Rio Tinto Limited
(ASX:RIO) says it has already exceeded its target of cutting $2 billion in operating costs by the end of the year and it will focus on paying down debt next year.
The mining giant announced in February plans to cut operating costs by $2 billion through such measures by the end of the year.
Chief Executive Officer Sam Walsh told analysts at an investor day presentation that the miner has already surpassed that target and remains on track to achieve $3 billion in operating cost savings next year compared with 2012.
Mr Walsh says Rio is improving productivity and setting new production records and at the same time reducing the company’s spend.
In exploration, Rio has already exceeded this year's target of $750 million in cost savings while in its energy division, the company has delivered $600 million in savings during the first 10 months of the year.
Rio Tinto delivered a net profit of $1.8 billion in the first half of fiscal 2013.
