 
ordinary –  
  – a ordinary – 377 
  150960 b ordinary 51 
 
 
 
  – a preference – 385 
  140046 b preference 51 
 
 
richards bay mining pty ltd 
d
  ilmenite rutile and zircon mining – 
preferred 
ordinary –  
  – a ordinary – 363 
  36260 b ordinary 49 
 
 
 
  – a preference –  
  31335 b preference 49 
 
370 
united kingdom       
anglesey aluminium metal limited 
a
 aluminium smelting 13387500 ordinary £1 51 51 
united states of america       
halco mining inc 
e
  4500 common 45 45 
pechiney reynolds quebec inc 
f
 
  
100
1 
common 
preferred 
50
100 
 
503 
hydrogen energy california llc 
g
 alternative energy    500 
the group has joint control of the above operations which except as disclosed in note d below are independent legal entities it therefore 
includes them in its accounts using the equity accounting method  
the group comprises a large number of operations and it is not practical to include all of them in this list the list therefore only includes those 
jointly controlled entities that have a more significant impact on the profit or operating assets of the group 
the group’s principal jointly controlled entities are held by intermediate holding companies and not directly by rio tinto plc or rio tinto limited 
with the exception of e and f above all jointly controlled entities operate mainly in the countries in which they are incorporated 
a while the group holds more than a 50 per cent interest in these entities other participants have veto rights over operating financing and strategic decision making accordingly the group does not have 
the ability to unilaterally control and therefore does not consolidate these entities 
b leichhardt has a 314 per cent interest in the blair athol joint venture as a result the group has a further beneficial interest of 14 per cent in addition to its direct interest of 572 per cent which is owned 
via a subsidiary of rio tinto limited the blair athol joint venture is disclosed as a jointly controlled asset in note 40 
c the year end of minera escondida limitada is 30 june however the amounts included in the consolidated financial statements of rio tinto are based on accounts of minera escondida limitada that are 
coterminous with those of the group 
d on 9 december an agreement was signed with a broadbased black economic empowerment bbbee consortium transferring 26 per cent of the group’s interest in richards bay minerals rbm to a group 
comprising local communities investors and rbm employees at the same time an agreement was signed with the joint venture partner bhp billiton to restructure the joint venture while maintaining the 
group’s remaining interest in rbm this transaction has reduced the group’s interest from 50 per cent to 37 per cent allocated between two entities  
e halco has a 51 per cent indirect interest in compagnie des bauxites de guinée a bauxite mine the core assets of which are located in guinea 
f pechiney reynolds quebec has a 501 per cent interest in the aluminerie de becancour aluminium smelter which is located in canada 
g this entity has been incorporated but its capital has not been divided into shares 
  notes to the financial statements continued 
 
 196 rio tinto 2009 annual report 
financial statements 
39 principal associates 
at 31 december 2009 
 
company and country of incorporationoperation  principal activities 
number of 
shares held 
class of  
shares held 
proportion of 
class held 
 
group
interest
 
brazil       
mineração rio do norte sa 
a
  bauxite mining 25000000 ordinary 125 
  47000000 preferred 118 
 
12 
cameroon       
compagnie camerounaise de l’aluminum aluminium smelting 1623127 xaf 467 467 
canada       
ivanhoe mines ltd 
b
  copper and gold mining 83638128 common 197 197 
united states       
cloud peak energy resources llc  coal mining 29400000 c 483 483 
the group’s principal associates are held by intermediate holding companies and not directly by rio tinto plc or rio tinto limited 
the group comprises a large number of operations and it is not practical to include all of them in this list the list therefore only includes those 
associates that have a more significant impact on the profit or operating assets of the group 
with the exception of ivanhoe mines ltd the core assets of which are located in mongolia all associates operate mainly in the countries in which 
they are incorporated 
a mineração rio do norte sa is accounted for as an associated company because the group has significant influence through representation on its board of directors  
b ivanhoe mines ltd is accounted for as an associated company because the group has significant influence through representation on its board of directors and participation in the technical committee that 
is responsible for its oyu tolgoi project on 28 october 2009 rio tinto completed the second tranche of its private placement investment in ivanhoe mines ltd increasing its ownership by 98 per cent to 
197 per cent of ivanhoe’s common shares the second tranche consisted of 46304473 common shares at a subscription price of us838 per share for a total consideration of us388 million  
if rio tinto were to exercise and convert all of its remaining warrants and securities of ivanhoe it would own 257931578 common shares of ivanhoe representing 431 per cent of ivanhoe’s common 
shares refer to note 48 – events after the statement of financial position date 
c through its holdings in rio tinto energy america inc and kennecott management services company the group holds 48 per cent of membership interest in cloud peak energy resources llc  
the remaining 52 per cent ownership interest is held by cloud peak energy inc whose stock is traded on the new york stock exchange  
40 principal jointly controlled assets and other proportionally consolidated units 
at 31 december 2009 
 
name and country of operation principal activities 
group
interest  
australia   
tomago aluminium joint venture aluminium smelting 516 
bengalla 
a
 coal mining 303 
blair athol coal 
b
 coal mining 712 
hail creek coal mining 82 
kestrel coal mining 80 
mount thorley 
c
 coal mining 606 
warkworth coal mining 421 
northparkes mine coppergold mining and processing 80 
gladstone power station power generation 421 
robe river iron associates iron ore mining 53 
hope downs joint venture iron ore mining 50 
hismelt®  iron technology 60 
brazil   
consórcio de alumínio maranhão alumina production 10 
canada   
alouette aluminium production 40 
diavik mining and processing of diamonds 60 
indonesia   
grasberg expansion  copper and gold mining 40 
the group comprises a large number of operations and it is not practical to include all of them in this list the list therefore only includes those 
proportionally consolidated units that have a more significant impact on the profit or operating assets of the group 
the group’s proportionally consolidated units are held by intermediate holding companies and not directly by rio tinto plc or rio tinto limited 
a the group owns a 40 per cent interest in bengalla through its 7571 per cent investment in coal and allied giving a beneficial interest to the group of 303 per cent  
b the group has a direct interest of 572 per cent in blair athol coal and an additional 14 per cent interest through its investment in leichhardt coal pty limited which is disclosed as a jointly controlled 
entity in note 38 
c the group owns an 80 per cent interest in mount thorley through its 7571 per cent investment in coal and allied giving a beneficial interest to the group of 606 per cent   
 wwwriotintocom 197
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41 purchases and sales of subsidiaries joint ventures associates and other interests in businesses 
acquisitions 
on 28 october 2009 rio tinto completed the second tranche of its private placement investment in ivanhoe mines ltd increasing its ownership 
by 98 per cent to 197 per cent of ivanhoe’s common shares the second tranche consists of 46304473 common shares at a subscription price  
of us838 per share for a total consideration of us388 million  
there were no other significant acquisitions for the year ended 31 december 2009  
on 5 june 2009 rio tinto and bhp billiton signed an agreement of core principles to establish a production joint venture covering the entirety of both 
companies’ western australian iron ore assets on 5 december 2009 rio tinto and bhp signed binding agreements on the proposed joint venture that 
cover all aspects of how the joint venture will operate and be governed completion of the joint venture had not occurred at 31 december 2009 
there were no significant acquisitions for the year ended 31 december 2008 
2009 disposals 
on 1 december 2009 rio tinto completed the sale of alcan composites part of alcan engineered products to schweiter technologies for a total 
consideration of us349 million 
on 20 november 2009 rio tinto received us741 million in connection with cloud peak energy inc’s initial public offering ipo and related 
transactions comprising us434 million net proceeds from the sale of part of rio tinto’s interest in cloud peak energy resources llc cper 
and a cash distribution by cper of us307 million from the proceeds of its debt offering of us600 million an additional us7 million was 
received as part of a working capital adjustment at 31 december 2009 rio tinto retains an interest in cper of 48 per cent which is now treated 
as an equity accounted unit eau 
us660 million of sales proceeds arose from these transactions and us151 million was received as dividends from an eau the sales proceeds 
comprised the gross ipo proceeds of us459 million 52 per cent of the cash distribution by cper representing the percentage not retained by 
the group and us38 million of deferred consideration 
on 1 october 2009 rio tinto completed the sale of its jacobs ranch coal mine to arch coal inc for a final cash consideration of us764 million 
on 18 september 2009 rio tinto completed the sale of its corumbá iron ore mine and associated river logistics operations to vale sa for cash 
consideration of us750 million 
on 26 january 2009 rio tinto completed the sale of its 50 percent equity share of the alcan ningxia aluminium joint venture in china to 
qingtongxia aluminium group co ltd qtx for gross cash consideration of us125 million  
the carrying value of the group’s share of the major classes of assets and liabilities at the date of sale were 
 2009 
goodwill 184 
intangible assets 169 
property plant  equipment 2021 
investments in equity accounted units 11 
inventories  288 
other financial assets 251 
borrowings 12
deferred tax liabilities 82
provisions  796
outside equity shareholders 1
net assets 2033 
  
add divestment of investment in associate 80 
less retained investment in associates 359
less recycled gains and losses and movements in other comprehensive income 18
net assets and investments in associates disposed of 1736 
consideration  
cash proceeds net of transaction costs
a
 2424 
deferred consideration 46 
disposal costs 42
net consideration  2428 
gain on disposal  692 
  
net cash inflow from disposals 2424 
acquisitions of subsidiaries joint ventures and associates 396
cash flow from disposalsacquisitions of subsidiaries joint ventures and associates 2028
a cash proceeds were stated net of us20 million cash and cash equivalents transferred on sale of subsidiaries  notes to the financial statements continued 
 
 198 rio tinto 2009 annual report 
financial statements 
41 purchases and sales of subsidiaries joint ventures associates and other interests in businesses 
continued 
2008 disposals 
on 5 march 2008 the group completed the sale of its interest rio tinto share 40 per cent in the cortez gold mine previously in the copper 
product group for a sales price which included cash consideration of us1695 million the group benefits from a deferred bonus payment in 
the event of a significant discovery of additional reserves and resources at the cortez mine and also retains a contingent royalty interest in the 
future production of the property  
on 16 april 2008 the group completed the sale of its joint venture interest rio tinto share 703 per cent in the greens creek mine to hecla 
mining company greens creek which mines silver gold zinc and lead was previously part of the copper product group the sale price was 
us750 million comprising a cash component of us700 million with the balance in the common stock of hecla mining company  
the aggregate profit on disposal of interests in businesses including investments in 2008 was us2231 million us1470 million net of tax 
these gains have been excluded from underlying earnings as shown in note 2 
the cash flow statement includes us2563 million in ‘net disposalsacquisitions of subsidiaries joint ventures  associates’ comprising 
us2572 million in disposal proceeds net of us9 million paid for acquisitions in accordance with ias 7 these proceeds were stated net of 
us5 million cash and cash equivalents transferred on sale of subsidiaries  
noncash disposal proceeds of us88 million were received during the year 
42 directors’ and key management remuneration 
aggregate remuneration calculated in accordance with the companies act 2006 of the directors of the parent companies was as follows 
 
2009 
us’000 
2008
us’000 
emoluments 18021 10620 
long term incentive plans  3092 2647 
 21113 13267 
pension contributions defined contribution plans 389 338 
gains made on exercise of share options 20 – 
the aggregate remuneration incurred by rio tinto plc in respect of its directors was us17784000 2008 us13214000 the aggregate 
pension contribution to defined contribution plans was us342000 2008 us338000 the aggregate remuneration including pension 
contributions and other retirement benefits incurred by rio tinto limited in respect of its directors was us3718000 2008 us391000  
the aggregate pension contribution to defined contribution plans was us47000 2008 us43000 
during 2009 three directors 2008 two accrued retirement benefits under defined benefit arrangements and two director 2008 one accrued 
retirement benefits under defined contribution arrangements 
emoluments included in the table above have been translated from local currency at the average rate for the year with the exception of  
bonus payments which together with amounts payable under long term incentive plans have been translated at the year end rate detailed 
information concerning directors’ remuneration shareholdings and options is shown in the remuneration report including tables 1 to 5  
on pages 116 to 129 of the 2009 annual report  
aggregate compensation representing the expense recognised under eu ifrs of the group’s key management including directors was  
as follows  
 
2009 
us’000 
2008
us’000 
short term employee benefits and costs  35881 21086 
post employment benefits  3692 3664 
termination benefits  1357 – 
share based payments  34476 5360
 75406 19390 
the figures shown above include employment costs which comprise of social security and accident premiums in the uk and us and payroll taxes 
in australia paid by the employer as a direct additional cost of hire in total they amount to us2269000 2008 us1389000 and although 
disclosed here are not included in table 1 of the remuneration report  
more detailed information concerning the remuneration of key management is shown in the remuneration report including tables 1 to 5 on 
pages 116 to 129 of the 2009 annual report  
  
 wwwriotintocom 199
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financial
statements
43 auditors‘ remuneration  
 
2009
usm 
2008
usm 
group auditors’ remuneration 
a
    
audit services pursuant to legislation    
– audit of the group’s annual accounts  23 32 
– audit of the accounts of the group’s subsidiaries 
b
  209 265 
audit services in connection with divestment programme 
f
  220 244 
 452 541 
other services    
– services in connection with capital raising  42 – 
– services in connection with bid defence – 94 
– services in connection with divestment programme  84 258 
– taxation services 
c
  21 33 
– other services  22 26 
total other services  169 411 
 621 952 
remuneration payable to other accounting firms 
d
    
audit services pursuant to legislation    
– audit of accounts of the group’s subsidiaries 
b
  05 02 
non audit services    
– taxation services 
c
  91 158 
– financial systems design and implementation  – 02 
– internal audit  84 71 
– litigation services  01 – 
– other services 
e
  122 420 
 303 653 
fees in respect of pension scheme audits  01 03 
 304 656 
 925 1608 
a the remuneration payable to pricewaterhousecoopers the group auditors is approved by the audit committee the committee sets the policy for the award of non audit work to the auditors and approves 
the nature and extent of such work and the amount of the related fees to ensure that independence is maintained the fees disclosed above consolidate all payments made to pricewaterhousecoopers by 
the companies and their subsidiaries together with the group’s share of the payments made by proportionally consolidated units nonaudit services arise largely from assurance andor regulation related 
work  
b fees payable for the ‘audit of the accounts of the group’s subsidiaries’ includes the statutory audit of subsidiaries and other audit work performed to support the audit of the group financial statements  
c  ‘taxation services’ includes tax compliance and advisory services tax compliance involves the preparation or review of returns for corporation income sales and excise taxes tax advisory services 
includes advice on non recurring acquisitions and disposals advice on transfer pricing and advice on employee global mobility  
d  ‘remuneration payable to other accounting firms’ does not include fees for similar services payable to suppliers of consultancy services other than accountancy firms  
e ‘other services’ in 2009 and 2008 in respect of other accounting firms includes costs relating to capital raising divestments and similar corporate services pension fund and payroll administration advice 
on accounting matters secondments of accounting firms’ staff forensic audit and other consultancy  
 ‘other services’ in 2008 in respect of other accounting firms includes one off costs related to the rejection by the board of the preconditional takeover proposal from bhp billiton which was withdrawn in 
november 2008 
f audit services represent assurance provided in respect of carveout financial statements   notes to the financial statements continued 
 
 200 rio tinto 2009 annual report 
financial statements 
44 related party transactions  
information about material related party transactions of the rio tinto group is set out below  
subsidiary companies and proportionally consolidated units  
details of investments in principal subsidiary companies are disclosed in note 37  
information relating to proportionally consolidated units can be found in note 40  
equity accounted units  
transactions and balances with equity accounted units are summarised below purchases relate largely to amounts charged by jointly controlled 
entities for toll processing of bauxite and alumina sales relate largely to charges for supply of coal to jointly controlled marketing entities for 
onward sale to third party customers  
income statement items  
2009 
usm 
2008
usm 
purchases from equity accounted units  2558 2770
sales to equity accounted units  2088 3011 
 
balance sheet items  usm usm 
investments in equity accounted units note 14 a  6735 5053 
loans to equity accounted units  338 515 
loans from equity accounted units  157 195
trade and other receivables amounts due from equity accounted units note 17  941 688 
trade and other payables amounts due to equity accounted units note 25  402 280
 
cash flow statement items  usm usm 
net funding of equity accounted units  265 334
a  further information about investments in equity accounted units is set out in notes 38 and 39  
in november 2009 as part of the disposal process of cloud peak rio tinto energy america inc and cloud peak energy resources llc cper 
agreed for existing rio tinto plc guaranteed surety bonds and letters of credit principally securing the reclamation obligations for the cloud peak 
business to continue for a transition period the surety bonds are expected to be replaced by cper during the first half of 2010 the amount 
outstanding on these guarantees at the year end is us449 million  
pension funds  
information relating to pension fund arrangements is disclosed in note 50  
directors and key management  
details of directors’ and key management remuneration are set out in note 42 and in the remuneration report on pages 104 to 129  
45  exchange rates in us  
the principal exchange rates used in the preparation of the 2009 financial statements are  
 annual average year end 
 2009 2008 2009 2008 
sterling  157 186 161 144 
australian dollar  079 086 089 069 
canadian dollar  088 094 095 082 
south african rand  012 012 014 011 
euro  139 147 144 141 
   
 wwwriotintocom 201
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46 rights issues 
the terms of the rights issues were 21 new rio tinto plc shares offered for every 40 existing shares at 1400 pence per share and 21 new  
rio tinto limited shares offered for every 40 existing shares at a2829 per share the rights issues were fully underwritten and were completed 
on 2 july 2009 and 3 july 2009 respectively the net proceeds from the rights issues of us148 billion were used to pay down group borrowings 
although rio tinto plc’s functional currency is the us dollar the uk element of the rights issue was denominated in sterling at the time the 
group announced its half year results the offer of rights was treated as a derivative financial liability under ifrs prevailing at that time because 
the company was not issuing a fixed number of shares for a fixed amount of us dollars rio tinto limited’s functional currency is the australian 
dollar and the australian element of the rights issue was denominated in australian dollars so there was no equivalent issue for rio tinto 
limited this gave rise to a gain of us827 million in the group’s half year income statement in october 2009 the iasb approved an 
amendment to ias 32 which allows the offer of rights to be treated as an equity instrument provided they are offered pro rata to all shareholders 
the eu endorsed this amendment in january 2010 and the gain of us827 million was therefore reversed in the second half of 2009 
both rio tinto plc and rio tinto limited entered into a series of forward us dollar derivative exchange contracts to minimise exposure to foreign 
exchange rates and to provide confidence in the absolute dollar proceeds from the rights issues proceeds from the rights issues were used for a 
partial prepayment of the us dollar denominated alcan acquisition facility the forward contracts taken out by both companies are accounted for 
as derivatives the contracts entered into by rio tinto plc to fix the sterling proceeds in us dollars which is the company’s functional currency 
are considered to be in substance share issue costs and accordingly the losses on these contracts from inception to receipt of proceeds have 
been recognised in equity within share premium rio tinto limited’s functional currency is the australian dollar and therefore the losses on the 
contracts entered into by rio tinto limited have been recognised in the income statement and excluded from underlying earnings the losses on 
rio tinto plc and rio tinto limited contracts are included within ‘other investing cash flows’ in the statement of cash flow 
the rights issues were at a discount to the then market price accordingly earnings per share for all periods up to the date on which the shares 
were issued have been adjusted for the bonus element of the rights issues the bonus factor for rio tinto plc was 12105 and for rio tinto 
limited was 12679 2008 comparatives for both earnings per share and ordinary dividends per share have been restated accordingly 
47 bougainville copper limited ‘bcl’ 
mining has been suspended at the panguna mine since 1989 safe mine access by company employees has not been possible since that time and 
an accurate assessment of the condition of the assets cannot therefore be made considerable funding would be required to recommence 
operations to the level which applied at the time of the mine’s closure in 1989 an ‘order of magnitude’ study undertaken in 2008 indicates that 
costs in a range of us2 billion to us4 billion would be required to reopen the mine assuming all site infrastructure is replaced the directors 
consider that the group does not currently realise a benefit from its interest in bcl and therefore bcl information continues to be excluded from 
the financial statements bcl reported a net profit of us3 million for the financial year 2008 net loss of us2 million this is based upon 
actual transactions for the financial year the aggregate amount of capital and reserves reported by bcl as at 31 december 2009 was us138 
million 2008 us113 million the group owns 214887966 shares in bcl representing 536 per cent of the issued share capital the 
investment of us195 million was fully provided against in 1991 at 31 december 2009 the number of shares in bcl held by the group 
multiplied by the share price resulted in an amount of us114 million 2008 us101 million 
48 events after the statement of financial position date 
on 29 january 2010 us20 billion of facility d of the alcan facility was paid an additional us20 billion was paid on 26 february 2010 
leaving us45 billion outstanding on the facility  
all of tranches a and b of the alcan facility have now been repaid facility b of the acquisition facility is a revolving facility of which us21 billion was 
undrawn at 31 december 2009 on 5 february 2010 in accordance with the acquisition facility agreement proceeds from the sale of the majority of 
alcan packaging to amcor were used to cancel us20 billion of the outstanding capacity at the same time the group voluntarily surrendered the 
remaining us01 billion of the facility 
rio tinto completed the sale of alcan packaging global pharmaceuticals global tobacco food europe and food asia divisions to amcor for  
a total consideration of us1948 million on 1 february 2010 the consideration has been adjusted to exclude the medical flexibles operations 
and to reflect the actual business performance over the past six months the final consideration remains subject to certain customary  
postclose adjustments 
the sale of maules creek to aston resources was completed on 18 february 2010  
the sale of the alcan packaging food americas division to bemis company inc for a total allcash consideration of us12 billion was completed 
on 1 march 2010  
these divestments have not been reflected in the 2009 results and will be reflected in the period in which the sales are completed  
on 1 march 2010 rio tinto announced that it has agreed to acquire 15 million shares in ivanhoe mines ltd at a subscription price of  
c1631 per share increasing its ownership in ivanhoe mines by 27 per cent to 224 per cent the total consideration for this acquisition  
is c2447 million the shares are being issued to rio tinto in satisfaction of an agreement with ivanhoe mines in 2008 to finance equipment for 
the oyu tolgoi coppergold complex in mongolia’s south gobi region after the completion of the acquisition rio tinto will own 986 million 
shares of ivanhoe mines if rio tinto were to execute all of its shares purchase warrants and convert its us350 million loan into shares it would 
own approximately 2676 million shares of ivanhoe mines representing 440 per cent of ivanhoe mines  notes to the financial statements continued 
 
 202 rio tinto 2009 annual report 
financial statements 
49 share based payments 
rio tinto plc and rio tinto limited ‘the companies’ have a number of share based payment plans which are described in detail in the 
remuneration report these plans have been accounted for in accordance with the fair value recognition provisions of ‘ifrs 2 sharebased 
payment’ which means that ifrs 2 has been applied to all grants of employee share based payments that had not vested as at 1 january 2004 
the chargecredit that has been recognised in the income statement for rio tinto’s share based compensation plans and the related liability  
for cashsettled plans is set out in the table below 
 
chargecredit recognised  
for the year 
liability at the end  
of the year 
 
2009 
usm 
2008  
usm 
2009 
 usm 
2008
 usm 
equitysettled plans 76 61 – – 
cashsettled plans 101 83 111 43 
total 177 22 111 43 
effect of the rights issues 
all options and awards outstanding when the rights issues took place have been adjusted to nullify any impact on the economic position of the 
participant at exercise for rio tinto plc options the fair values and exercise prices have been reduced by the bonus element and the number of 
options and awards has been increased by the same proportion 
for rio tinto limited awards ‘topup’ awards have been granted to increase the number held with a corresponding decrease in the associated 
fair value for rio tinto limited options the exercise price has been reduced so that their intrinsic value measured at june 2009 remains 
unchanged as a result of the rights issue 
the 2008 comparatives have been restated as if the rights issues had taken place prior to the 1st january 2008 this is to ensure the figures are 
comparable with the 2009 results which include the impact of the rights issues 
latticebased option valuation model  
the fair value of share options is estimated as at the date of grant using a latticebased option valuation model the significant assumptions used 
in the valuation model are disclosed below expected volatilities are based on the historical volatility of rio tinto’s share returns under the uk 
and australian listings historical data was used to estimate employee forfeiture and cancellation rates within the valuation model under the 
share option plans it is assumed that after options have vested 20 per cent per annum of participants will exercise their options when the 
market price is at least 20 per cent above the exercise price of the option participants in the share savings plans are assumed to exercise their 
options immediately after vesting the implied lifetime of options granted is derived from the output of the option valuation model and 
represents the period of time that options granted are expected to be outstanding the riskfree rate used in the valuation model is equal to the 
yield available on uk and australian zerocoupon government bonds for plc and limited options respectively at the date of grant with a term 
equal to the expected term of the options 
summary of options outstanding 
a summary of the status of the companies’ equitysettled share option plans at 31 december 2009 and changes during the year ended  
31 december 2009 is presented below  
options outstanding at 31 december 2009 
number 
weighted 
average exercise 
price per option 
£  a 
weighted 
average 
remaining 
contractual life 
years 
aggregate 
intrinsic value 
usm
2009 
rio tinto plc share savings plan £9 – £27 1474390 2090 22 31 
rio tinto limited share savings plan a12 – a67 2139259 4817 32 51 
rio tinto plc share option plan £7 – £48 5902934 1760 59 161 
rio tinto limited share option plan a16 – a119 2439297 4204 64 73 
 11955880    316 
as at 31 december 2008 there were 11922094 options outstanding with an aggregate intrinsic value of us19 million 
options exercisable at 31 december 2009     
rio tinto plc share option plan £7 – £23 3523088 1419 42 112 
rio tinto limited share option plan a16 – a55 1383290 3666 50 47 
 4906378    159 
as at 31 december 2009 there were no options exercisable under either the rio tinto plc or the rio tinto limited share savings plans   
 wwwriotintocom 203
shareholder 
information 
financial
statements
share savings plans  
awards under these plans are settled in equity and accounted for accordingly the fair value of each award on the day of grant was estimated 
using a latticebased option valuation model including allowance for the exercise price being at a discount to market price the key assumptions 
used in the valuation are noted in the following table 
 
riskfree 
interest rate
 
expected 
volatility
 
dividend 
yield
 
forfeiture  
rates 
 
cancellation 
rates 
a
 
 
implied 
lifetime 
years 
awards made in 2009       
– rio tinto plc  1528 470 18 50 50 2252 
– rio tinto limited  5456 380 15 50 50 3252 
a in addition to the regular cancellation rates above it is assumed that on the anniversary of date of grant a proportion of employees will cancel their awards in favour of new awards if the then share price is 
less than the exercise price the proportion assumed is a sliding scale from 20 per cent cancelling if the then share price equals the exercise price to 100 per cent cancelling if the then share price is 75 per 
cent of the exercise price or less 
 
rio tinto plc – share savings plan 
 
2009 
number 
weighted 
average  
exercise price 
2009 
£ 
2008 
number 
weighted 
average 
exercise price
2008
£ 
options outstanding at 1 january 1661006 1888 1718565 1520 
granted 453616 2220 532423 2298 
forfeited 57375 2032 45695 1613 
exercised 269227 1202 465378 996 
cancellations 160546 2393 66597 2210 
expired 153084 1553 12312 1280 
options outstanding at 31 december 1474390 2090 1661006 1888 
     
weighted average fair value at date of grant of options granted  
during the year £  927  155 
share price at date of grant of options granted during the year £  2972  1694 
weighted average share price at the time the options were exercised  
during the year £  1829  3945 
comparatives have been updated for the impact of the rights issues as explained in the section ‘effect of the rights issues’ on page 202 
 
rio tinto limited – share savings plan 
 
2009 
number 
weighted 
average  
exercise price 
2009  
a 
2008 
number 
weighted 
average 
exercise price
2008 
a 
options outstanding at 1 january 1901417 4340 2634607 3025 
granted 1183090 4873 413271 6608 
forfeited 95677 5117 285641 4331 
exercised 340646 2096 797744 1125 
cancellations 374471 5839 46602 6405 
expired 134454 2394 16474 946 
options outstanding at 31 december 2139259 4817 1901417 4340 
     
weighted average fair value at date of grant of options granted during  
the year a  2089  515 
share price at date of grant of options granted during the year a  6468  5206 
weighted average share price at the time the options were exercised  
during the year a  4643  10110 
comparatives have been updated for the impact of the rights issues as explained in the section ‘effect of the rights issues’ on page 202 
  notes to the financial statements continued 
 
 204 rio tinto 2009 annual report 
financial statements 
49 share based payments continued 
share option plans  
the group has a policy of settling these awards in equity although the directors at their discretion can offer a cash alternative the awards are 
accounted for in accordance with the requirements applying to equitysettled share based payment transactions the performance conditions  
in relation to total shareholder return ‘tsr’ have been incorporated in the measurement of fair value for these awards by modelling the 
correlation between rio tinto’s tsr and that of the index the relationship between rio tinto’s tsr and the index was simulated many 
thousands of times to derive a distribution which in conjunction with the latticebased option valuation model was used to determine the  
fair value of the options  
the key assumptions are noted in the following table 
 
riskfree 
interest rate
 
expected 
volatility
 
dividend 
 yield 
 
turnover  
rates 
 
implied 
lifetime 
years 
awards made in 2009      
– rio tinto plc  23 460 46 30 44 
– rio tinto limited  38 360 41 30 46 
a summary of the status of the companies’ performancebased share option plans at 31 december 2009 and changes during the year ended  
31 december 2009 is presented below 
rio tinto plc – share option plan 
2009 
number 
weighted 
average  
exercise price 
2009 
£ 
2008  
number 
weighted 
average 
exercise price
2008
£ 
options outstanding at 1 january 5647992 1725 6004326 1549 
granted 1284749 1653 332519 4728 
forfeited 112917 1730 152870 2659 
exercised 916890 1403 535983 1347 
options outstanding at 31 december 5902934 1760 5647992 1725 
     
weighted average fair value at date of grant of options granted  
during the year £  549  1704 
weighted average share price at date of grant of options granted  
during the year £  1744  4621 
weighted average share price at the time the options were exercised  
during the year £  2689  4226 
comparatives have been updated for the impact of the rights issues as explained in the section ‘effect of the rights issues’ on page 202 
in addition to the equitysettled options shown above there were 133546 cashsettled options outstanding at 31 december 2009 the total 
liability for these awards at 31 december 2009 was us4 million 2008 less than us1 million 
rio tinto limited – share option plan 
2009 
number 
weighted 
average  
exercise price 
2009  
a 
2008   
number 
weighted 
average 
exercise price
2008 
a 
options outstanding at 1 january 2711678 3882 3351754 3473 
granted 540422 3345 63633 11807 
forfeited 43559 4024 45231 8012 
exercised 769244 2473 658478 2283 
options outstanding at 31 december 2439297 4204 2711678 3882 
     
weighted average fair value at date of grant of options granted  
during the year a  1335  4404 
weighted average share price at date of grant for options granted  
during the year a  4003  10348 
weighted average share price at the time the options were exercised  
during the year a  5435  10892 
comparatives have been updated for the impact of the rights issues as explained in the section ‘effect of the rights issues’ on page 202 
in addition to the equitysettled options shown above there were 44717 cashsettled options outstanding at 31 december 2009 the total 
liability for these awards at 31 december 2009 was us2 million 2008 less than us1 million   
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financial
statements
share ownership plan 
the fair values of awards of matching and free shares made by rio tinto are taken to be the market value of the shares on the date of purchase 
these awards are settled in equity the total fair value of shares awarded during the year was us1 million 2008 us2 million 
mining companies comparative plan 
awards under this plan are accounted for in accordance with the requirements applying to cashsettled share based payment transactions  
if any awards are ultimately settled in shares the liability is transferred direct to equity as the consideration for the equity instruments issued 
the grant date fair values of the awards made prior to 2008 are taken to be the market value of the shares at the date of award reduced by  
50 per cent for anticipated relative tsr performance the grant date fair value of the awards made in 2008 and 2009 were calculated using a 
monte carlo simulation model in addition for the valuations after 2005 the market value is reduced for non receipt of dividends between 
measurement date and date of vesting excluding awards for executive directors and product group chief executive officers forfeitures are 
assumed prior to vesting at three per cent per annum of outstanding awards except for the 2009 awards where no allowance has been made  
for forfeitures in accordance with the method of accounting for cashsettled awards fair values are subsequently remeasured each year to 
reflect the market price of shares at the measurement date and the number of awards expected to vest based on the current and anticipated  
tsr performance this remeasurement at 31 december 2008 and 31 december 2009 was calculated using a monte carlo simulation model 
a summary of the status of the companies’ performancebased share plans at 31 december 2009 and changes during the year is  
presented below 
rio tinto plc – mining companies comparative plan 
 
