Rio Tinto Scraps Sale of Loss Making Pacific Aluminium

Introducing:

• Australian-born, Sam Walsh, the CEO of Rio Tinto (appointment January 2013)

Sam remarked that negotiations had not gone as smoothly as expected for the loss making unit, abbreviated PacAl. First half net profits for Rio dropped 14% for:

•  Rio's core business of Iron Ore (which was the unit Sam Walsh ran before becoming head of the organization)

One of their most profitable mines is Pilbara in Western Australia. The Pilbara region is known for its petroleum, natural gas and iron ore reserves.

• Rio Tinto is one of the ten largest companies in Australia

The others include National Australia Bank (NAB) and BHP Billiton.