Mr Davies added the company expects zircon demand will outpace supply from 2018, with the gap to widen until 2020. Rio Tinto Iron & Titanium (RTIT) chief operating officer Andrew Cole said the company has deferred the planned rebuild of furnace five at its Rio Tinto Fer et Titane (RTFT) operations in Canada. The furnace will remain shut and will be rebuilt in alignment with market demand. The company's upgraded slag (UGS) facility is operating at reduced utilisation, while mining has restarted at Havre-Saint-Pierre in Canada and QIT Madagascar Minerals (QMM) in Mozambique following temporary shutdowns. Zircon and rutile production at Rio's Richards Bay Minerals operation in South Africa has also been adjusted to meet market demand.

 

To meet emerging demand, Mr Cole said there were plans to begin developing Zulti South in 2015, with total capital expenditure of US$400 million. He said the company was also looking at studies to extend Havre-St-Pierre's mine life, development opportunities at QMM, exploration and opportunities in Gabon and Tanzania, plus evaluation studies in Mozambique.