Rio Tinto says to expand capacity at Canada's IOC

SYDNEY, March 12 (Reuters) - Takeover target Rio Tinto Ltd (RIO.AX: Quote, Profile, Research) said on Wednesday it has approved a $475 million project to increase iron ore concentrate production at its Iron Ore Company of Canada (IOC) unit.

The investment would take annual production to 22 million tonnes. It was the first phase of an IOC expansion programme aimed at increasing production capacity by 50 percent by 2011, Rio said in a statement. (Reporting by Richard Pullin)