Rio Tinto to join $650 mln Brazil project

Rio Tinto to join $650 mln Brazil project

Anglo-Australian mining company, Rio Tinto Ltd. announced plans to invest $130 million, or 20% of a total $650 million project, to produce 1 million tons of sponge iron and steel in Brazil's Mato Grosso do Sul state. According to a spokeswoman from Rio Tinto, the company's investment will only be used toward the complex's mine. The $650 million figure covers the cost of the entire steel complex including the mine. Rio Tinto will be joined in the project by Argentine steel group Techint. According to the president of Rio Tinto Brazil, the investments are part of the company's global strategy to develop large operations in low-cost mining and metals regions.