Iron, News & Features, Resource News
World Bank shores up Rio’s hold over Simandou venture
By The Australian · May 7, 2012 · 8:25 am · Leave a Comment
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By Barry FitzGerald
THE World Bank’s private sector development financing arm, International Finance Corporation, is planning to invest $US150 million ($147.6m) of equity in Rio Tinto’s Simandou iron ore project in Guinea as the joint venture races towards first production from the potentially world-class project by 2015 at an initial cost of $US13 billion.
Responding to questions from The Australian, the IFC said the additional investment as a 5 per cent partner with Rio Tinto (50.35 per cent) and China’s Chalco (44.65 per cent) in Simandou was “to help cover costs as the project continues to progress in its development” in the West African nation.
