Rio Tinto appoints Simon Thompson as new chairman

Rio Tinto has appointed non-executive director Simon Thompson as chairman with effect from 5 March 2018.

He succeeds Jan du Plessis, who will step down as chairman and from the Rio Tinto board on the same date after almost nine years in the role. Thompson has over 20 years' experience working across five continents in the mining and metals industry. From 1995 to 2007, he held a number of senior positions at Anglo American group, including executive director of Anglo American plc, chief executive of the base metals division, chairman of the exploration division, and chairman of Tarmac.

Thompson has been chairman of 3i Group since 2015 and was chairman of Tullow Oil from 2012 to 2017. Earlier in his career, he held investment banking positions at S.G. Warburg and N M Rothschild.

Jan du Plessis said: "I am really pleased to be succeeded by Simon, especially given how closely we have worked together since he joined the board some three years ago. I wish him the very best. I am handing over the baton at a time when the business is in great shape and Rio Tinto has the strongest balance sheet in the sector."

Senior independent director Ann Godbehere said: "The Rio Tinto board would like to thank Jan for his significant contribution as chairman of Rio Tinto. He led the board during considerable transformation of the company.

"The board is delighted to have appointed Simon to chair Rio Tinto. He brings to the role a deep understanding of the mining industry, as well as a strong track record as a non-executive."

Also on Monday, chief executive Jean-Sebastien Jacques told investors at a seminar in Sydney that the company is targeting $1.5bn of annual additional free cash flow from 2021 to ensure it can continue to "lead the pack" in delivering superior cash returns to its shareholders.

Jacques said: "All the evidence shows that our value-over-volume strategy is working: delivering superior cash returns for our shareholders, including $8.2 billion announced in 2017. We returned to shareholders 40 cents in every dollar of cash generated by the business in the first half.

"Looking ahead, the $5 billion productivity programme will help drive value over the next five years. With our top-tier assets producing quality low-cost products in high demand, a strong growth pipeline and the best balance sheet in the industry, we have a strong platform for future growth."