logo
Share SHARE
FONT-SIZE Plus   Neg

Rio Tinto Reportedly Rejects News Of Planned Construction Halt At Mongolia Mine

Mining giant Rio Tinto Plc. (RTNTF.PK, RIO,RIO.L,RTPPF.PK) reportedly said it remains on track to start production at its Oyu Tolgoi copper-gold project in Mongolia by the middle of the year, contrary to reports that it might temporarily halt construction because of political issues.

Earlier, Bloomberg had reported, citing people familiar with the plans, that the Anglo-Australian miner was considering a temporary halt to construction work at the $6.2 billion mine in protest over Mongolian government's demands for a bigger stake in the project and new mining royalty rates.

Rio Tinto subsidiary Turquoise Hill Resources Ltd. (TRQ) owns 66 percent of Oyu Tolgoi, which is currently the world's biggest copper project under construction, while the Mongolian government owns the remaining 34 percent stake.

"The power is secured, first ore produced and the concentrator switched on and we are on schedule for first commercial production in the first half of the year. We continue to work together with all stakeholders including the government of Mongolia to bring the benefits of Oyu Tolgoi to all parties," Rio Tinto said Thursday.

It was reported that Mongolian government, led by Prime Minister Norovyn Altankhuyag, tries to maintain support for foreign investment amid growing nationalism and wealth disparity.

Turquoise Hill shares closed Wednesday's trading $7.86, down $0.29 or 3.56 percent.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
The recent week marked the lull before the storm, with very few market moving economic numbers released during the week. However, the economic news flow picks up pace in the upcoming week, offering glimpses into every vehicle of economic growth, ranging from consumers to private sector activity to housing.... Life expectancy at birth in the U.S. is already lower than most other developed nations and is now projected to fall further behind by 2030, according to a new study. It also suggests that by 2030, national female life expectancy in South Korea could break the 90 year barrier. Department store chain J.C. Penney Co. Inc. on Friday reported a turnaround to profit in the fourth quarter as a slight decline in sales was more than offset by lower expenses. Adjusted earnings per share for the quarter beat analysts' expectations, while revenues slightly missed their estimates. Earlier today, J.C. Penny announced a plan to optimize its national retail operations.
comments powered by Disqus
Follow RTT