Rio Tinto Not Under Pressure to Sell Diamond Unit, Says CEO
Rio Tinto Not Under Pressure to Sell Diamond Unit, Says CEO
Rio Tinto CEO Sam Walsh said the firm's diamonds subsidiary won't be sold off under at a price that does not meet the firm's expectations, if at all.
"This is not market day at the bazaar. I'd be quite happy to keep it [the diamond subsidiary]," Walsh was cited as saying by the UK's Telegraph newspaper.
Walsh, who became CEO at the start of 2013, said Rio would not be forced into selling off its diamond business, or any other underperforming assets. His aim is to focus on cutting costs across the company.
Rio's diamond assets have an estimated value of upwards of $2 billion.
The company last year carried out an internal review of its operations, particularly its non-core businesses.
In addition to holding 60 percent of the Diavik mine in Canada's NorthWest Territories, Rio Tinto Diamonds owns the Argyle mine in Western Australia and 78 percent of the Murowa operation in Zimbabwe.
