China deal provides "unlimited" credit

Posted on 17/03/2009  

China has offered Rio Tinto an unlimited line of credit, potentially worth more than $30 billion, to develop major mining projects in Australia, China and around the world. The offer from the state-owned Export-Import Bank is tied to the success of the $29.79 billion Chinalco investment in Rio Tinto, Australia’s second-biggest miner behind BHP Billiton. The company is lobbying shareholders and the Federal Government on the merits of the deal – the biggest foreign investment by a Chinese company and the biggest by any foreign company in Australia.

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