Rio Tinto clears the way for $347m Iceland update

RIO Tinto Alcan has finalised a deal with an Icelandic power firm to begin a $347m (£221m)?update of its aluminium smelter in the country.

The London-listed miner has signed a contract with Landsvirkjun to allow it to use more power at the smelting site for the next 26 years, boosting capacity by 20 per cent to around 230,000 tonnes.

“The $347m investment was facilitated by working together with local stakeholders to ensure the long-term sustainability of the smelter. This investment is great news for Rio Tinto Alcan and for Iceland,” said Jean-Philippe Puig, Rio’s president of metals in EMEA.