2009 
number 
weighted 
average  
fair value  
at grant date 
2009 
£ 
2008 
number 
weighted 
average 
fair value 
at grant date
2008
£ 
non vested shares at 1 january 3148648 1221 3847057 711 
awarded 191887 1356 471804 3971 
forfeited 31116 1619 173640 1343 
failed performance conditions 145215 581 534881 533 
vested 840023 581 461692 533 
nonvested shares at 31 december 2324181 1498 3148648 1221 
weighted average share price at date of vesting £  1613  4538 
 
 
2009 
number 
total fair  
value 
2009 
£’000 
2008 
number 
total fair 
value
2008
£’000 
shares issued in settlement of shares vested during the year 292719 4801 141146 6486 
total cash payments made in settlement of shares vested during the year  9236  14628 
comparatives have been updated for the impact of the rights issues as explained in the section ‘effect of the rights issues’ on page 202 
 
rio tinto limited – mining companies comparative plan 
 
2009 
number 
weighted 
average  
fair value  
at grant date  
2009  
a 
2008 
number 
weighted 
average 
fair value 
at grant date 
2008 
a 
nonvested shares at 1 january 2162867 2697 2674827 1903 
awarded 32284 3274 209521 8842 
forfeited 36541 3513 40807 4531 
failed performance conditions 87442 1503 384978 1358 
vested 555525 1503 295696 1358 
nonvested shares at 31 december 1515643 3197 2162867 2697 
     
weighted average share price at date of vesting a  3980  10813 
 
 
2009 
number 
total  
fair value 
2009 
a’000 
2008 
number 
total 
fair value
2008 
a’000 
shares issued in settlement of shares vested during the year 175916 7261 129845 14706 
total cash payments made in settlement of shares vested during the year  17088  19217 
total cash payments made in settlement of shares vested during previous years  –  141 
comparatives have been updated for the impact of the rights issues as explained in the section ‘effect of the rights issues’ on page 202  notes to the financial statements continued 
 
 206 rio tinto 2009 annual report 
financial statements 
49 share based payments continued 
management share plan 
the management share plan was introduced during 2007 to provide conditional sharebased awards to management the vesting of these 
awards is dependent on service andor performance based conditions being met the awards will be settled in equity including the dividends 
accumulated from date of award to vesting the awards are accounted for in accordance with the requirements applying to equitysettled  
share based payment transactions the fair value of each award on the day of grant is equal to the share price on the day of grant less a small 
adjustment for the timing of dividends forfeitures are assumed prior to vesting at five per cent per annum of outstanding awards 
a summary of the status of the companies’ share plans at 31 december 2009 and changes during the year is presented below 
rio tinto plc – management share plan 
 
2009 
number 
weighted 
average fair 
value at  
grant date 
2009 
£ 
2008  
number 
weighted 
average fair 
value at 
grant date
2008
£ 
nonvested awards at 1 january 862850 3689 416673 2495 
awarded 1593271 1784 533569 4556 
forfeited 196816 2577 57603 3330 
vested 127497 3150 29789 3215 
nonvested awards at 31 december 2131808 2400 862850 3689 
 
 
2009 
number 
weighted 
average  
share price 
2009 
£ 
2008  
number 
weighted 
average 
share price
2008
£ 
shares issued in respect of vested awards during the year 127497 2277 4605 4019 
comparatives have been updated for the impact of the rights issues as explained in the section ‘effect of the rights issues’ on page 202 
in addition to the equitysettled awards shown above there were 145258 cashsettled awards outstanding at 31 december 2009 the total 
liability for these awards at 31 december 2009 was us6 million 2008 us3 million 
rio tinto limited – management share plan 
 
2009 
number 
weighted 
average  
fair value at  
grant date 
2009 
a 
2008  
number  
weighted 
average fair 
value at 
grant date
2008
a 
nonvested awards at 1 january 511643 8406 328288 6765 
awarded 735282 4330 222542 10687 
forfeited 119565 6525 35123 7718 
vested 36557 7177 4064 6751 
nonvested awards at 31 december 1090803 5906 511643 8406 
 
 
2009 
number 
weighted 
average  
share price 
2009 
a 
2008  
number 
weighted 
average 
share price
2008
a 
shares issued in respect of vested awards during the year 36557 5042 3503 9527 
comparatives have been updated for the impact of the rights issues as explained in the section ‘effect of the rights issues’ on page 202 
in addition to the equitysettled awards shown above there were 9593 cashsettled awards outstanding at 31 december 2009 the total liability 
for these awards at 31 december 2009 was less than us1 million 2008 less than us1 million   
 wwwriotintocom 207
shareholder 
information 
financial
statements
bonus deferral plan 
the bonus deferral plan was introduced during 2009 and is made up of two parts the bonus deferral award and the company contributed 
award the bonus deferral award was established for the mandatory deferral of 100 per cent of the 2008 bonus for executive directors and 
product group executives and 50 per cent of the 2008 bonus for other executives in addition in order to enhance retention of key employees  
the company contributed award was made in respect of 25 per cent of the gross annual basic salary for other executives the vesting of these 
awards is dependent only on service conditions being met the awards will be settled in equity including the dividends accumulated from date  
of award to vesting the awards are accounted for in accordance with the requirements applying to equitysettled share based payment 
transactions the fair value of each award on the day of grant is equal to the share price on the day of grant less a small adjustment for the  
timing of dividends vesting forfeitures are assumed prior to vesting at three per cent per annum of outstanding awards 
a summary of the status of the companies’ share plans at 31 december 2009 and changes during the year is presented below 
rio tinto plc – bonus deferral plan 
 
2009 
number 
weighted 
average 
fair value 
at grant date
2009
£ 
nonvested awards at 1 january – – 
awarded 536149 1732 
forfeited 4907 1732 
vested 43329 1732 
nonvested awards at 31 december 487913 1732 
 
 
2009 
number 
weighted 
average 
share price
at grant date
2009
£ 
shares issued in respect of vested awards during the year 9171 2975 
in addition to the equitysettled awards shown above there were 8000 cashsettled awards outstanding at 31 december 2009 the total liability 
for these awards at 31 december 2009 was less than us1 million 
rio tinto limited – bonus deferral plan 
 
2009
number 
weighted 
average 
fair value 
at grant date
2009
 a 
nonvested awards at 1 january – – 
awarded 278405 4175 
forfeited 13460 4175 
vested 13006 4175 
nonvested awards at 31 december 251939 4175 
 
 
2009 
number 
weighted 
average 
share price
at grant date
2009
a 
shares issued in respect of vested awards during the year 9714 5313 
  notes to the financial statements continued 
 
 208 rio tinto 2009 annual report 
financial statements 
50  post retirement benefits  
description of plans 
the group operates a number of pension and post retirement healthcare plans around the world some of these plans are defined contribution 
and some are defined benefit with assets held in separate trusts foundations and similar entities valuations of these plans are produced and 
updated annually to 31 december by qualified actuaries plans that were previously sponsored by the alcan packaging business were previously 
excluded from this note and reflected in the value of the assets held for sale any plans that are not now expected to be sold with these 
businesses are now reflected in this note rather than within ‘assets held for sale’ 
rio tinto has a number of retirement plans which within the same legal arrangement have sections providing benefits on a defined benefit 
basis and sections providing benefits on a defined contribution basis in prior years these arrangements were presented as a defined benefit plan 
only although they had characteristics of both types of plan those sections providing benefits on a defined contribution basis are now presented 
as defined contribution plans the comparative information in all of the tables in this note has been adjusted to conform to the current year 
presentation the comparative statements of financial position income statements and statements of comprehensive income were not affected 
by this change 
pension plans 
the majority of the group’s pension obligations are in canada the uk the us switzerland and the eurozone there are some defined benefit 
obligations in australia but the retirement arrangements there are predominantly defined contribution in general the group has a policy of 
moving towards defined contribution provision 
there are a number of pension arrangements in the uk the defined benefit sections of these arrangements are linked to final pay and are closed 
to new members with new employees being admitted to defined contribution sections 
in australia the main arrangements are principally defined contribution in nature but there are sections providing defined benefits linked to 
final pay typically paid in lump sum form 
a number of defined benefit pension plans are sponsored by the us and canadian entities the main plans are two canadian plans for salaried 
and bargaining employees benefits for salaried staff are generally linked to final average pay while benefits for bargaining employees are 
reviewed in negotiation with unions 
in europe there are defined benefit plans in switzerland the netherlands germany and france the largest single plan is in switzerland and 
provides benefits linked to final average pay 
the group also operates a number of unfunded defined benefit plans which are included in the figures below 
post retirement healthcare plans 
certain subsidiaries of the group mainly in the us and canada provide health and life insurance benefits to retired employees and in some 
cases to their beneficiaries and covered dependants eligibility for cover is dependent upon certain age and service criteria these arrangements 
are unfunded and are included in the figures below 
plan assets 
the proportions of the total fair value of assets in the pension plans for each asset class at the balance sheet date were 
 2009   2008 
a
 
equities 549 513 
bonds 336 366 
property 55 71 
other 60 50 
 1000 1000 
a  prior year comparatives have been adjusted to conform to the current year presentation the sections providing benefits on a defined contribution basis are now presented as defined contribution plans 
further details are provided above 
the assets of the plans are generally managed on a daytoday basis by external specialist fund managers these managers may invest in the 
group’s securities subject to limits imposed by the relevant fiduciary committees and local legislation the approximate total holding of group 
securities within the plans is us19 million 2008 6 million   
 wwwriotintocom 209
shareholder 
information 
financial
statements
main assumptions rates per annum 
the main assumptions for the valuations of the plans under ias 19 are set out below information on the sensitivity of the results to the main 
assumptions is set out in the sensitivity section on page 212  
 uk   australia
a
us   canada   eurozone   switzerland   
other mainly   
africa
b
at 31 december 2009        
rate of increase in salaries 50 41 40 35 24 27 77
rate of increase in pensions 34 24 –   08 15 – 57
discount rate  55 48 59 65 52 29 89
inflation 35 24 25 23 21 15 57
        
at 31 december 2008        
rate of increase in salaries 44 39 30 27 24 27 62
rate of increase in pensions 27 15 – 04 16 –   42
discount rate 63 33 61 74 56 33 73
inflation 28 20151418 1542
a  the discount rate shown for australia is after tax 
b  the assumptions vary by location for the ‘other’ plans assumptions shown are for southern africa  
the main financial assumptions used for the healthcare plans which are predominantly in the us and canada were discount rate 60 per cent 
2008 65 per cent medical trend rate 75 per cent reducing to 51 per cent by the year 2015 broadly on a straight line basis 2008 70 per cent 
reducing to 50 per cent by the year 2015 claims costs based on individual company experience  
for both the pension and healthcare arrangements the post retirement mortality assumptions allow for future improvements in longevity  
the mortality tables used imply that a man aged 60 at the balance sheet date has a weighted average expected future lifetime of 24 years  
2008 24 years and that a man aged 60 in 2029 would have a weighted average expected future lifetime of 26 years 2008 26 years 
 uk   australia   us   canada   eurozone   switzerland   
other mainly   
africa
a
long term rate of return 
expected at 1 january 2009        
equities 74 70767274 65111
bonds 45 39405238 3171
property 55 50515254 4591
other 36 24232225 2450
   
long term rate of return 
expected at 1 january 2008   
equities 77 91777477 66114
bonds 49 59504445 3479
property 60 72605760 4997
other 42 37323030 2363
a  the assumptions vary by location for the ‘other’ plans assumptions shown are for southern africa  
the expected rate of return on pension plan assets is determined as management’s best estimate of the long term returns of the major asset 
classes – equities bonds property and other – weighted by the allocation of assets among the categories at the measurement date the expected 
rate of return is calculated using geometric averaging the expected rates of return shown have been reduced to allow for plan expenses 
including where appropriate taxes incurred within pension plans on investment returns based on the assumptions made and the distribution 
of assets the weighted average expected return on assets as at 1 january 2009 was 59 per cent 2008 64 per cent and is expected to be 64 per 
cent as at 1 january 2010 
the sources used to determine management’s best estimate of long term returns are numerous and include countryspecific bond yields which 
may be derived from the market using local bond indices or by analysis of the local bond market and countryspecific inflation and investment 
market expectations derived from market data and analysts’ or governments’ expectations as applicable 
  notes to the financial statements continued 
 
 210 rio tinto 2009 annual report 
financial statements 
50  post retirement benefits continued  
total expense recognised in the income statement 
 
pension 
benefits 
other  
benefits 
2009 
total  
usm 
2008
total 
usm 
current employer service cost for defined benefit plans 178 15 193 285
interest cost 771 55 826 882
expected return on assets 581  –  581  857 
past service cost 15 4  11 3
gains on curtailment and settlement 72 52  124  5 
total defined benefit expense 311 14 325 308
     
current employer service cost for defined contribution and industrywide plans 199 –  199 194
total expense recognised in the income statement 510 14 524 502
the above expense amounts are included as an employee cost within net operating costs in 2009 us61 million pretax of curtailment and 
settlement gains relating to the sale of businesses have been excluded from underlying earnings 2008 nil 
total amount recognised in other comprehensive income before tax 
 
2009  
usm 
2008 
usm 
actuarial losses 919 1666
lossgain on currency translation on plans using us dollar functional currency 70 321 
gain on application of asset limit 19  26 
total loss recognised in other comprehensive income 
a
 970 1319
cumulative amount recognised in other comprehensive income at 31 december 1800 830
a  actuarial loss includes us126 million loss related to equity accounted units 2008 us5 million loss 
deficitssurpluses in the plans 
the following amounts were measured in accordance with ias 19 at 31 december 
 
pension  
benefits 
other 
benefits 
2009 
total 
usm 
2008
a
 
total 
usm 
2007
a
  
total  
usm 
2006
a
 
total 
usm 
2005
a
 
total
usm 
total fair value of plan assets 12406  1 12407 9306 14350  4656  4069 
        
present value of obligations – 
funded 15138 10 15148 11044 14822 4472 4269
present value of obligations – 
unfunded 1071 1314 2385 1784 2089 597 596
present value of obligations – 
total 16209 1324 17533 12828 16911 5069 4865
unrecognised past service cost –  7 7 12 2 3  – 
effect of asset limit –  – – 19 45 –  – 
aggregate deficit to be shown 
in the statement of financial 
position 3803 1330 5133 3553 2608 410 796
comprising     
– deficits 3820 1330 5150 3713 3313 770 996
– surpluses 17  – 17 160 705  360  200 
net deficitssurpluses on 
pension plans 3803 – 3803 2648 1519 48  324
unfunded post retirement 
healthcare obligation –  1330 1330 905 1089 458 472
a  prior year comparatives have been adjusted to conform to the current year presentation the sections providing benefits on a defined contribution basis are now presented as defined contribution plans 
further details are provided on page 208 
the surplus amounts shown above are included in the statement of financial position as trade and other receivables see note 17  
deficits are shown in the statement of financial position as post retirement benefits see note 27   
 wwwriotintocom 211
shareholder 
information 
financial
statements
contributions to plans 
contributions to defined benefit pension plans during 2009 totalled us560 million 2008 us421 million contributions of us190 million 
2008 us184 million were made to defined contribution arrangements and us9 million 2008 us10 million to industrywide plans these 
are charged against profits and are included in the figures for defined contribution current employer service costs shown above  
contributions for other benefits totalled us46 million 2008 us53 million 
contributions to defined benefit pension plans for 2010 are estimated to be around us200 million higher than for 2009 the increase relates  
to uk canada and the us where the impact of the global financial crisis is now included in the funding valuations furthermore the inclusion  
of plans which were previously classified within ‘assets held for sale’ contributed to the increase healthcare plans are generally unfunded and 
contributions for future years will be equal to benefit payments and therefore cannot be predetermined 
movements in the present value of the defined benefit obligation and in the fair value of assets 
the amounts shown below include where appropriate 100 per cent of the costs contributions gains and losses in respect of employees who 
participate in the plans and who are employed in operations that are proportionally consolidated or equity accounted consequently the costs 
contributions gains and losses do not correspond directly to the amounts disclosed above in  respect of the group defined contribution plans 
and industrywide plans are excluded from the movements below  
 
pension 
benefits 
other  
benefits 
2009 
total 
usm 
2008
a
total 
usm 
change in present value of obligation     
present value of obligation at start of the year 11935 893 12828 16911
current employer service cost 189 15 204 285
interest cost  771 55 826 882
contributions by plan participants  119 2 121 93
experience lossgain 155 16  139 37
changes in actuarial assumptions lossgain 1601 70 1671 1684 
benefits paid 903 48  951 1014 
previously in assets held for sale 
b
 1291365 1656 – 
inclusion of arrangements  – 3 3 3
no longer consolidated  – 21  21  – 
past service cost 15 4  11 8 
curtailments 48 32  80 6 
settlements 161 20  181 28 
currency exchange rate lossgain 1245 62 1307 2643 
present value of obligation at end of the year 16209 1324 17533 12828
 
gains and losses on obligations 2009    2008
a
 2007
a
 2006
a
 2005
a
 
experience lossesgains ie variances between the  
estimate of obligations and the subsequent outcome 139   37   41    7   246    
as a percentage of the present value of the year end obligations 1 0 0 0 6 
      
change in assumptions lossgain usm 1671   1684   315     124   180   
a  prior year comparatives have been adjusted to conform to the current year presentation the sections providing benefits on a defined contribution basis are now presented as defined contribution plans 
further details are provided on page 208 
b plans that were previously sponsored by the rio tinto alcan packaging business were previously excluded from this note and reflected in the value of the assets and liabilities held for sale any plans that 
are not now expected to be sold with these businesses are now reflected in this note rather than within ‘assets held for sale’  notes to the financial statements continued 
 
 212 rio tinto 2009 annual report 
financial statements 
50  post retirement benefits continued 
 
pension 
benefits 
other  
benefits 
2009  
total  
usm 
2008
a
total   
usm   
change in plan assets     
fair value of plan assets at the start of the year 9306  –  9306  14350 
expected return on plan assets 581  –  581  857 
actuarial gainloss on plan assets 891  –  891  3308
contributions by plan participants  119 2  121  93 
contributions by employer 581 46  627  482 
benefits paid 903 48 951 1014
previously in assets held for sale 
b
 881 1  882   – 
inclusion of arrangements  –  –   –  8 
refunds of contributions 27 –  27  – 
settlements 137 –  137 29
currency exchange rate gainloss 1114  –  1114  2133
fair value of plan assets at the end of the year 12406 1  12407  9306 
     
actual return on plan assets   1472  2451
 
 2009 2008
a
 
 
2007
a
 
 
2006
a
   2005
a
 
difference between the expected and actual return on plan 
assets      
gainloss usm 891 3308 129  256   116  
as a percentage of year end plan assets 7 36 1 5 3 
a  prior year comparatives have been adjusted to conform to the current year presentation the sections providing benefits on a defined contribution basis are now presented as defined contribution plans 
further details are provided on page 208 
b plans that were previously sponsored by the rio tinto alcan packaging business were previously excluded from this note and reflected in the value of the asset held for sale any plans that are not now 
expected to be sold with these businesses are now reflected in this note rather than within ‘assets held for sale’ 
sensitivity 
the values reported for the defined benefit pension obligations are sensitive to the actuarial assumptions used for projecting future benefit 
payments and discounting those payments the approximate sensitivities to the principal assumptions used to measure the obligations are 
  
approximate decreaseincrease  
in obligations 
assumption  change in assumption  
pensions  
usm 
other 
usm 
discount rate increase of 05 percentage points 892  70 
 decrease of 05 percentage points 949 74
inflation increase of 05 percentage points 540 51
 decrease of 05 percentage points 513  43 
salary increases increase of 05 percentage points 120 2
 decrease of 05 percentage points 116  2 
demographic – allowance for future 
improvements in longevity 
participants assumed to have the mortality rates of individuals who 
are one year older 356  27 
 
participants assumed to have the mortality rates of individuals who 
are one year younger 356 27
post retirement healthcare – sensitivity to changes in assumptions 
an increase of one per cent in the assumed medical cost trend rates would increase the aggregate of the current service cost and interest cost 
components of the post retirement healthcare expense by us6 million 2008 us8 million and increase the benefit obligation for these plans 
by us98 million 2008 us85 million a decrease of one per cent in the assumed medical cost trend rates would decrease the aggregate of the 
current service cost and interest cost components of the post retirement healthcare expense by us5 million 2008 us7 million and decrease 
the benefit obligation for these plans by us83 million 2008 us75 million   
 wwwriotintocom 213
shareholder 
information 
financial
statements
51 rio tinto limited balance sheet 
a
 
as at 31 december note 
2009
am 
2008 
am 
non current assets    
investments 
b
 52 10956 6729 
loans to subsidiaries 52 221 264 
deferred tax assets  190 – 
available for sale financial assets 52 4 18 
other assets  1 2 
  11372 7013 
current assets    
loans to subsidiaries 52 11377 8338 
trade and other receivables  1 39 
cash and cash equivalents  6 5 
  11384 8382 
current liabilities    
loans from subsidiaries  1661 6524
tax payable   242 1237
  1903 7761
net current assets  9481 621 
    
non current liabilities    
loans from subsidiaries  1040 2866
  1040 2866
net assets  19813 4768 
    
shareholders’ equity    
share capital  5728 1587 
other reserves  394 387 
retained earnings  13691 2794 
total equity 52 19813 4768 
a prepared under australian ifrs aifrs in relation to rio tinto limited there are no significant measurement differences between aifrs and eu ifrs 
b investments in subsidiaries are accounted for at cost such investments include both investments in shares issued by the subsidiary and other parent entity interests that in substance form part of the 
parent entity’s investment in the subsidiary these include investments in the form of interestfree loans which have no fixed repayment terms and which have been provided to subsidiaries as an 
additional source of long term capital loans from subsidiaries on equivalent terms are deducted from investments trade amounts receivable from subsidiaries and payable to subsidiaries in the normal 
course of business and other amounts advanced on commercial terms and conditions are included in receivables or payables as appropriate  
the rio tinto limited parent financial statements including balance sheet income statement and cash flow statement were approved by the 
directors on 5 march 2010 and signed on their behalf by 
   
jan du plessis chairman tom albanese chief executive guy elliott chief financial officer 
  notes to the financial statements continued 
 
 214 rio tinto 2009 annual report 
financial statements 
52 other rio tinto limited balance sheet disclosures 
a 
 rio tinto limited 
a
 
 
2009  
am 
2008 
am 
investments in group companies   
at 1 january 6729  6912 
additions including net contributions from share based payments 4432  86
movements in long term loans classified as equity 543  37
impairments net 748 60
at 31 december 10956  6729 
   
available for sale investments    
at 1 january 18  8 
fair value adjustment on available for sale investments 2 1 
additions –  72 
disposals 12 63
at 31 december 4  18 
   
total investments 10960  6747 
   
loans to subsidiaries   
at 1 january 8602  6331 
advances 2996  2271 
at 31 december 11598  8602 
– non current 221  264 
– current 11377  8338 
   
deferred tax liability   
at 1 january –  1
charged to profit and loss account –  1 
at 31 december relating to timing differences –  – 
   
statement of changes in equity   
total equity at 1 january 4768  9799 
fair value adjustment on available for sale investments net of tax 1 1
fair value adjustment on available for sale investments transferred to income statement 1 – 
share based payments 7  236
net income recognised directly in equity 7  237
profit for the financial year 13051  4572 
total recognised income and expense for the year 13058  4335 
transactions with equity holders in their capacity as equity holders   
 ordinary shares issued 
b
 4141  – 
 loss on purchasesale of treasury stock 
c
 –  5788
dividends paid 
d
 2154 3578
total equity at 31 december 19813  4768 
   
contingent liabilities   
bank and other performance guarantees 
e
 10596 9374 
a prepared under aifrs see note a on page 213 
b 150015297 ordinary shares were issued during 2009 as a result of the rio tinto limited rights issue 2008 nil the terms of rio tinto limited right issue were 21 new rio tinto limited shares offered for 
every 40 existing shares at a2829 per share the rights issue was fully underwritten and was completed on 3 july 2009 further details are provided in note 46 
c during 2008 rio tinto limited purchased rio tinto plc treasury shares from rio tinto plc at the market value of rio tinto plc shares at the time of the transaction rio tinto limited subsequently sold 
these shares back to rio tinto plc for a nominal consideration the shares were then cancelled by rio tinto plc 
d includes dlc dividends at 31 december 2009 amounting to a1690 million 2008 a2800 million   
e bank and other performance guarantees relate principally to the obligations of subsidiary companies 
pursuant to the dlc merger both rio tinto plc and rio tinto limited issued deed poll guarantees by which each guaranteed contractual 
obligations incurred by the other or guaranteed by the other these guarantees are excluded from the figures above    
 wwwriotintocom 215
shareholder 
information 
financial
statements
53 rio tinto limited income statement 
 
 rio tinto limited 
a
 
 
2009 
am 
2008 
am 
revenue 
b
 14674 5543 
impairment charges 
c
 748 60
other operating costs 
d
 1023 1368
operating profit 12903 4115 
finance costs  163 18
profit before taxation 12740 4097 
taxation 311 475 
profit for the financial year 13051 4572 
a prepared under aifrs see note a on page 213 
b revenue mainly relates to dividends received during the year amounting to a14363 million 2008 a5173 million 
c impairment charges result from a review of investment carrying values which were adjusted to their estimated recoverable value  
d other operating costs includes exchange gains and losses 
54 rio tinto limited cash flow statement 
 
 rio tinto limited 
a
 
 
2009 
am 
2008 
b
 
am     
dividends received 14326 3785   
cash flow from operating activities 14326 3785   
interest received 203 298   
interest paid 159 18  
tax received  485 6   
cash flow from operating activities after financing costs and tax 14855 4071   
   
cash flows from investing activities   
purchase of investments 4526 68  
proceeds from subsidiary capital reduction 64 –   
proceeds from sale of investments in subsidiaries 89 –   
proceeds from sale of available for sale financial assets 14 64   
cash used in investing activities 4359 4  
   
cash flows from financing activities   
loans repaidraised 12437 5303   
proceeds from issue of share capital 4096 –   
purchase of treasury stock from rio tinto plc – 5788  
dividends paid to rio tinto limited shareholders 2154 3578   
net cash used in financing activities 10495 4063  
  –   
net increase in cash and cash equivalents 1 4   
opening cash and cash equivalents 5 1   
closing cash and cash equivalents 6 5   
a prepared under aifrs see note a on page 213 
b the prior  year  comparative information has been restated to provide more useful information about cash flows relating to receipt and settlement of tax balances and to ensure consistency in presentation 
with the current year cash flow presentation 
 
  rio tinto plc 
 
 216 rio tinto 2009 annual report 
financial statements 
company balance sheet 
at 31 december 
 
 note 
2009  
usm 
2008 
usm 
fixed assets    
investments b 22458  2287 
  22458  2287 
current assets    
amounts owed by subsidiaries  5778  9962 
other receivables and prepayments  1   – 
cash at bank and in hand  2  3 
  5781   9965 
creditors due within one year    
amounts owed to subsidiaries  435 446
dividends payable  8 7
  443 453
net current assets  5338  9512 
total assets less current liabilities  27796  11799 
creditors due after more than one year  96 136
net assets  27700  11663 
    
capital and reserves    
called up share capital c 246  160 
share premium account d 4174  4705 
other reserves d 11965  29 
profit and loss account d 11315  6769 
equity shareholders’ funds   27700  11663 
a  the rio tinto plc company balance sheet has been prepared in accordance with applicable uk accounting standards note a explains the principal accounting policies 
b profit after tax for the year amounted to us5164 million 2008 us4404 million as permitted by section 408 of the united kingdom companies act 2006 no profit and loss account for the rio tinto 
plc parent company is shown the company has taken advantage of the exemption within frs 1 ‘cash flow statements revised 1996’ from preparing a cash flow statement 
the rio tinto plc company balance sheet profit and loss account and the related notes were approved by the directors on 5 march 2010 and the 
balance sheet is signed on their behalf by 
   
jan du plessis chairman tom albanese chief executive guy elliott chief financial officer 
 
rio tinto plc          registered number 719885 
    
 wwwriotintocom 217
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financial
statements
a principal accounting policies under uk gaap 
a basis of accounting 
the rio tinto plc entity financial statements have been prepared under the historical cost convention except for financial guarantees which 
have been measured at fair value as set out in note e below and in accordance with applicable uk accounting standards the directors have 
reviewed the company’s existing accounting policies and consider that they are consistent with the requirements of financial reporting 
standard ‘frs’ 18 ‘accounting policies’ the financial statements have been prepared on a going concern basis 
the directors have reviewed the company’s existing accounting policies and consider that they are consistent with last year 
the principal accounting policies are set out below  
b deferred tax 
full provision is made for deferred taxation on all timing differences that have arisen but not reversed at the balance sheet date except that 
deferred tax assets are only recognised to the extent that it is more likely than not that they will be recovered deferred tax is measured at the 
average tax rates that are expected to apply in the periods in which the timing differences are expected to reverse based on tax rates and laws 
that have been enacted or substantively enacted by the balance sheet date deferred tax is measured on an undiscounted basis 
c currency translation 
the company’s local or ‘functional’ currency is the us dollar transactions denominated in other currencies including the issue of shares are 
translated at the rate of exchange ruling on the date of the transaction monetary assets and liabilities denominated in other currencies are 
translated at the rate of exchange ruling at the end of the financial year exchange rates used are consistent with the rates used by the group  
as disclosed in the consolidated financial statements see note 45 exchange differences are charged or credited to the profit and loss account  
in the year in which they arise 
d investments  
fixed asset investments are valued at cost less impairment provisions investments are reviewed for impairment if events or changes in 
circumstances indicate that the carrying amount may not be recoverable when a review for impairment is conducted the recoverable amount  
is assessed by reference to the net present value of expected future cash flows of the relevant income generating unit or disposal value if higher 
the discount rate applied is based upon the company’s weighted average cost of capital with appropriate adjustment for the risks associated 
with the relevant unit 
e financial guarantees  
obligations for financial guarantees issued by the company to other group companies are reflected as liabilities at fair value in accordance  
with frs 26 ‘financial instruments – measurement’ such obligations result in corresponding increases in the carrying value of amounts owed  
by subsidiaries payments received are set off against the asset recognised which is initially recorded at fair value  
f share based payments 
since 2007 most of the company’s share based payment plans have been settled by the issue of shares from treasury previously they were 
settled through new share issues the fair value of the grant is recognised as an addition to the cost of the investment in the subsidiary in which 
the relevant employees work the fair value is recognised over the relevant vesting period with a corresponding adjustment to the profit and loss 
account reserve payments received from the company’s subsidiaries in respect of these share based payments result in an adjustment to reduce 
the cost of the investment the fair value of the share plans is determined at the date of grant taking into account any market based vesting 
conditions attached to the award eg total shareholder return when market prices are not available the company uses fair values provided  
by independent actuaries using a lattice based option valuation model 
non market vesting conditions eg earnings per share targets are taken into account in estimating the number of awards likely to vest  
the estimate of the number of awards likely to vest is reviewed at each balance sheet date up to the vesting date at which point the estimate  
is adjusted to reflect the actual awards issued no adjustment is made after the vesting date even if the awards are forfeited or not exercised 
g revenue recognition 
interest is accounted for on the accruals basis dividend income is recognised when the right to receive payment is established 
h dividends 
dividends payable are recognised when they meet the criteria for a present obligation ie when they have been approved  
i treasury shares 
the consideration paid for shares repurchased by the company and held as treasury shares is recognised as a reduction in shareholders’ funds 
through the profit and loss account reserve   
 218 rio tinto 2009 annual report 
financial statements 
b rio tinto plc fixed assets 
 
2009  
usm 
2008 
usm 
fixed asset investments 
a
   
shares in group companies   
at 1 january 2287  2278 
additions 20171  9 
at 31 december 22458  2287 
a us201 billion of the increase in investments is attributable to the recapitalisation of rio tinto international holdings which holds the group’s investment in rio tinto alcan inc 
c rio tinto plc called up share capital 
 
2009  
usm 
2008 
usm 
issued and fully paid up share capital    
at 1 january 160  172 
ordinary shares purchased and cancelled 86  12
at 31 december 246  160 
a during the year 524460478 shares 2008 nil shares were issued as a result of rio tinto plc rights issue 440018 shares 2008 183714 shares were issued pursuant to share plans and 874925 shares 
2008 763919 shares were reissued from treasury pursuant to share plans during 2008 67880000 shares were reissued from treasury to rio tinto limited and were then bought back and cancelled 
d rio tinto plc share premium and reserves  
at 31 december 2009 
 share premium 
account  
usm 
other reserves  
usm 
profit and loss 
account 
usm 
at 1 january  4705  29  6769 
adjustment for share based payments 28  –  52 
premium on issue of shares 4  –  – 
rights issue expenses including mark to market losses on forward contracts 563 –  – 
merger reserve arising from rio tinto plc’s rights issue  11936  – 
profit for the financial year –  –  5164 
dividends paid –  –  670
at 31 december  4174  11965  11315 
at 31 december 2008 
 share premium 
account  
usm 
other reserves  
usm 
profit and loss 
account 
usm 
at 1 january  1932  17  1862 
sale of treasury shares  2767  –  1956 
cancellation of shares –  12  – 
adjustment for share based payments –  –  64 
premium on issue of shares 6  –  – 
profit for the financial year –  –  4404 
dividends paid –  –  1517
at 31 december  4705  29  6769 
e rio tinto plc contingent liabilities 
 
