Rio Tinto moves to acquire Cape York bauxite project
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Mining giant Rio Tinto has agreed to acquire the Aurukun Bauxite Project in far north Queensland from a joint venture between London-listed Glencore and Mitsubishi Development.
Financial terms for the project in Cape York were not disclosed.
The deal remains subject to Queensland government and other Australian regulatory approvals, the spokesperson said.
The deal would expand Rio’s existing bauxite operations in the region, though the project is still held under a Mineral Development Licence and has yet to receive a Mining Lease.
In a separate statement, Glencore said the joint venture had invested significant resources over years to advance the project’s design, development and approvals.
After assessing its options, the joint venture concluded Rio’s ownership would provide the best opportunity for future development of the resource, given the miner’s existing bauxite operations in the region, Glencore said.
If the acquisition proceeds, Rio Tinto will seek the necessary regulatory approvals and continue discussions with Traditional Owners as it advances plans for the project, the spokesperson said.
Traditional Owners, the Wik Waya people, told The Australian newspaper they had not been adequately consulted.
Reuters