Copper - Highest ProspectsArticle in full, from previous post. FM mentioned as well.......... Rio Told to Start Buying Copper Mines Rather Than Build Them by Thomas Biesheuvel t tbiesheuvel February 12, 2016 6:02 AM EST fShare on FacebooktShare on Twitter h Don't Miss Out Follow Bloomberg On Facebook Twitter Instagram YouTube Recommended The visor of a fire-fighter's helmet reflects a gas burn off venting pipe as he stands on the helicopter deck on the Armada gas condensate platform, operated by BG Group Plc, in the North Sea, off the coast of Aberdeen, U.K., on Thursday, Dec. 10, 2015. Royal Dutch Shell Plc got clearance from antitrust authorities in China for the takeover of BG Group Plc, removing the final regulatory hurdle for its biggest-ever deal. Photographer: Simon Dawson/Bloomberg The Oil Industry Got Together and Agreed Things May Never Get Better little line above headline KEENESBURG, CO - JUNE 8: The grizzly bear named "Tiny" plays in the pool area of the habitat. The Wild Animal Sanctuary has over 350 rescued tigers, lions, bears, and other wild animals at it's location in Keenesburg and is looking to expand by 600 acres. (Photo by Kathryn Scott Osler/The Denver Post via Getty Images) U.S. Stocks Halt 5-Day Slide Amid Oil Rally; Treasuries Weaken little line above headline The Frankfurt skyline. Pimco Says No Need to Be Greedy as It Bets on Battered Bank Debt little line above headline a What's the Most Mispriced Asset in the Markets? little line above headline Blue Arrow Miners plans to cut dividend to strenghten balance sheet Blue Arrow Rio could buy Anglo, Freeport or First Quantum: Bernstein fShare on Facebook tShare on Twitter h lShare on LinkedIn dShare on Reddit gShare on Google+ mE-mail Rio Tinto Group should focus on buying floundering rivals to secure copper mines instead of building new ones, according to Sanford C. Bernstein Ltd. The decision should be a no-brainer, Paul Gait, an analyst at Bernstein in London, said in a note Friday. Building a new ton of supply costs significantly more than buying an existing one. Rio said Thursday it plans to cut its dividend by as much as half to strengthen its finances, leading to speculation that the worlds second-biggest miner is readying to grab assets from other companies weighed down by debt. The London-based company reined in acquisitions in recent years as smaller rivals held on to the most profitable mines. It has a list of assets its keen to buy should they come up for sale, Chief Financial Officer Chris Lynch said. With copper prices near a six-year low, producers are spending less on new mines and trying to cut debt accumulated during a commodities boom. Anglo American Plc, which plans to close or sell more than half its mines, Freeport-McMoRan Inc. and First Quantum Minerals Ltd. are among producers Rio could pursue, Gait said. Anglo, last years worst performer in the U.K.s benchmark stock index, has projects in Chile, while Freeport owns Grasberg in Indonesia, the worlds second-largest copper mine. Anglo would also be a natural fit, Gait wrote. The company has a lot to offer beyond copper: diamonds in particular would be a great addition. Rios Chief Executive Officer Sam Walsh yesterday said theres little point in buying distressed assets because they are typically high cost and low quality. The companys capital expenditure fell to $4.7 billion in 2015, the lowest since 2010, according to data compiled by Bloomberg. Spending is forecast at $5 billion in 2017, Rio said. Anglo, based in London is set to unveil more details on a turnaround plan on Tuesday. It wants to focus its business around the diamond mines it owns through De Beers, platinum and copper. The stock slumped 75 last year as investors fretted about its stretched balance sheet. Glencore Plc is among companies that have shuttered unprofitable copper production. The Swiss trader and miner on Thursday said it plans to reduce output by about 7.5 percent this year. Rio Tinto needs to grow in copper as the red metal today is probably the commodity with the strongest prospects, said Gait. Before it's here, it's on the Bloomberg Terminal.T Read More Copper Mine