2009  
usm 
2008 
usm 
bank and other performance guarantees in respect of subsidiaries 
a
 18706 35033 
a  in 2009 the above amount includes us85 billion 2008 us279 billion guaranteed by the company to finance the acquisition of alcan inc of the available alcan acquisition debt facilities us71 
billion 2008 us59 billion was undrawn at year end 
b rio tinto plc has given a guarantee to the rio tinto pension fund in the uk that it will pay any contributions due from group companies participating in that fund pro rata to its ownership of those 
companies in the event that the companies fail to meet their contribution requirements   rio tinto financial information by business unit 
years ended 31 december 
 wwwriotintocom 219
shareholder 
information 
financial
statements
us millions gross revenue 
a
 ebitda 
b
 net earnings 
c
  
 
rio tinto 
interest
 2009 2008 2009 2008 2009 2008 
iron ore         
hamersley inc hismelt® 
d
 1000 8874 11006 5190  7038  3283 4642 
robe river 
e
 530 2186 2728 1422  1983  718 1062 
iron ore company of canada 587 1006 2065 344  1251  112 443 
rio tinto brasil f 30 176 15 73  19 44 
dampier salt 684 453 377 203  95  88 40 
product group operations  12549 16352 7144  10440  4182 6231 
evaluation projectsother  49 175 32 228 56 214
  12598 16527 7112  10212  4126 6017 
aluminium  g       
product group operations  11992 18253 582  4023  587 1342 
evaluation projectsother  46 44 12  87 9 71
  12038 18297 594  3936  578 1271 
copper         
kennecott utah copper 1000 2368 2609 1449  1587  818 998 
escondida 300 2039 2402 1327  1464  748 836 
grasberg joint venture h 991 53 706  38  385 4 
palabora 577 635 560 123  167  17 49 
northparkes 800 173 124 98  1 53 12
product group operations  6206 5748 3703  3255  2021 1875 
evaluation projectsother   –  – 229 395 155 278
  6206 5748 3474  2860  1866 1597 
energy         
us coal i 1813 1869 497  397  257 147 
rio tinto coal australia j 3870 5142 1799  2900  1013 1721 
rössing 686 403 548 83  260  24 101 
energy resources of australia 684 620 418 358  352  138 141 
product group operations  6706 7977 2737  3909  1432 2110 
evaluation projectsother  3 41 15 461  12 471 
  6709 8018 2722  4370  1420 2581 
diamonds  minerals        
diamonds  k 450 840 7 395  68 137 
rio tinto iron and titanium  l 1284 1919 209  755  9 295 
rio tinto minerals  m 882 1061 187  183  78 86 
product group operations  2616 3820 389  1333  1 518 
evaluation projectsother  2  – 820  41 799 44
  2618 3820 1209  1292  800 474 
        
other operations  4743 7378 30 127  188 133
        
intersegment transactions  876 1723 28 58  28 25 
other items    719 378 547 366
central exploration and evaluation    22 160 5 133
net interest      578 1030
underlying earnings    14312  22317  6298 10303 
items excluded from underlying earnings    159  1553  1426 6627
total  44036 58065 14471  23870  4872 3676 
depreciation and amortisation in subsidiaries    3427 3475   
impairment charges    1573 8030   
depreciation and amortisation in equity accounted units    440 414   
taxation and finance items in equity accounted units    739 718   
profit before finance items and taxation    8292  11233    
refer to notes a to m on page 221  rio tinto financial information by business unit continued 
 220 rio tinto 2009 annual report 
financial statements 
 
 capital expenditure 
n
 
depreciation  
amortisation operating assets 
o
 employees 
 
rio tinto 
interest
 
2009 
usm 
2008 
usm 
2009 
usm 
2008 
usm 
2009  
usm 
2008  
usm 
2009 
number 
2008 
number 
iron ore           
hamersley inc hismelt® 
d
 1000 1337 1860 506 466 7530  5170  6556 6321 
robe river 
e
 530 599 683 140 111 2751  1622  1114 1011 
iron ore company of canada 587 180 256 86 83 808  482  2027 2094 
rio tinto brasil f 11 146 3 14 5  207  666 841 
dampier salt 684 21 27 18 21 179  154  405 394 
other   – 24 10 10 10 3 607 448 
  2148 2996 763 705 11263  7632  11375 11109 
          
aluminium  g 1690 2417 1551 1543 35992  34735  22919 24634 
          
copper           
kennecott utah copper 1000 176 316 296 246 1533  1750  1878 1915 
escondida 300 213 120 104 98 1399  849  997 960 
grasberg joint venture  h 79 32 47 25 378  426  2162 2185 
palabora 577 16 40 67 57 2 117  2030 2116 
northparkes 800 17 105 25 15 301  187  186 210 
other  52 191 2 1 1419  894  359 143 
  553 804 541 442 5028  4223  7612 7529 
          
energy           
us coal i 176 204 99 150 89 1090  2388 2477 
rio tinto coal australia j 456 449 205 194 2040  1134  3289 3206 
rössing 686 24 73 27 20 324  229  1415 1307 
energy resources of australia 684 30 144 64 51 263  212  521 448 
  686 870 395 415 2538  2665  7613 7438 
          
diamonds minerals          
diamonds  k 250 652 104 175 1293  1340  1040 1401 
rio tinto iron and titanium l 247 563 129 118 2626  2125  4121 4105 
rio tinto minerals  m 22 63 57 68 693  792  2214 2580 
other   – 5  –  –  –  30   – 103 
  519 1283 290 361 4612  4287  7375 8189 
other operations  228 458 216 332 1756  3375  14021 14901 
          
net assets held for sale p  –  –  –  – 3462  3204  27732 28386 
other items  54 151 111 91 1959 811 3347 3547 
less equity accounted units  522 491 440 414    
total  5356 8488 3427 3475 62692  59310  101994 105785 
less net debt      18861 38672   
total rio tinto shareholders’ equity      43831  20638    
refer to notes d to p on page 221 
business units have been classified according to the group’s management structure generally business units are allocated to product groups 
based on their primary product the energy group includes both coal and uranium businesses the diamonds  minerals product group includes 
businesses with products such as borates talc and titanium dioxide feedstock together with diamonds operations the copper group includes 
certain gold operations in addition to copper the aluminium group excludes alcan engineered products which is included in ‘other operations’ 
and alcan packaging which is included in ‘net assets held for sale’ 
the following changes have been made to the way rio tinto presents its financial information by business unit during 2009 the diamonds  
minerals product group has been reinstated alongside the iron ore copper aluminium and energy product groups this reflects rio tinto’s 
corporate strategy of investing in and operating large long term cost competitive mines and businesses driven not by choice of commodity but 
by the quality of each opportunity alcan engineered products was reclassified from ‘aluminium’ to ‘other operations’ during the year 
information for 2008 has been reclassified accordingly  
post retirement assetsliabilities net of tax and minorities which were previously included in business units’ operating assets including equity 
accounted units are now classified as central items 2008 comparatives have been reclassified accordingly  
    
 wwwriotintocom 221
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financial
statements
a gross sales revenue includes 100 per cent of subsidiaries’ sales revenue and the group’s share of the sales revenue of equity accounted units after adjusting for intrasubsidiaryequity accounted  
unit sales 
b ebitda of subsidiaries and the group’s share of ebitda relating to equity accounted units represents profit before tax net finance items depreciation and amortisation underlying ebitda excludes  
the same items that are excluded from underlying earnings 
c net earnings represent profit after tax for the year attributable to the shareholders of the rio tinto group earnings of subsidiaries are stated before finance items but after the amortisation of discount 
related to provisions earnings attributable to equity accounted units include interest charges and amortisation of discount except that from 2009 onwards rbm earnings are before charging interest  
on third party debt earnings attributed to business units do not include amounts that are excluded in arriving at underlying earnings 
d includes rio tinto’s interests in hamersley 100 per cent and hismelt® 60 per cent 
e the group holds 65 per cent of robe river iron associates of which 30 per cent is held through a 60 per cent owned subsidiary the group’s net beneficial interest is therefore 53 per cent net of amounts 
attributable to outside equity shareholders 
f rio tinto completed the sale of its 100 per cent interest in the corumbá mine effective 18 september 2009 
g includes the alcan group acquired in 2007 excluding alcan packaging which is shown as an ‘asset held for sale’ and excluding alcan engineered products which is shown as part of ‘other operations’ 
together with the aluminium businesses previously owned by rio tinto  
h under the terms of a joint venture agreement rio tinto is entitled to 40 per cent of additional material mined as a consequence of expansions and developments of the grasberg facilities since 1998 
i as a result of the ipo of cloud peak energy inc on 20 november 2009 rio tinto now holds a 483 per cent interest in the antelope cordero rojo and spring creek mines and a 241 per cent interest in  
the decker mine these interests were formerly reported under rio tinto energy america but are now managed by cloud peak energy rio tinto completed the sale of its 100 per cent interest in the jacobs 
ranch mine on 1 october 2009 us coal also includes the group’s 100 per cent interest in colowyo mine 
j includes rio tinto’s 757 per cent interest in coal and allied which is managed by rio tinto coal australia a 100 per cent subsidiary of rio tinto the group owns a 40 per cent interest in bengalla and  
an 80 per cent interest in mount thorley through its investment in coal and allied giving a beneficial interest in those companies to the group of 303 per cent and 606 per cent respectively  
k diamonds includes rio tinto’s interests in argyle 100 per cent diavik 60 per cent and murowa 778 per cent  
l includes rio tinto’s interests in rio tinto fer et titane rtft 100 per cent qmm 80 per cent and richards bay minerals rbm attributable interest of 37 per cent rbm’s net earnings for 2009 onwards 
exclude interest charges on third party debt and its operating assets are shown before deducting net debt  
m includes rio tinto’s interests in rio tinto borax 100 per cent and luzenac talc 100 per cent  
n  capital expenditure comprises the net cash outflow on purchases less disposals of property plant and equipment capitalised evaluation costs and purchases less disposals of other intangible assets  
the details provided include 100 per cent of subsidiaries’ capital expenditure and rio tinto’s share of the capital expenditure of equity accounted units amounts relating to equity accounted units not 
specifically funded by rio tinto are deducted before arriving at total capital expenditure for the group 
o operating assets of subsidiaries comprise net assets excluding post retirement assets and liabilities net of tax and are before deducting net debt operating assets are less outside shareholders’ interests 
which are calculated by reference to the net assets of the relevant companies ie net of such companies’ debt for equity accounted units rio tinto’s net investment excluding post retirement assets and 
liabilities net of tax is shown  
p net assets held for sale include alcan packaging and other assets held for sale  australian corporations act – summary of asic relief 
 222 rio tinto 2009 annual report 
financial statements 
pursuant to section 340 of the corporations act 2001 ‘corporations act’ the australian securities and investments commission issued an order 
dated 27 january 2006 as amended on 22 december 2006 that granted relief to rio tinto limited from certain requirements of the corporations 
act in relation to the company’s financial statements and associated reports the order essentially continues the relief that has applied to  
rio tinto limited since the formation of the group’s dual listed companies ‘dlc’ structure in 1995 the order applied to rio tinto limited’s 
financial reporting obligations for financial years and halfyears ending between 31 december 2005 and 31 december 2009 inclusive 
in essence instead of being required under the corporations act to prepare consolidated financial statements covering only itself and its 
controlled entities the order allows rio tinto limited to prepare consolidated financial statements in which it rio tinto plc and their respective 
controlled entities are treated as a single economic entity in addition those consolidated financial statements are to be prepared 
• in accordance with the principles and requirements of international financial reporting standards as adopted by the european union  
‘eu ifrs’ rather than the australian equivalents of international financial reporting standards ‘aifrs’ except for one limited instance  
in the case of any concise report and in accordance with united kingdom financial reporting obligations generally 
• on the basis that the transitional provisions of international financial reporting standard 1 firsttime adoption of international financial 
reporting standards should be applied using the combined financial statements previously prepared for rio tinto limited rio tinto plc and 
their respective controlled entities under generally accepted accounting principles in the united kingdom under which the dlc merger 
between rio tinto limited and rio tinto plc was accounted for using ‘merger’ rather than ‘acquisition‘ accounting reflecting that neither 
rio tinto limited nor rio tinto plc was acquired by or is controlled by the other and meaning that the existing carrying amounts rather 
than fair values of assets and liabilities at the time of the dlc merger were used to measure those assets and liabilities at formation 
• on the basis that rio tinto limited and rio tinto plc are a single company with their respective shareholders being the shareholders in that 
single company and 
• with a reconciliation from eu ifrs to aifrs of the following amounts consolidated profit for the financial year total consolidated 
comprehensive income for the financial year and total consolidated equity at the end of the financial year see page 136 
those consolidated financial statements must also be audited in accordance with relevant united kingdom requirements rio tinto limited must 
also prepare a directors’ report which satisfies the content requirements of the corporations act applied on the basis that the consolidated entity 
for those purposes is the group except that the order allows rio tinto limited to prepare a separate remuneration report that is merely cross
referenced in the directors’ report instead of including in the directors’ report the remuneration report otherwise required by the corporations 
act the separate remuneration report see pages 104 to 129 must include all the information required to be included in a remuneration report 
under the corporations act as well as the information required by aifrs namely aasb 124 ‘related party disclosures’ dealing with 
compensation of directors and executives who are ‘key management personnel’ and certain other disclosures 
rio tinto limited is also required to comply generally with the lodgement and distribution requirements of the corporations act including 
timing requirements in relation to those consolidated financial statements including any concise financial statements the auditor’s report and 
the directors’ report the separate remuneration report is also required to be lodged with the australian securities and investments commission 
at the same time as the consolidated financial statements and rio tinto limited must not distribute or make available the remuneration report 
without the consolidated financial statements and directors’ report at the company’s agm it is required to allow shareholders to vote on a non 
binding resolution to adopt the remuneration report on the same basis as would otherwise be required for a remuneration report under the 
corporations act 
rio tinto limited is not required to prepare separate consolidated financial statements solely for it and its controlled entities rio tinto limited  
is required to prepare and lodge parent entity financial statements for itself in respect of each relevant financial year in accordance with the 
principles and requirements of aifrs other than in respect of key management personnel compensation disclosures under aasb 124 which as 
noted above are instead incorporated into the separate remuneration report and to have those statements audited those financial statements 
are not required to be laid before the company’s agm or distributed to shareholders as a matter of course 
however rio tinto limited must 
• include in the consolidated financial statements for the group as a note rio tinto limited’s parent entity balance sheet income statement 
statement of changes in equity and statement of cash flows prepared in accordance with aifrs and 
• make available the full parent entity financial statements free of charge to shareholders on request and also include a copy of them on the 
company’s website 
the parent entity financial statements are available for download from the rio tinto website at wwwriotintocom shareholders may also request 
a copy free of charge by contacting the rio tinto limited company secretary  directors’ declaration  
 wwwriotintocom 223
shareholder 
information 
financial
statements
directors’ statement of responsibilities in relation to the group financial statements  
rio tinto plc financial statements and rio tinto limited financial statements 
the directors are responsible for preparing the annual report the remuneration report and the financial statements in accordance with 
applicable law and regulations 
uk and australian company law requires the directors to prepare financial statements for each financial year under these laws the directors 
have elected to prepare the group financial statements in accordance with international financial reporting standards ifrss as adopted by the 
european union the rio tinto plc financial statements in accordance with united kingdom generally accepted accounting practice united 
kingdom accounting standards and applicable law and the rio tinto limited parent company financial statements in accordance with 
australian international financial reporting standards aifrss in preparing the group financial statements the directors have also elected to 
comply with ifrss issued by the international accounting standards board iasb under uk and australian company law the directors must not 
approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and the companies 
and of the profit or loss of the companies and group for that period in preparing these financial statements the directors are required to 
• select suitable accounting policies and then apply them consistently 
• make judgements and estimates that are reasonable and prudent 
• state whether ifrss as adopted by the european union applicable uk accounting standards and aifrss have been followed subject to any 
material departures disclosed and explained in the group and parent company financial statements respectively 
• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group and the companies will 
continue in business 
the directors are responsible for keeping adequate accounting records that are sufficient to show and explain the transactions of the companies 
and the group and disclose with reasonable accuracy at any time the financial position of the companies and the group and enable them to 
ensure that the group financial statements comply with the companies act 2006 the corporations act 2001 as amended by the australian 
securities and investments commission order dated 27 january 2006 as amended on 22 december 2006 and article 4 of the ias regulation the 
rio tinto plc financial statements comply with the companies act 2006 the rio tinto limited parent company financial statements comply with 
the corporations act as amended by the australian securities and investments commission order dated 27 january 2006 as amended on 22 
december 2006 and the remuneration report complies with the companies act 2006 the corporations act 2001 as amended by the australian 
securities and investments commission order dated 27 january 2006 as amended on 22 december 2006 and australian accounting standard 
aasb 124 ‘related party disclosure’ 
they are also responsible for safeguarding the assets of the companies and the group and hence for taking reasonable steps for the prevention 
and detection of fraud and other irregularities 
the directors are responsible for the maintenance and integrity of the group’s website legislation governing the preparation and dissemination 
of financial statements may differ between jurisdictions in which the group reports 
each of the current directors whose names and function are listed on pages 84 to 87 in the governance section confirm that to the best of  
their knowledge 
• the rio tinto group financial statements and notes which have been prepared in accordance with ifrs as adopted by the eu corporations 
act 2001 as amended by the australian securities and investments commission order dated 27 january 2006 as amended on 22 december 
2006 companies act 2006 and article 4 of the ias regulation give a true and fair view of the assets liabilities financial position and profit 
of the group and 
• the rio tinto plc financial statements and notes which have been prepared in accordance with united kingdom generally accepted 
accounting practice and the companies act 2006 give a true and fair view of the assets liabilities financial position and profit of the 
company  
• the rio tinto limited parent company financial statements and notes which have been prepared in accordance with australian international 
financial reporting standards aifrss and corporations act 2001 as amended by the australian securities and investments commission 
order dated 27 january 2006 as amended on 22 december 2006 give a true and fair view of the assets liabilities financial position and 
profit of the company  
• the overview and performance sections of the annual report include a fair review of the development and performance of the business and 
the position of the group together with a description of the principal risks and uncertainties that it faces 
• there are reasonable grounds to believe that each of the rio tinto group rio tinto plc and rio tinto limited will be able to pay its debts as 
and when they become due and payable 
the directors have been given the declarations by the chief executive officer and chief financial officer required by section 295a of the 
corporations act 2001  directors’ declaration continued 
 224 rio tinto 2009 annual report 
financial statements 
disclosure of information to auditors 
the directors in office at the date of this report have each confirmed that 
• so far as he or she is aware there is no relevant audit information of which the group’s auditors are unaware and 
• he or she has taken all the steps that he or she ought to have taken as a director to make himself or herself aware of any 
relevant audit information and to establish that the group’s auditors are aware of that information 
this declaration is made in accordance with a resolution of the board 
   
jan du plessis chairman 
5 march 2010 
tom albanese chief executive 
5 march 2010 
guy elliott chief financial officer 
5 march 2010 
auditor‘s independence declaration 
as lead auditor for the audit of rio tinto limited for the year ended 31 december 2009 i declare that to the best of my knowledge and belief 
there have been 
a no contraventions of the auditor independence requirements of the corporations act 2001 in relation to the audit and 
b no contraventions of any applicable code of professional conduct in relation to the audit 
this declaration is in respect of rio tinto limited and the entities it controlled during the period 
robert hubbard 
partner 
pricewaterhousecoopers 
brisbane 
5 march 2010 
liability limited by a scheme approved under professional standards legislation  independent auditors’ report of pricewaterhousecoopers llp 
to the members of rio tinto plc and pricewaterhousecoopers 
to the members of rio tinto limited  
 wwwriotintocom 225
shareholder 
information 
financial
statements
financial statements 
for the purpose of this report the terms ‘we’ and ‘our’ denote pricewaterhousecoopers llp in relation to uk legal professional and regulatory 
responsibilities and reporting obligations to the members of rio tinto plc and pricewaterhousecoopers in relation to australian legal 
professional and regulatory responsibilities and reporting obligations to the members of rio tinto limited 
we have audited the financial statements of rio tinto the group financial statements for the year ended 31 december 2009 which comprise 
the group income statement the group statement of comprehensive income the group cash flow statement the group statement of financial 
position the group statement of changes in equity and notes 1 to 50 and the rio tinto financial information by business unit  
pricewaterhousecoopers llp has audited the rio tinto plc financial statements for the year ended 31 december 2009 which comprise the  
rio tinto plc balance sheet and the related notes pricewaterhousecoopers has audited the rio tinto limited financial statements for the year 
ended 31 december 2009 which comprise the rio tinto limited balance sheet other rio tinto limited balance sheet disclosures rio tinto 
limited income statement and rio tinto limited cash flow statement notes 51 to 54 pricewaterhousecoopers has also audited the 
reconciliation with australian ifrs  
the financial reporting framework that has been applied in the preparation of the group financial statements is applicable law in the united 
kingdom and applicable law in australia as amended by the australian securities and investments commission order dated 27 january 2006  
as amended on 22 december 2006 the “asic order” described in the australian corporations act – summary of asic relief and international 
financial reporting standards ifrss as adopted by the european union  
the financial reporting framework that has been applied in the preparation of the rio tinto plc parent company financial statements is 
applicable law and united kingdom accounting standards united kingdom generally accepted accounting practice  
the financial reporting framework that has been applied in the preparation of the rio tinto limited financial statements included in notes 51  
to 54 is applicable law and australian international financial reporting standards aifrs 
respective responsibilities of directors and auditors 
as explained more fully in the directors’ declaration set out on page 223 the directors are responsible for the preparation of the financial 
statements and for being satisfied that they give a true and fair view our responsibility is to audit the financial statements in accordance with 
applicable law and international standards on auditing uk and ireland and australian auditing standards those standards require us to 
comply with the auditing practices board’s ethical standards for auditors and the independence requirements of the australian corporations  
act 2001  
this report including the opinions has been prepared for and only for the members of rio tinto plc and rio tinto limited as a body in 
accordance with sections 495 to 497a of the companies act 2006 in respect of rio tinto plc and section 308 of the australian corporations  
act 2001 in respect of rio tinto limited and for no other purpose we do not in giving these opinions accept or assume responsibility for any 
other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior 
consent in writing 
scope of the audit of the financial statements 
an audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance  
that the financial statements are free from material misstatement whether caused by fraud or error this includes an assessment of  
whether the accounting policies are appropriate to the circumstances of the group of rio tinto plc and of rio tinto limited and have been 
consistently applied and adequately disclosed the reasonableness of significant accounting estimates made by the directors and the overall 
presentation of the financial statements  
in conducting its audit pricewaterhousecoopers has complied with the independence requirements of the australian corporations’ act 2001  independent auditors’ report of pricewaterhousecoopers llp to the members of  
rio tinto plc and pricewaterhousecoopers to the members of rio tinto limited 
continued 
 226 rio tinto 2009 annual report 
financial statements 
opinion of pricewaterhousecoopers llp on the financial statements to 
the members of rio tinto plc 
in our opinion 
• the financial statements give a true and fair view of the state of  
the group’s and of rio tinto plc’s affairs as at 31 december 2009  
and of the group’s profit and cash flows for the year then ended  
• the group financial statements have been properly prepared in 
accordance with ifrss as adopted by the european union  
• the rio tinto plc company financial statements have been properly 
prepared in accordance with united kingdom generally accepted 
accounting practice and 
• the financial statements have been prepared in accordance with  
the requirements of the companies act 2006 and as regards the 
group financial statements article 4 of the las regulation 
separate opinion in relation to ifrss as issued by the iasb  
as explained in note 1 to the group financial statements the group in 
addition to complying with its legal obligation to apply ifrss as adopted 
by the european union has also applied ifrss as issued by the 
international accounting standards board iasb in our opinion the 
group financial statements comply with ifrss as issued by the iasb 
opinion on other matters prescribed by the companies act 2006  
in our opinion  
• the part of the directors’ remuneration report to be audited has been 
properly prepared in accordance with the companies act 2006 
• the information given in the corporate governance section of  
the annual report with respect to rules 725 and 726 of the 
disclosure and transparency rules issued by the financial  
services authority is consistent with the financial statements and  
• the information given in the directors’ report for the financial year for 
which the financial statements are prepared is consistent with the 
financial statements  
matters on which we are required to report by exception  
we have nothing to report in respect of the following  
under the companies act 2006 we are required to report to you  
if in our opinion  
• adequate accounting records have not been kept by rio tinto plc  
or returns adequate for our audit have not been received from 
branches not visited by us or 
• the rio tinto plc company financial statements and the part of the 
directors’ remuneration report to be audited are not in agreement 
with the accounting records and returns or 
• certain disclosures of directors’ remuneration specified by law are not 
made or 
• we have not received all the information and explanations we require 
for our audit or 
• a corporate governance statement has not been prepared by  
rio tinto plc  
under the listing rules we are required to review  
• the directors’ statement set out on page 223 in relation to going 
concern and  
• the part of the corporate governance section of the annual report 
relating to the rio tinto plc’s compliance with the nine provisions of 
the june 2008 combined code specified for our review  
ross hunter senior statutory auditor 
for and on behalf of pricewaterhousecoopers llp chartered accountants 
and statutory auditors 
london 
5 march 2010 
 opinion of pricewaterhousecoopers on the financial statements 
to the members of rio tinto limited 
in our opinion 
• the financial statements give a true and fair view of the state  
of the group and of rio tinto limited’s profit and cash flows 
for the year then ended 
• the group financial statements have been properly prepared  
in accordance with ifrss as adopted by the european union 
• the group financial statements have been properly prepared  
in accordance with the asic order 
• the rio tinto limited company financial statements included 
in notes 51 to 54 of the group financial statements give a true 
and fair view of the state of its affairs as at 31 december 2009 
and 
• the rio tinto limited company financial statements have been 
properly prepared in accordance with aifrs 
separate opinion in relation to ifrss as issued by the iasb 
as explained in note 1 to the group financial statements the 
group in addition to complying with its legal obligation to comply 
with ifrss as adopted by the european union has also complied 
with the ifrss as issued by the international accounting standards 
board iasb in our opinion the group financial statements 
comply with ifrss as issued by the iasb 
opinion on other matters  
in our opinion 
• the auditable information about the remuneration of key 
management personnel contained within the remuneration 
report included in the accompanying annual report complies 
with the requirements of the asic order 
• the information given in the directors’ report for the financial 
year for which the financial statements are prepared is 
consistent with the financial statements 
robert hubbard 
partner 
pricewaterhousecoopers  
brisbane 
5 march 2010 
liability limited by a scheme approved under professional 
standards legislation 
  financial summary 20002009 
 wwwriotintocom 227
shareholder 
information 
financial
statements
usm 2000 2001 2002 2003 2004 2005 2006 2007 
r
 2008 2009 
gross sales revenue 
d
 9972  10438 11119 12119 14530 20742 25440  33518 58065 44036 
share of equity accounted units’  
sales revenue 
e
 2097 228624042551157617092975 38183801 2211
consolidated sales revenue 7875  8152 8715 9568 12954 19033 22465  29700 54264 41825 
underlyingadjusted pbit 
f
 2912  3102 2696 2266 3224 7301 9912  10517 17683 9843 
finance costs 
g
 403 404291298207207193 5701706 1058
exchange differences and derivatives 
h
     224 191 83  253 322 528 
other exclusions from underlying  
adjusted earnings 
f
  –  715 1094 126 622 409 438  364 6477 1453
profit before tax ‘pbt’ 2509  1983 1311 2094 3863 7312 10240  9836 9178 7860 
tax on exclusions   –  132 42  – 57 33 357 60 988 91
tax on underlyingadjusted pbt 819 850 750 567 676 1847 2016 2150 4730 1985
loss after tax from discontinued 
operations  –   –  –  –  –  –  –   – 827 449
attributable to outside shareholders 183 186 48 19 53 283 429 434 933 463
net earnings 1507  1079 651 1508 3297 5215 7438  7312 3676 4872 
underlyingadjusted earnings 
f
 1507  1662 1530 1382 2272 4955 7338  7443 10303 6298 
earnings per share basic – 
continuing operations 
s
 897c 641c 387c 894c 1954c 3126c 4562c 4649c 2868c 3017c 
underlyingadjusted earnings  
per share basic – continuing  
operations 
s
 897c 988c 909c 820c 1346c 2970c 4501c 4732c 6562c 3571c 
dividends per share declared for year 
i
           
rio tinto shareholders us cents 4702c 4824c 4906c 5233c 6295c 6546c 8507c 11123c 11122c 4500c 
rio tinto plc pence  3178p 3408p 3064p 3036p 3391p 3691p 4422p 5620p 6749p 2884p 
rio tinto limited aus cents 8377c 9424c 8661c 7334c 8488c 8626c 11069c 12572c 14622c 5156c 
net assets           
fixed assets 
j
 15044  14879 16136 19418 20131 20848 25803  75888 67651 72706 
other assets less liabilities 1380  1896 1463 1804 2356 2587 3026  11609 8469 10078 
provisions including deferred tax 3299 3194 3612 4536 6087 6383 7007 16013 14987 17998
net debt 5050 5711 5747 5646 3809 1313 2437 45191 38672 18861
outside shareholders’ interests 864 827 778 1003 714 791 1153 1521 1823 2094
rio tinto shareholders’ funds 7211  7043 7462 10037 11877 14948 18232  24772 20638 43831 
           
capital expenditure 
k
 811 1407 1417 1611 2218 2554 3988 4968 8488 5356 
acquisitions 3332 958 106 – 3 2 303 37539 9 396
disposals 141  299 233 405 1510 323 24  13 2572 2424 
cash flows from operations 
l
 3304  3285 3619 3359 4265 8031 10923  12569 20668 13834 
cash flows before financing  
activities 
m
 1502 213 977 1024 2799 4460 3714  34251 8702 5855 
ratios           
operating margin 
n
 29 30 24 19 24 37 42 34 32 24 
net debt to total capital 
o
 38 42 41 34 23 8 11 63 63 29 
underlying  adjusted earnings 
shareholders’ funds 
p
 21 23 21 16 22 37 44 35 45 20 
interest cover 
q
 11  11 13 11 20 59 89  20 10 9 
  financial summary 20002009 continued 
 228 rio tinto 2009 annual report 
financial statements 
a information for the years 2000 to 2003 is stated under uk gaap and has not been restated except where indicated below  
b shareholders’ funds for 2001 and prior years were restated following the implementation of frs 19 in 2002 
c information for the years 2004 to 2009 is stated under eu ifrs the group implemented ias 39 on 1 january 2005 without restatement of comparatives 
d adjustments have been made for 2002 and subsequent years to include in sales revenue certain amounts charged to customers for freight and handling costs which previously were deducted from 
operating costs 
e certain units that were equity accounted under uk gaap are proportionally consolidated under eu ifrs and viceversa gross sales revenue includes the sales revenue of equity accounted units in 
addition to consolidated sales revenue after adjusting for intrasubsidiaryequity accounted units sales consolidated revenue includes subsidiaries sales to equity accounted units which are not included 
in sales revenue 
f underlying earnings is an additional measure of earnings which is reported by rio tinto with its eu ifrs results to provide greater understanding of the underlying business performance of its operations 
it is defined in note 2 to the financial statements underlying earnings is similar but not identical to the adjusted earnings measure that rio tinto reported with its uk gaap results adjusted earnings was 
defined as excluding exceptional items of such magnitude that their exclusion was necessary in order that adjusted earnings fulfilled their purpose of reflecting the underlying performance of the group 
underlying profit before interest and tax ‘pbit’ and adjusted pbit are similar to underlying earnings and adjusted earnings except that they are stated before tax and interest 
g finance costs include net interest and amortisation of discount 
h under eu ifrs certain gains and losses on exchange and on revaluation of derivatives are included in the group’s net earnings under uk gaap these did not have an impact on the income statement 
these items are excluded from underlying earnings 
i dividends per share are the amounts declared in respect of each financial year these usually include an interim dividend paid in the year and a final dividend paid after the end of the year the special 
dividend of 90 us cents per share paid in 2006 is not included in the table 2000 to 2008 ordinary dividends per share have been restated using a number of shares which reflects the discounted price of 
the july 2009 rights issues ‘the bonus factor’  
j fixed assets include property plant and equipment intangible assets goodwill and investments in and long term loans to equity accounted units 
k capital expenditure comprises purchases less disposals of property plant and equipment capitalised evaluation costs and purchases less disposals of other intangible assets plus direct funding provided to 
equity accounted units for rio tinto’s share of their capital expenditure the figures include 100 per cent of subsidiaries’ capital expenditure but exclude that of equity accounted units except where 
directly funded by rio tinto 
l total cash flow from operations comprises cash flow from consolidated operations together with dividends from equity accounted units exploration and evaluation costs charged against income were 
previously included in cash used in investing activities but are now included within cash flow from operating activities as a result exploration and evaluation costs expensed have been reclassified in the 
comparative periods within the cash flow statement 
m cash flow before financing activities is stated before deducting dividends payable to rio tinto shareholders which involved restatement of 2003 and prior years 
n operating margin is the percentage of underlyingadjusted pbit after excluding tax on equity accounted units to gross sales revenue 
o total capital comprises year end shareholders’ funds plus net debt and outside shareholders’ interests 
p underlyingadjusted earnings shareholders’ funds represents underlying or adjusted earnings expressed as a percentage of the mean of opening and closing equity attributable to rio tinto shareholders 
q interest cover represents the number of times interest payable less receivable excluding the amortisation of discount but including capitalised interest is covered by underlying operating profit less 
amortisation of discount plus dividends from equity accounted units underlying operating profit is similar to underlying earnings but is stated before tax interest and share of profit after tax of equity 
accounted units 
r the 31 december 2007 balance sheet was restated for the revisions to alcan’s fair value accounting which was finalised in 2008 
s 2009 earnings per share from continuing operations and underlying earnings per share have been calculated using a number of shares which reflects the discounted price of the july rights issues ‘the 
bonus factor’ 2000 to 2008 comparatives have been restated accordingly  summary financial data in australian dollars  
sterling and us dollars
b
 
 wwwriotintocom 229
shareholder 
information 
financial
statements
 
2009  
am 
2008  
am 
2009 
£m 
2008 
£m   
2009 
usm 
2008 
usm 
55742  67517  28048 31218   gross sales revenue  44036 58065 
        
