Australian Financial Review reported that Rio Tinto Group is set to scale back plans to almost double coal output in Australia’s Queensland state as part of global spending cuts.

As per repot, Rio is reviewing expansions at the Hail Creek and Kestrel mines in northeast Australia as it pares capital expenditures to meet payments on USD 38 billion of debt related to last year’s acquisition of Alcan Inc.

Rio this year began the USD 991 million expansion of the Kestrel site and started work on the USD 950 million Clermont mine. There is more scope to delay other projects such as the expansion of Hail Creek.