Alumina : Alcoa Corporation Q1 2019 Earnings Release

ASX Announcement

18 April 2019

Alcoa Corp First Quarter 2019 Earnings Release

Alumina Limited (ASX: AWC) notes Alcoa Corp's ("Alcoa") quarterly earnings release. To assist readers in understanding relevant market, operational and commercial matters of the AWAC joint venture, selected information from the Alcoa Bauxite and Alumina Segments, AWAC joint venture and Alumina Limited plus other market data is attached.

Alumina Limited's CEO, Mike Ferraro, commented on the results of the Bauxite and Alumina segments which include most of the AWAC operations. "Operationally the business performed well, cash costs of alumina were down and production per day was higher for both bauxite and alumina. However, a significant fall in the alumina market price caused the Adjusted EBITDA for the Alumina segment to fall to $372 million from $683 million in the previous quarter.

The decline in the alumina price was not unexpected and AWAC continues to generate significant positive cash flow."

About AWAC & Alcoa's Earnings Release

Alumina Limited owns 40% of each of the AWAC entities, which form a part of the Alcoa bauxite & alumina business segments. The Alcoa aluminium business segment includes the AWAC Portland smelting operations. The operating Afobaka power station and closed operations are included in Transformation & legacy pension/OPEB. Therefore, the AWAC results cannot be directly inferred from the Alcoa earnings release. Further, unlike Alumina Limited, Alcoa reports under US GAAP. All figures displayed are in US dollars unless otherwise shown.

Forward-looking statements

Neither Alumina Limited nor any other person warrants or guarantees the future performance of Alumina Limited or any return on any investment made in Alumina Limited securities. This document may contain certain forward-looking statements, including forward-looking statements within the meaning of the US Private Securities Litigation Reform Act of 1995. The words "anticipate", "aim", "believe", "expect", "project", "estimate", "forecast", "intend", "likely", "should", "could", "will", "may", "target", "plan" and other similar expressions (including indications of "objectives") are intended to identify forward-looking statements. Indications of, and guidance on, future financial position and performance and distributions, and statements regarding Alumina Limited's future developments and the market outlook, are also forward- looking statements.

Any forward-looking statements contained in this document are not guarantees of future performance. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Alumina Limited and its directors, officers, employees and agents that may cause actual results to differ materially from those expressed or implied in such statements. Those risks, uncertainties and other factors include (without limitation): (a) material adverse changes in global economic conditions, alumina or aluminium industry conditions or the markets served by AWAC; (b) changes in production or development costs, production levels or sales agreements; (c) changes in laws, regulations or policies; (d) changes in alumina or aluminium prices or currency exchange rates; (e) Alumina Limited does not hold a majority interest in AWAC and decisions made by majority vote may not be in the best interests of Alumina Limited; and (f) the other risk factors summarised in Alumina Limited's Annual Report 2018. Readers should not place undue reliance on forward-looking statements. Except as required by law, Alumina Limited disclaims any responsibility to update or revise any forward-looking statements to reflect any new information or any change in the events, conditions or circumstances on which a statement is based or to which it relates.

Stephen Foster

Company Secretary

For investor enquiries:	For media enquiries:
Charles Smitheram	Tim Duncan
Manager - Treasury & Investor Relations	Hinton and Associates
Phone: [phone]	Phone: [phone]
[e-mail]	Mobile: [phone]

Alumina Limited

•Alcoa Corp's 1Q 2019 Bauxite and Alumina Segments' highlights

•Market data on commodity prices

18 April 2019

Disclaimer

Summary Information

This Presentation contains summary information about the current activities of Alumina Limited (ACN 004 820 419) (Alumina) and its subsidiaries as at the date of this Presentation. The information in this Presentation should not be considered to be comprehensive nor to comprise all the information that a reader may require in order to make an investment decision regarding Alumina securities. This Presentation should be read in conjunction with Alumina's other periodic and continuous disclosure announcements lodged with the ASX, which are available at www.asx.com.au.

