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【Ferro-alloys.com】: Global miner Rio Tinto is in talks with Australian federal and state governments about a multibillion-dollar bailout for its struggling Tomago aluminium smelter in New South Wales state, the Australian Financial Review reported.

The newspaper, citing sources it did not name, reported late on Friday that talks centred on the smelter's electricity contract for 2026 to 2029 and federal production tax credits.

Rio and the offices of New South Wales Premier Chris Minns and Prime Minister Anthony Albanese did not immediately respond to Reuters requests for comment on the report.

The future of the facility, majority owned by Rio, has been uncertain for months due in part to spiralling energy costs, according to the report.

In February, Rio, the world's largest iron ore producer, said it would decide the smelter's future by mid-year.

The facility about 125 km (80 miles) north of state capital Sydney uses around 10% of New South Wales' power supply to produce 590,000 tonnes of aluminium per year. In addition to Rio, it is owned by CSR and Hydro Aluminium.

Australia's centre-left government in January pledged A$2-billion in production credits to help support the country's four aluminium smelters, including the Tomago facility, switch to renewable power before 2036.

• [Editor:Alakay]