Giant mining company Rio Tinto reports that underlying EBITDA for the first half of 2009 stood at $6.1 billion, 47% below the corresponding period in 2008. Underlying earnings during the first half of 2009 came to $2.6 billion, 54% below the first half of 2008.



The giant mining company further reported that net earnings came to $2.5 billion, a whopping 65% below the first half of 2008. Cash flow from operations decreased by 38% to $5.5 billion.



The diamond miner’s net debt of $39.1 billion on June 30, 2009 was reportedly reduced by $14.8 billion following the successful completion of the rights issues on July 3, 2009. The company noted that all of Facilities A and B of the Alcan acquisition facility have now been repaid.

The mining giant further disclosed operating cost savings of $0.8 billion in the first half of 2009, according to the company’s target to achieve $2.5 billion in 2010.

Global layoffs came to almost 16,000 in the first half of 2009, ahead of the target of 14,000.

The diamond mining giant noted that net capital expenditure came to $2.8 billion during the stated period, 22% lower than during the first half of 2008. $3.7 billion worth of divestments were announced during 2009.



Rio Tinto noted that in June it entered a non-binding agreement with BHP Billiton to establish a production joint venture of both companies’ Western Australian iron ore assets.