13 December 2021

Rio Tinto cancels Oyu Tolgoi debt, lays foundation for renewables in Madagascar

Rio Tinto has agreed to write off Mongolia's outstanding US$2.3 bln debt for its share in the Oyu Tolgoi copper-gold project, Prime Minister Oyun-Erdene Luvsannamsrai told a briefing today

copper strands
© Andrew Kliatskyi/Unsplash

A letter was received agreeing to write off the debt, conduct an independent audit into the financing of the project's underground expansion and improve governance. He said Rio also agreed the much-delayed expanded underground section of the mine would be completed by 2023.

Rio gave no details of the debt writedown offer.

Meanwhile, in accordance with the commitments made last July, Rio Tinto QIT Madagascar Minerals (QMM) and its partner Crossboundary Energy (CBE) have laid the foundation stone for the solar and wind power plant project that will supply the QMM ilmenite mine operations in Fort Dauphin, in southern Madagascar.

The renewable energy project plays a key role in implementing QMM's 'sustainable mine' concept and enabling Rio Tinto operations in Madagascar to reach carbon neutrality by 2023.

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