Rio Tinto hails another step closer to develop Serbian lithium mine
If developed, the $2.4 billion Jadar lithium project in Western Serbia could cover 90% of Europe's current lithium needs.
Despite persisting tightness in global money markets, mining multinational BHP Billiton (NYSE:BHP) has raised the third-biggest amount this year, selling a $5.25-billion five-part global bond to the US securities market.
The world’s biggest mining company announced that it has raised the money under a five-tranche bond issue, which included a US$1billion tranche at a floating interest rate that yesterday was worth roughly 0.76 per cent.
The Global Bond comprises US$1,000 million Senior Floating Rate Notes due 2014 paying interest at three-month U.S. Dollar LIBOR plus 27 basis points, US$1,000 million 1.000% Senior Notes due 2015, US$1,250 million 1.625% Senior Notes due 2017, US$1,000 million 2.875% Senior Notes due 2022, and US$1,000 million 4.125% Senior Notes due 2042.
The proceeds will be used for debt refinancing, including the retirement of commercial paper, and general corporate purposes, the company said.
Analyst agree that the bond deal will unavoidably give place to speculation of further acquisitions, principally considering Glencore International’s planned merger with Xstrata.