52943  63098  26640 29174   consolidated sales revenue 41825 54264 
        
9949  10672  5006 4934   profit before tax from continuing operations 7860 9178 
        
7322  6321  3684 2923   profit for the year from continuing operations 5784 5436 
        
568 962 286 445  loss for the year from discontinued operations 449 827
        
6167  4274  3103 1976   net earnings attributable to rio tinto shareholders  4872 3676 
        
7972  11980  4011 5539   underlying earnings 
a
 6298 10303 
        
3819c 3335c 1922p 1542p  basic earnings per ordinary share from continuing operations 
c
 3017c 2868c 
4520c 7630c 2275p 3528p  basic underlying earnings per ordinary share 
a c
 3571c 6562c 
        
     dividends per share to rio tinto shareholders   
8297c 13933c 3785p 6491p  – paid  556c 1243c 
5156c 8297c 2884p 3785p  – proposed final dividend 450c 556c 
        
7411  10119  3729 4678   cash flow before financing activities 5855 8702 
        
21192 56046 11715 26856  net debt  18861 38672
        
49248  29910  27224 14332   equity attributable to rio tinto shareholders 43831 20638 
a underlying earnings exclude impairment charges and other net expenses of us1426 million 2008 us6627 million which are analysed in note 2 
b the financial data above has been extracted from the financial statements the australian dollar and sterling amounts are based on the us dollar amounts retranslated at average or closing rates as 
appropriate except for the dividends which are the actual amounts payable restated for the bonus factor of the rights issues for further information on these exchange rates see note 45 
c basic earnings per ordinary share and basic underlying earnings per ordinary share do not recognise the dilution resulting from share options in issue 2009 earnings per share from continuing operations 
reflect the bonus element of the rights issues completed in july 2009 2008 comparatives for both earnings per share and ordinary dividends per share have been restated accordingly 
  shareholder information
230 rio tinto 2009 annual report
shareholder information
dividends
both companies have paid dividends on 
their shares every year since incorporation 
in 1962 the rights of rio tinto shareholders 
to receive dividends are explained under the 
description of the dual listed companies’ 
structure on page 232
dividend policy
the aim of rio tinto’s progressive dividend 
policy is to increase the us dollar value of 
ordinary dividends over time the rate of 
the total annual dividend in us dollars is 
determined taking into account the results for 
the past year and the outlook for the current 
year under rio tinto’s dividend policy the 
interim dividend is set at one half of the 
total ordinary dividend for the previous year 
and the fi nal ordinary dividend is expected 
to be at least equal to the previous interim 
dividend this policy was suspended in 
2009 due to the recapitalisation of the 
balance sheet
dividend determination
the majority of the group’s sales are 
transacted in us dollars making this the 
most reliable measure for the group’s global 
business performance it is rio tinto’s main 
reporting currency and consequently the 
natural currency for dividend determination 
dividends determined in us dollars are 
translated at exchange rates prevailing two 
days prior to the announcement and are then 
declared payable in sterling by rio tinto plc 
and in australian dollars by rio tinto limited 
on request shareholders of rio tinto plc can 
elect to receive dividends in australian dollars 
and shareholders of rio tinto limited can 
elect to receive dividends in sterling 
2009 dividends
on announcing the us148 billion net rights 
issues on 5 june 2009 the directors announced 
that an interim dividend would not be paid for 
2009 the 2009 fi nal dividend of 45 us cents 
per share was declared by the directors on 
11 february 2010 and the applicable translation 
rate was us15606 to the pound sterling and 
us087285 to the australian dollar
final dividends of 2884 pence or 5156 
australian cents per share and 180 us cents 
per rio tinto plc adr each representing four 
shares will be paid on 1 april 2010
from 2010 the group is committed to a 
progressive dividend policy over the longer 
term the charts below set out the amounts of 
interim fi nal and special cash dividends paid 
or payable on each share or adr in respect of 
each fi nancial year but before deduction of 
any withholding tax
these have been restated for the impact of 
the rights issue
dividend reinvestment plan drp
rio tinto offers a drp to registered 
shareholders which provides the opportunity 
to use cash dividends to purchase rio tinto 
shares in the market free of commission 
due to local legislation the drp cannot be 
extended to shareholders in the us canada 
and certain other countries 
market listings and share prices 
the prices of rio tinto plc and rio tinto 
limited shares and rio tinto plc adrs are 
available during the day on the rio tinto and 
other websites
rio tinto plc
the principal market for rio tinto plc shares 
is the london stock exchange lse the 
shares trade through the stock exchange 
electronic trading service sets system
central to the sets system is the electronic 
order book on which an lse member fi rm 
can post buy and sell orders either on its own 
behalf or for its clients buy and sell orders are 
executed against each other automatically in 
strict price then size priority the order book 
operates from 800 am to 430 pm daily from 
750 am to 800 am orders may be added to 
or deleted from the book but execution does 
not occur at 800 am the market opens by 
means of an uncrossing algorithm which 
calculates the greatest volume of trades 
on the book which can be executed then 
matches the orders leaving unexecuted 
orders on the book at the start of trading
all orders placed on the order book are fi rm 
and are for standard three day settlement 
while the order book is vital to all market 
participants orders are anonymous with the 
counterparties being revealed to each other 
only after execution of the trade
 
2009 2008
restated
2007 
restated
2006
restated
2005
restated
rio tinto group – us cents per share
interim – 5561 4253 3273 3150
final 4500 5561 6870 5234 3396
special – – – – 9000
total 4500 11122 11123 8507 15546
rio tinto plc – uk pence per share
interim – 2964 2093 1753 1780
final 2884 3785 3527 2669 1911
special – – – – 5064
total 2884 6749 5620 4422 8755
rio tinto limited – australian cents per share
interim – 6325 4964 4294 4137
final 5156 8297 7608 6775 4489
special – – – – 11898
total 5156 14622 12572 11069 20524
rio tinto plc – us cents per adr
interim – 22244 17012 13092 12600
final 18000 22244 27480 20936 13584
special – – – – 36000
total 18000 44488 44492 34028 62184
   w w w riotint oc om 231
shareholder
information
use of the order book is not mandatory but 
all trades regardless of size executed over 
the sets system are published immediately 
the only exception to this is where a worked 
principal agreement wp a is entered into 
for trades greater than eight times normal 
market size nms rio tinto plc has an nms 
of 100000 shares
publication of trades entered under a wp a is 
delayed until the earlier of 80 per cent of the 
risk position assumed by the member fi rm 
taking on the trade being unwound or the 
end of the business day
rio tinto plc has a sponsored american 
depositary receipt adr facility with 
jpmorgan chase bank na jpmorgan under 
a deposit agreement dated 13 july 1988 
as amended on 11 june 1990 as further 
amended and restated on 15 february 1999 
and as further amended and restated on 
18 february 2005 when jpmorgan became 
rio tinto plc’s depository the adrs evidence 
rio tinto plc american depositary shares 
ads each representing four ordinary 
shares the shares are registered with the us 
securities and exchange commission sec 
are listed on the new y ork stock exchange 
nyse and are traded under the symbol ‘rtp’ 
rio tinto plc shares are also listed on euronext
as at 18 february 2010 there were 49536 
holders of record of rio tinto plc’s shares of 
these holders 328 had registered addresses in 
the us and held a total of 310454 rio tinto 
plc shares representing 002 per cent of the 
total number of rio tinto plc shares issued 
and outstanding as at such date in addition 
90316380 rio tinto plc shares were 
registered in the name of a custodian account 
in london which represented 592 per cent of 
rio tinto plc shares issued and outstanding 
these shares were represented by 22579095 
rio tinto plc adrs held of record by 390 
adr holders in addition certain accounts of 
record with registered addresses other than 
in the us hold shares in whole or in part 
benefi cially for us persons
adr holders
adr holders may instruct jpmorgan as to how 
the shares represented by their adrs should 
be voted
adr holders can receive the annual report 
on request
rio tinto is subject to the us securities 
and exchange commission sec reporting 
requirements for foreign companies a form 
20f which corresponds with the form 10k 
in us public companies will be fi led with the 
sec rio tinto’s form 20f and other fi lings 
can be viewed on the rio tinto website as 
well as the sec website at wwwsecgov
rio tinto limited
rio tinto limited shares are listed on the 
australian securities exchange asx 
the asx is the principal trading market 
for rio tinto limited shares the asx is a 
national stock exchange operating in the 
capital city of each australian state with an 
automated trading system
as at 18 february 2010 there were 186008 
holders of record of rio tinto limited shares 
of these holders 298 had registered addresses 
in the us representing approximately 003 
per cent of the total number of rio tinto 
limited shares issued and outstanding as of 
such date in addition nominee accounts of 
record with registered addresses other than in 
the us may hold rio tinto limited shares in 
whole or in part benefi cially for us persons
investment warning
the following table shows share prices for 
the period indicated the reported high 
and low middle market quotations which 
represent an average of bid and asked prices 
for rio tinto plc’s shares on the lse based on 
the lse daily offi cial list the highest and 
lowest sale prices of the rio tinto plc adrs as 
reported on the nyse composite tape and the 
high and low closing sale prices of rio tinto 
limited shares based upon information 
provided by the asx there is no established 
trading market in the us for rio tinto 
limited’s shares
past performance of shares is not necessarily 
a guide to future performance the value 
of shares and investments and the income 
derived from them can go down as well as up 
and investors may not get back the amount 
they invested
exchange controls and foreign 
investment
rio tinto plc
there are no uk foreign exchange controls or 
other restrictions on the import or export of 
capital or on the payment of dividends to non 
 
pence per 
rio tinto plc share
us per
rio tinto plc ads 
a per rio tinto 
limited share
 high low high low high low
2005 2657 1472 18329 11157 6910 3882
2006 3322 2352 25333 17609 8797 6538
2007 5784 2505 47835 19360 14690 6950
2008 7078 1049 55493 6072 15610 3200
2009 3420 1140 22375 7850 7489 2938
aug 2009 2610 2245 17919 14541 6288 5611
sep 2009 2740 2312 18337 14787 6174 5525
oct 2009 3000 2505 20249 15734 6750 5685
nov 2009 3310 2693 22375 17855 7378 6259
dec 2009 3420 3087 21999 20000 7489 6980
jan 2010 3638 3053 24043 19264 8000 6800
2008
first quarter 5850 4159 46400 33131 13710 10100
second quarter 7078 5233 55493 41975 15610 12417
third quarter 5764 3310 46824 22650 13750 8450
fourth quarter 3487 1049 25424 6072 9500 3200
2009
first quarter 2047 1140 14330 7850 4511 2938
second quarter 2608 1784 21646 12568 6089 4165
third quarter 2740 1885 18337 12000 6288 4663
fourth quarter 3420 2505 22375 15734 7489 5685 shareholder information
232 rio tinto 2009 annual report
shareholder information continued
resident holders of rio tinto plc shares or that 
affect the conduct of rio tinto plc’s operations 
the bank of england however administers 
fi nancial sanctions against specifi ed targets 
related to certain regimes there are no 
restrictions under rio tinto plc’s articles of 
association or under uk law that limit the right 
of non resident owners to hold or vote rio tinto 
plc shares
rio tinto limited
under current australian legislation the 
reserve bank of australia does not restrict 
the import and export of funds and no 
permission is required for the movement 
of funds into or out of australia except 
that restrictions apply to certain fi nancial 
transactions relating to specifi ed individuals 
and entities associated with certain regimes  
the department of foreign affairs and trade 
has responsibility for the administration of 
restrictions relating to terrorists and their 
sponsors and the former iraqi regime
rio tinto limited may be required to 
deduct withholding tax from foreign 
remittances of dividends to the extent that 
they are unfranked and from payments of 
interest there are no restrictions under the 
constitution of rio tinto limited that limit 
the right of non residents to hold or vote 
rio tinto limited shares
however acquisitions of interests in shares 
voting power or certain other equity 
instruments in australian companies by foreign 
interests are subject to review and approval 
by the treasurer of the commonwealth of 
australia under the foreign acquisitions and 
takeovers act 1975 the takeovers act the 
takeovers act applies to any acquisition of 15 
per cent or more of the outstanding shares of 
or voting power in  an australian company 
or to any transaction that results in one non 
resident or a group of associated non residents 
controlling 15 per cent or more of the shares of 
or voting power in an australian company  the 
takeovers act also applies to any transaction 
which results in a group of non associated non 
residents controlling 40 per cent or more of 
the shares of or voting power in an australian 
company  persons who are proposing such 
acquisitions or transactions are required to 
notify the treasurer of their intention the 
treasurer has the power to order divestment in 
cases where such acquisitions or transactions 
have already occurred the takeovers act does 
not affect the rights of owners whose interests 
are held in compliance with the legislation
dual listed companies structure
in 1995 rio tinto shareholders approved the 
terms of the dual listed companies merger the 
dlc merger which was designed to place the 
shareholders of both companies in substantially 
the same position as if they held shares in a 
single enterprise owning all of the assets of both 
companies as a condition of its approval of 
the dlc merger the australian government 
required rio tinto plc to reduce its shareholding 
in rio tinto limited to 39 per cent by the end of 
2005 consistent with the commitments made 
to the australian government in 1995 the 
rio tinto plc shareholding in rio tinto limited 
has been reduced over time and currently stands 
at 282 per cent
following the approval of the dlc merger 
both companies entered into a dlc merger 
sharing agreement the sharing agreement 
through which each company agreed to 
ensure that the businesses of rio tinto plc 
and rio tinto limited are managed on a 
unifi ed basis to ensure that the boards of 
directors of each company are the same 
and to give effect to certain arrangements 
designed to provide shareholders of each 
company with a common economic interest 
in the combined enterprise
in order to achieve this third objective the 
sharing agreement provided for the ratio of 
dividend voting and capital distribution rights 
attached to each rio tinto plc share and to 
each rio tinto limited share to be fi xed in 
an equalisation ratio which has remained 
unchanged at 11 the sharing agreement has 
provided for this ratio to be revised in special 
circumstances where for example certain 
modifi cations are made to the share capital 
of one company  such as rights issues bonus 
issues share splits and share consolidations 
but not to the share capital of the other 
outside these specifi ed circumstances the 
equalisation ratio can only be altered with the 
approval of shareholders under the class rights 
action approval procedure described under 
v oting rights in addition any adjustments are 
required to be confi rmed by the auditors  
one consequence of the dlc merger is that 
rio tinto is subject to a wide range of laws 
rules and regulatory review across multiple 
jurisdictions where these rules differ 
rio tinto as a group aims to comply with the 
strictest applicable level
consistent with the creation of a single 
combined enterprise under the dlc merger 
directors of each company act in the best 
interests of rio tinto as a whole when 
matters may involve a confl ict of interests 
between the shareholders of each company 
they must be approved under the class rights 
action approval procedure 
to ensure that the boards of both companies 
are identical resolutions to appoint or 
remove directors must be put to shareholders 
of both as a joint electorate as joint decisions 
as described under voting rights and it is 
a requirement that a person can only be a 
director of one company if that person is 
also a director of the other company so 
for example if a person was removed as a 
director of rio tinto plc he or she would also 
cease to be a director of rio tinto limited
dividend rights
the sharing agreement provides for 
dividends paid on rio tinto plc and rio tinto 
limited shares to be equalised on a net cash 
basis that is without taking into account 
any associated tax credits dividends are 
determined in us dollars and are then 
except for adr holders translated and 
paid in sterling and australian dollars the 
companies are also required to announce and 
pay their dividends and other distributions as 
close in time to each other as possible
in the unlikely event that one company did 
not have suffi cient distributable reserves to 
pay the equalised dividend or the equalised 
capital distribution it would be entitled to 
receive a top up payment from the other 
company the top up payment could be made 
as a dividend on the dlc dividend share or 
by way of a contractual payment
if the payment of an equalised dividend 
would contravene the law applicable to one 
of the companies then they may depart from 
the equalisation ratio however should such 
a departure occur then the relevant company 
will put aside reserves to be held for payment 
on the relevant shares at a later date
rio tinto shareholders have no direct rights to 
enforce the dividend equalisation provisions 
of the sharing agreement
the dlc dividend share can also be utilised 
to provide the group with fl exibility for 
internal funds management by allowing 
dividends to be paid between the two parts of 
the group such dividend payments are of no 
economic signifi cance to the shareholders of 
either company as they will have no effect on 
the group’s overall resources
voting rights
in principle the sharing agreement provides 
for the public shareholders of rio tinto 
plc and rio tinto limited to vote as a joint 
electorate on all matters which affect 
shareholders of both companies in similar 
ways these are referred to as joint decisions 
such joint decisions include the creation of 
new classes of share capital the appointment 
or removal of directors and auditors and the 
receiving of annual fi nancial statements joint 
decisions are voted on a poll  w w w riotint oc om 233
shareholder
information
the sharing agreement also provides for the 
protection of the public shareholders of each 
company by treating the shares issued by 
each company as if they were separate classes 
of shares issued by a single company  so 
decisions that do not affect the shareholders 
of both companies equally require the 
separate approval of the shareholders of both 
companies matters requiring this approval 
procedure are referred to as class rights 
actions and are voted on a poll
thus the interests of the shareholders of each 
company are protected against decisions 
which affect them and the shareholders in the 
other company differently  by requiring their 
separate approval for example fundamental 
elements of the dlc merger cannot be changed 
unless approved by shareholders under the 
class rights action approval procedure
exceptions to these principles can arise in 
situations such as where legislation requires 
the separate approval of a decision by the 
appropriate majority of shareholders in one 
company and where approval of the matter 
by shareholders of the other company is 
not required
where a matter has been expressly 
categorised as either a joint decision or a 
class rights action the directors do not 
have the power to change that categorisation 
if a matter falls within both categories it is 
treated as a class rights action in addition 
the directors can determine that matters not 
expressly listed in either category should be 
put to shareholders for their approval under 
either procedure
to facilitate the joint voting arrangements 
each company has entered into shareholder 
voting agreements each company has issued 
a special voting share to a special purpose 
company held in trust by a common trustee
rio tinto plc has issued its special v oting share 
rtp special v oting share to rtl shareholder 
svc and rio tinto limited has issued its special 
v oting share rtl special v oting share to rtp 
shareholder svc the total number of votes cast 
on joint decisions by the public shareholders of 
one company are voted at the parallel meeting 
of the other company  the role of these 
special purpose companies in achieving this is 
described below
in exceptional circumstances certain 
public shareholders of the companies can 
be excluded from voting at the respective 
company’s general meetings because they 
have acquired shares in one company in 
excess of a given threshold without making an 
offer for all the shares in the other company  
if this should occur the votes cast by these 
excluded shareholders will be disregarded
following the companies’ general meetings 
the overall results of the voting on joint 
decisions and the results of voting on 
separate decisions will be announced to the 
stock exchanges published on the rio tinto 
website and announced to the media in the 
uk and australia
at a rio tinto plc shareholders’ meeting at 
which a joint decision will be considered 
each rio tinto plc share will carry one vote 
and the holder of its special voting share will 
have one vote for each vote cast by the public 
shareholders of rio tinto limited the holder 
of the special voting share is required to vote 
strictly and only in accordance with the votes 
cast by public shareholders for and against 
the equivalent resolution at the parallel 
rio tinto limited shareholders’ meeting
the holders of rio tinto limited ordinary 
shares do not actually hold any voting shares 
in rio tinto plc by virtue of their holding in 
rio tinto limited and cannot enforce the 
voting arrangements relating to the special 
voting share
at a rio tinto limited shareholders’ meeting 
at which a joint decision will be considered 
each rio tinto limited share will carry one 
vote and together with the rio tinto limited 
ordinary shares held by tinto holdings 
australia the holder of its special voting 
share will carry one vote for each vote cast 
by the public shareholders of rio tinto plc 
in their parallel meeting tinto holdings 
australia and the holder of the special voting 
share are required to vote strictly and only in 
accordance with the votes cast for and against 
the equivalent resolution at the parallel 
rio tinto plc shareholders’ meeting  
the holders of rio tinto plc ordinary shares do 
not actually hold any voting shares in rio tinto 
limited by virtue of their holding in rio tinto 
plc and cannot enforce the voting arrangements 
relating to the special v oting share
capital distribution rights
if either of the companies goes into 
liquidation the sharing agreement 
provides for a valuation to be made of the 
surplus assets of both companies if the 
surplus assets available for distribution 
by one company on each of the shares 
held by its public shareholders exceed the 
surplus assets available for distribution by 
the other company on each of the shares 
held by its public shareholders then an 
equalising payment between the two 
companies shall be made to the extent 
permitted by applicable law such that the 
amount available for distribution on each 
share held by public shareholders of each 
company conforms to the equalisation 
ratio the objective is to ensure that the 
public shareholders of both companies 
have equivalent rights to the assets of the 
combined group on a per share basis taking 
account of the equalisation ratio  
the sharing agreement does not grant any 
enforceable rights to the shareholders of either 
company upon liquidation of a company 
limitations on ownership of shares and 
merger obligations
the laws and regulations of the uk and 
australia impose restrictions and obligations 
on persons who control interests in public 
quoted companies in excess of defi ned 
thresholds that under certain circumstances 
include obligations to make a public offer for 
all of the outstanding issued shares of the 
relevant company the threshold applicable 
to rio tinto plc under uk law and regulations 
is 30 per cent and to rio tinto limited under 
australian law and regulations is 20 per cent
as part of the dlc merger the articles 
of association of rio tinto plc and the 
constitution of rio tinto limited were 
amended with the intention of extending 
these laws and regulations to the combined 
enterprise and in particular to ensure that 
a person cannot exercise control over one 
company without having made offers to the 
public shareholders of both companies it 
is consistent with the creation of the single 
economic enterprise and the equal treatment 
of the two sets of shareholders that these 
laws and regulations should operate in this 
way the articles of association of rio tinto 
plc and the constitution of rio tinto limited 
impose restrictions on any person who 
controls directly or indirectly 20 per cent 
or more of the votes on a joint decision if 
however such a person only has an interest in 
either rio tinto limited or rio tinto plc then 
the restrictions will only apply if they control 
directly or indirectly 30 per cent or more of 
the votes at that company’s general meetings 
if one of the thresholds specifi ed above is 
breached then subject to certain limited 
exceptions and notifi cation by the relevant 
company  such persons may not attend or vote 
at general meetings of the relevant company  
may not receive dividends or other distributions 
from the relevant company  and may be 
divested of their interest by the directors of 
the relevant company  these restrictions will 
continue to apply until such persons have either 
made a public offer for all of the publicly held 
shares of the other company  or have reduced 
their controlling interest below the thresholds 
specifi ed or have acquired through a permitted 
means at least 50 per cent of the publicly held 
shares of each company   shareholder information
234 rio tinto 2009 annual report
shareholder information continued
these provisions are designed to ensure that 
offers for the publicly held shares of both 
companies would be required to avoid the 
restrictions set out above even if the interests 
which breach the thresholds are only held in 
one of the companies the directors do not 
have the discretion to exempt a person from 
the operation of these rules
under the sharing agreement the companies 
agree to cooperate to enforce the restrictions 
contained in their articles of association and 
constitution and also agree that no member of 
the rio tinto group shall accept a third party 
offer for rio tinto limited shares unless such 
acceptance is approved by a joint decision of 
the public shareholders of both companies
guarantees
in 1995 each company entered into a deed 
poll guarantee in favour of creditors of the 
other company pursuant to the deed poll 
guarantees each company guaranteed the 
contractual obligations of the other company 
and the obligations of other persons which 
are guaranteed by the other company subject 
to certain limited exceptions benefi ciaries 
under the deed poll guarantees may make 
demand upon the guarantor thereunder 
without fi rst having recourse to the company 
or persons whose obligations are being 
guaranteed the obligations of the guarantor 
under each deed poll guarantee expire 
upon termination of the sharing agreement 
and under other limited circumstances but 
only in respect of obligations arising after 
such termination and in the case of other 
limited circumstances the publication and 
expiry of due notice the shareholders of the 
companies cannot enforce the provision of 
the deed poll guarantees
supplementary information
general shareholder enquiries
computershare investor services plc 
and computershare investor services pty 
limited are the share registrars for rio tinto 
plc and rio tinto limited respectively all 
enquiries and correspondence concerning 
shareholdings other than shares held 
in adr form should be directed to the 
respective registrar their addresses and 
telephone numbers are given under useful 
addresses on the back page shareholders 
should notify computershare promptly of 
any change of address
enquiries concerning rio tinto plc adrs 
should be directed to jpmorgan chase bank 
na whose address and telephone number are 
also given under useful addresses
investor centre
investor centre is rio tinto’s free secure 
self service website where shareholders can 
manage their holdings online the website 
enables shareholders to
• view share balances
• change address details
• view payment and tax information 
• update payment instructions
in addition shareholders who register 
their email address on investor centre 
can be notifi ed electronically of events 
such as annual general meetings and can 
receive shareholder communications such 
as the annual report or notice of meeting 
electronically online 
rio tinto plc shareholders
wwwinvestorcentrecoukriotinto
rio tinto limited shareholders
wwwcomputersharecomau
consolidation of share certifi cates
if a certifi cated shareholding in rio tinto plc 
is represented by several individual share 
certifi cates they can be replaced by one 
consolidated certifi cate there is no charge 
for this service share certifi cates should be 
sent to computershare together with a letter 
of instruction
share warrants to bearer
all outstanding share warrants to bearer 
of rio tinto plc have been converted into 
registered ordinary shares under the terms of 
a scheme of arrangement sanctioned by the 
court in 2001 holders of any outstanding 
share warrants to bearer should contact 
the company secretary of rio tinto plc for 
an application form in order to obtain their 
rights to registered ordinary shares
former alcan inc shareholders
former alcan inc shareholders who have not 
tendered their alcan shares to the rio tinto 
offer of us10100 per common share are 
entitled to claim their funds by sending a 
letter of transmittal together with their stock 
certifi cate to computershare investor services 
inc whose details are given under useful 
addresses a copy of the letter of transmittal 
can be downloaded from the rio tinto 
website wwwriotintocomshareholders 
corporate nominee service
computershare in conjunction with rio tinto 
plc operate a corporate nominee service for 
private individuals further information can 
be obtained from computershare
rio tinto on the web
rio tinto maintains a substantial amount 
of information on its website including this 
and previous annual reports many other 
publications and links to group company 
websites
it is the responsibility of the directors to 
ensure that processes are in place to maintain 
information and preserve the integrity of 
the rio tinto website legislation in the uk 
governing the preparation and dissemination 
of fi nancial statements may differ from 
legislation in other jurisdictions 
publications
the following publications are on the website 
but hardcopies can be obtained free of charge 
on request from the company secretaries
2009 annual report
2009 annual review
parent entity fi nancial statements for 
rio tinto limited
the way we work – rio tinto’s statement of 
business practice
review magazine – rio tinto’s quarterly 
magazine for shareholders  w w w riotint oc om 235
shareholder
information
substantial shareholders
under the uk disclosure and transparency 
rules and the australian corporations act 
any shareholder of rio tinto plc with voting 
rights of three per cent or more or any person 
with voting power of fi ve per cent or more in 
rio tinto limited is required to provide the 
companies with notice excluding the interest 
held by tinto holdings australia pty limited 
in rio tinto limited the shareholders who 
have provided such or an equivalent 
notice are
rio tinto plc date of notice number of shares
percentage of 
issued share capital
barclays plc 12 jul 2006 42129019 402
the capital group companies inc 13 jun 2006 41031494 390
capital research and management company 16 july 2009 75461183 495
axa sa 29 jan 2008 48493873 486
shining prospect pte ltd 2 feb 2008 119705134 1200
blackrock inc 1 dec 2009 127744871 838
rio tinto limited
shining prospect pte ltd
1
4 feb 2008 –
notes
1  shining prospect pte ltd a singapore based entity owned by chinalco aluminum corporation of china acquired 119705134 rio tinto plc shares on 1 february 2008 through the 
operation of corporations act as modifi ed this gives these entities and their associates voting power of 932 per cent in the rio tinto group on a joint decision matter making them 
substantial shareholders of rio tinto limited as well as of rio tinto plc 
2  as far as it is known rio tinto is not directly or indirectly owned or controlled by another corporation or by any government
3 rio tinto is not aware of any arrangement which may result in a change of control
analysis of ordinary shareholders rio tinto plc rio tinto limited
as at 18 february 2010 no of accounts  shares  no of accounts  shares 
1 to 1000 shares 35338 7134 12613718 082 152899 8220 46220757 762
1001 to 5000 shares 11405 2302 22836800 149 29493 1586 58776415 969
5001 to 10000 shares 997 201 6867978 045 2365 127 16305270 269
10001 to 25000 shares 555 112 8573048 056 920 049 13573752 224
25001 to 125000 shares 600 121 35363949 231 248 013 11437387 188
125001 to 250000 shares 190 038 34156307 223 30 002 5155174 085
250001 to 1250000 shares 297 060 172763058 1130 36 002 19007142 313
1250001 to 2500000 60 012 104857635 686 5 000 10071958 166
2500001 and over 93 019 1036235722 6777 11 001 255210865 4205
adrs 1 000 90316380 591 – – – –
publicly held shares 49536 100 1524584595 9971 186007 100 435758720 7181
shares held in treasury 4419276 029
tinto holdings australia pty limited      171072520  2819
     1529003871  100   100 606831240 100
number of holdings less than 
marketable parcel of a500 2440   
twenty largest registered shareholders
in accordance with the asx listing rules below are the names of the twenty largest registered holders of rio tinto limited shares and the 
number of shares and the percentage of issued capital each holds
rio tinto limited number of shares percentage of issued share capital
1 tinto holdings australia pty limited 171072520 2819 
2 hsbc custody nominees australia limited 85679627 1412
3 jp morgan nominees australia limited 64267120 1059
4 national nominees limited 53343702 879
5 citicorp nominees pty limited 13918306 229
6 anz nominees limited 11791068 194
7 cogent nominees pty limited 8141201 134
8 ubs wealth management australia nominees pty ltd 3835054 063
9 citicorp nominees pty limited 3690746 061
10 queensland investment corporation 3660711 060
11 australian foundation investment company limited 3573706 059
12 amp life limited 3309624 055
13 argo investments limited 2393539 039
14 ubs nominees limited 2322435 038
15 australian reward investment alliance 2021359 033
16 perpetual trustee company limited 1960255 032
17 rbc dexia investor services australia nominees pty limited 1374370 023
18 rbc dexia investor services australia nominees pty limited 1072295 018
19 citicorp nominees pty limited 990225 016
20 citicorp nominees pty limited 982361 016 
439400224 7241
notes
1 tinto holdings australia pty limited is a wholly owned subsidiary of rio tinto plc
2 other large registered shareholders are nominees who hold securities on behalf of benefi cial shareholders shareholder information
236 rio tinto 2009 annual report
defi nitions and exchange rates
non mining defi nitions 
throughout this document the collective expressions rio tinto rio tinto group and group are used for convenience only depending on the 
context in which they are used they mean rio tinto plc andor rio tinto limited andor one or more of the individual companies in which 
rio tinto plc andor rio tinto limited directly or indirectly own investments all of which are separate and distinct legal entities
unless the context indicates otherwise the following terms have the meanings shown below
adr american depositary receipt evidencing american depositary shares ads
australian dollars australian currency abbreviates to a
aifrs international financial reporting standards as adopted in australia
billion one thousand million
canadian dollars canadian currency abbreviates to c
companycompanies rio tinto plc andor rio tinto limited as the context so requires
dlc merger dual listed companies merger 1995
eu ifrs international financial reporting standards as adopted by the european union
iasb international accounting standards board
ifrs international financial reporting standards
lbma london bullion market association
lme london metal exchange
pounds sterling uk currency abbreviates to £ pence or p
public shareholders the holders of rio tinto plc shares that are not companies in the rio tinto limited group 
and the holders of rio tinto limited shares that are not companies in the rio tinto plc group
rand south african currency abbreviates to r
rio tinto limited rio tinto limited and where the context permits its subsidiaries and associated companies
rio tinto limited group rio tinto limited and its subsidiaries and associated companies
rio tinto limited shareholders the holders of rio tinto limited shares
rio tinto limited share the shares in rio tinto limited
rio tinto limitedrtl
dlc dividend share
the dlc dividend share in rio tinto limited
rio tinto limitedrtl
special voting share
the special voting share in rio tinto limited
rio tinto plc rio tinto plc and its subsidiaries and associated companies
rio tinto plc ads an american depositary share representing the right to receive four rio tinto plc ordinary shares
rio tinto plc group rio tinto plc and its subsidiaries and associated companies
rio tinto plc ordinary shares the shares of 10p each in rio tinto plc
rio tinto plc shareholders the holders of rio tinto plc shares
rio tinto plc shares rio tinto plc ordinary shares
rio tinto plcrtp
dlc dividend share
the dlc dividend share of 10p in rio tinto plc
rio tinto plcrtp
special voting share
the special voting share of 10p in rio tinto plc
shareshares rio tinto limited shares or rio tinto plc ordinary shares as the context requires
sharing agreement the agreement dated 21 december 1995 as amended between rio tinto limited and rio tinto plc relating 
to the regulation of the relationship between rio tinto limited and rio tinto plc following the dlc merger
us dollars united states currency abbreviates to dollars  or us and us cents or usc
mining and technical defi nitions
alumina aluminium oxide it is extracted from bauxite in a chemical refi ning process and is subsequently the principal raw 
material in the electrochemical process by which aluminium is produced
anode and cathode copper at the fi nal stage of the smelting of copper concentrates the copper is cast into specially shaped slabs called anodes for 
subsequent refi ning to produce refi ned cathode copper
bauxite mainly hydrated aluminium oxides al
2
o
3
2h
2
o principal ore of alumina the raw material from which aluminium is made
bioleaching the deliberate use of bacteria to speed the chemical release of metals from ores
block caving an underground bulk mining method it involves undercutting the orebody to induce ore fracture and collapse by gravity 
the broken ore is recovered through draw points below
borates a generic term for mineral compounds which contain boron and oxygen 
cathode copper refi ned copper produced by electrolytic refi ning of impure copper or by electrowinning 
classifi cation separating crushed and ground ore into portions of different size particles
coking coal by virtue of its carbonisation properties it is used in the manufacture of coke which is used in the steel making process 
also known as metallurgical coal
concentrate the product of a physical concentration process such as fl otation or gravity concentration which involves separating ore 
minerals from unwanted waste rock concentrates require subsequent processing such as smelting or leaching to break 
down or dissolve the ore minerals and obtain the desired elements usually metals
cutoff grade the lowest grade of mineralised material considered economic to process it is used in the calculation of the quantity of 
ore present in a given deposit  w w w riotint oc om 237
shareholder
information
flotation a method of separating fi nely ground minerals using a froth created in water by specifi c reagents in the fl otation process 
certain mineral particles are induced to fl oat by becoming attached to bubbles of froth whereas others usually unwanted sink
grade the proportion of metal or mineral present in ore or any other host material expressed in this document as per cent 
grams per tonne or ounces per ton
head grade the average grade of ore delivered to the mill
ilmenite mineral composed of iron titanium and oxygen
metallurgical coal by virtue of its carbonisation properties it is used in the manufacture of coke which is used in the steel making process 
also known as coking coal
mineral resource a concentration or occurrence of material of intrinsic economic interest in or on the earth’s crust in such form quality and 
quantity that there are reasonable prospects for eventual economic extraction the location quantity grade geological 
characteristics and continuity of a mineral resource are known estimated or interpreted from specifi c geological evidence 
and knowledge mineral resources are subdivided in order of increasing geological confi dence into inferred indicated and 
measured categories
ore a rock from which a metals or minerals can be economically and legally extracted
ore milled the quantity of ore processed
ore reserve the economically mineable part of a measured andor indicated mineral resource it includes diluting materials and allowances 
for losses which may occur when the materials are mined appropriate assessments and studies have been carried out and include 
consideration of and modifi cation by realistically assumed mining metallurgical economic marketing legal environmental social 
and governmental factors these assessments demonstrate at the time of reporting that extraction could reasonably be justifi ed 
ore reserves are subdivided in order of increasing confi dence into probable ore reserves and proved ore reserves
rock mined the quantity of ore and waste rock excavated from the mine in this document the term is only applied to surface mining operations
rutile a mineral composed of titanium and oxygen tio
2

