Rio Tinto in $352m upgrade of Canadian power station

RIO Tinto, the world's second biggest aluminium producer, will spend $US228 million ($A352.31 million) to upgrade its Shipshaw power station in Canada. The company said the funds would be used to develop a new 225 megawatt high-efficiency turbine at Shipshaw, with construction expected to be completed in December 2012. "This modernisation and upgrading of the Shipshaw power generating station underscores the importance we place on secure, competitively priced energy resources, which are key to realisation of the long term Quebec investment programme announced in December 2006,'' Rio Tinto chief executive Tom Albanese said in a statement. Rio Tinto said the Shipshaw power station is a major component of Rio Tinto Alcan's extensive hydroelectric network, which has a total installed capacity of about 2900 megawatts in Quebec. The company picked up the network through its $US38.1 billion ($A58.87 billion) acquisition of aluminium producer Alcan Inc last year. The investment in Shipshaw follows a decision by Rio Tinto to spend an additional $US300 million ($A463.57 million) on the modernisation of the of the Kitimat aluminium smelter in British Columbia, Canada. ---news com.au