Rio edges closer to Alcan

MINING giant Rio Tinto expects to get the all-clear from Australian mining regulators for its $45.55 billion takeover of Canadian aluminium producer Alcan. Rio Tinto chairman Paul Skinner told a general meeting of the company's British shareholders in London that the Australian Competition & Consumer Commission and Foreign Investment Review Board had started reviewing the deal. So far, he said, it was "business as usual" with both regulators and the takeover deal on track to be wrapped up by the end of the year. "The process is ongoing with both of those (bodies)," Mr Skinner said. "Rio Tinto has had plenty of past history of contributing to and responding to both processes. "As far as we're concerned, they should both proceed normally and I wouldn't wantto suggest anything unusual about the way they're happening. "Our expectation is that this transaction will complete in the fourth quarter." Rio Tinto launched its bid for Alcan in July and has already received the nod from the Canadians and US. While it awaits a decision from the two Australian regulatory bodies, its shareholders have begun voting by secret ballot on whether the deal should get their seal of approval. However, the results of the ballot will not be known until after the company's Australian-based shareholders hold their own vote in Melbourne on September 28. If the deal is approved, Rio Tinto will become the world's biggest aluminium producer. Chief executive Tom Albanese reiterated to shareholders in London that demand for aluminium continued to be strong, especially from China.