Rio to sell South Africa project
Sunday 11 July 2010
Rio Tinto is selling its Chapudi coal exploration assets in South Africa for up to $75m (£50m).
The FTSE 100 mining giant has invited bids for the project with a preferred buyer in place, though a source close to Rio insisted that a sale was "one of the opportunities being pursued".
Rio is looking to sell as this is a small asset relative to the company's size and it is likely to be used in the domestic market rather than globally.
Tom Albanese, Rio's chief executive, recently visited South Africa to demonstrate the company's commitment to developing projects in the region. As well as existing joint ventures, the company is looking to develop more mining deposits in the country.
The Chapudi deposit was discovered as part of Rio's exploration of the Limpopo coal basin, which has been undertaken with domestic partner Kwezi Mining.
Rio shares closed at 3172.5p on Friday, up 3.22 per cent on the start of the day's trading. This values the company at nearly £50bn.
- 1 Crystal meth addict 'gouged out his eyes and ate them' while high on drug, Australian MP claims
- 2 As a white man, I'm surprised more women aren't tweeting the hashtag #KillAllWhiteMen
- 3 The ten most unequal developed countries in the world
- 4 Saudi Arabia 'seeking to head United Nations Human Rights Council'
- 5 Toddler throws a tantrum at the White House – in front of Barack Obama
As a white man, I'm surprised more women aren't tweeting the hashtag #KillAllWhiteMen
Scotland may have to leave the EU even if it votes to stay in, David Cameron confirms
Report finds that Britain's wages are the most unequal in Europe
Almost a third of school pupils believe 'Muslims are taking over our country', study claims
The day that Britain resigned as a global power
Gay marriage 'Bert and Ernie' cake bakery found guilty of discrimination in Northern Ireland
iJobs Money & Business
£40-50K: Guru Careers: We are seeking an experienced Software / C# Developer w...
£45,000 - £55,000: Neil Pavier: Are you looking for your next opportunity for ...
£45,000 - £55,000: Sheridan Maine: Are you a newly qualified ACA/ACCA/ACMA qua...
£50,000 - £60,000: Laura Norton: Are you looking for an opportunity within a w...