5th Mar 2008 14:56
Rio Tinto PLC05 March 2008 Rio Tinto completes sale of Cortez Gold Mine interest 5 March 2008 Rio Tinto subsidiary Kennecott Explorations (Australia) Ltd has completed thesale of its 40 per cent interest in the Cortez gold mine in Nevada, USA to asubsidiary of its joint venture partner, Barrick Gold Corporation, givingBarrick 100 per cent ownership. The sale price includes a cash consideration of US$1.695 billion. In addition,Rio Tinto will benefit from a deferred bonus payment in the event of asignificant discovery of additional reserves and resources at the Cortez goldmine and will also retain a contingent royalty interest in the future productionof the property. The transaction, which was announced on 21 February 2008, is part of Rio Tinto'splanned programme to divest at least US$15 billion of assets. Rio Tinto has alsoannounced the sale of Greens Creek silver, gold, zinc and lead mine in Alaskafor US$750 million, meaning the Group is on track to achieve almost one quarterof its target of realising asset sales of US$10 billion in 2008. In November 2007, Rio Tinto announced the results of its overall strategicreview of the Group's asset portfolio following its acquisition of Alcan.Options are also being explored to divest Rio Tinto Energy America (coal), RioTinto Minerals' talc business and borates business, Rio Tinto Alcan Packaging,Rio Tinto Alcan Engineered Products, Rio Tinto's interest in the Northparkescopper mine in Australia and Rio Tinto's Sweetwater (USA) and Kintyre(Australia) uranium assets. About Rio Tinto Rio Tinto is a leading international mining group headquartered in the UK,combining Rio Tinto plc, a London and NYSE listed company, and Rio TintoLimited, which is listed on the Australian Securities Exchange. Rio Tinto's business is finding, mining, and processing mineral resources. Majorproducts are aluminium, copper, diamonds, energy (coal and uranium), gold,industrial minerals (borax, titanium dioxide, salt, talc) and iron ore.Activities span the world but are strongly represented in Australia and NorthAmerica with significant businesses in South America, Asia, Europe and southernAfrica. Forward-Looking Statements This announcement includes "forward-looking statements" within the meaning ofSection 27A of the Securities Act of 1933, as amended, and Section 21E of theSecurities Exchange Act of 1934, as amended. All statements other thanstatements of historical facts included in this announcement, including, withoutlimitation, those regarding Rio Tinto's financial position, business strategy,plans and objectives of management for future operations (including developmentplans and objectives relating to Rio Tinto's products, production forecasts andreserve and resource positions), are forward-looking statements. Suchforward-looking statements involve known and unknown risks, uncertainties andother factors which may cause the actual results, performance or achievements ofRio Tinto, or industry results, to be materially different from any futureresults, performance or achievements expressed or implied by suchforward-looking statements. Such forward-looking statements are based on numerous assumptions regarding RioTinto's present and future business strategies and the environment in which RioTinto will operate in the future. Among the important factors that could causeRio Tinto's actual results, performance or achievements to differ materiallyfrom those in the forward-looking statements include, among others, levels ofactual production during any period, levels of demand and market prices, theability to produce and transport products profitably, the impact of foreigncurrency exchange rates on market prices and operating costs, operationalproblems, political uncertainty and economic conditions in relevant areas of theworld, the actions of competitors, activities by governmental authorities suchas changes in taxation or regulation and such other risk factors identified inRio Tinto's most recent Annual Report on Form 20-F filed with the SEC or Form6-Ks furnished to the SEC. Forward-looking statements should, therefore, beconstrued in light of such risk factors and undue reliance should not be placedon forward-looking statements. These forward-looking statements speak only as ofthe date of this announcement. Rio Tinto expressly disclaims any obligation orundertaking (except as required by applicable law, the City Code on Takeoversand Mergers (the "Takeover Code"), the UK Listing Rules, the Disclosure andTransparency Rules of the Financial Services Authority and the Listing Rules ofthe Australian Securities Exchange) to release publicly any updates or revisionsto any forward-looking statement contained herein to reflect any change in RioTinto's expectations with regard thereto or any change in events, conditions orcircumstances on which any such statement is based. Nothing in this announcement should be interpreted to mean that future earningsper share of Rio Tinto plc or Rio Tinto Limited will necessarily match or exceedits historical published earnings per share. Subject to the requirements of the Takeover Code, none of Rio Tinto, any of itsofficers or any person named in this announcement with their consent or anyperson involved in the preparation of this announcement makes any representationor warranty (either express or implied) or gives any assurance that the impliedvalues, anticipated results, performance or achievements expressed or implied inforward-looking statements contained in this announcement will be achieved. For further information, please contact: Media Relations, London Media Relations, AustraliaChristina Mills Ian HeadOffice: +44 (0) 20 7781 1154 Office: +61 (0) 3 9283 3620Mobile: +44 (0) 7825 275 605 Mobile: +61 (0) 408 360 101 Nick Cobban Amanda BuckleyOffice: +44 (0) 20 7781 1138 Office: +61 (0) 3 9283 3627Mobile: +44 (0) 7920 041 003 Mobile: +61 (0) 419 801 349 Media Relations, USNancy IvesMobile: +1 619 540 3751 Investor Relations, London Investor Relations, AustraliaNigel Jones Dave SkinnerOffice: +44 (0) 20 7781 2049 Office: +61 (0) 3 9283 3628Mobile: +44 (0) 7917 227 365 Mobile: +61 (0) 408 335 309 David Ovington Simon EllinorOffice: +44 (0) 20 7781 2051 Office:+ 61 (0) 7 3867 1068Mobile: +44 (0) 7920 010 978 Investor Relations, North AmericaJason CombesOffice: +1 (0) 801 685 4535Mobile: +1 (0) 801 558 2645Email: [email protected] Website: www.riotinto.comHigh resolution photographs available at: www.newscast.co.uk This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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