Rio sees green risks, rewards of expansion

NAGOYA, Japan, Oct 27 （Reuters） - Global miner Rio Tinto faces increased risks as it expands into developing countries and will need to uphold tough environmental standards to ensure access to new markets, a senior official said on Wednesday.

The likely emergence of tougher regulations in emerging economies and shareholder demands for greener practices were underpinning the firm's drive to become a leader in environmental protection, said Stuart Anstee, Rio's principal adviser for environment.

"This is really a material risk for Rio Tinto," he said in an interview on the sidelines of a U.N. meeting in Japan that aims to set 2020 targets for combating the escalating loss of forests, wetlands and reefs that benefit livelihoods and economies.

Booming global demand for resources meant the company was looking to expand into poorer nations. But new mines had to last decades, engage local communities and try to preserve as much of the existing natural environment as possible, he said.

This was potentially costly but crucial if the firm was to maintain a good reputation and ensure quick approval for new mines to feed the global appetite for iron ore, bauxite, coal and other resources.