ALUMINA (AWC)

Summary

Summary:

Alumina Limited today announced a net profit after tax of $6 million and an underlying loss of $15 million after tax. The result covers the most uncertain period of the market downturn. During this period, the average aluminium price was below $1,400 per tonne. This had a major impact on margins but was partially offset by a disciplined operating performance from AWAC’s low cost refineries and a substantial reduction in average alumina production costs.

Alumina Limited CEO, John Bevan, commented, “The past six months have marked an extraordinarily difficult period for the aluminium industry. A strong performance from our lower cost refineries and our reduced cost base has enabled us to withstand this severe downturn in market conditions and gives us confidence in our position going forward. Total alumina production was reduced by 12% relative to the first half of 2008 and the cost reduction program has resulted in a substantial improvement in average alumina production costs. Although we remain cautious about the outlook for aluminium demand there is evidence that customer destocking is slowing and early positive signs of economic recovery in some key markets.”

No interim dividend will be paid for 2009. The Board will continue to review the dividend at each half year in light of current and expected business conditions.

Alumina’s debt at 30 June 2009, net of cash, was $280 million, compared with $981 million at the beginning of 2009. Cash held at 30 June 2009 was $193 million.

Summary

So, in wrapping up.

This will be the last Annual General Meeting I will address you as CEO.

The past 5 years have been very satisfying and fulfilling for me.

I believe the Company has achieved many significant goals we have set for the Company and for our shareholders.

AWAC is well positioned to benefit from the positive outlook for aluminium, particularly by expanding low cost refinery capacity to supply increasing alumina demand worldwide

This growth underpins our confidence in the sustainability of long term, high quality returns for Alumina’s shareholders

Thank you.

Summary

So, in summary, we are convinced that:

will continue to deliver profitable growth and increased returns for our shareholders.

Thank you.

Some statements in this address are forward-looking statements within the meaning of the US Private Securities Litigation Reform Act of 1995. Forward-looking statements also include those containing such words as “anticipate”, “estimates”, “should”, “will”, “expects”, “plans” or similar expressions. Forward-looking statements involve risks and uncertainties that may cause actual outcomes to be different from the forward-looking statements. Important factors that could cause actual results to differ from the forward-looking statements include: (a) material adverse changes in global economic, alumina or aluminium industry conditions and the markets served by AWAC, (b) changes in production and development costs and production levels or to sales agreements, (c) changes in laws or regulations or policies (d) changes in alumina and aluminium prices and currency exchange rates and (e) the other risk factors summarized in Alumina’s Form 20-F for the year ended 31 December 2005.

Summary

AWAC’s alumina production for the first quarter of 2006 is 3 per cent higher than for the comparable 2005 period.

AWAC’s current growth projects will add approximately 3.2 million tonnes of new alumina capacity over the next 2 to 3 years, increasing AWAC’s production by more than 20 per cent by 2009.

So in summary, the demand outlook for the alumina market is forecast to remain strong.

As each of these projects are completed, they will deliver improved investment value for shareholders.

The AWAC business is world class, and has delivered consistently good returns for our shareholders. We believe the further development being undertaken will make it an even more successful enterprise in the future.

Thank you.

Now I would like to call on Mr Ron McNeilly, who will address the meeting on the Company’s 2005 Remuneration Report.

Summary

So in summary, AWAC has commenced a phase of substantial growth.

That growth should deliver improved investment value to Alumina Limited’s shareholders.

The long-term outlook for the alumina market is such that we are confident AWAC can deliver even better performance in the future.

The next several years provide our shareholders with the opportunity to participate in an exciting future…… I look forward to your being part of that.