BHP lobbied to block Chinalcos Rio Tinto bid

BHP lobbied to block Chinalco’s Rio Tinto bid

BHP Billiton Ltd, the world’s biggest mining company, lobbied Australia last year to stop Aluminum Corp of China’s proposed $19.5-billion investment in Rio Tinto Group, the Sydney Morning Herald reported, citing a former government official.
BHP executives, including Chairman Don Argus, met officials including Prime Minister Kevin Rudd and Treasurer Wayne Swan to discuss the proposed investment, the newspaper said. E-mails from BHP were circulated throughout the government, the Herald cited former Treasury official Stephen Joske as saying.

Rio Tinto rejected Chinalco’s proposed deal in June in favor of a share sale and an iron ore joint venture with BHP.
Meanwhile, BHP has agreed to buy United Minerals Corp for $188 million, countering a bid by a Chinese firm to take a stake in the iron ore explorer.
The bid is conditional on China Railway Materials Commercial Corp not completing the purchase of an 11.4-percent stake in United announced last month.