Mitsui buys 40% stake in Rio Tinto's Rhodes Ridge joint venture

The news: Rio Tinto has confirmed that Japanese investor Mitsui & Co has agreed to acquire a 40% interest in its Rhodes Ridge project, an undeveloped iron ore deposit in the East Pilbara in Western Australia.

The numbers: Mitsui will buy all of VOC Group's 25% interest in the joint venture. It has also agreed to acquire a further 15% interest in the partnership from AMB Holdings — a private company owned by Perth-based billionaire Angela Bennett — which will retain a 10% stake.

Rio Tinto's 50% interest, and the terms of the joint venture, are unchanged.

The mining giant's shares were up 1.1% to $121.99 at 3pm AEDT.

The context: A pre-feasibility study to progress the development of the Rhodes Ridge project is expected to be completed this year, with a feasibility study to follow. The development is expected to use Rio Tinto’s rail, port and power infrastructure.