stripping ratio the tonnes of waste material which must be removed to allow the mining of one tonne of ore
solvent extraction and electrowinning 
sxew
processes for extracting metal from an ore and producing pure metal first the metal is leached into solution the resulting 
solution is then purifi ed in the solvent extraction process the solution is then treated in an electrochemical process 
electrowinning to recover cathode copper
tailing the rock wastes which are rejected from a concentrating process after the recoverable valuable minerals have been extracted
titanium dioxide feedstock a feedstock rich in titanium dioxide produced in rio tinto’s case by smelting ores containing titanium minerals
zircon zirconium mineral zrsio
4

conversion of weights and measures
1 troy ounce  311 grams 1 short ton  2000 pounds
1 kilogram  3215 troy ounces 1 long ton  2240 pounds
1 kilogram  22046 pounds 1 gram per metric tonne  002917 troy ounces per short ton
1 metric tonne  1000 kilograms 1 gram per metric tonne  003215 troy ounces per metric tonne
1 metric tonne  22046 pounds 1 kilometre  06214 miles
1 metric tonne  11023 short tons
exchange rates
the following tables show for the periods and dates indicated certain information regarding the exchange rates for the pound sterling and 
australian dollar based on the noon buying rates for pounds sterling and australian dollars expressed in us dollars per £100 and per a100
pounds sterling
year ended 31 december period end average rate high low
2009 162 157 170 135
2008 144 186 203 144
2007 199 200 211 192
2006 196 184 198 172
2005 173 182 193 171
australian dollars
year ended 31 december period end average rate high low
2009 0890 0790 0940 0620
2008 0698 0852 0983 0607
2007 0878 0839 0937 0772
2006 0788 0753 0791 0706
2005 0734 0763 0799 0727
  the noon buying rate on such dates differed slightly from the rates used in the preparation of rio tinto’s fi nancial statements as of such date no representation is made that pound sterling 
and australian dollar amounts have been could have been or could be converted into dollars at the noon buying rate on such dates or at any other dates   2009 annual report
 rio tinto 2009 annual report
strategy  delivery  growth
this report is available online at wwwriotintocom
a focused and 
integrated strategy 
excellence in 
operational delivery
positioned for growth
strategy
delivery
growth
financial calendar
useful information and contacts
2010
14 january fourth quarter 2009 operations review
11 february announcement of results for 2009
24 february rio tinto plc and rio tinto limited shares and rio tinto plc adrs quoted “exdividend” for 2009 fi nal dividend
26 february record date for 2009 fi nal dividend for rio tinto plc shares and adrs
2 march record date for 2009 fi nal dividend for rio tinto limited shares
11 march plan notice date for election under the dividend reinvestment plan for the 2009 fi nal dividend
1 april payment date for 2009 fi nal dividend to holders of ordinary shares and adrs
15 april annual general meeting for rio tinto plc
15 april first quarter 2010 operations review
22 april annual general meeting for rio tinto limited
14 july second quarter 2010 operations review
5 august announcement of half year results for 2010
11 august rio tinto plc and rio tinto limited shares and rio tinto plc adrs quoted “exdividend” for 2010 interim dividend
13 august record date for 2010 interim dividend for rio tinto plc shares and adrs
17 august record date for 2010 interim dividend for rio tinto limited shares
18 august plan notice date for election under the dividend reinvestment plan for the 2010 interim dividend
9 september payment date for 2010 interim dividend to holders of ordinary shares and adrs
14 october third quarter 2010 operations review
2011
january fourth quarter 2010 operations review
february announcement of results for 2010
registered offi ces
rio tinto plc
2 eastbourne terrace
london
w2 6lg
registered in england no 719885
telephone 44 0 20 7781 2000
facsimile 44 0 20 7781 1800
website wwwriotintocom
rio tinto limited
level 33
120 collins street
melbourne
victoria 3000
abn 96 004 458 404
telephone 61 0 3 9283 3333
facsimile 61 0 3 9283 3707
website wwwriotintocom
shareholders
please contact the respective registrar if you 
have any queries about your shareholding
rio tinto plc
computershare investor services plc
the pavilions
bridgwater road
bristol bs99 6zy
telephone 44 0 870 703 6364
facsimile 44 0 870 703 6119
uk residents only freephone 0800 435021
website wwwcomputersharecom
investor centre
to fi nd out more about investor centre go to
wwwinvestorcentrecoukriotinto 
holders of rio tinto american 
depositary receipts adrs
please contact the adr administrator if 
you have any queries about your adrs 
adr administrator 
jpmorgan chase  co
p o box 64504
st paul mn 551640504
telephone 1 651 453 2128 
us residents only toll free general 
800 990 1135
us residents only toll free global invest direct 
800 428 4237
website wwwadrcomshareholder 
email jpmorganadrwellsfargocom
us investor relations consultant 
makinson cowell us limited 
one penn plaza 
250 west 34th street 
suite 1935
new y ork ny 10119
telephone 1 212 994 9044
website wwwmakinsoncowellcom
rio tinto limited 
computershare investor services pty limited 
gpo box 2975
melbourne
victoria 3001
telephone 61 0 3 9415 4030
facsimile 61 0 3 9473 2500
australian residents only toll free 
1800 813 292
new zealand residents only toll free 
0800 450 740
website wwwcomputersharecom
investor centre 
to fi nd out more about investor centre go to 
wwwcomputersharecomau 
former alcan inc shareholders 
computershare investor services inc
9th floor 
100 university avenue 
toronto 
ontario 
m5j 2y1
canada 
telephone 1 514 982 7555
north american residents only toll free 
866 624 1341
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inks used are vegetable oil based 95 of press chemicals are recycled for further use and on average 99 of any waste associated with this 
production will be recycled
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 company and its environmental management system is 
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design and production by black sun plc wwwblacksunplccom 2009 annual review
this report is available online at wwwriotintocom
a focused and integrated strategy
excellence in operational delivery
positioned for growth
strategy
delivery
growth
financial calendar
2010
14 january fourth quarter 2009 operations review
11 february announcement of results for 2009
24 february rio tinto plc and rio tinto limited shares and rio tinto plc adrs quoted “exdividend” for 2009 final dividend
26 february record date for 2009 final dividend for rio tinto plc shares and adrs
2 march record date for 2009 final dividend for rio tinto limited shares
11 march plan notice date for election under the dividend reinvestment plan for the 2009 final dividend
1 april payment date for 2009 final dividend to holders of ordinary shares and adrs
15 april annual general meeting for rio tinto plc
15 april first quarter 2010 operations review
22 april annual general meeting for rio tinto limited
14 july second quarter 2010 operations review
5 august announcement of half year results for 2010
11 august rio tinto plc and rio tinto limited shares and rio tinto plc adrs quoted “exdividend”  
for 2010 interim dividend
13 august record date for 2010 interim dividend for rio tinto plc shares and adrs
17 august record date for 2010 interim dividend for rio tinto limited shares
18 august plan notice date for election under the dividend reinvestment plan for the 2010 interim dividend
9 september payment date for 2010 interim dividend to holders of ordinary shares and adrs
14 october third quarter 2010 operations review
2011
january fourth quarter 2010 operations review
february announcement of results for 2010
useful information and contacts
registered offices
rio tinto plc 
2 eastbourne terrace 
london 
w2 6lg 
registered in england no 719885
telephone 44 0 20 7781 2000 
facsimile 44 0 20 7781 1800 
website wwwriotintocom
rio tinto limited 
level 33 
120 collins street 
melbourne 
victoria 3000 
abn 96 004 458 404
telephone 61 0 3 9283 3333 
facsimile 61 0 3 9283 3707 
website wwwriotintocom
shareholders
please contact the respective registrar if you  
have any queries about your shareholding
rio tinto plc
computershare investor services plc 
the pavilions 
bridgwater road 
bristol bs99 6zy
telephone 44 0 870 703 6364 
facsimile 44 0 870 703 6119 
uk residents only freephone 0800 435021 
website wwwcomputersharecom
investor centre 
to find out more about investor centre go to 
wwwinvestorcentrecoukriotinto 
rio tinto limited 
computershare investor services pty limited  
gpo box 2975 
melbourne 
victoria 3001
telephone 61 0 3 9415 4030 
facsimile 61 0 3 9473 2500 
australia residents only toll free 1800 813 292 
new zealand residents only toll free 0800 450 740 
website wwwcomputersharecom
investor centre  
to find out more about investor centre go to  
wwwcomputersharecomau 
what you can find online wwwriotintocom
find out more about our business and performance online
• 2009 annual report 
• webcast of our 2009 results
• sustainable development review
this document is printed on revive 5050 offset a paper containing 50 virgin fibre and 50 post consumer waste the pulp used in this product is bleached using a 
totally chlorine free tcf process and contains fibre from well managed fsc certified forests 100 of the inks used are vegetable oil based 95 of press chemicals are 
recycled for further use and on average 99 of any waste associated with this production will be recycled
printed by park communications park is an emas certified carbonneutral
®
 company and its environmental management system is certified to iso14001
design and production by black sun plc wwwblacksunplccom   
a focused and integrated strategy  
excellence in operational delivery  
positioned for growth
rio tinto is a leading international business involved in each stage 
of metal and mineral production we produce aluminium copper 
diamonds coal iron ore uranium gold and industrial minerals 
borates titanium dioxide salt talc zircon with production 
mainly from australia and north america we operate in more than 
50 countries we employ about 102000 people whose health and 
safety is a key priority and an integral part of placing sustainable 
development at the heart of everything we do we operate as a 
global organisation with one set of standards and values sharing 
best practices across the group
our strategy is to invest in and operate large  
long term cost competitive mines and businesses 
driven by the quality of each opportunity 
our assets give us a rich array of options for 
growth in line with demand
our recapitalisation and asset divestment 
programmes have strengthened our balance 
sheet and enhanced options for growth
safe working and sustainable development are 
at the heart of our activities with our worldwide 
operations providing long term local benefits
on the cover
the port of ehoala serving a new rio tinto mine in south east 
madagascar forms part of a regional growth project funded by 
the world bank
what you can find online wwwriotintocom
find out more about our business and performance online
• 2009 annual report
• webcast of our 2009 results
• sustainable development review
performance highlights 1
group overview 2
statement from our chairman 4
chief executive’s message 6
chief financial officer’s review 9
delivering our strategy 10
key development projects 12
sustainable development 14
 
a snapshot of our business
aluminium 18
copper 19
diamonds  minerals 20
energy  21
iron ore 22
exploration 23
technology  innovation 23
 
leading rio tinto into the future
board of directors and executive committee 24
summary governance and remuneration report 26
five year summary 30
summary income statement 31
summary statement of financial position 32
auditors’ report 33
shareholder information back cover
chairman jan du plessis 
introduces the strengths  
of our business today
read his statement  
on page 4
chief executive tom albanese 
explains our strategy and 
the actions we have taken to 
strengthen our business
read his message  
on page 6
inside this review
chief financial officer 
guy elliott reviews  
our financial 
performance  
for 2009
read his review  
on page 9 
us
189bn
2008 us  387bn
  the balance sheet has been recapitalised
net debt
us

1 3  8bn
2008 us  207bn
  str ong op erational p erf ormanc e
cash fl ow from operations 
a snapshot of the year
performance highlights
this document contains certain forward looking statements 
with respect to the fi nancial condition results of operations and 
business of the rio tinto group the words “intend”  “aim”  “project”  
“anticipate”  “estimate”  “plan”  “believes”  “expects”  “may”  “should”  
“will”  or similar expressions commonly identify such forward 
looking statements
examples of forward looking statements in this annual review 
include those regarding estimated ore reserves anticipated 
production or construction dates costs outputs and productive 
lives of assets or similar factors forward looking statements involve 
known and unknown risks uncertainties assumptions and other 
factors set forth in this document that are beyond the group’s 
control for example future ore reserves will be based in part 
on market prices that may vary signifi cantly from current levels 
these may materially affect the timing and feasibility of particular 
developments other factors include the ability to produce and 
transport products profi tably demand for our products the effect 
of foreign currency exchange rates on market prices and operating 
costs and activities by governmental authorities such as changes in 
taxation or regulation and political uncertainty
in light of these risks uncertainties and assumptions actual results 
could be materially different from projected future results expressed 
or implied by these forward looking statements which speak 
only as to the date of this report except as required by applicable 
regulations or by law the group does not undertake any obligation 
to publicly update or revise any forward looking statements 
whether as a result of new information or future events the group 
cannot guarantee that its forward looking statements will not differ 
materially from actual results
 view more fi nancial and performance highlights at wwwriotintocom
  commendable results in the face of global downturn
underlying earnings

63bn
us
2008 us  103bn
1
net earnings

us
49bn
2008   us37bn
1
  underlying earnings is the key fi nancial performance indicator which management uses internally to assess performance it is presented here as an additional measure of earnings to provide greater 
understanding of the underlying business performance of the group’s operations items excluded from net earnings to arrive at underlying earnings are explained in note 2 to the 2009 financial statements both 
net earnings and underlying earnings deal with amounts attributable to equity shareholders of rio tinto however eu ifrs requires that the profi t for the year reported in the income statement should also 
include earnings attributable to outside shareholders in subsidiaries
 cautionary statement about forward looking statements
wwwriotintocom 1 we have a global presence with major operations in australia and north america which account for approximately 85 per cent 
of the value of our assets as well as signifi cant businesses in south america southern africa and asia
• a ll injury frequency rate reduced to 082 from 098       
• set iron ore production and sales records
• pr o g r e s sed t      ransf ormation of our al uminium bu sines s      
•       ex c eeded targ e t ed c ontr ollable op erating c ost sa ving s
activities that span the world 
group overview
aluminium
rio tinto alcan is a global leader in the 
aluminium industry it mines high quality 
bauxite refi nes alumina for both primary 
aluminium production and specialty alumina 
markets and produces primary aluminium at 
some of the lowest cost most technologically 
advanced smelters in the industry the group is 
renowned for its technology leadership as well 
as its advantaged renewable energy assets
number of employees
1
 22919
products
bauxite alumina specialty aluminas aluminium 
key facts
• integration synergies expected to exceed 
us11 billion in 2010
• achieved rapid cost reductions and 
production curtailments
• business being transformed in readiness 
for the economic recovery
• during the year aluminium prices plummeted 
by as much as 70 per cent from 2008
contribution to gross sales revenue
   2 7 
 copp er
the copper group is one of the world’s largest 
producers of copper with valuable byproducts 
of gold and molybdenum a diverse mix of 
operations and projects are located in north 
and south america africa asia and australia 
in addition to interests in some of the world’s 
largest copper mines it is taking the lead in the 
development of three of the world’s largest new 
copper projects
number of employees
1
 7612
products
copper gold molybdenum and silver
key facts
• strong operating performance in 2009 
supported by recovering market
• kennecott utah copper production up 
37 per cent from 2008
• copper industry faces future supply challenges
• breakthrough agreement for development 
of major mongolian coppergold mine
contribution to gross sales revenue
14
 diamonds  minerals
the group comprises rio tinto diamonds rtd 
rio tinto minerals rtm and rio tinto iron  
titanium rtit rtd accounts for about six 
per cent of the world’s production of rough 
diamonds by value rtm is a global leader 
in borates and talc supply and of the science 
behind their use and rtit is a market leader 
in titanium dioxide feedstock used in the 
manufacture of pigments for paints and plastics
number of employees
1
 7375
products
diamonds borates titanium dioxide feedstocks 
t alc high purity iron metal powders zircon rutile
key facts
• businesses oriented to oecd demand hence 
diffi cult conditions
• businesses showing signs of recovery 
particularly in asian markets
• diavik diamonds underground mine starts 
production in 2010
• commencement of ramp up of madagascar 
mineral sands mine
contribution to gross sales revenue
6
2 rio tinto 2009 annual review the role of the exploration group is to add value 
to rio tinto by discovering or acquiring resources 
that can increase future cash fl ows it is organised 
into regional multicommodity teams with 
head offi ces in the uk the us and australia 
supported by commodity and commercial 
specialists programmes are prioritised on a 
global basis with investment decisions driven 
not by location or choice of commodity but 
rather by the quality of each opportunity  
technology  innovation
      t echnolo gy  inno v ation’s r ole is t o identif y  
develop and promote best operational technology 
practice across the group and to pursue step 
change innovation of strategic importance to 
orebodies of the future
these two business units perform global functions in support 
of our expansion and operating goals
 ir on or e
rio tinto iron ore is the second largest supplier 
to the world’s seaborne iron ore trade and 
produces direct saleable lump and fi nes ore 
pellets and concentrates it has a global supply 
capacity to serve both the pacifi c and atlantic 
markets operating an integrated platform of 
mines rail and port infrastructure including 
development projects designed to respond 
rapidly to changes in demand it operates 
dampier salt located near its iron ore mines 
in australia as well as rio tinto marine
number of employees
1
 11375
products
iron ore and salt
key facts
• operated at full run rate of 220 million 
tonnes capacity in second half of 2009
• developing plans to produce 330 million 
tonnes per year
• uses automated mining technologies 
including driverless haul trucks
 energy
rio tinto is a leading supplier of thermal and 
coking coal to the asian seaborne market as 
well as being one of the world’s largest uranium 
producers operating the second and third 
largest uranium mines rio tinto coal australia 
manages eight coal mines in queensland and 
new south wales in the us the group operates 
the colowyo coal mine and has a 48 per cent 
interest in cloud peak energy
number of employees
1
 7613
products
thermal coal coking coal and uranium 
key facts
• more robust seaborne coal markets emerging
• debottlenecking of australian coal export 
ports under way
• new clermont mine and kestrel mine 
expansion on track
• nuclear power comeback spells promise 
for uranium
contribution to gross sales revenue
15
 view more about our global operations at wwwriotintocom
contribution to gross sales revenue
      2 9 
offi ces in australia 
canada the uk and 
the us
1
  this is the average rio tinto share of employees for managed 
businesses excluding contractors and employees in businesses 
classifi ed as assets held for sale during 2009
17
actively exploring in 
countries
exploration
countries with operations andor projects  
wwwriotintocom 3 during what was clearly a historic and tumultuous 
year for the global community rio tinto found 
2009 to be particularly testing it certainly felt at 
times as if we were experiencing an amplifi ed 
version of the global fi nancial crisis and its 
knock on effect on business confi dence demand 
for commodities and availability of credit
however despite the early trauma for rio 
tinto it turned out to be a year of two halves 
after the particularly diffi cult fi rst few months 
characterised by our balance sheet challenges 
very weak demand low product pricing and the 
contentious chinalco transaction our fortunes 
improved considerably as the year progressed 
as a result of shareholder support for our rights 
issues together with the success of our disposal 
transaction we deeply regretted the loss of 
a unique opportunity to establish a strategic 
partnership that would have fundamentally 
changed our relationship with our largest customer 
base w e will continue to work towards extending 
our relationship with chinalco and to pursue 
business opportunities that may be to our 
mutual benefi t
improving prospects
in deciding that we were not able to pursue 
the transaction with chinalco the board 
was nevertheless delighted that it was able 
to announce the proposed production joint 
venture with bhp billiton in relation to our 
respective iron ore assets in western australia 
the joint venture will allow us to capture 
the enormous long term synergy benefi ts 
that would result from the integration of our 
production facilities the value that could be 
captured has been estimated to be at least 
us10 billion 
w e simultaneously announced major rights 
issues which took place in the uk and australia 
in june and july  these raised net proceeds of 
us148 billion which were used to repay debt 
well ahead of our original us10 billion target 
the rights issues attracted an extraordinary vote 
of confi dence in rio tinto with 97 per cent of 
shareholders taking up their rights in rio tinto plc 
and a 95 per cent take up in rio tinto limited all 
of rio tinto’s directors as well as chinalco took up 
their full entitlement of shares
these decisions brought relief from some of 
the pressures of the earlier months of the year 
it put the period of unusual corporate activity 
programme and improved operating conditions 
we ended the year with a much stronger balance 
sheet in short thanks to a number of signifi cant 
decisions on our part and assisted by a more 
favourable external environment we have 
recovered our poise and steadied the ship
chinalco
looking at the year as a whole our attempt 
to establish a strategic partnership with the 
largest chinese resources group and our largest 
shareholder chinalco was undeniably a very 
signifi cant event for rio tinto the proposed 
transaction would have allowed us to establish a 
highly important strategic link with the chinese 
market whilst at the same time enabling us 
to signifi cantly recapitalise our balance sheet 
especially in the context of the situation 
prevailing at that time the board considered 
the chinalco proposition both strategically 
and fi nancially attractive
the transaction was nevertheless highly 
controversial on becoming chairman in april 
it was evident to me that i needed to look for 
guidance from our shareholders during the 
ensuing consultation process i met with a 
large number of shareholder groups in the uk 
australia and elsewhere it became clear to 
me that many shareholders had considerable 
misgivings about the proposed transaction 
these concerns related not only to the fi nancial 
terms of the transaction but there were high 
levels of discomfort about the structure of our 
relationship with chinalco the board could not 
ignore the strength and depth of these feelings 
although in deciding not to proceed with that 
a year of two halves
statement from our chairman
thanks to a number of signifi cant decisions 
on our part and assisted by a more favourable 
external environment we have recovered our 
poise and steadied the ship
underlying earnings
usm
09 08 07 06 05
4955
7338
7443
10303
6298
jan du plessis
4 rio tinto 2009 annual review rio tinto’s longstanding commitment to 
sustainable development and the quality of 
our sustainable development web pages have 
been recognised in the csr online awards 
“global leaders 2009”  published by dow jones 
newswires and an italian business daily 
our recently completed mineral sands mine 
in madagascar won south africa’s prestigious 
2009 nedbank environmental award in the 
environmental category for signifi cant effort 
in protecting or improving the biophysical 
environment in which it operates
rio tinto became a signatory to the un global 
compact in 2000 and we were one of its early 
supporters we also remain an active member 
of the world business council for sustainable 
development and the international council 
on mining and metals whose members are 
committed to superior business practices in 
sustainable development 
governance and board
the board is committed to high standards of 
governance as the foundation of our ethical 
approach to business in 2009 we strengthened 
our governance system by renewing our global 
code of conduct the way we work establishing 
a common group wide code to replace business 
unit codes of conduct the code serves to spread 
our values of accountability  respect teamwork 
and integrity throughout the organisation 
by providing guidance on how employees 
should conduct themselves at work and when 
representing rio tinto our confi dential 
whistleblowing programme speakout is a 
key element of the way we work available in 
the language of the employee’s choice to alert 
senior management to any serious issues or 
inappropriate behaviour that employees do not 
feel able to discuss with management on site
y our boards enjoy a balanced representation of 
viewpoints and a wealth of business experience 
sir david clementi and david mayhew will retire 
as directors at the conclusion of the 2010 annual 
general meetings the boards thank them for 
their valuable contributions over many years 
we welcomed ann godbehere who has 25 years’ 
experience in the fi nancial services’ industry 
to the board on 9 february 2010 she will be 
chairman of the audit committee robert brown 
who has considerable global business experience 
in the aerospace industry will join the boards on 
1 april 2010 ann and bob will be standing for 
election at the annual general meetings in april 
along with sam walsh chief executive rio tinto 
iron ore and australia who joined the boards 
effective 5 june 2009 
behind us and fi nally gave us a fi rm foothold to 
advance into the second half of the year as we 
saw markets improve in the subsequent months 
i was particularly pleased to see the executive 
team focused on fi rst class operational delivery 
as a priority for the group we ended the year 
with a strong set of production fi gures and the 
achievement of a number of production and 
sales records this of course also signalled a 
signifi cant pick up in physical demand for 
our products 
results and dividend
the strong production numbers coupled with 
improved commodity prices translated into 
a signifi cant improvement in operating cash 
fl ow in the second half this together with the 
proceeds of our rights issues and the disposal of 
assets signifi cantly strengthened our balance 
sheet rio tinto started 2009 with net debt of 
us387 billion and a debt to equity ratio of 
63 per cent we had made the commitment in 
december 2008 to reduce net debt by us10 
billion during 2009 net debt at the end of 2009 
stood at us189 billion with gearing much 
reduced to 29 per cent 
the group’s underlying earnings in 2009 were 
us63 billion 39 per cent below 2008 net 
earnings were us49 billion compared with 
us37 billion in 2008 cash fl ow from operations 
decreased 33 per cent to us138 billion 
with our balance sheet signifi cantly 
strengthened and our prospects much 
improved we are pleased to be able to reinstate 
the dividend total dividends declared for 
2009 were 45 us cents per share the group 
expects that the total cash dividend for the 2010 
fi nancial year will be at least equal to the total 
cash dividend of us175 billion paid in respect 
of 2008 albeit spread over an increased number 
of shares from 2010 on we are committed to 
a progressive dividend policy over the longer 
term
sustainable development
rio tinto conducts business in an ethical and 
socially responsible manner aimed at building 
a positive reputation and ensuring ongoing 
access to people capital and mineral resources 
delivering on our commitment means making 
sustainable development considerations an 
integral part of our business plans and decision 
making processes 
rio tinto was again identifi ed as a sustainable 
development leader during the year by retaining 
its listing on the dow jones sustainability index 
djsi world index and djsi stoxx index as well 
as the ftse4good we have been included in 
the djsi series since 2002 and the ftse4good 
since becoming eligible for inclusion in 2007 
outlook 
the outlook for mining and metals is improving 
but remains volatile and uncertain in the short 
term the latest leading indicators for developed 
economies imply that we may have returned to 
expansionary territory although no one knows 
to what extent or for how long the pick up 
in metals demand at mid year was primarily 
driven by government stimulus measures and 
a recovery in economic activity which caused 
producers to return to buying raw materials 
the key driver for the mining industry continues 
to be demand from china record chinese metals 
imports have served to offset weakness in other 
markets however we will also need to see
oecd economies improve and a resumption
in international trade fl ows to fully support a 
global economic recovery
similarly  there are concerns about the 
sustainability of chinese demand in the short 
term longer term china is likely to move towards 
more domestic consumption led development 
our people
our year of two halves demonstrated 
commendable perseverance as we moved from 
diffi culty to success facing up to setbacks and 
promoting recovery has shown rio tinto to 
be a high performing organisation we have 
come through these testing times thanks in no 
small measure to the quality and commitment 
of our people the downturn unfortunately 
necessitated a reduction of about 16000 
employees and contractors across the group 
which took place mainly in the early months 
of the year since then we have stabilised the 
organisation and a renewed management 
structure has been introduced these steps will 
provide the platform to mobilise and energise 
the workforce and give us the momentum to 
resume growth 
the board and i would like to express our 
collective appreciation to group employees and 
contractors around the world for their strong 
commitment and unfl agging efforts in 2009 for 
their focus on safety operational excellence and 
delivery to customers as well as for conducting 
our business in a socially responsible way 
  jan du plessis
chairman
read the full annual report at wwwriotintocom
wwwriotintocom 5 over the course of 2009 management’s focus 
has been on strengthening the business after 
a period of prolonged corporate activity and 
a severe downturn we are grateful for the 
support we received from shareholders in 
recapitalising the company and helping us 
regain our momentum we were also helped 
by the capacity of our organisation to deliver 
strong operational performance in challenging 
economic circumstances 
the successful injection of us148 billion from 
our rights issues the effi ciencies derived from 
our cash preservation measures and signifi cant 
progress with our divestment programme which 
realised sales and binding offers of us57 
billion in the year have given rio tinto greater 
fi nancial strength and fl exibility 
i am proud of the way in which our employees 
have persevered in delivering the commitments 
we made during these demanding times 
unfortunately these achievements have been 
overshadowed by four fatalities during the 
year at managed operations three of these 
took place in africa and we have renewed our 
focus on embedding our safety systems in 
developing countries i am pleased to say our 
key performance indicators for safety continued 
to improve during 2009 with a reduction in our 
all injury frequency rate of 16 per cent 
reaching agreement to form the western 
australian iron ore production joint venture 
with bhp billiton was an important highlight of 
the year we expect it will achieve substantial 
benefi ts for stakeholders by delivering synergies 
and unlocking the full potential of the valuable 
western australian iron ore assets in an era of 
increasing demand for this vital commodity
during 2009 we took steps to improve our 
aluminium business which was signifi cantly 
affected by the economic downturn rio tinto 
alcan surpassed targeted integration synergies 
adopted rio tinto hse policies and standards 
improved safety performance implemented cost 
reductions progressed the permanent closure 
and divestment of high cost facilities and made 
temporary production curtailments taken 
together these measures amount to a strong 
start to the transformation of that business 
to prepare ourselves for the next stage of 
rio tinto’s growth and to develop the next 
generation of leaders i made changes to the 
structure of my senior management team this 
included the reinstatement of the diamonds  
minerals product group our structure ensures a 
tight focus on our core objective and allows for 
a broad range of investment opportunities to be 
generated regardless of our portfolio 
market conditions
a year ago i said that we hoped to see some 
recovery in china’s gross domestic product 
gdp in the second half of 2009 the effect of 
the chinese government’s monetary stimulus 
package exceeded most commentators’ 
expectations – actual growth surpassed eight 
per cent – and we expect this strong growth to 
continue through 2010
the improvements we have seen in most of our 
markets were primarily driven by this stronger 
chinese gdp growth and its attendant effects 
on chinese construction and infrastructure 
development whilst we remain cautious about 
the recovery in our markets we believe that 
these trends are likely to continue for some time 
as china continues to urbanise and industrialise 
during 2009 we made some good decisions to improve 
our fi nancial position we have emerged from this testing 
year as a stronger and fi tter business
by contrast the continuing strong china story 
was offset by a stagnant demand picture in 
oecd countries where consumer spending 
remains relatively weak australia was an 
exception with its economy bolstered by the 
strong demand for commodities in the us 
japan and europe pervasive economic concerns 
mean that we will continue to be cautious 
especially as we begin to see the effects of the 
winding down of stimulus programmes
financial recovery
the speed and severity of the downturn in late 
2008 exposed our levels of debt and made it 
more diffi cult to achieve the asset disposals we 
had planned for the repayment of debt during 
2009 we made some good decisions in diffi cult 
circumstances to improve our fi nancial position 
and achieve a reduction in controllable cash 
costs of us26 billion we have emerged from 
this testing year as a stronger and fi tter business
regarding divestments we chose to postpone a 
number of sales w e made good progress with 
completion of the sale of our potash assets in 
the fi rst half and the brazilian iron ore operation 
in the second half more importantly  in the 
second half we made signifi cant progress with 
announced divestments on most of the former 
alcan’s packaging businesses and our us 
coal operations by the end of 2009 we had 
announced sales transactions of more than 
us10 billion over the past two years
strategic direction and markets
we completed a thorough review of our strategy 
with our board and executive committee 
leading to the reaffi rmation of our longstanding 
core objective this is to maximise our long 
term return to shareholders by investing in and 
operating large long life cost competitive mines 
and assets driven not by choice of commodity 
but rather by the quality of each opportunity  
this strategy will of course be recognisable 
to our long term shareholders
we will ensure that our structure and 
capabilities are tailored to meet the 
requirements of our customers and 
the marketplace
a focused strategy
chief executive’s message
highlights of 2009
•       underl ying earning s us63 billion
•       cash fl ow from operations us138 billion
•       n e t capital exp enditur e us54 billion
•       n e t debt r e d u c ed b y us198 billion
•       announc ed as se t sales us103 billion
6 rio tinto 2009 annual review our diverse portfolio high quality assets people 
and expertise in technology and marketing give 
us the capability to supply a wide spectrum of 
customers and markets this gives us exposure 
to worldwide markets at various stages of the 
development cycle we will continue to improve 
our understanding of market dynamics and how 
we fi t into the global picture and apply this to 
our planning and investment proposals
t o deliver on our objective the group will 
continue to concentrate on developing tier 1 
assets these are assets that will safeguard our 
future cash fl ow and will operate profi tably at 
every stage of the commodity cycle key to our 
way of operating is a commitment to sustainable 
development it is an essential part of the way we 
work and is at the heart of everything we do
this commitment is key to maintaining our 
licence to operate we have a comprehensive 
sustainable development programme which is 
discussed more fully on pages 1417 carbon 
water use and biodiversity are becoming 
increasingly topical in this context we have 
taken a proactive approach in all three areas 
and are progressively building them into our 
planning especially as we see these three issues 
becoming increasingly interlinked 
priorities for growth
one of our key objectives for 2010 is to put 
the group back on a growth path following 
the rights issues and strengthening of the 
balance sheet we continued to invest in 
growth throughout 2009 capital expenditure 
was us54 billion of which us3 billion 
was on major construction projects in 2010 
capital expenditure is expected to be us5 
to us6 billion
the strong demand for iron ore clearly provides 
the most obvious option for production growth 
w e are continuing work on staged growth projects 
in the pilbara w e used the past 12 months to 
optimise our planned growth pathway  fi nding 
ways to ease input costs capture savings from 
reduced lead times and refi ning project design 
w e have commenced initiatives to expand 
capacity to 280 million tonnes per year by 2013 
and 330 million tonnes per annum by 2015 
in 2009 we completed an unprecedented and 
technologically sophisticated integration of 
 tom albanese
 w w w riotint oc om 7 chief executive’s message continued
  mining by remote control 
rio tinto pioneers the future
investment agreement with the government of 
mongolia in october 2009 a project budget was 
agreed that covers the resumption in 2010 of 
shaft sinking construction of a shaft headframe 
continuation of underground development 
and installation of infrastructure the size of 
the resource is consistent with our strategy of 
investing in large long term cost competitive 
mines and businesses 
china
an objective for 2010 and one that i am 
particularly focused on is to strengthen our 
relationship with china china is our largest 
source of short term demand growth in 2009 
it became the most important destination for 
our products and infl uences global pricing of 
most metals it is also the home of our largest 
shareholder chinalco 
we were pleased to see chinalco take up its 
full entitlement of shares in our rights issues 
and maintain its shareholding at 12 per cent of 
rio tinto plc and 93 per cent of the dual listed 
company overall 
i would like to add a word on our four 
employees who were detained on 5 july 2009 
in shanghai we wish to see the completion of 
an expeditious and transparent legal process 
our continued priority is our duty of care to our 
colleagues and support for their families 
outlook 
our markets and our balance sheet are much 
improved from last year but we recognise that 
major short term uncertainties remain long term 
however given continued growth and urbanisation 
of the developing world the outlook for our 
industry is attractive 
the exponential growth of china’s demand 
for iron ore copper coal and aluminium is 
expected to continue over the next 15 years 
our iron ore operations in western australia 
through our mine of the future
tm
 programmes 
and the opening of our new operations centre 
in perth this will contribute to the us10 
billion synergy savings we expect to reap from 
the proposed production joint venture with bhp 
billiton the benefi ts from the production joint 
venture would be without equal in the mining 
industry applied broadly across production and 
development activities including combining 
adjacent mines into single operations more 
effi cient use and allocation of infrastructure 
and ore blending opportunities to maximise 
product recovery 
in aluminium we completed the start up of the 
sohar smelter in oman to which we contributed 
our benchmark ap36 smelting technology this 
is a good example of how rio tinto alcan’s 
technology leadership can position us as a 
partner of choice the portfolio will enable us 
to leverage our technology advantage extensive 
project management expertise and strong 
operating capabilities 
current projects involve investment in the 
clermont thermal coal and kestrel coking coal 
projects in queensland australia refl ecting 
strong energy markets we have options to 
expand at both of our uranium operations 
construction of the y arwun 2 alumina refi nery 
continues albeit at a slower rate than originally 
anticipated in response to market conditions in 
diamonds the diavik and argyle underground 
projects also continued at a slower rate each of 
these projects was approved before the global 
fi nancial crisis and we have continued to invest 
in them we expect to see production begin at 
both clermont and diavik underground in 2010
we increased our stake in the oyu tolgoi project 
through additional investment in ivanhoe mines 
rio tinto has responsibility for developing and 
operating the mine following the signing of the 
as the average wealth of many millions of 
people increases their consumption of raw 
materials will rise accordingly as china nears 
the top of the commodity intensity usage curve 
india is expected to follow supporting a further 
potential wave of strong commodity demand
for rio tinto 2009 marked a positive turning 
point from which we have emerged with our 
options for growth enhanced nevertheless 
major challenges remain the tier 1 deposits 
that are the focus of our strategy are becoming 
harder to fi nd and more technologically diffi cult 
to develop there are pressures in countries well 
endowed with minerals for governments to gain 
a greater proportion of resource rents 
together with the executive committee i wish to 
join our chairman in expressing appreciation to 
all who work for rio tinto for their contribution 
to a very busy and successful year all have played 
a part in strengthening the business for our next 
stage of growth with our strong assets growth 
options and great people we can look forward 
to an exciting future for the group
tom albanese
chief executive
8 rio tinto 2009 annual review expect that the total cash dividend for the 2010 
fi nancial year will be at least equal to the total 
cash dividend payment for 2008 of us175 
billion albeit over an increased number 
of shares from that point on the group is 
committed to a progressive dividend policy 
over the longer term 
reinvestment in the business
our priority for allocation of capital has 
always been and remains to make value 
adding investments in our business in order 
to maximise shareholder value the improved 
balance sheet enabled us to continue investing 
in the business with capital expenditures in 
2009 of us54 billion 
in 2010 we expect capital expenditure of 
approximately us5 billion and we may 
allocate a further us1 billion to new 
investments allowing us to be responsive to 
quality opportunities such opportunities 
will be assessed on a case by case basis and 
may include small to medium sized “bolt on” 
acquisitions we will continue to fund a 
number of major evaluation projects in 2010 
our long term outlook remains unchanged 
we expect continued growth in demand for 
our products and will continue to invest in 
large long life low cost expandable assets 
to meet this increasing demand 
guy elliott
chief fi nancial offi cer
the latter part of 2009 as fi nancial conditions 
recovered we were able to announce a number 
of divestments at good values and without the 
need for vendor support
these actions are part of a prudent approach 
to managing the balance sheet our target is 
to achieve a single “ a ” credit rating a strong 
balance sheet will allow rio tinto to take 
advantage of value creating opportunities 
as they arise
financial results and dividend
underlying earnings were us63 billion 39   
per cent lower than 2008 primarily as a result 
of lower commodity prices the impact of lower 
prices was partially compensated by excellent 
operational performance in our iron ore and 
copper businesses in addition defi nitive action 
was taken in reducing production at some of our 
higher cost aluminium operations and reducing 
production levels in the diamonds and minerals 
business in response to the market environment 
we delivered on our commitment to reduce 
controllable cash costs achieving reductions 
of us26 billion in 2009 this was accomplished 
through a series of actions including a reduction 
of   16000 roles reducing exploration and 
evaluation activities and bottom up cost 
reduction programmes as markets continue 
to recover in 2010 we may begin to see some 
upward pressure on input prices and increased 
spend on some of our high quality growth 
projects however we will not allow waste or 
ineffi ciency to increase our cost base
at the time of the rights issues we undertook 
to make a 2009 fi nal dividend payment subject 
to satisfactory trading results progress on 
divestments and prevailing market conditions 
we are satisfi ed these conditions have been 
surpassed therefore the group will pay a 
fi nal dividend of us 45 cents per share we 
strengthened balance sheet 
during 2009 we have recapitalised the balance 
sheet we more than halved net debt reducing 
it to us189 billion this was a reduction of 
us198 billion almost twice our original debt 
reduction target we achieved this through 
strong cash fl ow from operations continued 
progress with our divestment programme and 
the successful rights issues the rights issues 
raised net proceeds of us148 billion and were 
a signifi cant step in removing the pressure from 
our balance sheet i would like to express my 
thanks to shareholders who participated in the 
rights issues for their support
in addition to reducing debt we have also 
improved our fi nancial liquidity the successful 
us35 billion bond issue in april 2009 allowed 
us to term out short term debt the proceeds 
from the rights issues were used to repay debt 
that was scheduled to mature in 2010 and 2011 
in october we made an early repayment of 
us15 billion of debt due in 2012 in january 
2010 a further us2 billion was repaid early 
with an additional repayment of us2 billion 
in february 2010 our cash and undrawn debt 
facilities are now at very healthy levels
since the beginning of 2008 we have achieved 
over us10 billion in agreed sales of which the 
majority have now closed during the global 
fi nancial crisis it was virtually impossible to sell 
businesses for good values and for cash during 
transformation of the balance sheet
chief fi nancial offi cer’s review
we are continuing to focus on 
achieving a single “ a ” credit 
rating through measures such 
as completing divestments of 
non core assets

