BHP Billiton shares up 5 pct; China stake talk cited

SYDNEY (Reuters) - Shares in miner BHP Billiton Ltd (BHP.AX: Quote, Profile, Research, Stock Buzz) rose over 5 percent on Wednesday, with dealers citing talk that a Chinese entity was looking to buy a stake.

At 0159 GMT (9:59 p.m. EDT), the shares were up 4.2 percent at A$47.70 in a broader market up 0.7 percent after having risen to as high as A$48.50. BHP's competitor and takeover target, Rio Tinto Ltd (RIO.AX: Quote, Profile, Research, Stock Buzz), was up 3.5 percent.

Two dealers said they had heard talk that an unknown Chinese entity was planning to buy a stake in BHP Billiton.

(Reporting by Jonathan Standing)