Caterpillar, Rio Tinto renew supply agreement

Caterpillar (CAT-N) and Rio Tinto (RTP-N, RIO-L) have signed a five-year agreement wherein Caterpillar will support and supply a broad range of Cat equipment for Rio Tinto’s mines worldwide. It is the second consecutive five-year agreement between the two companies, but has been expanded to include the full range of Cat equipment. As part of this agreement, Rio Tinto mine site personnel and Caterpillar employees and dealers will collaborate to improve machine and mine site performance.

“Rio Tinto has been and continues to be a valued customer, so we are thrilled to be expanding our products and services provided to them,” said Chris Curfman, president of the Caterpillar Global Mining Division.

The majority of Rio Tinto mines are open pits and the majority of equipment supplied by Cat will be surface mining equipment, including large mining trucks, track-type tractors, large wheel loaders and motor graders.

In June, Caterpillar announced that it is accelerating capacity expansion plans for trucks in its Decatur, Ill., plant, with additional capacity expected to come online beginning in 2011. The expansion in Decatur will increase truck capacity at the facility by nearly 30%. Decatur produces Caterpillar’s largest mining trucks, including the new 795F AC electric drive truck, the first AC electric truck ever manufactured by Caterpillar. Pre-production models of the 795F AC are being tested at a Rio Tinto mine.