Thank you for giving us I think your first interview is chief executive of Rio Tinto with very ambitious plans. You're one of
the biggest producers of iron ore that's used in steel making steel making extremely polluting. What do you now need to
achieve to make sure that your goals are stuck to you. Look at him.
Fighting climate change is a challenge for us. We have a big carbon footprint. Also it's a huge opportunity for us because
fundamentally it's a very physical transition of the society we live in, energy transition. You need more solar cells
wind turbines transmission lines electrical vehicles all of reclaiming the materials that we are producing.
But the problem we have right now is we first have to decarbonize our chains which is expensive and difficult
very expensive. And you've just laid off plans where you invest directly. Seven and a half billion in this year much more
investors in this decade in order to achieve 50 percent production of all carbon footprint by the end of the decade.
It's an ambitious plan. But but what is our part in order to also benefit from the growth that comes first. Seen it yet.
So when will we be able to know a lot more about Scope 3. This is the hard part because it's basically when you give the iron
ore to steel makers it's how they decarbonise. So what's the plan there. Well first of all. The challenge for steelmakers is
even bigger than it is for us as miners. But I see them doing a lot. A lot is happening in China. I thought we'd do research and
development within Japan and Europe except it has to be the corporation that the major part of the solution is with us. You
make up a part of it is we licensed miners in terms of the quality of product we're delivering, etc. etc. and we
are exploring various options. And one of the options that we are exploring for example is the opportunity for the first
part of the steelmaking making the item making the production. Now should that be done in Ireland. Is that something that we
could participate more actively in. So we actually do that often. But in that respect is China very committed. So we were
disappointed by what came out of the G 20. So we don't really have an agreement on that. You know for example domestic coal
plans we don't really have an agreement on this global methane summit. So what can we achieve from now. 2015 is very fast. I
think people has to focus a little bit on the short term what is actually happening. And the reality is China is ahead when it
comes to installing renewable energy. If they have this incredible efficiency they are hip when it comes to a
penetration of the electric vehicle. So we just see a lot going on on the ground in China. In terms of timeline when will you be
able to set out your emissions for scope to go three. We have our action plans now. We released that at our Capital Markets
Day last week. But what we now need to monitor is what will the industry the steelmakers do and therefore we plan as part of our
annual report. What is important right now is to tell what are we doing. But at the end of the day script 3
you can never be under 4 central control. When you look at what else we're not in control of is of course the energy crisis.
It's a freight around the world and the fact that the economy seems to be stalling once again. Does it make it harder for you
to achieve your climate goals because of the difficult environment we see. No I wouldn't say so. I mean obviously we
were very lucky at the beginning of the year and we had our best half year ever in the first half when economy was growing a lot.
Right now the economy is slowing down. And that probably makes sense because as you say we're struggling to move things around
in the world and there is a looming energy crisis. And ultimately it will have an impact. But I think it's a
shorter term impact. It's about half the world to solve its supply chain issues. How many how much inflationary pressure are
you seeing across our products. Well for sure there was a lot of inflation induced in the first half where the world was growing
at a high pace. But yes it's one of the challenges. What does that mean. I mean do you hedge. Do your clients ask for a little
bit of time. It must be actually you know a hell of something to deal with. It hasn't been that High Flyers. And quite frankly we
have also benefited from that part of the inflation comes from higher commodity prices. What does it mean for China where we in
China right now if there is there continues to be that zero Covid tolerance policy.
Is it difficult for you to ship. Seems from China the whole logistics works extremely well personally as a CEO. And they
said that they still haven't been able to travel to China. My biggest customers are but it's a difficult one for all of us
because what's your relationship with steelmakers right now. Is there some kind of agreements that you would give them for
example you know monetize or to try and help fund some of their efforts to become more green.
Ultimately first of all we have very good very long term relationships with our customers that we have worked with for
decades. And that's where we tend to in China Airlines. We always think in a very long term horizon and therefore it's
natural for us to form research and development corporation said utility. We have Chinese universities except. So helping with
the U.S. as a business man. I like to see resolved very quickly. RTS unfortunately often takes a little longer. You're pushing me
as well. When can you come with a scope sweet sold buffet. It takes a long time. That would give you an example of trying to
decarbonise completely aluminum with our listeners project. This project has been going on for 20 years and now it starts really
promising. And we might be able to change the 100 year old manufacturing
method but it just takes time and therefore we need to hold the world in order to achieve 2050. The world needs to put in a lot
of seats of research and development in order to have the breakthroughs necessary. Are you frustrated by the lack of time
or by as you know by the speed at which progress is being made. So you're your new chief executive. What's the thing that's most
frustrating. You don't look I don't look at it like that because there's so much we can do with existing technology and we
haven't done enough. And what I said when we were announcing our targets had the capital markets that we are now starting an
Internet base because there's much much more we can do and we will do. Our thousands of engineers who are used to classical
energy solutions now has to think about renewable energy solutions. That's for us to do. But you can't solve a hundred
percent of the CO2 without some breakthrough in technology. And there. I think the world will have to be patient because the
party just takes longer patients. How so. When will we see green steel. Well but look at the way we look at the 2030. We want to
have half our carbon footprint and I want by 2030 to have a very clear pathway without a lot of uncertainty
towards zero.