Rio Tinto sells Kintyre uranium project

Rio Tinto has completed the sale of the Kintyre uranium project located in Western Australia to a joint venture comprising subsidiaries of Cameco Corporation and Mitsubishi Development Pty Ltd for US$495 million. The transaction, which was announced on 10 July 2008, is part of Rio Tinto’s planned programme to divest assets worth US$10 billion in 2008. In November 2007, Rio Tinto announced the results of its overall strategic review of the Group’s asset portfolio following its acquisition of Alcan. Options are being explored to divest Rio Tinto Energy America (coal), Rio Tinto Minerals talc and borates businesses, Rio Tinto Alcan Packaging, Rio Tinto Alcan Engineered Products, Rio Tinto’s interest in the Northparkes copper mine in Australia and Rio Tinto’s Sweetwater uranium assets in the USA. Earlier this year Rio Tinto sold Greens Creek mine in Alaska for US$750 million and its interest in the Cortez operation in Nevada for US$1.695 billion. About the Kintyre Project Kintyre is an undeveloped uranium project located in the East Pilbara region of Western Australia, approximately 270km north-east of Newman and 90km south of Telfer. The Kintyre Project comprises four granted Mining Leases, four Mining Lease Applications, a Miscellaneous Licence and 12 Prospecting Licences, which together cover a total area of approximately 52 km2, and associated mining information. About Rio Tinto Rio Tinto is a leading international mining group headquartered in the UK, combining Rio Tinto plc, a London and NYSE listed company, and Rio Tinto Limited, which is listed on the Australian Securities Exchange. Rio Tinto's business is finding, mining, and processing mineral resources. Major products are aluminium, copper, diamonds, energy (coal and uranium), gold, industrial minerals (borax, titanium dioxide, salt, talc) and iron ore. Activities span the world but are strongly represented in Australia and North America with significant businesses in South America, Asia, Europe and southern Africa. Source: Mineweb