Rio Tinto agrees Rössing stake sale
(Posted on 27/11/18)
Rio Tinto has entered into a binding agreement with China National Uranium Corporation Limited ("CNUC") for the sale of its entire 68.62 per cent stake in Rössing Uranium Limited ("Rössing"), owners of the Rössing mine in Namibia, for up to $106.5 million.
The total consideration comprises an initial cash payment of $6.5 million, payable at completion, and a contingent payment of up to $100 million following completion. The contingent payment is linked to uranium spot prices and Rössing's net income during the next seven calendar years. In addition, Rio Tinto will receive a cash payment if CNUC sells the Zelda 20 Mineral Deposit during a restricted period following completion. The total consideration is subject to a maximum cap of $106.5 million.
The transaction represents the culmination of an extensive assessment of strategic options considered by Rio Tinto in relation to Rössing.
Rio Tinto chief executive J-S Jacques said "The sale of our interest in Rössing once again demonstrates our commitment to strengthening our portfolio and focussing on our core assets, which deliver sector leading returns in the short, medium and long term.
"Rio Tinto has a long history in Namibia and I would like to thank the many people across Rio Tinto and the communities in which we operate who have contributed to the success of Rössing. I wish them continued success under new ownership. Rio Tinto will work closely with CNUC to ensure a smooth transition and ongoing sustainable operation at Rössing."
The transaction is subject to certain conditions precedent, including merger approval from the Namibian Competition Commission. Subject to these conditions being met, the transaction is expected to complete in the first half of 2019.
Rössing has the world's longest-running open pit uranium mine. Operating since 1976, the Rössing business has produced the most uranium of any single mine. Rössing produces and exports uranium oxide from Namibia to nuclear power utilities around the world.
Latest News
Record profits as Glencore plan buyback and special dividend
(Posted on 05/08/22)A first half year profit of almost $19bn has been announced by Glencore, partly driven by the company... Read more
Bühler and Al-Hazaa open cutting-edge flour mill in port of Aqaba, Jordan
(Posted on 29/07/22)Swiss technology group Bühler and Jordanian Al-Hazaa Investment Group have celebrated the opening... Read more
Solar panels to reduce emissions at BHP Nickel West
(Posted on 25/07/22)The first solar panels have started being installed this week at BHP’s massive solar farm at Leinster... Read more
BHP to receive world’s first carbon neutral conveyor belt
(Posted on 18/07/22)China’s Wuxi Boton has announced the world's first carbon neutral conveyor belts for delivery... Read more
Ecobat announces sale of Stolberg
(Posted on 18/07/22)Ecobat, the global leader in battery recycling, and Trafigura, a leading global supplier of commodities... Read more
CONVEY’22 to feature regulatory compliance, grain safety and ops training
(Posted on 01/07/22)The National Grain and Feed Association in the USA (NGFA) is partnering with the Grain Elevator and... Read more
Landmark guide supports First Nations community engagement
(Posted on 26/06/22)A new guide to support industry and organisations to engage with First Nations communities across Australia... Read more
First ore delivered at Rio Tinto Gudai-Darri mine in the Pilbara
(Posted on 20/06/22)Rio Tinto has delivered first ore from the Gudai-Darri iron ore mine as the company brings online its... Read more
British Steel pressing ahead with £26 million investment
(Posted on 20/06/22)British Steel has been given planning approval for a £26 million upgrade to its Special Profiles... Read more
Trafigura strong in testing times
(Posted on 12/06/22)Trafigura Group Pte. Ltd, a market leader in the global commodities industry, released its half year... Read more
