Rio Tinto May Consider Formal Chinese Offer

SYDNEY -(Dow Jones)- Rio Tinto (RTP) is prepared to consider approaches from China after it was reported that Chinese steelmakers may be considering an offer which could value Rio Tinto at more than US$200 billion, the U.K.'s Telegraph newspaper reported on its website Wednesday.

The company had previously said it was "listening but not engaged" with the Chinese government and steelmakers after it rejected a 3-for-1 share bid by rival miner BHP Billiton (BHP).

Without citing sources, the newspaper said the company has softened its position and is prepared to talk if a formal offer at a large enough price was forthcoming.

However, a Rio Tinto spokeswoman told Dow Jones Newswires: "There has been no change in our position."

Baosteel Chairman Xu Lejiang was quoted in a Chinese newspaper earlier this week as saying the group was considering a bid.