Guernsey-based BSG Resources has sent a letter to Rio Tinto
(ASX:RIO) warning that it may file a lawsuit against the mining giant.
BSG wrote that it would sue Rio Tinto in the English High Court if it doesn’t receive a satisfactory response to its letter.
BSG alleges that Rio Tinto allegedly contributed to the loss of its mining rights for the Simandou iron ore project in Guinea, and is seeking billions of dollars in damages.
This moves follows recently revealed e-mails suggesting that Rio executives made suspicious payments to an external consultant for “advisory services” back in May 2011. And this led to the sacking of Rio’s Energy & Minerals chief executive, Alan Davies, last month.
Rio Tinto confirmed it will defend the claim “robustly” if BSG commences the threatened court action.
Rio Tinto posted a net profit of $2.3 billion at 30 June 2016.