No Offer, Recommendation or Advice

This Presentation is for information purposes only and is not a prospectus, product disclosure statement or other disclosure or offering document under Australian or any other law. It does not constitute an offer, invitation or recommendation to acquire Alumina securities in any jurisdiction and neither this Presentation nor anything contained in it will form the basis of any contract or commitment.

The information contained in this Presentation is not financial product advice, or any other advice, and has been prepared without taking into account any reader's investment objectives, financial circumstances or particular needs.

Forward-Looking Statements

Neither Alumina nor any other person warrants or guarantees the future performance of Alumina or any return on any investment made in Alumina securities. This Presentation may contain certain forward-looking statements, including forward-looking statements within the meaning of the US Private Securities Litigation Reform Act of 1995. The words "anticipate", "aim", "believe", "expect", "project", "estimate", "forecast", "intend", "likely", "should", "could", "will", "may", "target", "plan" and other similar expressions (including indications of "objectives") are intended to identify forward-looking statements. Indications of, and guidance on, future financial position and performance and distributions, and statements regarding Alumina's future developments and the market outlook, are also forward-looking statements.

Any forward-looking statements contained in this document are not guarantees of future performance. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Alumina and its directors, officers, employees and agents that may cause actual results to differ materially from those expressed or implied in such statements. Those risks, uncertainties and other factors include (without limitation): (a) material adverse changes in global economic conditions, alumina or aluminium industry conditions or the markets served by AWAC; (b) changes in production or development costs, production levels or sales agreements; (c) changes in laws, regulations or policies; (d) changes in alumina or aluminium prices or currency exchange rates; (e) Alumina Limited does not hold a majority interest in AWAC and decisions made by majority vote may not be in the best interests of Alumina Limited; and (f) the other risk factors summarised in Alumina's Annual Report 2018. Readers should not place undue reliance on forward-looking statements. Except as required by law, Alumina disclaims any responsibility to update or revise any forward-looking statements to reflect any new information or any change in the events, conditions or circumstances on which a statement is based or to which it relates.

Key Risks

Certain key risks that may affect Alumina, its financial and operating performance and the accuracy of any forward-looking statements contained in this Presentation include (without limitation):

(a)material adverse changes in global economic conditions, alumina or aluminium industry conditions or the markets served by AWAC; (b) changes in production or development costs, production levels or sales agreements; (c) changes in laws, regulations or policies; (d) changes in alumina or aluminium prices or currency exchange rates; (e) Alumina Limited does not hold a majority interest in AWAC and decisions made by majority vote may not be in the best interests of Alumina Limited; and (f) the other risk factors summarised in Alumina's Annual Report 2018.

Past Performance

Past performance information contained in this Presentation is given for illustrative purposes only and should not be relied upon as (and is not) an indication of future performance.

No Liability

The information contained in this Presentation has been prepared in good faith and with due care but no representation or warranty, express or implied, is provided as to the currency, accuracy, reliability or completeness of that information.

To the maximum extent permitted by law, Alumina and its directors, officers, employees and agents, and any other person involved in the preparation of this Presentation, exclude and disclaim all liability for any expenses, losses or costs incurred by any person arising out of or in connection with the information contained in this Presentation being inaccurate or incomplete in any way for any reason, whether by negligence or otherwise.

2

Highlights

Alcoa Segments	1Q 2019	4Q 2018	Selected Highlights
Adjusted EBITDA Total:			▪	Alumina: Significantly lower alumina market prices and lower volume due to less
- Alcoa Alumina Segment	$372m	$683m		production days were the main drags on performance and they were partially
- Alcoa Bauxite Segment	$126m	$110m		offset by lower caustic prices.
Adjusted EBITDA Margin:			▪	Bauxite: Steady performance boosted slightly by better equity earnings.
- Alcoa Alumina Segment	28.3%	40.2%
- Alcoa Bauxite Segment	41.9%	33.8%

