Chinalco Is ‘Sticking’ to Rio Tinto Investment Plan

May 20 (Bloomberg) -- Aluminum Corp. of China said it is “sticking” to a proposed $19.5 billion investment plan in Rio Tinto Group, the world’s third-largest mining company, after a newspaper reported there could be changes. The companies are in “normal” contact, Vice President Lu Youqing said today by phone in Beijing, without elaborating. The state-owned company, known as Chinalco, plans to buy $7.2 billion of convertible bonds, and $12.3 billion worth of assets from London-based Rio. Rio is talking to investors about replacing the bond sale with a capital-raising program underwritten by Chinalco, The Australian reported on its Web site today. Rio announced the Chinalco accord in February to help slash $38.9 billion of debt. “We remain committed to the Chinalco deal as the best way forward,” Nick Cobban, Rio spokesman in London, said by phone yesterday. Rio rose 0.1 percent to A$63.85 in Sydney trading at 11:34 a.m. local time. The mining company had told Chinalco that changes must be made, the Australian newspaper said, without saying where it got the information.