us
189bn
net debt at 31 december 2009
net debt and liquidity have been 
transformed during 2009
 guy elliott
wwwriotintocom 9 a focused and integrated strategy
delivering our strategy
our vision of being the global mining leader means 
maintaining or achieving sector leadership including 
operational excellence sustainable development 
exploration and innovation
core objective strategy priorities
to maximise total shareholder 
return by sustainably fi nding 
developing mining and 
processing natural resources
to invest in and operate large 
long term cost competitive 
mines and businesses driven 
not by choice of commodity 
but rather by the quality of 
each opportunity
w e have fi ve business priorities to 
enable us to deliver our strategy 
and improve our long term 
fi nancial performance these 
priorities will support our vision 
to be the global mining leader 
focus on operational delivery
we will pursue an innovative and 
sustained focus on cost reduction and 
productivity improvement this will 
include continuing the transformation of 
the aluminium business capitalising on 
our leading technologies and delivering 
capacity improvements along the 
supply chain
pursue our growth path
w e will grow our business through 
disciplined capital expenditure this means 
focusing on opportunities that complement 
our strategy  and capitalising on the 
expansion potential of our existing assets
complete the iron ore production 
joint venture
we will concentrate on completing the 
proposed iron ore production joint venture 
with bhp billiton this transaction would 
10 rio tinto 2009 annual review key performance indicators
achievement of our strategy and goals are measured by 
a mixture of fi nancial and non fi nancial performance 
indicators some of which are linked to executive 
remuneration 
enable us to deliver substantial synergies 
and unlock the true value of our 
signifi cant assets in 
the pilbara
prudent balance sheet management
we are continuing to focus on further 
strengthening our balance sheet 
with the objective of moving towards 
achieving a single “ a ” credit rating 
through measures such as completing 
divestments of non core assets
strengthen our relationship 
with china
w e will seek to strengthen our 
relationship with china our largest 
trading partner the home of our largest 
shareholder and a market that will be one 
of the major drivers of future demand 
improving our stakeholder relationships 
helps us to be seen as a partner of choice 
and ensures we maintain and extend our 
licence to operate
total shareholder return tsr
1725
2008 715
underlying earnings
us
63bn
2008 us103bn
operating cash fl ow
us
138bn
2008 us207bn
net debt
us
189bn
2008 us387bn
capital expenditure
us
54bn
2008 us85bn
all injury frequency rate aifr 
  082
2008 09  8
greenhouse gas emissions intensity
  925
2008   1000
read our full annual report or visit wwwriotintocom for more information on our strategy and key performance indicators
kennecott utah copper
operating since 1906 kuc still has signifi cant 
reserves and exploration potential 
pilbara
record production and sales of iron ore in 2009 
from australia’s biggest producer
saguenay
extensive hydroelectric network in quebec with 
installed capacity of about 2900mw
 read our fi ve year summary on page 30 for more information
wwwriotintocom 11 key development projects
18
20
19
2
      1 3
read more on our growth projects at wwwriotintocom
well positioned for growth
project pipeline 
priority exploration projects 
 1 diavik diamonds
 2 ap50 pilot plant aluminium
 3 clermont       thermal c o al
 4 y a r w un       b auxit e
 5 o y u t olg oi       c opp erg old
 6 pil b ara       ir on or e
 7 kitimat       al uminium
 8 r ö s sing       uranium
 9 er a        uranium
 10 k u c       c opp erg oldmol yb den um
 11 esc ondida       c opp er
 12 bunder diamonds
 1      3 r esol u tion       c opp ermol yb den um
 1      4 simand ou       ir on or e
 1      5 j adar        lithiumb orat es
 1      6 m u tamb a       ilmenit e
 17 orissa iron ore
 18 t amarack       nick elc opp er
 1      9 amarg osa       b auxit e
 20 bingham can y on       c opp ermol yb den um
       
we will grow our business through 
disciplined capital expenditure this means 
focusing on opportunities that complement 
our strategy and leveraging the expansion 
potential of our large long term assets
2 ap50 pilot plant 2 2 2 p50 0 pi 50 p 50 pil pilo 2 ap5 a a ap5 ap lan ant nt plant plan t pl ot p lot ilot
 aluminium alu um lum alumin min a a m m um ium niu ini
rio tinto alcan’s proprietary aluminium 
smelting technology is highly energy effi cient 
and is being improved further an ap50 
pilot plant is currently under construction in 
saguenay quebec canada it will be powered 
exclusively by hydroelectricity and become a 
platform for developing future generations 
of the ap technology suite
      ap50 plant under c onstruction
      60000 
tonnes per annum initial capacity
1 diavik 1 iav k diavik ik di 1 d 1 d avik
 diamonds  minerals era rals s ls als ner d am d ne dia iam dia s  mo m  m min min  m ds  mon ond nd nds
start ed as a s urfac e mine in 2003 dia vik diamonds is 
developing int o an underground mine construction 
on the underground project was s ubstantially 
complet ed d uring 2009 first ore is expect ed d uring 
the first quart er of 2010 with full prod uction expect ed 
in 2013 prod uction from dia vik’s open pit operations 
will contin ue until 2012 aft er which the mine will 
transition t o full prod uction from the underground 
      d i a vik under gr ound de v elopment
55 
million carats 
3 clermont o ont mo ler 3 rm mon erm mont mo ont nt 3 cle cl c 3 c
 energy e ene ergy en nerg gy ener rgy y y e 
the clermont mine is a major coal development 
project in australia representing a capital 
investment of us1290 million it will replace 
the nearby blair athol mine which ceases 
operations in 2016 clermont has contracts in 
place for the supply of thermal coal to asian 
customers and is due to start production in 
mid 2010
in mine crusher and out of pit stacker
12 million 
tonnes per annum
11
7
10
1
12 rio tinto 2009 annual review 3
5
6
6 pilbara 6 6 p 6 p pilbar ba ara pilb ilb ra a a
 iron ore ron iro on i ir n o e re n o or ore
three new mines are due to start producing 
ore by mid 2010 mesa a in the robe valley 
rio tinto 53 per cent brockman 4 and 
western turner syncline both near tom 
price expansion planning was relaunched 
in 2009 targeting an increased overall pilbara 
annual production capacity of 330 million 
tonnes by 2015
      a u t omat ed driv erles s haul trucks
      330 million 
tonnes per annum by 2015
5 oyu tolgoi oi goi oi lgo yu oyu oyu o oy o olgo u t tolg u to tol 5 5 5 5
 copper er per co c c per cop ppe opp opp
an investment agreement with the 
government of mongolia was signed in 2009 
to clear the way for development of the giant 
oyu tolgoi coppergold project the size of 
the identifi ed deposits and quality of the 
ore make this a world class opportunity with 
signifi cant exploration upside production is 
expected to begin in 2013
shaft construction
450000 
tonnes per annum
13 resolution uti ion lut olu olu on n so n 1 13 3 r re res 3 reso 13 tio
 c o pp er      ppe p e r      opp copp cop e r      co c per
the deposit is a world class porphyry copper
molybdenum system a federal land exchange 
authorised by congress is required for the 
project to proceed it is estimated to be the 
largest copper deposit in north america 
characterised by consistent plus one per cent 
copper mineralisation over an area of at least 
two kilometres by 15 kilometres
      headfr ames ab o v e mine shafts
600000
tonnes per annum
4
      1 4
8
      1 5
      1 6
      1 2
      9
17
wwwriotintocom 13 key achievements 
• the way we work our global code of business 
conduct and speakout our confi dential 
whistleblowing programme were revised 
• of the electricity we used in 2009 70 per cent 
was from low carbon sources mainly hydro 
• we achieved a 16 per cent reduction in 
our all injury frequency rate during 2009
• w e completed the health safety and en vironment 
hse integration of rio tinto alcan
• rio tinto remains the largest private sector 
employer of indigenous australians
• our new global leadership competency 
model leading at rio tinto was launched 
• why gender matters a resource guide for our 
communities work was published
• our pandemic infl uenza preparedness plan 
was developed and rolled out to manage the 
swine infl uenza h1n1 pandemic
• we retained our listing on the ftse4good 
dow jones sustainability indexes and climate 
disclosure leadership index and ranked 
fi rst on the resources global professionals 
corporate governance survey
key priorities 
• continue to reduce injury rates toward our 
goal of zero including zero fatalities 
• implement our improved contractor safety 
management system and our new hse 
framework for major project development
• implement our wellbeing strategy to guide 
development of a global framework for local 
health and wellbeing programmes
• expand our employee diversity focus to 
address ethnicity and nationality
• continue engaging on and preparing for 
evolving energy and greenhouse gas ghg 
emission regulation
• embed our energy use and ghg emissions 
intensity reduction programmes
• explore ecosystem service values of our 
non operational landholdings in particular 
carbon water and biodiversity opportunities
• continue to strengthen our management 
systems by developing and implementing 
strategies to manage our key sustainable 
development risks and improve performance
• support our new group wide health safety 
environment and communities targets
strategy
sustainable development is an integral part of 
the way in which rio tinto conducts its business 
with leadership coming from the board of directors 
the chairman and the chief executive
our global code of business conduct the 
way we work reinforces our commitment to 
integrate sustainable development thinking 
in the way we make decisions about fi nding 
acquiring developing and operating assets 
around the world 
sound governance and high standards of 
conduct are sources of competitive advantage 
environmental performance community 
relations employee wellbeing and transparency 
are just as important to us as the technical 
aspects of mining and processing 
governance systems
the way we work reaffi rms our commitment 
to corporate responsibility it is supported by 
the group policies standards and guidance 
notes available on our website and local laws 
and voluntary commitments we build on 
compliance with these laws and where our 
policies and procedures are more stringent 
we operate to those standards regardless of 
where our operations are located
we deliver on these commitments through clear 
leadership accountabilities and implementing 
fi t for purpose management systems internal 
controls and assurance programmes that 
include monitoring and reporting against 
relevant metrics targets provide direction 
internally and are used to communicate 
progress against our aspirations externally 
we are active in promoting transparency and 
good corporate governance more widely and 
support a number of voluntary initiatives 
designed to counter bribery and corruption and 
to promote transparency and human rights we 
were a founding supporter of the united nations 
global compact and through the international 
council for mining and metals we are a 
company endorsing member of the extractive 
industries transparency initiative
richards bay minerals concluded its broad 
based black economic empowerment 
transaction with a consortia of local 
businesses and community groups during 
2009 it is now fully empowered in accordance 
with the south african mining industry 
charter fi ve years ahead of the required date 
in 2014
we engage with a broad range of organisations 
and individuals including our employees 
investors governments communities 
at the heart of our strategy
sustainable development
rio tinto’s strategy is to invest in 
large long term cost competitive 
mines and businesses our focus 
on sustainable development 
provides the framework in which 
our business operates this allows 
us to maintain a highly regarded 
reputation that ensures ongoing 
access to people capital and 
mineral resources this in turn 
helps us to deliver better return 
for our shareholders manage risk 
effectively reduce environmental 
impacts cut operating costs 
attract and retain high calibre 
employees and provide more 
business opportunities 
goals and targets
w e have set 2008 – 2013 targets for a range of 
sustainable development metrics including
• measuring progress towards our goal of 
zero injuries and zero fatalities through 
our all injury frequency rate
• thirty per cent reduction in the rate 
of new cases of occupational illness
• ten per cent reduction in the rate of 
employees exposed to an eight hour 
noise dose of more than 85 decibels
• operations having in place locally 
appropriate publicly reported social 
performance indicators that demonstrate 
a positive contribution to the economic 
development of the communities 
and regions where we work which 
are consistent with the millennium 
development goals
• six per cent reduction in total greenhouse 
gas emissions per unit of production we 
are also targeting a further four per cent 
reduction by 2015 to deliver an overall 
ten per cent reduction
• six per cent reduction in our freshwater 
use per tonne of product
14 rio tinto 2009 annual review academia industry bodies and civil society 
groups to help us to identify and manage risks 
we are a member of a number of industry 
associations and of representative bodies 
including the world business council for 
sustainable development the world economic 
forum and the international chamber of 
commerce 
integrating our multidisciplinary approach to 
closure planning in all aspects of our business 
from the earliest stages of project development 
to the decommissioning of facilities is essential 
to leave a positive legacy of sustainable 
development minimise unforeseen fi nancial 
impacts and ensure stakeholder expectations 
are met achieving a reputation for positive 
closure outcomes assists us to gain access for 
future projects we work together with our 
stakeholders to identify preferred sustainable 
development options for closure and seek 
endorsement for these options 
rio tinto alcan applied a regional 
industrial development process during the 
decommissioning of the lannemezan and 
anglesey smelters this involved engaging 
with stakeholders and encouraging new 
postclosure uses for industrial facilities so as 
to maintain regional socioeconomic benefi ts
social wellbeing
we are committed to providing a safe and 
healthy workplace for our employees where 
their rights and dignity are respected we set 
out to build enduring relationships with our 
neighbours that demonstrate mutual respect 
active partnership and long term commitment
our goal is to achieve zero injuries and zero 
fatalities we strive to create a culture where 
everyone feels that they can make a difference 
in an environment where all employees and 
contractors have the knowledge competence 
and desire to work safely 
regrettably we did not meet our goal of zero 
fatalities in 2009 four people were fatally 
injured while working at rio tinto managed 
operations we continue to provide support 
and counselling to the families and workmates 
who are impacted by these incidents 
safety during the development of new projects 
contractor safety management and aviation 
safety were areas of particular focus in 2009
resolution copper won the us department 
of labor’s mine safety and health 
administration and the national mining 
association sentinels of safety award
in 2009 we continued to reduce our injury rates 
and rates of new cases of occupational illness
our reported occupational illnesses are mostly 
related to stress musculoskeletal disorders 
and noise induced hearing loss therefore 
ongoing reductions will require further 
improvements in the management of risks 
posed by manual handling and noise exposure 
materiality assessment
we use a materiality assessment to focus our 
reporting on our most signifi cant sustainable 
development impacts 
our assessment process has been developed in 
line with the global reporting initiative gri 
g3 guidance on materiality and completeness 
it involves identifying issues affecting our 
business and its stakeholders prioritising 
their importance over the next three years 
from internal and external perspectives and 
validating issue prioritisation 
performance data for our most material 
sustainable development issues are subject 
to external assurance 
omission from the material issues covered in 
our report does not mean that the issue is not 
managed by the company
sustainable 
development
 
 
 
water
health
land
stakeholder
engagement
business
integrity
non managed
operations
financial
performance
human
rights
supply chain
 
our people
energy use
gas and
greenhouse
community
engagement
and regional
development
 
 
safety
closure
biodiversity
governance systems
      social wellbeing
environmental stewardship
        economic prosperity
all injury frequency rate
per 200000 hours worked
 
 
 
 
 
09 08 07 06 05
135
110
121
098
082
rio tinto rio tinto including former alcan
view more about our approach to sustainable development at wwwriotintocom
wwwriotintocom 15 aviation safety champions
we have taken an active role in the 
flight safety foundation the world’s 
foremost independent aviation safety 
organisation and cochampioned 
development of new aviation 
standards for the global mining 
and onshore resources industry 
we also support the australian royal 
flying doctor service the rio tinto 
life flight provides a free of charge 
emergency jet service to patients in 
need of evacuation when time and 
distance are critical
as well as supporting healthy lifestyles through 
workplace wellbeing programmes projects are 
in development to help businesses more 
effectively manage these risks
during 2009 more than 3000 of our people 
around the world signed up for our be active 
challenge a large number of participants 
reported sustained improvements in levels of 
activity and perceived wellbeing
we employ on the basis of job requirements and 
do not discriminate on grounds of age ethnic or 
social origin gender sexual orientation politics 
religion or disability we do not employ forced 
bonded or child labour we focus on diversity 
internally and externally and actively favour 
local employment where local candidates meet 
job requirements and laws allow our workforce 
is aligned with our values and represents the 
diverse communities and geographies in which 
we operate 
our commitments to local employment 
are often managed with local people and 
governments through directly negotiated 
community benefi t agreements 
we remain the largest private sector employer 
of indigenous australians 
by understanding our socioeconomic 
interaction with the communities where we 
operate we optimise benefi ts and reduce 
negative impacts for communities and our 
operations alike this interaction includes 
relationships with local suppliers training 
and local employment support for small to 
medium enterprises optimal distribution of 
taxes and royalties and support for multilateral 
socioeconomic programmes infrastructure 
developed for our mines or processing plants 
can also greatly benefi t local communities and 
local businesses and governments we have 
systems that actively involve communities 
in decision making processes about issues 
affecting them
to enable us to target the delivery of socio
economic programmes refl ecting the priorities 
of local communities we conduct community 
of our production is a key performance 
indicator for the group and we aim to improve 
the energy intensity of all our operations 
however embedding new technologies at the 
development stage of an operation can offer 
step change improvement opportunities
we operate in an energy intensive sector and we 
seek to improve the greenhouse gas emissions 
over the full life cycle of our products 
we use a signifi cant portfolio of hydro nuclear 
and other renewable power sources in our 
energy mix 
to drive improvement in energy effi ciency 
our businesses have set a range of local energy 
targets that cover nearly three quarters of the 
group’s energy use we are working to reduce 
the energy intensity of new projects through 
demand reduction using asset design and the 
development of alternative sources of energy 
supply we are also currently developing 
step change technologies for several of our 
products including the drained cathode cell for 
aluminium production this has the potential 
to signifi cantly reduce the amount of energy 
required to make aluminium metal
for commodities where processing or using our 
products is energy intensive we are developing 
lower emission technologies due to global 
demand coal is likely to remain a signifi cant 
source of energy for the foreseeable future 
w e are therefore investing in developing and 
commercialising carbon capture and storage 
ccs technology  w e continue to sponsor 
collaborative ccs research and development 
through our involvement in the co2crc’s otway 
basin geosequestration demonstration project in 
australia and the global ccs institute w e are a 
joint venture partner with bp in developing the 
hydrogen energy california project 
where we can infl uence our customers we 
work to develop effi cient downstream processes 
and our metals and minerals can bring energy 
and emissions benefi ts 
baseline social impact and social risk 
assessments to identify potential positive and 
negative impacts of our presence we use this 
information along with community input to 
develop multiyear communities’ plans at 
each operation
together with the local community we 
developed and implemented infl ux and 
infl ation mitigation strategies at our qmm 
mineral sands mining project in madagascar 
environmental stewardship
we continue to proactively manage climate 
change water land stewardship biodiversity 
mineral and non mineral waste air quality and 
closure these programmes include input from 
our local communities as well as from experts in 
these fi elds and are supported by our external 
partnerships with birdlife earthwatch fauna 
 flora international and royal botanic 
gardens kew 
we accept the urgent need for climate change 
action and recognise the issue as being one 
of our greatest challenges and opportunities 
reducing the greenhouse gas emissions intensity 
sustainable development continued
greenhouse gas emissions intensity 
indexed relative to 2008
 
 
 
 
 
