Rio Tinto, Chinalco May Work in Aluminium Joint Venture

Paul Skinner, chairman of mining giant Rio Tinto, said in an interview that there is possibility that Rio Tinto may work with Chinalco in building a joint venture, especially in the aluminium sector. Chinalco partnered with Alcoa for 14.05 billion dollars in buying into Rio Tinto on 31 January this year, becoming the largest single shareholder of Rio Tinto. Chinalco head Xiao Yaqing said earlier that it was more likely to raise stake in Rio Tinto than to cut it. Paul Skinner also notes that he doesn’t think Chinalco intends to block BHP Billiton’s bid for Rio Tinto, Chinalco has been showing an interest in becoming a long-term investor in Rio Tinto, but added the company has not demanded to be director of Rio Tinto so far. It is still at a very preliminary stage between the two companies, and Rio Tinto will not state particular welcome before building a clear relationship between them, said Skinner. COPYRIGHT All rights reserved. The copying, republication or redistribution of WAM News Content, including by framing or similar means, is expressly prohibited without the prior written consent of WAM.