The results show that Rio Tinto is going back to basics. The company has realised that the glory days of the commodities boom are now over and is being more selective in choosing its projects, keeping its eye on the bottom line. However, the price of metals is softer which is an issue.
PETER MALLIN-JONES CANACCORD GENUITY
The big positive for me was the Bingham canyon, which Rio turned around after the landslide much quicker than expected. Logistics at Pilbara were better than we anticipated too. Rio is our top large-cap pick, but it is also very exposed to the iron ore market, which worries investors at the moment.
ROB CLIFFORD DEUTSCHE BANK
After two years of missing mined copper targets, Rio has lifted its 2013 copper production guidance from 565,000 tonnes to 590,000 tonnes, mostly due to a faster turnaround of Bingham. Oyu Tolgoi and Escondida also had strong results. We have increased our 2013 copper forecast to 606,000 tonnes.