09 08 07 06 05
1094
1108
1102
1131
1000 1000
925
rio tinto excluding former alcan
rio tinto including former alcan
16 rio tinto 2009 annual review an exemplary record
qit madagascar minerals
qit’s madagascar mining operation 
qmm won south africa’s 2009 
nedbank environmental award 
recognising a company which has 
made a signifi cant effort in terms 
of protecting or improving the 
biophysical environment in which 
it operates picture shows the 
mine’s plant nursery
rio tinto continues to participate in collaborative 
efforts to promote effective public policy 
frameworks to address climate change 
including the us climate action partnership 
and submissions on proposed legislation to 
governments in australia the us the eu and 
canada a comprehensive programme is under 
way to prepare the group for proposed climate 
change legislation
our water strategy provides a framework for 
addressing water related business risk and 
improving performance and we focus on ways 
to minimise the amount of water we remove 
from the environment reuse it whenever we 
can and return it to the environment meeting 
regulatory limits 
w e continue to encourage and support the 
development of business level water strategies 
aligned with the rio tinto water strategy  w ater 
management support is also being provided to 
new projects to ensure that effi cient practices are 
in place at mine commencement w e engage with 
governments on emerging water policy and with 
organisations committed to sustainable water 
management such as the w orld economic forum
w e manage just over 41000 square kilometres 
of land excluding our exploration leases in line 
with leading practice we aim to rehabilitate land 
as it comes out of mining use rather than waiting 
until all operations at the site have ceased 
in 2009 we formalised a programme to explore 
the threats and opportunities for the group 
arising from emerging green markets in 
biodiversity carbon water and other ecosystem 
services the outcomes and tools of this work 
will be applied to our development projects to 
ensure that we adopt an integrated approach 
to land management through ecosystem 
service assessment
the potential for impact on biodiversity can 
make our projects potentially sensitive for 
regulators local communities investors non 
government organisations and employees 
rio tinto’s long term success depends on our 
ability to understand and manage these issues 
our biodiversity strategy was launched in 2004 
to provide a framework to do this a key aspect 
of the strategy is our goal to have a “net positive 
impact” on biodiversity
in 2009 we fi nalised a methodology for 
developing biodiversity action plans this work 
was completed in collaboration with fauna  
flora international ffi a copy is available on 
the ffi website wwwfaunafl oraorg 
w e are fi nalising a formal partnership with the 
iucn the world’s largest conservation union 
focusing on bilateral capacity building notably 
with regard to ecosystem services valuation and 
emerging green markets
copper coal uranium gold and silver this lca 
work is updated regularly and the outputs are 
key components of our product stewardship 
strategy in addition to these company activities 
rio tinto is also engaged in industry wide 
stewardship initiatives to support responsible 
production and help develop leading practices 
and recognised standards 
economic prosperity
the group’s continuing fi nancial success is 
based on its ability to secure access to land 
people and capital we use our expertise to 
harness these resources creating prosperity 
for our shareholders employees communities 
governments and business partners
our direct economic contribution represents 
an important injection of revenue into the local 
and regional economies where we operate and 
includes payments to suppliers and economic 
value add which is equivalent to the sum of 
all labour payments the taxes and royalties 
disbursed to governments and others plus all 
returns to capital – including interest payments 
profi ts paid out to shareholders and money 
retained in the business for future investment 
and to replace depreciated assets
we can demonstrate that payments to suppliers 
constitute a strong additional benefi t to the 
economy generating employment and creating 
wealth in other sectors our statement of 
procurement principles is available on our 
website rio tinto has developed a programme 
of supplier engagement that includes sustainable 
development criteria in its contracts
in 2009 a a200 million mining contract 
was awarded to a joint venture between native 
title holders the eastern guruma and mining 
services company nrw the contract to build 
mine and transport iron ore from rio tinto’s 
western turner syncline deposit is the fi rst 
signifi cant mining joint venture for the 
eastern guruma people and continues 
the comprehensive rio tinto commitment 
to indigenous contracting in the pilbara 
region of western australia
we maintain a programme of developing 
lifecycle assessments lca for all of our major 
products including aluminium iron ore 
view more about our approach to sustainable development at wwwriotintocom
wwwriotintocom 17 operational highlights
us million
revenue 12038
operating cash fl ow 875
underlying earnings 578
capital expenditure 1690
net operating assets 35992
operating cash flow contribution
6
transforming the aluminium business
rio tinto alcan is a global leader in the aluminium industry  it mines high quality 
bauxite refi nes alumina for both primary aluminium production and specialty 
alumina markets and produces primary aluminium at some of the lowest cost most 
technologically advanced smelters in the industry  the group is renowned for its 
technology leadership as well as its advantaged renewable energy assets
aluminium
strategy
• deliver on our baseline commitments 
including customer service sustainable 
development and ensuring the safety 
of our employees
• continue our journey of transformation 
and deliver on cost improvements 
• surpass our synergy target and complete 
the integration process which includes 
accelerating our cultural integration
• protect and enhance our superior growth 
options while preserving cash
achievements
• a reduction of 22 per cent in the all injury 
frequency rate from 2008 to 2009
• delivered after tax synergy benefi ts of 
us924 million during 2009 with an 
annualised sustainable run rate of 
us11 billion at the end of 2009
• transformational change to both 
administrative and production costs 
drove further effi ciencies across the 
entire organisation
• strategically managed sustaining capital 
expenditure allocations completed value 
improvement exercises at major capital 
project sites to improve long term costs
• adjusted production of bauxite alumina 
and aluminium to align with the downturn 
in market demand 
key priorities
• improve safety performance towards the 
objective of zero harm
• maintain focus on transformational change 
to enhance margins reduce operating costs 
and optimise effi ciencies at all operations 
worldwide
• continue to align production levels with 
market requirements
• drive additional value growth initiatives such 
as capital effi ciency projects and research and 
development programmes
• strategically progress on key projects including 
the y arwun 2 expansion project australia 
kitimat modernisation project ap50 pilot 
plant and shipshaw optimisation canada 
outlook
• rio tinto alcan remains committed to 
delivering on operational effi ciencies 
and improving its baseline cost structure
• major cost reduction measures and further 
aligning production with market demands 
are expected to position rio tinto alcan 
to continue to lead the restructured global 
aluminium industry going forward
• to build stronger margins and to ensure a 
surplus in bauxite and alumina the group 
holds the world’s largest bauxite reserves and 
a competitive position in the alumina sector
• carbon trading and emissions regulations 
will factor strongly in the coming years 
particularly in oecd countries and the 
group’s ap technology and clean energy 
sources are expected to provide advantages 
in a carbon constrained marketplace
 jacynthe côté chief executive rio tinto alcan 
underlying earnings contribution
2007 – 2009 usm
 a reconciliation of the net earnings with underlying earnings 
for 2008 and 2009 as determined under eu ifrs is set out on 
page 22 of the annual report all amounts presented by the product 
groups exclude net interest and other centrally reported items
2007 comparatives have been restated to remove engineered products
tax and other
costs
volume
inflation
prices and exchange
tax and other
costs
volume
inflation
prices and exchange
578 2009
2008
2007
1271
1040
207
55
86
495
4
41
233
206 584
1073
2243
0
view more about our aluminium business at wwwriotintocom
18 rio tinto 2009 annual review operational highlights
us million
revenue 6206
operating cash fl ow 2223
underlying earnings 1866
capital expenditure 553
net operating assets 5028
strategy
• deliver shareholder value by signifi cantly 
increasing copper production in the 
medium term
• be an innovative disciplined acquirer 
and developer of value creating assets
• optimise and develop the group’s 
existing assets
• continue to invest in innovative technologies 
such as block caving and sulphide leaching 
to maintain leadership in the mines of 
the future
• leverage the diverse portfolio of producing 
and developing mines to adapt to changing 
economic conditions
achievements 
• at kennecott utah copper kuc the 
concentrator set multiple plant production 
records including total ore milled and copper 
in concentrate produced
• also at kuc the resource development team 
identifi ed a new coppermolybdenumgold 
porphyry system
• kuc and escondida both successfully negotiated 
new mutually benefi cial collective bargaining 
agreements with their work forces in 2009
• a landmark investment agreement with 
the government of mongolia progressed 
the development of the oyu tolgoi project 
rio tinto increased its stake in ivanhoe mines 
to 197 per cent
• kennecott eagle minerals successfully 
addressed certain key legal challenges 
to its mine permits in the us
key priorities
• exceed the improved safety performance 
in 2009 with a focus on embedding process 
safety risk reviews
• development of the world class oyu tolgoi 
coppergold deposit in mongolia 
• at kuc progress the molybdenum autoclave 
project and continue life of mine extension 
through local drilling programmes
• complete the northparkes e48 development 
and ramp up to full production
• the copper projects function will maintain 
and maximise options around key projects 
and pursue opportunities to accelerate the 
start of production 
outlook
• industry fundamentals support a strong 
outlook on price with robust long term 
demand and supply side constraints
• continued price volatility with upside potential
• industry will be challenged by mines of 
increasing depth decreasing grade profi les 
and increasing exposure to higher risk regions
• gradual transition to underground mines 
which require higher capital costs and 
investment in innovative technologies
growth through innovation
rio tinto’s copper group is a world leader in copper production operations include 
kennecott utah copper in the us and interests in the producing copper mines of 
escondida in chile grasberg in indonesia northparkes in australia and palabora in 
south africa in 2009 the group produced approximately 800000 tonnes of copper 
which places it among the top fi ve copper producers in the world 
andrew harding chief executive rio tinto copper
copper
   
16
operating cash flow contribution
underlying earnings contribution
2007 – 2009 usm
 a reconciliation of the net earnings with underlying earnings 
for 2008 and 2009 as determined under eu ifrs is set out on 
page 22 of the annual report all amounts presented by the product 
groups exclude net interest and other centrally reported items
tax and other
costs
volume
inflation
prices and exchange
tax and other
costs
volume
inflation
prices and exchange
1866
1597
3479 2007
2008
2009
185
49
963
620
66
487
40
556
304
64
0
view more about our copper business at wwwriotintocom
wwwriotintocom 19 operational highlights
us million
revenue 2618
operating cash fl ow 528
underlying earnings 800
capital expenditure 519
net operating assets 4612
differentiation in the marketplace
the diamonds  minerals group comprises diamonds borates talc titanium dioxide 
feedstock high purity iron zircon and rutile mining and refi ning operations rio tinto 
diamonds is a global supplier of rough diamonds rio tinto minerals is a global 
leader in borates and talc supply and rio tinto iron  titanium is a market leader 
in titanium dioxide feedstock
diamonds  minerals
strategy
• to safely and effi ciently maximise 
shareholder value
• to be the preferred supplier of natural rough 
diamonds borates talc and titanium dioxide
• to be responsible and transparent in relations 
with neighbouring communities 
• to differentiate in the marketplace through 
superior service and technical support
• to continue to invest in growth projects 
in the existing businesses and seek tier 1 
development opportunities in new 
mineral sectors
key achievements
• first shipments of ilmenite from qit 
madagascar minerals qmm
• broad based black economic empowerment 
restructuring completed at richards bay 
minerals
• ebitda for rio tinto minerals rtm 
maintained at 2008 levels through strong 
cost reductions and positive pricing despite 
signifi cantly lower volumes
• licences renewed for jadar lithiumborate 
development project in serbia
• potasio rio colorado prc project in 
argentina and a second potash project 
near regina in canada sold to vale for a 
combined gain of us797 million included 
in underlying earnings 
• construction of diavik diamonds 
underground mine in canada substantially 
completed
• progressed the bunder hard rock diamond 
discovery in india
• business improvement programmes delivered 
signifi cant cost reductions in response to 
global economic conditions
key priorities 
• continue to strive for zero harm to people 
across all operations 
• manage production and maximise cash 
fl ow in line with global economic recovery
• continue to operate in a responsible and 
sustainable manner
• continue to differentiate rio tinto from other 
diamond and industrial minerals suppliers 
by providing superior product quality  supply 
reliability and customer service
• retain and continue to develop the 
best people
outlook
• the diverse markets being served by the 
group’s operations continue to be affected 
by the health of the global economy
• in diamonds rough prices are expected 
to improve during 2010 although this is 
dependent on the recovery in the us and 
consumption from emerging markets
• market weakness in the minerals businesses 
in 2009 is expected to slowly reverse in 
2010 with more rapid recovery in asia and 
emerging economies
• declines in the housing and automotive 
sectors will potentially be offset to some 
degree by government incentive programmes 
but will continue to affect sales
harry kenyonslaney chief executive diamonds  minerals
   
4
operating cash flow contribution
underlying earnings contribution
2007 – 2009 usm
tax and other
costs
volume
inflation
prices and exchange
tax and other
costs
volume
inflation
prices and exchange
800
474
483 2007
2008
2009
331
50
49
167
74
298
24
245
88
805
 a reconciliation of the net earnings with underlying earnings 
for 2008 and 2009 as determined under eu ifrs is set out on 
page 22 of the annual report all amounts presented by the product 
groups exclude net interest and other centrally reported items
0
view more about our diamonds  minerals business at wwwriotintocom
20 rio tinto 2009 annual review operational highlights
us million
revenue 6709
operating cash fl ow 2576
underlying earnings 1420
capital expenditure 686
net operating assets 2538
strategy
• the energy group’s core purpose is to maximise 
the value it creates for shareholders from 
supplying the world’s mineable energy needs
• the group focuses its resources on excellence 
in operations large scale long life cost 
competitive assets
• opportunities for brownfi eld expansions are 
being progressed across the business
achievements
• australian thermal and semi soft coal 
production of 374 million tonnes rio tinto 
share 231 million tonnes – a fi ve per cent 
increase on 2008
• record production and sales results 
throughout the year from many operations
• safety performance improved at most 
operations
• successful divestment of numerous energy 
assets in line with the group divestment 
strategy
• separation from rtea and transition to a 
standalone business in 2009 by colowyo 
coal company 
• a milestone achievement of 100 indigenous 
employees at era representing almost 20 per 
cent of era ’s workforce
• continued delivery of operational 
excellence programmes in all businesses 
to systematically eliminate waste reduce 
process variability and engage and empower 
our workforce 
key priorities
• continuing to improve hse performance 
including contractor safety
• maximising free cash fl ow
• continuing to operate in a responsible and 
sustainable manner 
• timely delivery of current expansion projects
• continuing work with industry  government 
and infrastructure providers to resolve coal chain 
bottlenecks and increase export capacities
• positioning the group as the supplier of 
choice as the global economy recovers
• retaining and continuing to develop the 
best people
• aligning business growth strategies with 
climate change and energy strategy 
outlook
• rio tinto believes the outlook for seaborne 
coal remains very positive
• the supplydemand balance for both 
thermal and metallurgical coals remains 
tight and towards the end of 2009 prices 
were increasing across all types of coal
• the rising domestic prices in china have 
supported the demand for imported coal 
while traditional importing markets continue 
to increase imports in line with a broader 
economic recovery 
• a resurgence globally in nuclear power is 
under way driven in large part by the need 
for energy security and baseload electricity 
generation that minimises emissions of 
greenhouse gases
• uranium prices are likely to increase if many 
new uranium projects which were looking less 
fi nancially attractive due to the effect of weaker 
uranium prices are delayed 
strong production and sales
the energy group comprises thermal coal coking coal and uranium operations coal 
interests are located in australia and the us supplying seaborne traded and domestic 
markets rio tinto is one of the world’s largest uranium producers and supplies 
uranium oxide from its majority owned mines in australia and namibia to electric 
power utilities worldwide 
doug ritchie chief executive energy
energy
   
19
operating cash flow contribution
underlying earnings contribution
2007 – 2009 usm
 a reconciliation of the net earnings with underlying earnings 
for 2008 and 2009 as determined under eu ifrs is set out on 
page 22 of the annual report all amounts presented by the product 
groups exclude net interest and other centrally reported items
tax and other
costs
volume
inflation
prices and exchange
tax and other
costs
volume
inflation
prices and exchange
1420
2581
498 2007
2008
2009
51
257
77
177
54
592
67
136
584
1042
2243
1623
0
view more about our energy business at wwwriotintocom
wwwriotintocom 21 operational highlights
us million
revenue 12598
operating cash fl ow 7389
underlying earnings 4126
capital expenditure 2148
net operating assets 11263
record performance strong outlook
rio tinto’s iron ore group is the second largest producer supplying the global seaborne 
iron ore trade having expanded its capacity over the past decade in tandem with the 
rise of china as the world’s largest and fastest growing market the group is the largest 
contributor to rio tinto’s earnings and remains ideally placed to take advantage of the 
continued recovery and growth of the world’s leading economies 
iron ore
strategy 
• the strategy is to maximise the return to 
shareholders from iron ore assets worldwide
• focus will remain on reducing costs and 
building on cash generation initiatives
• increasing or maintaining return from 
existing assets through brownfi eld 
developments where possible particularly 
to contribute to sustaining capacity 
• advancement of expansions under study 
to achieve 330 million tonnes per annum 
capacity in the pilbara by 2015 within 
ongoing capital expenditure constraints 
• continue detailed planning on integration 
for implementation of the proposed pilbara 
production joint venture with bhp billiton 
as various regulatory approvals are sought 
achievements 
• global iron ore production of more than 217 
million tonnes rio tinto share 1715 million 
tonnes a 12 per cent increase on 2008 
• maintained integrity of operations despite 
weather and global fi nancial crisis setbacks 
• milestone of three billion tonnes exported 
from rio tinto’s operations in the pilbara 
• y andicoogina became the fi rst mine in australia 
to record 50 million tonnes annual production 
• operations centre established for remote 
control of mines rail and ports 
key priorities 
• achieving a proper expeditious and fair 
resolution of the case of the four shanghai 
marketing colleagues detained by china in 
july 2009 
• building on 2009’s success in removing 
bottlenecks to achieve sustained production 
at or above nameplate capacity 
• fully extracting benefi ts from operations 
integration though advances such as the 
operations centre and improved planning 
and scheduling 
• continuing to i  mprov  e the business’ safety 
performance   notwithstanding the escalation 
of business activity and expansion work 
• securing approval for and implementing the 
proposed production joint venture in the 
pilbara with bhp billiton 
• advancing the orissa india and simandou 
guinea development projects 
outlook 
• the outlook for global iron ore remains 
very positive with seaborne iron ore trade 
continuing to expand to meet major 
asian demand 
• growth fundamentals remain unchanged 
from before the fi nancial crisis and continue 
to be dominated by the rise of china where 
urbanisation continues apace 
• china’s increase in steel intensity is following 
or exceeding market expectations and rio 
tinto expects steel consumption to double by 
2020 india is expected to follow that same 
path though at a less rapid pace 
• growth in the more stable markets of japan 
korea taiwan western europe and north 
america should remain relatively constant 
sam walsh chief executive iron ore and australia
53
operating cash flow contribution
underlying earnings contribution
2007 – 2009 usm
 
 
 a reconciliation of the net earnings with underlying earnings 
for 2008 and 2009 as determined under eu ifrs is set out on 
page 22 of the annual report all amounts presented by the product 
groups exclude net interest and other centrally reported items
tax and other
costs
volume
inflation
prices and exchange
tax and other
costs
volume
inflation
prices and exchange
4126
6017
2664 2007
2008
2009
3654
71
165
446
51
2920
22
694
352
5
0
view more about our iron ore business at wwwriotintocom
22 rio tinto 2009 annual review exploration
technology  innovation
growth through discovery and acquisition
delivering step change to confer advantage 
the purpose of exploration is to add value to the group by discovering or acquiring 
resources that can increase future cash fl ows greenfi eld exploration programmes 
are prioritised on a global basis so that only the most attractive opportunities are 
pursued investment decisions are driven not by location or choice of commodity 
but rather by the quality of each opportunity
the exploration group is organised geographically into regional multicommodity 
teams with head offi ces in london salt lake city and brisbane
technology  innovation ti consists of a central team of technology professionals 
and a number of technology centres that develop leading practice and promote 
group wide improvements emphasis is given to shared and visible measures of 
operational effectiveness the improvement of analytical tools and development 
of staff capabilities
2009 operating performance
the exploration group all injury frequency rate has 
fallen from 097 at the end of 2008 to 061 at the 
end of 2009 this improvement has in part come 
from a reduction in the scope of fi eld activities but 
also refl ects a focus on reducing injuries through 
enhanced contractor management
the tier 1 greenfi eld lithium borate deposit at 
jadar serbia was transferred to the diamonds  
minerals product group for further evaluation 
the crowsnest coking coal deposit in british 
columbia canada was identifi ed as a non core 
asset and has been prepared for divestment 
options for progressing the altai nuurs 
coking coal deposit in mongolia continue 
to be assessed
in the brownfi eld environment the leisker iron 
ore deposit in the pilbara australia was handed 
over to rio tinto iron ore in utah us drilling 
within 3km of the bingham canyon copper 
mine identifi ed a new coppermolybdenum
gold porphyry system delineation drilling 
is now under way with numerous other 
geophysical targets within the bingham mine 
orbit to be tested in 2010
gross cash expenditure on exploration and 
evaluation in 2009 was us514 million the 
decrease of us620 million over 2008 gross 
expenditure refl ects steps taken across the 
group to reduce controllable cash costs gross 
expenditures are offset by us894 million 
pretax proceeds from the divestment of 
exploration properties
outlook
the exploration group will explore for a range 
of commodities across at least 17 countries in 
2010 continued improvement in commodity 
demand forecasts will underpin the reactivation 
of major drilling programmes to advance the 
tamarack nickelcopper and amargosa bauxite 
projects to decision points in 2010 focus will 
also be placed on reinvigorating the early stage 
target generation and testing required for 
sustained exploration success
divestment of tier 2 assets will continue where 
real value can be realised with a target of 100 
per cent of the annual greenfi eld exploration 
budget being returned to the group
the centres within ti include
•  innovation centre – identifi es evaluates 
and implements value accretive step 
change mining technologies with group 
wide application including continued 
pursuit of the strategic mine of the 
future™ programme
•  energy  climate strategy centre – leads the 
group’s response to the challenges of climate 
change by engaging with governments and 
other stakeholders on the design of climate 
policy develops internal strategies to reduce 
energy usage and greenhouse gas emissions 
and identifi es low carbon pathways for the 
group’s products
• mineral technology services centre –
comprises a central team of technology 
professionals who partner with business units 
in delivery of large measureable increases in 
earnings and value
•  asset management centre – focuses on the 
effective choice deployment reliability and 
performance of the group’s equipment for 
mining and processing
•  mining t echnology centre – establishes 
leading practice and develops shares and 
implements group wide solutions in the 
core mining production processes of surface 
mining underground mining strategic resource 
development resource and reserve estimation 
orebody knowledge and mine planning
•  project development centre – provides 
guidance support and training for all aspects 
of capital projects from prefeasibility 
through to execution and commissioning
•  technical risk evaluation centre – ensures 
that rio tinto’s investment decisions are 
based on independent thorough technical 
review and evaluation and provides advice 
on the adequacy of risk identifi cation and 
mitigation at key points in the project 
approvals process
 view more about our exploration and technology  innovation businesses at wwwriotintocom
wwwriotintocom 23 leading rio tinto
into the future
 the board of directors is composed of 15 directors whose expertise cover a broad 
range of industries and provide an invaluable perspective on rio tinto’s business 
board of directors and executive committee
e
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12
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4
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7
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24 rio tinto 2009 annual review board of directors
1 jan du plessis bcom llb ca sa chairman age 56
2 tom albanese bs mineral economics 
ms mining engineering chief executive age 52
3 sir david clementi ma mba fca non executive  
age 61
4 vivienne cox ma oxon mba insead non executive  
age 50
5 sir rod eddington b eng m eng western australia 
d phil oxon non executive age 60
6 guy elliott ma oxon mba insead chief fi nancial 
offi cer age 54 
7 michael fitzpatrick b eng western australia ba oxon 
non executive age 57
8 yves fortier cc oq qc lld av em non executive 
age 74
9 ann godbehere fcga non executive age 54
10 richard goodmanson mba bec and bcom b eng civil 
non executive age 62
11 andrew gould ba fca non executive age 63
12 lord kerr of kinlochard gcmg ma non executive age 68
13 david mayhew non executive age 69
14 hon paul tellier lllblitt oxon lld cc 
non executive age 70
15 sam walsh b com melbourne executive director and 
chief executive iron ore age 60
16 robert brown bsc non executive age 65 robert brown’s 
appointment will become effective on 1 april 2010
executive committee members
17 hugo bague ma linguistics group executive people 
and organisation age 49
18 preston chiaro bsc hons environmental 
engineeringmeng environmental engineering group 
executive technology  innovation age 56 
19 bret clayton ba accounting group executive business 
support  operations age 48
20 jacynthe côté bchem chief ex e cutiv e rio tint o alc an age 52
21 andrew harding beng mining engineering mba 
business administration chief executive copper  age 43
22 harry kenyonslaney bsc hons geology chief 
executive diamonds  minerals  age 49
23 doug ritchie llb f ausimm f aicd chief executive 
energy age 53
24 debra valentine ba history jd y ale law group 
executive legal  external affairs age 56
company secretaries
ben mathews ba hons fcis company secretary 
rio tinto plc age 43
stephen consedine b bus cp a company secretary 
rio tinto limited age 48
key 
ne
 non executive director
e
 executive director
e
 executive committee member
 view more about our board of directors and executive committee at wwwriotintocom
the executive committee also proposes fundamental fi nancial and business strategies 
and corporate actions to the board the team leads with both experience and expertise
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wwwriotintocom 25 summary governance and remuneration report
the directors’ report and corporate governance 
statement are set out in the 2009 annual report 
which can be found on the company’s website
principal activities and review of business
rio tinto is a leading international business 
involved in each stage of metal and mineral 
production including the production of 
aluminium copper diamonds coal iron ore 
uranium gold and industrial minerals details 
of the group’s activities and performance for 
the year and future objectives are set out in the 
chairman and chief executive’s statements and 
the section entitled key development projects
dividends
further to the rights issue described in the 
chief fi nancial offi cer’s review on page 9 the 
group did not pay an interim dividend for 2009 
the fi nal and total dividend for 2009 will be 
us 45 cents the fi nal dividends payable to 
shareholders of 2884 pence or 5156 australian 
cents per share will be paid on 1 april 2010 
corporate governance statement
the boards of rio tinto fi rmly believe that 
high standards of corporate governance form 
an essential underpinning to the delivery of 
rio tinto’s core objective to maximise total 
return to shareholders through a strategy of 
investing in and operating large long term cost 
competitive mines and businesses driven not by 
choice of commodity but rather by the quality of 
each opportunity 
rio tinto is a dual listed company but structured 
as a single economic entity it has adopted 
a unifi ed approach to corporate governance 
to comply with the regulatory obligations 
associated with its three main stock exchange 
listings in the uk australia and the us
compliance statements
throughout the year the company has 
fully complied with both the provisions set 
out in section 1 of the combined code on 
corporate governance published by the uk 
financial reporting council the code and the 
australian securities exchange asx corporate 
governance principles and recommendations 
2nd edition 
rio tinto plc as a foreign issuer with american 
depositary shares listed on the new y ork 
stock exchange nyse is obliged by the nyse 
standards to disclose any signifi cant ways in 
which its practises of corporate governance 
differ from the nyse standards 
the company has reviewed the nyse standards 
and believes that its practises are broadly 
consistent with them with one exception the 
nyse standards state that companies must 
have a nominating  corporate governance 
committee composed entirely of independent 
directors with written terms of reference 
which in addition to identifying individuals 
qualifi ed to become board members develops 
and recommends to the board a set of 
corporate governance principles applicable to 
the company rio tinto has a nominations 
committee which does not develop corporate 
governance principles for the board’s approval 
the board itself performs this task and approves 
the group’s overall system of governance and 
internal controls 
board 
rio tinto plc and rio tinto limited have a 
common board of directors the board is 
responsible for the success of the group and is 
accountable to shareholders for the performance 
of the business
membership 
the board currently consists of 15 directors the 
chairman three executive directors and 11 non 
executive directors of whom ten are deemed 
independent brief details of the directors are 
listed on pages 24 and 25 of the annual review 
with full details available either in the annual 
report or on the company’s website all of the 
directors were in offi ce throughout the year 
apart from sam walsh who joined the board 
on 5 june 2009 as executive director and ann 
godbehere who was appointed a non executive 
director on 9 february 2010 robert brown will 
also join the board as a non executive director 
with effect from 1 april 2010
sam walsh ann godbehere and robert 
brown will stand for election at the 2010 
annual general meetings while guy elliott 
mike fitzpatrick and lord kerr are due to 
retire by rotation and being eligible will offer 
themselves for reelection sir david clementi 
and david mayhew will retire as directors at 
the conclusion of the 2010 annual general 
meetings the board will then comprise 14 
directors of whom ten will be independent 
non executive directors 
role and responsibilities
the principal role of the board is to set the 
group’s core objective and to regularly review 
its strategic direction in doing this the board 
also has responsibility for the establishment 
and maintenance of effective standards 
of corporate governance across the group 
and oversees management’s control and 
accountability framework a formal schedule 
of matters specifi cally reserved for decision 
or consideration by the board as a whole has 
been agreed by the directors this schedule 
covers areas such as the group’s strategy major 
investments and acquisitions and is available on 
the corporate governance section of the website
in line with its principal role the board 
is ultimately accountable to rio tinto’s 
shareholders for the performance of the 
business responsibility for day to day 
management of the business is undertaken 
through delegated authority and rests with the 
chief executive who in turn has established an 
executive team the executive committee with 
authorities delegated to individual executives 
within an agreed fi nancial control framework 
their details are listed on pages 24 and 25 with 
full details available in either the annual report 
or on the company’s website 
the board meets regularly in order to effectively 
conduct its business in 2009 there were eight 
scheduled board meetings and eight board 
meetings convened and held at short notice the 
number of meetings held in 2009 is a refl ection 
of the considerable corporate activity of the 
board during the year particularly in relation 
to merger and acquisition matters including 
the proposed western australian iron ore joint 
venture and the recapitalisation of the group’s 
balance sheet 
board committees
rio tinto has fi ve board committees the 
audit committee remuneration committee 
nominations committee the committee on 
social and environmental accountability and 
the chairman’s committee each committee 
plays a key role in helping the board ensure 
that high standards of corporate governance 
are maintained throughout the group each 
committee is governed by terms of reference 
which are reviewed annually by the committees 
and the board to ensure they continue to meet 
requirements and be at the forefront of best 
practice the current terms of reference can 
be viewed in the corporate governance 
section of the website 
members of the board committees
audit committee
remuneration 
committee
committee on social 
and environmental 
accountability
nominations 
committee chairman’s committee
sir david clementi 
chairman
andrew gould 
chairman
richard 
goodmanson 
chairman
jan du plessis 
chairman
jan du plessis 
chairman
vivienne cox sir david clementi sir rod eddington all non executive 
directors
tom albanese
michael fitzpatrick michael fitzpatrick yves fortier guy elliott
ann godbehere 
chairman designate
richard 
goodmanson
lord kerr
lord kerr paul tellier
paul tellier
26 rio tinto 2009 annual review board performance evaluation
each year the board undertakes a process 
to evaluate its effectiveness and that of the 
board committees and individual directors 
each non executive director’s performance is 
appraised personally by the chairman and in 
a meeting chaired by the senior independent 
non executive director the non executive 
directors assess the chairman’s performance 
taking into consideration the views of executive 
colleagues for 2009 the board and board 
committee evaluation process took the form 
of a detailed questionnaire circulated to all 
members of the board the board questionnaire 
invited comments on a number of key areas 
including board dynamics board capability 
board process board structure corporate 
governance strategic clarity and alignment 
and the performance of individual committees 
and directors the results of the questionnaire 
formed the basis of discussions led by the 
chairman with each individual director which 
also provided the chairman with an opportunity 
to provide feedback on their individual 
performance following the conclusion of this 
exercise the board held a dedicated session 
at one of its scheduled meetings to discuss 
the output from its performance evaluation 
and to agree a number of actions 
for the board committees a similar questionnaire 
was produced in agreement with the committee 
chairman and was circulated to each committee 
member and regular attendees the questionnaire 
invited comments on a number of areas including 
the role and responsibilities of the committee 
its organisation and effectiveness and the 
qualifi cations of its members the results of the 
questionnaires were presented for discussion and 
debate at meetings of the audit and remuneration 
committees and the committee on social and 
environmental accountability  actions were agreed 
from this process and are in the course of being 
implemented 
in respect of the chairman’s own performance 
evaluation the senior independent director 
discussed and agreed with the other non 
executive directors that no individual 
performance evaluation of the chairman 
would be undertaken for the period since his 
appointment to that role on 20 april 2009 such 
an evaluation will be undertaken in 2010 
risk management
the directors recognise that creating 
shareholder return is the reward for taking and 
accepting risk the directors have established 
a process for identifying evaluating and 
managing the material business risks faced by 
the group some of the risks that could affect 
rio tinto include
• uncertainty over commodity prices and 
demand for the group’s products
• continued growth in demand for the group’s 
products in china which could be affected by 
future developments in that country
• exposure to fl uctuations in exchange rates
• political legal and commercial instability or 
community disputes in the countries and 
territories in which the group operates
• business and growth prospects may be 
negatively affected by reductions in the 
group’s capital expenditure programme
• exploration and development of new projects 
might be unsuccessful expenditure may not 
be fully recovered and depleted ore reserves 
may not be replaced
these and other possible risks to the group are 
identifi ed in more detail in the principal risks 
and uncertainties section of the annual report 
and are available on our website
risk management policies and approach
rio tinto recognises that risk is an integral 
and unavoidable component of the business 
and that it is characterised by both threat and 
opportunity the group fosters a risk aware 
corporate culture in all decision making and is 
committed to managing all risk in a proactive 
and effective manner through competent risk 
management to support this commitment risk 
is analysed in order to inform the management 
decisions taken at all levels within the 
organisation the principles of the risk analysis 
and management process are set out in the risk 
policy and standard which is in the corporate 
governance section of the website
roles and responsibilities
the risk policy and standard is supported by an 
integrated framework of risk governance and 
reporting specifying how the group organises 
the handling of risk together with the policy 
the supporting roles and infrastructure the 
framework makes up the complete rio tinto 
approach to risk analysis and management
the directors are responsible for the group’s 
system of internal controls and for reviewing 
annually its effectiveness in providing 
shareholders with a return on their investments 
that is consistent with a responsible assessment 
and mitigation of risks the directors confi rm 
that they have completed their annual review and 
assessment for 2009
internal risk controls systems
two of the group’s management committees 
the executive committee and the disclosure and 
procedures committee regularly review reports 
related to the group’s control framework each 
year the leaders of the group’s businesses 
and administrative offi ces complete an 
internal control questionnaire that seeks to 
confi rm that adequate internal controls are 
in place are operating effectively and are 
designed to capture and evaluate failings and 
weaknesses if any exist and take prompt 
action as appropriate once reviewed by the 
executive committee the results of this process 
are presented to the audit committee and 
board as a further part of their review of the 
group’s internal controls assurance functions 
including internal auditors and sustainable 
development auditors perform reviews of their 
integrity and effectiveness of control activities 
and provide regular written and oral reports to 
directors and management committees 
financial reporting
internal control
management is responsible for establishing 
and maintaining adequate internal control 
over fi nancial reporting internal control over 
fi nancial reporting is a process designed under 
the supervision of the chief executive and chief 
fi nancial offi cer to provide reasonable assurance 
regarding the reliability of fi nancial reporting 
and the preparation and fair presentation of the 
group’s published fi nancial statements for external 
reporting purposes in accordance with ifrs
because of its inherent limitations internal 
control over fi nancial reporting cannot provide 
absolute assurance and may not prevent or 
detect all misstatements whether caused by 
error or fraud if any within each of rio tinto 
plc and rio tinto limited
governance structure
board committees
management committees
audit 
committee
closure
committee
continuous 
disclosure
committee
disclosure  
procedures
committee
finance
committee
investment
committee
ore reserves 
steering
committee
remuneration
committee
nominations
committee
chairman’s
committee
committee on 
social and 
environmental 
accountability
board of directors
executive committee
wwwriotintocom 27 executives’ remuneration
remuneration policy
during 2009 rio tinto undertook a comprehensive review of its short term incentive plan and the performance condition for the performance share 
plan during the process the company consulted with shareholders in making changes to remuneration arrangements to enhance alignment with 
business strategy and shareholder value creation over the short medium and long term and to be market competitive rio tinto will review its long 
term incentive plan during 2010
offering remuneration which is appropriately competitive is an important part of rio tinto’s remuneration policy rio tinto’s primary comparator 
market for executives is the median remuneration offered by other large global organisations as represented by the ftse 30 excluding fi nancial 
services consideration is also given to remuneration practices in the local market where each role is based
the following table provides details of the operation of the current remuneration arrangements and details of how these will operate from 2010 onwards
 objective of component 2009 policy 2010 onwards
salary fi xed
• provides the fi xed element of the 
remuneration package
• target median of international 
companies of similar size global 
reach and complexity including 
other large natural resource 
companies
• salaries frozen since march 2008 • salaries will remain frozen in 2010 
for executives
shortterm incentive 
plan “stip” 
at risk
• focuses participants on achieving 
calendar year performance goals 
which contribute to sustainable 
shareholder value
• maximum stip opportunity of 120 per cent 
of salary and 60 per cent of salary awarded 
for target performance
• payable wholly in cash 
• performance targets include earnings cash fl ow 
safety and individual performance objectives
• maximum stip opportunity of 200 per 
cent of salary with 50 per cent payable in 
cash and 50 per cent delivered in shares 
generally subject to continued employment 
deferred for a three year period 
• increased focus on fi nancial earnings 
and cash fl ow targets 
• safety continues to be an integral part 
of the stip framework
performance options 
– share option plan 
“sop” 
at risk
• rewards participants for increasing 
the share price and delivering 
strong tsr performance against 
other companies
• market value share options vest based on tsr 
performance against the hsbc global mining 
index as at 31 december of the third year after grant
• target and maximum face value of 300 per cent 
of salary
• before awards vest the committee must also satisfy 
itself that tsr performance is an appropriate 
refl ection of the underlying performance of the 
business and can adjust vesting accordingly
• no changes
• whilst options will be granted to members 
of the executive committee in 2010 the 
longerterm use of the sop will be reviewed 
in the context of changing tax legislation 
in australia
performance shares 
– mining companies 
comparative plan 
“mccp” 
at risk
• rewards participants for 
increasing the share price 
and delivering strong tsr 
performance against other 
companies
• conditional share awards vest based on tsr ranking 
against a bespoke comparator group of eight other 
mining companies as at 31 december of the fourth 
year after grant
• target award equal to face value of 200 per cent of 
base salary 
• 150 per cent of target award vesting for being ranked fi rst 
ie a maximum award of 300 per cent of base salary
• 23 per cent of the maximum potential award vests for 
median performance
• before awards vest the committee must also satisfy itself 
that tsr performance is an appropriate refl ection of the 
underlying performance of the business and can adjust 
vesting accordingly
• no changes to the length of the 
performance period or the overall 
individualplan limits
• performance measures amended to
• 50 per cent – performance relative to 
the hsbc global mining index
• 50 per cent – performance relative to 
the morgan stanley capital world index 
msci
• 150 per cent of target award vesting for 
outperformance of the relevant index by 
eight per cent per annum top quartile
• 23 per cent of the maximum potential 
award vest for index performance
• zero per cent vesting below index
• before awards vest the committee must 
also satisfy itself that tsr performance is 
an appropriate refl ection of the underlying 
performance of the business and can adjust 
vesting accordingly
service awards 
management
share plan “msp” 
usually service based
• enhance the group’s ability 
to attract and retain key staff 
in an increasingly tight and 
competitive labour market 
• executive directors and product group chief executive 
offi cers pgceos are not eligible to participate in 
awards under this plan as a regular component of 
remuneration special awards if any will generally 
have performance conditions
• shares to satisfy the awards are purchased in the 
market and no new shares are issued to satisfy awards
• msp awards granted to group executives 
will be subject to performance criteria 
other than in exceptional circumstances 
eg recruitment
post employment
benefi ts fi xed
• provides locally competitive 
postemployment benefi ts for 
participants in a cost effi cient 
manner
• post employment benefi t arrangements offered • no change
shareholding 
requirement
 
