Rio to Sell Aluminum JV Stake to Zhongjin

BEIJING, Apr. 22 -- Rio Tinto plans to sell its 27 percent stake in a Chinese aluminum processing joint venture to its partner Shenzhen Zhongjin Lingnan Nonfemet, China's third-largest zinc producer said on Tuesday.

    Rio, which is trying to sell assets to pay off debt, acquired the stake in the joint venture, Nonfemet International (China-Canada-Japan) Aluminum Co Ltd, when it bought Canada-based aluminum group Alcan in 2007.

    The transaction was "required by Alcan's global industry adjustment," Zhongjin said in a statement in the official China Securities Journal, adding that the value of the deal was $3 million.

    Late last year, the Anglo-Australian miner had agreed to sell its half in a Chinese aluminum smelting joint venture to its partner Qingtongxia Aluminum.

    Shenzhen Zhongjin Lingnan Nonfemet paid $29.8 million for 50.1 percent in Perilya Mining in Australia.

    (Source: Agencies)