BHP-Rio antitrust report expected soon

There was no surprise for Rio Tinto and BHP Billiton in a report saying the European Commission would soon announce the result of its antitrust investigation into their proposed $US116 billion ($A118 billion) iron ore production joint venture in the Pilbara.

The joint-venture proposal has a December 31 deadline from the companies and has been under investigation by the commission since being announced in June last year.
Both companies have also indicated previously that they expect to hear back from the regulator in the second (calendar) half of this year. Even so, BusinessDay reported last week that Rio's board had already begun planning the best way to announce that the joint venture would not proceed due to unacceptable conditions likely to be imposed by antitrust regulators.

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Rio has nevertheless said the proposal is still alive. Both companies are eager to know what objections the antitrust regulators have to the joint venture proposal, given the time and effort they have invested in it.
Reuters has reported that a spokeswoman from the European Commission said on Tuesday it would ''communicate shortly to the parties the outcome of its preliminary investigation''.
It had earlier reported sources as saying the two miners would meet the regulators by the end of this month.
Meanwhile, the Federal Court is expected to decide today whether to grant BHP leave to intervene in Fortescue Metals Group's appeal on rail access in the Pilbara.
On June 30, the Australian Competition Tribunal granted access to two of BHP and Rio's smaller rail lines, but Fortescue believes access should be further expanded.
Lawyers for BHP have argued that ''any decision to be taken involves us''.
Justice Sue Kenny will rule on that claim later today.

Source: Brisbane Times