logo
Plus   Neg
Share
Email

Rio Tinto Supports ERA's Plans To Raise Funds For Ranger Uranium Rehabilitation

Rio Tinto (RTPPF.PK,RIO.L,RIO,RTNTF.PK) said that it will support the uranium producer Energy Resources of Australia Limited's or ERA plans for a renounceable entitlement offer to raise $324 million or A$476 million for the rehabilitation of the Ranger Project Area in Australia's Northern Territory.

Rio Tinto, which has a 68.4% stake in ERA, will subscribe to its full entitlement of about $221 million or A$326 million.

Given ERA's inability to secure third-party underwriting support, Rio Tinto has also agreed to fully underwrite the offer to ensure ERA has the funds it needs to meet its current rehabilitation obligations.

As per the terms of its mining approvals, ERA is required to end mining and processing activities at Ranger by January 2021 and complete final rehabilitation by January 2026.

On 8 February 2019, ERA finalised its closure feasibility study for Ranger Project Area rehabilitation, resulting in a material increase in anticipated rehabilitation costs.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
A California court ruled that Uber and Lyft must classify their drivers as employees in a preliminary injunction issued on Monday. However, the court has stayed the injunction for 10 days to allow the ride-hailing service providers to appeal the decision. Hyundai Motor has launched a new IONIQ brand dedicated to battery electric vehicles, as the automaker is accelerating its efforts to gain a share in the fast-growing global EV market. Under the IONIQ brand, Hyundai plans to introduce three new dedicated electric vehicle models over the next four years. Hyundai is South Korea's largest automaker. Amazon.com, Inc. is in talks with mall operator Simon Property Group, Inc. to use the abandoned anchor departmental stores of JC Penny and Sears at their malls as fulfillment centers, reports said. This is expected to help the e-commerce giant in boosting their last mile delivery, which is the last leg of the delivery process.
Follow RTT