The 44-year-old Frenchman will become deputy CEO and join the board from today to ensure a smooth transition.

“Jean-Sébastien is a very experienced executive with a demonstrated track record and brings a unique blend of strategic and operational expertise. He has run complex operations and projects across five commodities and five continents. J-S is a highly-regarded leader who shares Rio Tinto’s strong values and has embraced its culture," Rio chairman Jan du Plessis said.

“Today’s announcement is the culmination of a comprehensive and deliberate executive succession process. The board has decided that J-S is the right person to lead Rio Tinto in an increasingly complex world filled with both challenges and opportunities for our industry.”

Jacques, who will be paid a base salary of £1.08 million, said it was an honour to be chosen to lead the company.

“The safety of all of our people across the world will remain a key focus and, together with Sam, I will take every opportunity over the next few months, to meet and listen to our shareholders, customers, employees and stakeholders, all of whom play an integral role in making this great company so successful," he said.

Walsh has been CEO for the past three years, and led the iron ore business before that, but will step down from the board after seven years.

“The board appointed Sam as chief executive at a challenging time for our company and I am very grateful for his tremendous leadership during the past three years," du Plessis said.

"Against the backdrop of a volatile economic environment, Sam and his team have transformed the business, removing more than $6 billion of costs, strengthening the balance sheet and returning more than $US13 billion to shareholders. Sam leaves Rio Tinto as a much stronger company, with a bright future.”

Chris Salisbury has been appointed acting chief executive of the Copper & Coal product group.