Rio Tinto supports ERA ranger plans
(Posted on 18/11/19)
Rio Tinto will support Energy Resources of Australia Limited’s (ERA) plans for a renounceable entitlement offer to raise $324 million (A$476 million) for the rehabilitation of the Ranger Project Area in Australia’s Northern Territory.
As a 68.4 per cent shareholder in ERA, Rio Tinto will subscribe to its full entitlement of approximately $221 million (A$326 million). Given ERA’s inability to secure third-party underwriting support, Rio Tinto has also agreed to fully underwrite the offer to ensure ERA has the funds it needs to meet its current rehabilitation obligations.
Rio Tinto group executive Energy & Minerals Bold Baatar said “We take mine closure very seriously and ensuring ERA is able to fund the closure and rehabilitation of the Ranger Project Area, through participating in this entitlement offer, is a priority.
“We have committed to supporting this offer with the objective of ensuring ERA is in a position to rehabilitate Ranger to a standard that will establish an environment similar to the adjacent Kakadu National Park.”
Under the terms of its mining approvals, ERA is required to end mining and processing activities at Ranger by January 2021 and complete final rehabilitation by January 2026.
On 8 February 2019, ERA finalised its closure feasibility study for Ranger Project Area rehabilitation, resulting in a material increase in anticipated rehabilitation costs. Following this increase, ERA advised it needed extra funding to meet its rehabilitation obligations to the Commonwealth Government, Northern Territory Government and Traditional Owners.
As announced by ERA, Ranger rehabilitation expenditure is not expected to generate any direct financial return for ERA.
Latest News
Increased copper and iron ore production for BHP
(Posted on 19/10/24)BHP have released their operational review for the quarter ended 30 September 2024.BHP Chief Executive... Read more
Safety a priority as Rio Tinto releases Q3 production results
(Posted on 18/10/24)Rio Tinto is continuing to prioritise learning from safety incidents to improve the effectiveness of... Read more
IFA and Proba launch global programme for GHG emissions reduction
(Posted on 14/10/24)The International Fertilizer Association (IFA) is partnering with supply chain decarbonization startup... Read more
Export Exchange 2024 wraps up as trade teams head across the USA
(Posted on 14/10/24)Export Exchange 2024, sponsored by the U.S. Grains Council (USGC), Growth Energy and the Renewable Fuels... Read more
MPA welcomes UK Government’s commitment to fund CCUS
(Posted on 08/10/24)The Mineral Products Association (MPA) has welcomed the Government’s pledge to fund the launch... Read more
Glencore’s Stephen Rowland elected Chair of ICA’s Board
(Posted on 08/10/24)The Board of Directors of the International Copper Association (ICA) has elected Stephen Rowland, Glencore... Read more
NGFA highlights ‘trifecta of transportation trouble’ for US agriculture
(Posted on 01/10/24)Potential disruptions to the nation’s shipping infrastructure could have a devastating effect... Read more
ADM adds non-GM capabilities in Hungary
(Posted on 01/10/24)ADM has announced that it has reached an agreement to acquire Vandamme Hungaria Kft and its related... Read more
Richard Holtum to become Trafigura CEO from 1 January 2025
(Posted on 25/09/24)Trafigura Group Pte Ltd has announced that Richard Holtum will become Chief Executive Officer (CEO)... Read more
Financial community visit Rio Tinto North American operations
(Posted on 25/09/24)Rio Tinto is hosting a site visit for the financial community this week to its Aluminium and Iron &... Read more