Rio Tinto PLC (LSE:RIO) said on Tuesday it is putting £172mln into the clean-up of the Ranger uranium mine site in Australia’s Northern Territory.
It is doing so indirectly by acquiring shares in Energy Resources of Australia (ERA) as part of what’s described as an entitlement offer.
The proceeds from this, along with other cash being raised by ERA, will help bankroll the rehabilitation costs.
Rio Tinto, ERA's majority shareholder, has faced mounting pressure to finance the clean-up of the mine, which is located near the Kakadu national park rainforest.
The total cost of the restoration is estimated to be as much as £1.2bn and is raising additional funds to meet its commitments.