Rio Tinto: We have not been engaged by Swiss authorities

Jean Sebastien Jacques, Chief Executive of Rio Tinto, highlighted that Rio and Turquoise Hill Resources have not been engaged by the Swiss authorities concerning the bribery allegations of Oyu Tolgoi during his interview with the Bloomberg. Last week, the Swiss prosecutors announced that it started an investigation of the bribery case. Mr Jean noted, “The investment framework, which is underpinning USD 7 billion for the future investment of Oyu Tolgoi, was ratified by the Mongolian Parliament. Therefore, it is totally valid.” He added, “As far as we are concerned, the project is progressing well. It is already providing significant benefit to Mongolia’s economy.” The Independent Authority Against Corruption (IAAC) of Mongolia, in cooperation with Swiss prosecutors, is currently investigating USD 9.2 million bribery case related to ex-finance minister Bayartsogt Sangajav. The former finance minister held a press conference last week and expressed that he expects to be cleared by Swiss inquiry, noting that “Oyu Tolgoi agreement is a righteous and corruption-free agreement.”

In addition, a working group was established by the Parliament Speaker to review the agreement last friday. The IAAC presented its March report yesterday and informed the media that “If a guilty plea is made against the people involved in Oyu Tolgoi investment agreement, they will be submitted to the prosecutor as a suspect. Therefore, we are thoroughly investigating the contract.” As for Rio’s decision to exit coal, Mr Jean explained that the company is planning to invest more in copper, iron ore and aluminum.