China Iron & Steel Association and officials from first tier Chinese steelmakers said they are unaware of the report about their participation with China Investment Corp to make a rival bid for the world's third largest miner.

China Business Journal reported that China Investment Corp established in September to manage USD 200 billion of China's USD 1.43 trillion in foreign exchange reserves plans to bid against BHP Billiton Ltd for Rio Tinto Group. The report also says that state owned steelmakers including Baosteel Group Corp Shougang Corp and Anshan Iron & Steel Group would join the bid.

Mr Wu Xiaoling deputy governor of the People's Bank of China noted in early March that part of China Investment Corp Investment would focus on strategic sectors. UBS also revealed in its report that the world's three biggest miners CVRD, BHP and Rio Tinto might be targeted by CIC. According to market insiders the market talk that China Investment Corp may seek stake in BHP has already started in the first half of this year on back of China's huge foreign exchange.

(Sourced from MySteel.net)