Rio Tinto has acquired a majority interest in Riversdale Mining Ltd delivering control of significant tier one coking coal projects. Rio Tinto’s shareholding in Riversdale passed 50% and may increase further with the takeover offer remaining open until 20 April 2011.

 

Rio Tinto Energy chief executive Doug Ritchie, chief development officer (coal) Matt Coulter and Rio Tinto Australia managing director David Peever have been appointed to the Riversdale board. Additional board appointments are expected to follow, recognising Rio Tinto’s new majority shareholding.

 

Mr Ritchie said he acknowledged Riversdale’s achievement in developing greenfield projects from scratch which reflected well upon the directors and management of the business.

 

The acquisition provides Rio Tinto with coal mining and exploration projects in Mozambique including:

  • The Benga project, a 65:35 joint venture with Tata Steel Limited. A mining concession has been granted for this project, with initial coal for export scheduled before the end of the year.
  • The Zambeze coal project, 100% owned by Riversdale. An exploration licence has been granted for this project.

These projects are located adjoining in the Tete and Moatize provinces of Mozambique. Riversdale also has several prospective exploration tenements in the region.