According to the Sunday Express in Britain, Rio Tinto (RIO) is believed to be considering making a takeover bid for Canadian uranium explorer Xemplar Energy, which has discovered deposits in Namibia.
The speculation is that the mining giant has become interested in Xemplar after it revealed it had discovered what is believed to be one of the world's biggest uranium deposits in Namibia.
Xemplar is currently still waiting for independent verification of its uranium discovery.
The UK newspaper reported that Rio has been watching Xemplar carefully since the discovery and will decide on whether or not it will make a move for the firm after the results come in.
However, spokesman for Rio Nick Cobban said “we never comment on this sort of speculative story.''
Rio has stakes in two uranium mines, one in the Northern Territory and another in Namibia.
Rio's interest in Xemplar comes after its fellow Anglo-Australian mining giant BHP Billiton made an informal $150.41 billion takeover offer for its global mining operations.
Rio rejected BHP's offer, saying it was too low.
Shares in Rio Tinto fell by $2.25 or 1.70% to $129.82 at 12:15PM AEST.
