Rio Tinto Lays Out Cost Cuts in Strategy Overhaul

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00:00Rio Tinto has announced a string of cost cuts just in the last few minutes or so in a strategy overhaul.

00:05The world's second largest miner also outlining plans to release five to ten billion dollars from its existing asset base.

00:11Let's bring in Bloomberg's metals and mining reporter Martin Richard with the details.

00:14Martin, what has stood out to you? The lines have been crossing the last 20 minutes or so.

00:18What has grabbed your attention?

00:24Yeah, that's right. This is very much breaking news.

00:26We've not had a huge amount of time to go over the document.

00:30But what really stands out, I think, at first, is that there is no big bazooka, if you will, in this.

00:36I think a lot of people were maybe expecting some really big numbers, perhaps, on headcount reductions or cost reductions here.

00:46It's not clear that that's what we're getting at the moment.

00:50Rio talks about, as you said, releasing five billion to ten billion of cash from existing assets.

00:56It's talking about annualised, I think, productivity gains of six hundred and fifty million by the end of the quarter next year

01:06and four percent reduction in unit costs by 2030.

01:12But all of those are kind of subject to footnotes, which we'll have to look at a bit more carefully.

01:18And Simon Trott, who is the CEO, he's been in the job for four months or so.

01:26People are looking for him on the big strategy.

01:29He's already streamlined the business somewhat over the past few months.

01:33And they're trying to teach us about how he will be, much of a more than another, with the former, for the future of the future of estads.

01:46When we're doing a bit more of a more than one thing, we're going to take over the past few months.