PERTH (miningweekly.com) - Mining giant Rio Tinto on Tuesday reported record global iron-ore production for 2012 as the Pilbara expansion plan continued, while the other portfolios also showed production increases over the previous year.

“This was another year of strong operational performance across the group,” said CEO Tom Albanese on Tuesday.

“We achieved record annual iron-ore production and shipments as our expansion programme continues on schedule, delivering industry-leading returns for our shareholders. Our copper, bauxite, alumina, thermal coal and titanium dioxide businesses all delivered substantial production increases on 2011 levels.”

Iron-ore shipments during the year reached 247-million tons during 2012, despite severe weather disruptions and a significant maintenance shutdown.

Global iron-ore production for the full year reached 253-million tons, which was 4% higher than the 2011 production figures. Rio noted that the Pilbara iron-ore operations produced some 239-million tons, which set another yearly record, and which was also a 4% increase on the previous year.

Current nameplate capacity in the Pilbara had increased from 225-million tons a year to 237-million tons a year through debottlenecking and productivity improvements, with minimal capital spend.

Meanwhile, copper production for the year was 6% higher owing to the expected recovery in ore grades at the Kennecott Utah operation, and at Escondida, where copper production was 38% higher than in 2011.

Refined copper production also improved at Kennecott Utah during the fourth quarter of the year, following scheduled smelter maintenance during the second quarter of the year, reaching 59 900 t for the fourth quarter and 162 700 t for the full year.

Thermal coal production for the full year increased by 16% on the previous financial year, reflecting the increased plant capacity at Bengalla, in New South Wales, and the ramp-up of the Clermont operation, in Queensland.

Rio noted that the increased production also reflected the reversal of the one-off disruptions during the fourth quarter of last year.

Hard coking coal production was down 9% on the previous year, owing mainly to the planned dragline maintenance at the Hail Creek operation, and a major preparation plant shutdown at Kestrel, as part of its mine expansion project.

Meanwhile, bauxite and alumina production for the full year was 11% and 12% higher respectively, driven by increased third-party demand for bauxite, and the expanded refining capacity at Yarwun.

Aluminium production for the full year was 10% lower than the previous year, a ramp-up to normal capacity continued, following the resolution of the Alma labour dispute.

Albanese said the increases in production across the board were obtained despite the continued volatility of the markets.

He added that the company continued to take action to roll back its unsustainable cost increases, and said this would further enhance the company’s resilience and competitive edge as it entered 2013.