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Transcription:

Sir Jonathan Ive Senior Vice President of Design, Apple Inc. The best design acknowledges that you can't disconnect the form from the material. The material informs the form. The only way to make the MacBook Pro unibody was to machine it from a single piece of aluminium.

The use of aluminium brings many benefits in terms of weight savings, improved fuel efficiency, lower emissions, increased crash safety and even better vehicle dynamics Aluminum will be the material of choice

Aluminium allows Bombardier to manufacture low weight vehicles and thus reduce environmental impact, with a high quality exterior finish Guillaume Rétaux Director Strategic Sourcing

The use of 1 kg Al replacing heavier materials in a car or light truck can save a net 20 kg of CO2 over the life of the vehicle; This figure is even higher for more weight sensitive applications up to 80 kg CO2 per kg aluminium used in trains; The 20 Mt of Al used in transport today could save 500 Mt CO2 and over 100 billion litres of crude oil over the vehicles lives.

Anthropogenic GHG Emissions by Sector All sectors ~ 50 Gt CO 2 e in 2010* Aluminium industry < 1 Gt CO 2 e in 2015 Opportunities to reduce GHG emissions through use of aluminium in: Green buildings; of which Al ~1% Lightweight vehicles; Protective packaging; Efficient machinery; Cables; of which Al <1% Turbines & solar panels; Efficient consumer durables; Intelligent control systems. Source: * IPCC 2014, IAI

Three quarters of all aluminium ever produced is still in productive use One and a quarter billion tonnes of primary produced since 1888 Almost one billion tonnes in products in use A positive recycling story but

more significantly a story of Demand growth For light, strong, conductive, protective products 900 million tonnes produced since 1990 Durability Aluminium in long lifetime products have not yet reached the end of their First Life Long lifetime products tend to have high recycling rates (>90%)

75% still in use at least 50% still in first use Million tonnes Al (cumulative) 1,000 800 600 400 200 0 1950 1960 1970 1980 1990 2000 2010-200 -400 IN USE LOST Unrecovered (inc. energy recovery) Process Losses Destructive Uses Recycled & In Use In Use "First Life"

Primary Production 1990 (20 Mt) EU28 & EFTA; 4 Mt CIS; 3.5 Mt N America; 6 Mt GCC; 0.5 Mt China; 1 Mt S America; 2 Mt Australasia; 1.5 Mt

Primary Production 2016 (59 Mt) EU28 & EFTA; 4 Mt CIS; 4 Mt N America; 4 Mt GCC; 5 Mt China; 32 Mt S America; 1.5 Mt Australasia; 2 Mt

Primary Demand 2016 (59 Mt) Canada; <1 Mt USA; 5.5 Mt W Europe; 6 Mt E Europe; 1.5 Mt Russia; <1 Mt China; 31 Mt GCC; 1.5 Mt India; 2 Mt Japan; 2 Mt S America; 2 Mt Other Asia; 4.5 Mt Africa; <1 Mt Australasia; <0.5 Mt

Post-consumer scrap (ex destructive uses) 24 Mt available 17 Mt collected Possible 7 Mt additional New scrap assumed ~100% collection 12 Mt available 12 Mt collected Premelting & melting efficiency (90-98%) ~1 Mt losses Theoretical additional recycled metal supply of <10 Mt Still leaves 50 Mt of required primary (in 2016) Ignores where scrap is, its quality, alloy sorting efficiency (~90%) and the potential saturation of castings markets

Scrap supply - quality 60 Million tonnes 50 40 30 20 10 0 Castings Recycling Demand Separated Wire Scrap Separated Extrusion Scrap - Old Separated Rolling Scrap - Old Separated Extrusion Scrap - New Separated Rolling Scrap - New Mixed Scrap

160 140 120 100 80 60 40 20 0 Castings/wrought semis demand Million tonnes 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Castings Profiles, FRP, Wire etc

Ratios of mixed scrap to castings demand Domestic scrap / Domestic demand 120% 120% Traded scrap / Domestic demand 100% 100% 80% 80% 60% 60% 40% 40% 20% 20% 0% 0% China RoW World China RoW

