Rio Tinto in power-supply deal for Malaysia smelter

BINTULU, Malaysia, Feb 11 - Mining and metals group Rio Tinto Plc/Ltd (RIO.L: Quote, Profile, Research, Stock Buzz) (RIO.AX: Quote, Profile, Research, Stock Buzz) and its partner in a Malaysian aluminium smelter project have signed a preliminary power-supply agreement for the proposed smelter, the two partners said on Monday.

Rio Tinto and joint-venture partner Cahya Mata Sarawak Bhd (CMSM.KL: Quote, Profile, Research, Stock Buzz) have proposed to build a smelter with production capacity of 550,000 tonnes in Malaysia's eastern state of Sarawak, on Borneo island, powered by hydroelectricity.

(Reporting by Naveen Thukral, editing by Mark Bendeich)