AWAC	1Q 2019	4Q 2018	Comments
Production:
- AWAC Refining Business (mt)	3.1	3.1	▪ Refining: Excludes equity share of Ma'aden
- AWAC Mining Business (mbdt)	11.2	11.1	▪ Mining: Includes wholly owned mines plus equity share of CBG and MRN
Alumina Cost and Price:
- Cash Cost ($/t production)	$221	$223	▪ Cash Cost [includes bauxite at cost]: Lower caustic prices partially offset by higher
- Realised Price ($/t shipments)	$379	$469	planned maintenance costs.
			▪ Realised Price: Significant fall in API partially offset by improved chemical grade
			pricing and increased percentage of API based sales
Alumina Limited	Post	1Q 2019	4Q 2018	Comments
	31/3/2019
AWAC Net Distributions:				▪ The 2018 final dividend included $193.6m of net distributions received
- Alumina Limited Receipts	$56.7m	$213.6m	$261.3m	after 31 December 2018 but prior to declaration on 21 February 2019
- Alumina Limited Contributions	Nil	($20.0m)	($40.0m)
Net Debt / (Cash) - Period End	N/a	($121.3m)	($95.8m)

Important Notes:

•The Alcoa Corp Bauxite and Alumina Segments include mining and refining operations at Pocos de Caldas, an additional 15% interest in the Sao Luis refinery and an additional interest in MRN which are not part of AWAC. AWAC's interest in the Portland smelter is included in the Alcoa Corp Aluminum Segment and the operating interests in the Afobaka hydro-electric station and all closed operations are included in Transformation & legacy pension/OPEB. Therefore, the AWAC results cannot be directly inferred from the Alcoa earnings release.

•Adjusted EBITDA is a non-GAAP financial measure derived from Alcoa's consolidated financial information. Alcoa Corp's financial statements are prepared in accordance with US GAAP. The definition of Adjusted EBITDA and reconciliations to the most directly comparable GAAP financial measure can be found in the schedules to Alcoa Corp's earnings release.

Sources: Alcoa Corp 1Q 2019 Results Announcements, 1Q 2019 Earnings Conference presentations and Alumina Limited

3

AWAC 2019 distribution calendar

(US$m)

2019: No		Relevant		Distributions	Contributions	Included In
		AWAC	Description
later than				from AWAC	to AWAC	Alumina's
		Entities
20	January	All	50% of each entity's US GAAP Net Income (if	$93.9	N/a	2018 Final
			positive) for 4Q of the previous calendar year			Dividend
31	January	AWA LLC	Working Capital Contributions	N/a	($20.0)	2018 Final
						Dividend
20	February	All except	Available Cash of each entity as at 31 January	$119.7	N/a	2018 Final
		AWA LLC				Dividend
20	April	All	50% of each entity's US GAAP Net Income (if	$56.7	N/a	2019 Interim
			positive) for 1Q			Dividend
20	May	All except	Available Cash of each entity as at 30 April	TBA	N/a	2019 Interim
		AWA LLC				Dividend
30	June	AWA LLC	Working Capital Contributions	N/a	(TBA)	2019 Interim
						Dividend
20	July	All	50% of each entity's US GAAP Net Income (if	TBA	N/a	2019 Interim
			positive) for 2Q			Dividend
20	August	All except	Available Cash of each entity as at 31 July	TBA	N/a	2019 Interim
		AWA LLC				Dividend
20	October	All	50% of each entity's US GAAP Net Income (if	TBA	N/a	2019 Final
			positive) for 3Q			Dividend
20	October	AWA LLC	Working Capital Contributions	N/a	(TBA)	2019 Final
						Dividend
20	November	All except	Available Cash of each entity as at 31 October	TBA	N/a	2019 Final
		AWA LLC				Dividend
31	December	AWA LLC	Working Capital Contributions	N/a	(TBA)	2019 Final
						Dividend

4