• provides alignment with 
shareholders interests 
• two times salary over a fi ve year period for executive 
directors and pgceos
• requirement extended to the 
executive committee
summary governance and remuneration report continued
28 rio tinto 2009 annual review executives’ remuneration
short term benefi ts
long term 
benefi ts post employment benefi ts
6
stated in us’000
1
 base salary cash bonus
2
other 
benefi ts
34
value of 
share based 
awards
5
pension and 
superannuation
other post 
employment 
benefi ts
termination 
benefi ts
total 
remuneration
gains on 
exercise of 
share options
value of 
vested ltip
executive directors
tom albanese 2009 1421 947 331 5284 1056 – – 9039 – 1162
guy elliott 2009 1057 888 192 3680 389 – – 6206 17 1050
dick evans 2009 1500 5491 422 6356 342 – – 14111 – –
sam walsh 2009 1167 1170 91 3517 313 – – 6258 3 880
other key management personnel
hugo bague 2009 564 752 349 821 41 – – 2527 – 495
preston chiaro 2009 725 390 575 2941 218 – – 4849 2 882
bret clayton 2009 700 534 444 2015 129 1 – 3823 – 381
jacynthe côté 2009 813 2226 27 1778 364 3 – 5211 – 294
andrew harding 2009 421 596 298 671 67 – – 2053 – 297
keith johnson 2009 383 287 97 3031 158 – 1357 5313 – –
harry kenyonslaney 2009 418 362 138 692 88 – – 1698 – 355
doug ritchie 2009 581 986 25 1163 164 – – 2919 – 487
grant thorne 2009 728 593 5 1750 188 – – 3264 736 –
debra valentine 2009 570 468 543 777 163 8 – 2529 – –
total 2009 11048 15690 3537 34476 3680 12 1357 69800 754 6283
notes to executives’ remuneration 
1  the total remuneration is reported in us dollars the amounts can be converted into sterling at the rate of us1  £06389 into australian dollars at the rate of us1  a12637or alternatively into 
canadian dollars at the rate of us1  c113740 each being the average exchange rate for 2009 the annual cash bonus is payable under the stip and this may be converted at the 2009 year end 
exchange rate of us1  £06222 to ascertain the sterling equivalent us1  a11179 to calculate the australian dollar value or alternatively us1c10546 to calculate the canadian dollar value 
2  ‘cash bonus’ includes stip and other special oneoff bonuses 
3  ‘other cash based benefi ts’ include cash in lieu of a car and fuel and cash in lieu of holiday 
4  ‘non monetary benefi ts’ for executives include healthcare the provision of company provided transport fl exible perquisites and secondment costs comprising housing education professional advice 
tax equalisation and relocation payments made to and on behalf of executives living outside their home country 
5  the value of share based awards has been determined in accordance with the recognition and measurement requirements of ifrs2 “sharebased payment” the fair value of awards granted under the 
share option plan sop the management share plan msp the bonus deferral plan bdp and the share savings plan ssp have been calculated at their dates of grant using an independent lattice
based option valuation model provided by external consultants lane clark and peacock llp some of these awards will be settled in cash rather than the transfer of shares and so the fair value of 
these cash settled awards has been calculated based on rio tinto’s share price at 31 december 2009 the fair value of awards granted under the mining companies comparative plan the mccp has 
been calculated using a monte carlo valuation model based on the market price of shares and their relative tsr performance at 31 december 2009 over 2009 the increase in rio tinto’s share price 
has led to a signifi cant increase in the value attached to the mccp under the ifrs2 accounting standard further details of the valuation methods and assumptions used for these awards are included 
in note 49 share based payments in the 2009 fi nancial statements the fair value of other share based awards is measured at the purchase cost of the shares from the market 
6  the costs shown for defi ned benefi t pension plans and post retirement medical benefi ts are the service costs attributable to the individual calculated in accordance with ias19
non executive directors’ remuneration
short term benefi ts
stated in us’000
1
fees
other 
cash based 
benefi ts
2
non 
monetary 
benefi ts
3
total
remuneration
4
chairman
jan du plessis 2009 808 – 37 845
non executive directors
sir david clementi 2009 172 9 – 181
vivienne cox 2009 133 9 – 142
sir rod eddington 2009 143 29 – 172
michael fitzpatrick 2009 162 29 – 191
yves fortier 2009 133 22 – 155
richard goodmanson 2009 157 13 6 176
andrew gould 2009 200 – – 200
lord kerr 2009 168 9 – 177
jim leng 2009 37 – 13 50
david mayhew 2009 197 – – 197
paul skinner 2009 584 14 82 680
paul tellier 2009 149 22 – 171
total 2009 3043 156 138 3337
notes to non executive directors’ remuneration
1  the total remuneration is reported in us dollars the amounts can be converted into sterling 
at the rate of us1  £06389 or alternatively into australian dollars at the rate of us1  
a12637 each being the average exchange rate for 2009 
2  the ‘other cash based benefi ts’ for non executive directors comprise overseas meeting 
allowances 
3  ‘non monetary benefi ts’ include for jim leng the cost of accompanied travel in 2009 for 
richard goodmanson it includes the value of professional advice received for paul skinner 
and jan du plessis it includes the value of company provided transport and medical insurance 
premiums the value of a retirement gift is also included for paul skinner rio tinto plc 
provides accident cover for non executive directors the total premium paid in 2009 was 
us6418 
4  represents short term benefi ts total required under the uk companies act 2006 and total 
remuneration under the australian corporations act 2001 and applicable accounting standards
performance of rio tinto
the companies’ share prices showed strong improvement in 2009 
as a result of rio tinto’s cost containment measures completion of 
divestments and the strengthening of the balance sheet
the graph illustrates the performance of the group against the ftse 
100 the asx all ordinaries index and the hsbc global mining index 
these indexes have been chosen as they represent major markets and the 
mining sector in which the group competes for investors
total return basis index 2004  100 
key rio tinto dlc     
 ftse 100
 asx all share
 hsbc index   
tsr us – rio tinto group vs ftse100 asx all share and hsbc global mining index
100
200
300
400
2009 2008 2007 2006 2005 2004
wwwriotintocom 29 five year summary
performance highlights
all injury frequency rate  
per 200000 hours worked
 
 
 
 
 
kpi
09 08 07 06 05
capital expenditure
a
 usm
 
 
 
 
 
   
underlying earnings
ab
 
usm
 
 
 
 
 
   
greenhouse gas emissions intensity 
indexed relative to 2008
 
 
 
 
 
   
09 08 07 06 05
2554
3988
4968
8488
5356
09 08 07 06 05
4955
7338
7443
10303
6298
net debt
usm
 
 
 
 
 
   
09 08 07 06 05
1313
2437
45191
38672
18861
09 08 07 06 05
operating cash flows
a
 
usm
 
 
 
 
 
   kpi
09 08 07 06 05
7431
9196
10805
19195
13224
8031
10923
12569
20668
13834
dividends from jointly controlled entities 
and associates
cash flows from consolidated operations
total shareholder return

 
 
 
 
 
   kpi
09 08 07 06 05
7431
785
927
715
1725
75
1094
1108
1102
1131
1000
925
group intensity excluding former alcan
group intensity including former alcan
135
110
121
098
082
rio tinto
rio tinto including former alcan
gross sales revenue
a
 
usm
 
 
 
 
 
09 08 07 06 05
19033
22465
29700
54264
41825
20742
25440
33518
58065
44036
   
share of equity accounted units sales revenue
consolidated sales revenue
ebitda
a
 usm
 
 
 
 
 
   
09 08 07 06 05
9743
12566
13611
23870
14471
profit for the year
a
 usm
 
 
 
 
 
   
09 08 07 06 05
5498
7867
7746
4609
5335
net debt total capital
a
 
 
 
 
 
 
   
09 08 07 06 05
77
112
632
633
291
underlying earnings per 
share
ab
 us cents
 
 
 
 
 
   
09 08 07 06 05
29703
45005
47321
65621
3571
kpi kpi kpi
kpi
notes
a  the accounting information in these charts is drawn up in accordance with eu ifrs
b  underlying earnings is the key fi nancial performance indicator which management use internally to assess performance it is presented here as an additional measure of earnings 
to provide greater understanding of the underlying business performance of the group’s operations items excluded from net earnings to arrive at underlying earnings are 
explained in note 2 to the 2009 financial statements both net earnings and underlying earnings deal with amounts attributable to equity shareholders of rio tinto however eu 
ifrs requires that the profi t for the year reported in the income statement should also include earnings attributable to outside shareholders in subsidiaries
30 rio tinto 2009 annual review these summary fi nancial statements have been extracted from the financial statements which have been reported on by the auditors and which will 
be fi led with the united kingdom registrar of companies and the australian securities and investments commission the auditors’ report of 
the financial statements is unqualifi ed and does not contain a statement under either s2372 or s2373 of the uk companies act 1985 the 
summary fi nancial statements do not contain suffi cient information to allow as full an understanding of the results and affairs of the group and 
parent companies as is provided in the financial statements copies of the 2009 annual report may be obtained from the addresses shown on the outside 
back cover
summary income statement 
y ears ended 31 december 
 
2009
usm
2008
usm
gross sales revenue including share of equity accounted units 44036 58065 
continuing operations
consolidated sales revenue 41825 54264 
net operating costs excluding items shown separately 33818 37641
impairment charges 1573 8015
profi ts on disposal of interests in businesses 692 2231 
exploration and evaluation costs 514 1134
profi ts on disposal of interests in undeveloped projects 894 489 
operating profi t 7506 10194 
share of profi t after tax of equity accounted units 786 1039 
profi t before fi nance items and taxation 8292 11233 
finance items 432 2055
profi t before taxation 7860 9178 
taxation 2076 3742
profi t from continuing operations 5784 5436 
loss after tax from discontinued operations 449 827
profi t for the year 5335 4609 
– attributable to outside equity shareholders 463 933 
– attributable to equity shareholders of rio tinto net earnings 4872 3676 
basic earningsloss per share 2008 restated
profi t from continuing operations 3017c 2868c
loss from discontinued operations 255c 527c
profi t for the year 2762c 2341c
diluted earningsloss per share 2008 restated
profi t from continuing operations 3007c 2855c
loss from discontinued operations 254c 524c
profi t for the year 2753c 2331c
dividends paid during the year usm 876 1933 
dividends per share paid during the year 2008 restated 556c 1243c 
dividends per share proposed in the announcement of the results for the year 2008 restated 450c 556c 
summary statement of comprehensive income 
y ears ended 31 december 
summary fi nancial statements
2009 2008
 
attributable to 
shareholders of rio 
tinto usm
outside interests 
usm total usm
attributable to 
shareholders of rio 
tinto usm
outside interests 
usm total usm
profi t after tax for the year 4872 463 5335 3676 933 4609
other comprehensive income
currency translation adjustments 3719 429 4148 4385 411 4796
cash fl ow hedge fair value lossesgains 194 74 268 273 113 386
gainslosses on available for sale securities 354 1 355 174 1 175
actuarial lossesgains on post retirement benefi t plans 847 3 844 1294 20 1314
share of other comprehensive incomeexpense 
of equity accounted units 368 – 368 283 – 283
tax relating to components of other comprehensive income 297 24 321 280 36 244
other comprehensive incomeexpense for the year net of tax 3697 383 4080 5583 355 5938
total comprehensive incomeexpense for the year 8569 846 9415 1907 578 1329
wwwriotintocom 31  
2009
usm
2008
usm
noncurrent assets
goodwill 14268 14296 
intangible assets 5730 6285 
property plant and equipment 45803 41753 
investments in equity accounted units 6735 5053 
loans to equity accounted units 170 264 
inventories 284 166 
trade and other receivables 1375 1111 
deferred tax assets 2231 1367 
tax recoverable 85 220 
other fi nancial assets 841 666 
77522 71181 
current assets
inventories 4889 5607 
trade and other receivables 4447 5401 
loans to equity accounted units 168 251 
tax recoverable 501 406 
other fi nancial assets 694 264 
cash and cash equivalents 4233 1181 
14932 13110 
assets of disposal groups held for sale 4782 5325 
total assets 97236 89616 
current liabilities
bank overdrafts repayable on demand 91 147
borrowings 756 9887
trade and other payables 5759 7197
other fi nancial liabilities 412 480
tax payable 1329 1442
provisions 1182 826
 9529 19979
noncurrent liabilities
borrowings 22155 29724
trade and other payables 591 452
other fi nancial liabilities 601 268
tax payable 299 450
deferred tax liabilities 4304 4054
provision for post retirement benefi ts 4993 3601
other provisions 7519 6506
 40462 45055
liabilities of disposal groups held for sale 1320 2121
total liabilities 51311 67155
net assets 45925 22461 
capital and reserves
share capital 5170 1121
reserves 38661 19517 
equity attributable to rio tinto shareholders 43831 20638 
attributable to outside equity shareholders 2094 1823 
total equity 45925 22461 
summary statement of fi nancial position
at 31 december
summary fi nancial statements continued
jan du plessis
chairman
5 march 2010
tom albanese
chief executive
5 march 2010
guy elliott
chief fi nancial offi cer
5 march 2010
32 rio tinto 2009 annual review independent auditors’ statement to the members 
of rio tinto plc and rio tinto limited
we have examined the summary fi nancial statements of the rio tinto group which comprise the summary income statement the summary statement 
of comprehensive income the summary statement of fi nancial position and the executives’ remuneration information on pages 28 and 29 within the 
accompanying 2009 annual review the summary fi nancial information
respective responsibilities of directors and auditors
the directors are responsible for preparing the 2009 annual review in accordance with applicable law 
our responsibility is to report to you our opinion on the consistency of the summary fi nancial information within the 2009 annual review with the 2009 
annual report and its compliance with the relevant requirements of section 428 of the united kingdom companies act 2006 and section 314 of the 
australian corporations act 2001 as amended by the australian securities and investments commission order dated 27 january 2006 as amended 
on 22 december 2006 and the regulations made thereunder 
w e also read the other information contained in the 2009 annual review and consider the implications for our statement if we become aware of any apparent 
misstatements or material inconsistencies with the summary fi nancial information the other information comprises the items on pages 1 to 27
this statement including the opinion has been prepared for and only for each company’s members as a body in accordance with section 428 of 
the united kingdom companies act 2006 in respect of rio tinto plc and section 314 of the australian corporations act 2001 as amended by the 
australian securities and investments commission order dated 27 january 2006 as amended on 22 december 2006 in respect of rio tinto limited 
and for no other purpose we do not in giving this opinion accept or assume responsibility for any other purpose or to any other person to whom this 
statement is shown or into whose hands it may come save where expressly agreed by our prior consent in writing
basis of opinion
we conducted our work in accordance with bulletin 20083 issued by the auditing practices board for use in the united kingdom our report on 
the rio tinto group’s 2009 annual report describes the basis of our audit opinions on those fi nancial statements and the directors’ report and the 
remuneration report
opinion
in our opinion the summary fi nancial information is consistent with the 2009 annual report of the rio tinto group for the year ended 31 december 
2009 and complies with the applicable requirements of section 428 of the united kingdom companies act 2006 and section 314 of the australian 
corporations act 2001 as amended by the australian securities and investments commission order dated 27 january 2006 as amended on 22 
december 2006 and the regulations made thereunder
pricewaterhousecoopers llp
chartered accountants and registered auditors
london
5 march 2010
in respect of the members of
rio tinto plc
pricewaterhousecoopers
chartered accountants 
brisbane
5 march 2010
robert hubbard
partner
in respect of the members of
rio tinto limited
liability limited by a scheme approved
under professional standards
legislation  2009 annual review
this report is available online at wwwriotintocom
a focused and integrated strategy
excellence in operational delivery
positioned for growth
strategy
delivery
growth
financial calendar
2010
14 january fourth quarter 2009 operations review
11 february announcement of results for 2009
24 february rio tinto plc and rio tinto limited shares and rio tinto plc adrs quoted “exdividend” for 2009 fi nal dividend
26 february record date for 2009 fi nal dividend for rio tinto plc shares and adrs
2 march record date for 2009 fi nal dividend for rio tinto limited shares
11 march plan notice date for election under the dividend reinvestment plan for the 2009 fi nal dividend
1 april payment date for 2009 fi nal dividend to holders of ordinary shares and adrs
15 april annual general meeting for rio tinto plc
15 april first quarter 2010 operations review
22 april annual general meeting for rio tinto limited
14 july second quarter 2010 operations review
5 august announcement of half year results for 2010
11 august rio tinto plc and rio tinto limited shares and rio tinto plc adrs quoted “exdividend” 
for 2010 interim dividend
13 august record date for 2010 interim dividend for rio tinto plc shares and adrs
17 august record date for 2010 interim dividend for rio tinto limited shares
18 august plan notice date for election under the dividend reinvestment plan for the 2010 interim dividend
9 september payment date for 2010 interim dividend to holders of ordinary shares and adrs
14 october third quarter 2010 operations review
2011
january fourth quarter 2010 operations review
february announcement of results for 2010
useful information and contacts
registered offi ces
rio tinto plc
2 eastbourne terrace
london
w2 6lg
registered in england no 719885
telephone 44 0 20 7781 2000
facsimile 44 0 20 7781 1800
website wwwriotintocom
rio tinto limited
level 33
120 collins street
melbourne
victoria 3000
abn 96 004 458 404
telephone 61 0 3 9283 3333
facsimile 61 0 3 9283 3707
website wwwriotintocom
shareholders
please contact the respective registrar if you 
have any queries about your shareholding
rio tinto plc
computershare investor services plc
the pavilions
bridgwater road
bristol bs99 6zy
telephone 44 0 870 703 6364
facsimile 44 0 870 703 6119
uk residents only freephone 0800 435021
website wwwcomputersharecom
investor centre
to fi nd out more about investor centre go to
wwwinvestorcentrecoukriotinto 
rio tinto limited 
computershare investor services pty limited 
gpo box 2975
melbourne
victoria 3001
telephone 61 0 3 9415 4030
facsimile 61 0 3 9473 2500
australia residents only toll free 1800 813 292
new zealand residents only toll free 0800 450 740
website wwwcomputersharecom
investor centre 
to fi nd out more about investor centre go to 
wwwcomputersharecomau 
what you can fi nd online wwwriotintocom
find out more about our business and performance online
• 2009 annual report 
• webcast of our 2009 results
• sustainable development review
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Summary:
 overview
6 rio tinto 2009 annual report
during what was clearly a historic and 
tumultuous year for the global community 
rio tinto found 2009 to be particularly 
testing it certainly felt at times as if we 
were experiencing an amplifi ed version of 
the global fi nancial crisis and its knockon 
effect on business confi dence demand for 
commodities and availability of credit
however despite the early trauma for 
rio tinto it turned out to be a year of two 
halves after the particularly diffi cult fi rst 
few months characterised by our balance 
sheet challenges very weak demand 
low product pricing and the contentious 
chinalco transaction our fortunes improved 
considerably as the year progressed as a 
result of shareholder support for our rights 
issues together with the success of our 
disposal programme and improved operating 
conditions we ended the year with a much 
underlying earnings
usm
09 08 07 06 05
4955
7338
7443
10303
6298
chairman’s statement
a year of two halves
stronger balance sheet in short thanks to a 
number of signifi cant decisions on our part 
and assisted by a more favourable external 
environment we have recovered our poise 
and steadied the ship
chinalco
looking at the year as a whole our attempt 
to establish a strategic partnership with the 
largest chinese resources group and our 
largest shareholder chinalco was undeniably 
a very signifi cant event for rio tinto the 
proposed transaction would have allowed us 
to establish a highly important strategic link 
with the chinese market whilst at the same 
time enabling us to signifi cantly recapitalise 
our balance sheet especially in the context 
of the situation prevailing at that time the 
board considered the chinalco proposition 
both strategically and fi nancially attractive
the transaction was nevertheless highly 
controversial on becoming chairman in april 
it was evident to me that i needed to look for 
guidance from our shareholders during the 
ensuing consultation process i met with a 
large number of shareholder groups in the uk 
australia and elsewhere it became clear to 
me that many shareholders had considerable 
misgivings about the proposed transaction 
these concerns related not only to the fi nancial 
terms of the transaction but there were high 
levels of discomfort about the structure of our 
relationship with chinalco the board could 
not ignore the strength and depth of these 
feelings although in deciding not to proceed 
with that transaction we deeply regretted 
the loss of a unique opportunity to establish 
a strategic partnership that would have 
fundamentally changed our relationship 
with our largest customer base we will 
continue to work towards extending our 
relationship with chinalco and to pursue 
business opportunities that may be to our 
mutual benefi t
improving prospects
in deciding that we were not able to pursue 
the transaction with chinalco the board 
was nevertheless delighted that it was able 
to announce the proposed production joint 
venture with bhp billiton in relation to 
our respective iron ore assets in western 
australia the joint venture will allow 
us to capture the enormous long term 
synergy benefi ts that would result from 
the integration of our production facilities 
the value that could be captured has been 
estimated to be at least us10 billion 
we simultaneously announced major rights 
issues which took place in the uk and 
australia in june and july  these raised net 
proceeds of us148 billion which were used 
to repay debt well ahead of our original 
us10 billion target the rights issues 
attracted an extraordinary vote of confi dence 
in rio tinto with 97 per cent of shareholders 
taking up their rights in rio tinto plc and 
a 95 per cent take up in rio tinto limited 
all of rio tinto’s directors as well as chinalco 
took up their full entitlement of shares
these decisions brought relief from some 
of the pressures of the earlier months of the 
year it put the period of unusual corporate 
activity behind us and fi nally gave us a fi rm 
foothold to advance into the second half 
of the year as we saw markets improve in 
the subsequent months i was particularly 
pleased to see the executive team focused on 
fi rst class operational delivery as a priority for 
the group we ended the year with a strong 
set of production fi gures and the achievement 
jan du plessis
thanks to a number of signifi cant decisions on our part 
and assisted by a more favourable external environment 
we have recovered our poise and steadied the ship  w w w riotint oc om 7
overview performance
production
and reserves governance
financial 
statements
shareholder
information
of a number of production and sales records 
this of course also signalled a signifi cant 
pickup in physical demand for our products 
results and dividend
the strong production numbers coupled 
with improved commodity prices translated 
into a signifi cant improvement in operating 
cash fl ow in the second half this together 
with the proceeds of our rights issues and the 
disposal of assets signifi cantly strengthened 
our balance sheet rio tinto started 2009 
with net debt of us387 billion and a debt to 
equity ratio of 63 per cent we had made the 
commitment in december 2008 to reduce net 
debt by us10 billion during 2009 net debt 
at the end of 2009 stood at us189 billion 
with gearing much reduced to 29 per cent 
the group’s underlying earnings in 2009 
were us63 billion 39 per cent below 
2008 net earnings were us49 billion 
compared with us37 billion in 2008 
cash fl ow from operations decreased 
33 per cent to us138 billion 
with our balance sheet signifi cantly 
strengthened and our prospects much 
improved we are pleased to be able to 
reinstate the dividend total dividends 
declared for 2009 were 45 us cents per 
share the group expects that the total 
cash dividend for the 2010 fi nancial year 
will be at least equal to the total cash 
dividend of us175 billion paid in respect 
of 2008 albeit spread over an increased 
number of shares from 2010 on we are 
committed to a progressive dividend policy 
over the longer term
sustainable development
rio tinto conducts business in an ethical 
and socially responsible manner aimed at 
building a positive reputation and ensuring 
ongoing access to people capital and mineral 
resources delivering on our commitment 
means making sustainable development 
considerations an integral part of our business 
plans and decision making processes 
rio tinto was again identifi ed as a 
sustainable development leader during 
the year by retaining its listing on the dow 
jones sustainability index djsi world 
index and djsi stoxx index as well as the 
ftse4good we have been included in the 
djsi series since 2002 and the ftse4good 
since becoming eligible for inclusion in 2007 
rio tinto’s long standing commitment to 
sustainable development and the quality of 
our sustainable development web pages have 
been recognised in the csr online awards 
 “global leaders 2009”  published by dow 
jones newswires and an italian business daily 
our recently completed mineral sands mine 
in madagascar won south africa’s prestigious 
2009 nedbank environmental award in the 
environmental category for signifi cant effort 
in protecting or improving the biophysical 
environment in which it operates
rio tinto became a signatory to the un global 
compact in 2000 and we were one of its early 
supporters we also remain an active member 
of the world business council for sustainable 
development and the international council 
on mining and metals whose members are 
committed to superior business practices in 
sustainable development 
governance and board
the board is committed to high standards 
of governance as the foundation of our 
ethical approach to business in 2009 we 
strengthened our governance system by 
renewing our global code of conduct the 
way we work establishing a common group 
wide code to replace business unit codes 
of conduct the code serves to spread our 
values of accountability respect teamwork 
and integrity throughout the organisation 
by providing guidance on how employees 
should conduct themselves at work and 
when representing rio tinto our confi dential 
whistleblowing programme speakout 
is a key element of the way we work 
available in the language of the employee’s 
choice to alert senior management to any 
serious issues or inappropriate behaviour 
that employees do not feel able to discuss 
with management on site
your boards enjoy a balanced representation 
of viewpoints and a wealth of business 
experience sir david clementi and david 
mayhew will retire as directors at the 
conclusion of the 2010 annual general 
meetings the boards thank them for their 
valuable contributions over many years 
we welcomed ann godbehere who has 
25 years’ experience in the fi nancial 
services’ industry to the board on 9 
february 2010 she will be chairman of the 
audit committee robert brown who has 
considerable global business experience in 
the aerospace industry will join the boards 
on 1 april 2010 ann and bob will be 
standing for election at the annual general 
meetings in april along with sam walsh 
chief executive rio tinto iron ore and 
australia who joined the boards effective 
5 june 2009 
outlook 
the outlook for mining and metals is 
improving but remains volatile and uncertain 
in the short term the latest leading 
indicators for developed economies imply 
that we may have returned to expansionary 
territory although no one knows to what 
extent or for how long the pick up in metals 
demand at mid year was primarily driven 
by government stimulus measures and a 
recovery in economic activity which caused 
producers to return to buying raw materials 
the key driver for the mining industry 
continues to be demand from china record 
chinese metals imports have served to offset 
weakness in other markets however we will 
also need to see oecd economies improve 
and a resumption in international trade fl ows 
to fully support a global economic recovery
similarly there are concerns about the 
sustainability of chinese demand in the 
short term longer term china is likely to 
move towards more domestic consumption 
led development 
our people
our year of two halves demonstrated 
commendable perseverance as we moved 
from diffi culty to success facing up to 
setbacks and promoting recovery has 
shown rio tinto to be a high performing 
organisation we have come through these 
testing times thanks in no small measure to 
the quality and commitment of our people 
the downturn unfortunately necessitated a 
reduction of about 16000 employees and 
contractors across the group which took place 
mainly in the early months of the year since 
then we have stabilised the organisation 
and a renewed management structure has 
been introduced these steps will provide 
the platform to mobilise and energise the 
workforce and give us the momentum to 
resume growth 
the board and i would like to express our 
collective appreciation to group employees 
and contractors around the world for their 
strong commitment and unfl agging efforts 
in 2009 for their focus on safety operational 
excellence and delivery to customers as well 
as for conducting our business in a socially 
responsible way 
jan du plessis
chairman