MELBOURNE, April 11 Global miner Rio Tinto's
list of assets up for sale has lengthened, with its
unit, Turquoise Hill Resources, looking to sell its
A$83 million ($87.48 million) majority stake in Ivanhoe
Ivanhoe said in a statement on Thursday it was aware
Turquoise Hill had begun a "review of its options in relation to
its shareholding in Ivanhoe Australia", after Dow Jones reported
Turquoise Hill had appointed Citi to advise on a sale of
A Citi spokesman was not immediately available to comment.
A sale of Turquoise Hill's 57 percent stake in Ivanhoe
Australia would come as no surprise as Rio Tinto's main interest
in Turquoise Hill is its stake in the giant Oyu Tolgoi copper
and gold mine in Mongolia.
However, the appointment of an adviser for the sale shows
new Rio Tinto chief executive Sam Walsh is serious about
shedding assets swiftly while slashing $5 billion in costs to
appease shareholders who want to see the major miners use their
capital more wisely.
The Ivanhoe Australia stake joins a growing list of assets
that Rio is looking to sell, including its diamonds business,
Pacific Aluminium unit, a 29 percent stake in Coal & Allied, and
the Northparkes copper mine in Australia.
Ivanhoe Australia shares closed down 2.44 percent at A$0.20
on Thursday. At that level, the 57 percent stake in the company
was worth A$82.7 million.