Rio Tinto and WA Government sign agreements with Yindjibarndi WaterCo for proposed sale of Dampier Seawater Desalination Plant

Rio Tinto and WA Government sign agreements with Yindjibarndi WaterCo for proposed sale of Dampier Seawater Desalination Plant

Rio Tinto and the Western Australian Government have signed non-binding agreements for a proposed sale of their respective joint venture shares in the Dampier Seawater Desalination Plant to Yindjibarndi WaterCo.

Rio Tinto and the WA Government are 50:50 joint venture partners in the Dampier Seawater Desalination Plant.

The agreements establish a framework for the parties to pursue a transaction for Yindjibarndi WaterCo to acquire and operate the plant, which has a construction budget of A$1.1 billion and is expected to provide 8GL of desalinated water into the West Pilbara Water Supply Scheme.

A binding deal is targeted by the end of the year. Terms of the transaction are confidential, with the sale price subject to construction costs and related factors. Rio Tinto will remain responsible for managing the construction activities for the plant, with operational control proposed to transfer to Yindjibarndi WaterCo following construction completion, subject to a binding divestment agreement, due diligence processes and relevant approvals.