Rio Tinto to sell Tiwai Point smelter
Aluminium smelter, a legacy of "Think Big", to be sold as part of major restructure of Australian resource giant.
Rio Tinto is to sell its Tiwai Point aluminium smelter as part of a major restructuring of the Australian resource giant..
The smelter near Invercargil, a legacy of Rob Muldoon's "Think Big" policies, employs nearly 1000 workers approximately and uses one-seventh of New Zealand's electricity to produce more than 250,000 tonnes of aluminium annually.
Rio Tinto said in a statement the smelter was one of six Australasian assets being prepared for sale.
Rio Tinto chief executive Tom Albanese said the assets were "no longer aligned with our strategy and we believe they have a bright future under new ownership."
The six assets will be carved off to a new business unit called Pacific Aluminium prior to divestment, but sale may not occur immediately.
"The strength of our balance sheet means that we can choose the most opportune method and timing to divest these assets, which may not occur until the economic climate improves," Mr Albanese said.
Matt Nippert
Mon, 17 Oct 2011
Mon, 17 Oct 2011
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Rio Tinto to sell Tiwai Point smelter
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