The Tiwai Point aluminium smelter may get a new owner after reports from London speculating owner Rio Tinto is again putting its aluminium assets up for sale.
London's Financial Times, ''citing people aware of Rio's plans'', said Rio had hired Credit Suisse to find a buyer for Pacific Aluminium which comprises a group of smelters in Australia and New Zealand.
A Rio Tinto spokesman said the company did not comment on market speculation but chief executive Sam Walsh and chairman Jan du Plessis both indicated at the company's annual meeting earlier this month that the trend for asset sales was never finished.
Forsyth Barr broker Peter Young said the article was talking specifically about Rio selling the Australia and New Zealand businesses.
''If Rio is successful, then the smelter will have new owners. At that point, it is anyone's guess as to what the new owners would do, but assuming the economics of the plant do not change - which seems logical - there shouldn't be any change to the view that the smelter stays open for longer.
''Remember of course, Rio unsuccessfully tried to sell its aluminium assets in 2012-13. That said, the sector is doing much better now than it did, hence it probably has a better chance of success,'' Mr Young said.
The Financial Times speculated the miner could get $US1 billion ($NZ1.34 billion) for its aluminium assets.
The Otago Daily Times reported last month New Zealand Aluminium Smelters, which runs the Tiwai Point smelter, had returned to profit.
Having reported a $49 million loss in 2012, followed by an $18 million loss in 2013, NZAS reported a $56 million after-tax profit for its 2014 financial year, which included a $17 million revaluation loss over the Meridian Energy contract.
NZAS must decide by July on the future of its power contract with Meridian Energy.
Aluminium prices remain low and NZAS claims it pays some of the highest power prices in the world.
The smelter takes up about 13% of the country's power generation through Meridian's Lake Manapouri generation.
NZAS contributed $525 million to Southland's economy annually, or 10.5% of the province's gross domestic product.