Primary Continues to Dominate Supply Semis demand (Mt Al) 160 140 120 100 80 60 40 Required Primary Unwound Inventory Recycled Ingot stocks 20 0 1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 2020 2025 2030

Final Products Demand 2016 (~75 Mt) China; 27 Mt N America, 15 Mt Europe; 10 Mt Japan; 2 Mt Middle East; 3 Mt S America; 2 Mt Other Asia; 7 Mt Rest of World; 9 Mt

Final product consumption per capita 40 35 30 25 20 15 10 5 0 Kg Al per capita 1950 1952 1954 1956 1958 1960 1962 1964 1966 1968 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 China Europe Japan Middle East North America Other Asia World

9 8 7 6 5 4 3 2 1 0 Population Billion people 1950 1952 1954 1956 1958 1960 1962 1964 1966 1968 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 China Europe Japan Middle East North America Other Asia South America Rest of World

700 600 500 400 300 200 100 0 Per capita stock in use Kg Al per capita 1950 1952 1954 1956 1958 1960 1962 1964 1966 1968 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 China Europe Japan Middle East North America Other Asia Total

Apparent consumption (semis) 160 140 120 100 80 60 40 20 0 Million tonnes 1950 1952 1954 1956 1958 1960 1962 1964 1966 1968 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 China Europe Japan Middle East North America Other Asia South America Rest of World

Primary production (scenario) 100 90 80 70 60 50 40 30 20 10 0 Million tonnes 1950 1952 1954 1956 1958 1960 1962 1964 1966 1968 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 China Europe Japan Middle East North America Other Asia South America Rest of World

Structural Change 1950-1970 Integration - Integrated aluminium companies with regional value chains located close to markets (Europe, Japan, N America); - Regional associations; - Limited scrap flow, little trade. 1970-2000 Globalization - Integrated model applied to new production centres, close to resources (Brazil, Australia, GCC) to serve distant, mature markets; - Global price discovery (LME); - IAI incorporated; - Recycling. 2000-2020 - Differential pricing (regionally & along value chain); - Increase in seaborne bauxite; - Increase in traded scrap; - Smelting follows energy; - Downstream at both smelting & market.

The aluminium industry must demonstrate... Dismantling & contraction of integrated value chain Increasing demand from customers for responsibly sourced aluminium 1. that it produces responsibly, by mitigating environmental impacts and positively impacting the communities in which it operates; 2. that its products bring a net benefit to society in terms of reduced environmental impact; improved quality of life, health, safety & wellness and economic growth; 3. that at the end of product life, the value of the metal, the energy that went into its production and the resource inputs are retained and realised as another product, through collection and recycling or energy recovery.

Global Electrolytic Energy Intensity reduced by over 15% since 1980 Electrical Energy Intensity (kwh/kg Al) 17.0 16.5 16.0 15.5 15.0 14.5 14.0 13.5 13.0 12.5 12.0 Alternating Current (AC) Direct Current (DC)

Regional Smelting Intensities kwh AC /kg Al 17.5 17.0 16.5 16.0 15.5 15.0 14.5 14.0 13.5 World Europe China North America South America GCC Other Asia Oceania Africa

Smelting Power Mix (GWh)

Primary Al GHG Intensity Kg CO 2 e/kg Al ingot 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1 0 1990 2000 (ex China) 2005 (ex China) 2010 (ex China) 2000 (inc China) 2005 (inc China) 2010 (inc China) 2016e (inc China) Bauxite mining Alumina refining Anode production Anode consumption Casting PFC Electrolysis indirect 32

Industry-wide Objectives Governance To conduct business ethically, with sound systems of corporate governance People To protect, nurture and develop the workforce and the communities in which we operate Places To protect, nurture and sustainably develop the places in which we operate GHGs To deliver beneficial services [ ] while bringing a net reduction in GHG emissions [ ] Waste To reduce waste and to manage it effectively and safely Products To deliver Al products that meet the needs of society and improve individuals quality of life [...]

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