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Rio Tinto plugs the nickel gap
Bill Condie, Evening Standard29 May 2008
Mining giant Rio Tinto today unveiled a project that will see it enter the nickel market for the first time and close a gap in output with arch-rival BHP Billiton, one of the biggest producers of the metal.
Rio, which has rejected a £61 billion bid from BHP, says drilling at its Sulawesi nickel project in Indonesia has indicated a potential 162 million tonnes of ore.
The company today told investors it was poised for strong expansion, and was "exceptionally well-placed" to take advantage of an expected doubling of world demand for its metals and minerals by 2022.
Rio also announced other new resources, including 2.25 billion tonnes of iron ore at its Simandou project in Guinea and a potential 2.8 billion tones of copper resources at its La Granja project in Peru.
"Rio Tinto has a clear road map to deliver industry leading growth over the next few years," chief executive Tom Albanese said.
