Rio to meet Oyu Tolgoi board

Executives plan to negotiate a financing agreement to fund mine's second stage.

Rio Tinto (RIO) executives will meet the Oyu Tolgoi copper mine's new board in London this week to negotiate a financing agreement to fund the mine's second stage, The Australian Financial Review reports.

According to the newspaper, the Mongolian government replaced Oyu Tolgoi's chief executive with a politician last month to help end the financing impasse, before a deputy director of the group's parent company and a Ministry of Mining official were also added to the board.

Rio Tinto had to delay work on the mine's second underground development phase until it was clear whether the Mongolian parliament needed to approve project financing, the AFR reports.