Rio, OZ Minerals China Sales Probed by Australian Regulator

Investments worth $21.1 billion by Chinese state-owned companies in Rio Tinto Group and OZ Minerals Ltd. are being assessed for competition issues by Australia¡¯s government as part of the required approval process.

Groups affected by Aluminum Corp. of China¡¯s $19.5 billion investment in Rio have until March 5 to make submissions to the Australian Consumer and Competition Commission, the commission said in a letter dated Feb. 19 on its Web site. Anyone affected by China Minmetals Group¡¯s A$2.6 billion ($1.7 billion) takeover of OZ Minerals have until March 12 to make a submission.

Both investments require approval from the Australian government and shareholders in the companies. China, the world¡¯s biggest consumer of raw materials, is stepping up purchases of mineral producers in Australia, taking advantage of a 36 percent plunge in commodity prices last year.

Rio dropped 2.3 percent to A$45.80 at 10:44 a.m. Sydney time on the Australian stock exchange. OZ Minerals fell 3.3 percent to 59 cents at the same time.

Aluminum Corp of China, or Chinalco as the company is known, agreed on Feb. 12 to buy $7.2 billion of convertible bonds and spend $12.3 billion on stakes in Rio Tinto mines.

The commission will consider whether Chinalco¡¯s investment would lessen competition, it said in the letter. Chinalco¡¯s listed subsidiary is considering building an alumina refinery in Queensland state, it noted.

Copyright and Exemption Declaration :¢ÙAll articles, pictures and videos that are marked with "China Aluminum Network" on this website are copyright and belong to China Aluminium Network (www.alu.com.cn). When transshipment, any media, website or individual must list the source from "China Aluminium Network (www.alu.com.cn)". We seek legal actions against anyone that disobey this. ¢ÚArticles that marked as copy from others are for transferring more information to readers, do not represent or endorse their opinions or accuracy and reliability. When other media, website or individuals copy from our website, must keep the source. Anyone that changes the articles' sources will hold the responsibilities for copyright and law problems. We also seek legal actions against anyone that disobey this. ¢ÛIf any articles copied by our website concern the copyright and other problems, please contact us within one week.