Rio Tinto Ltd. Revealed that it is planning to invest more than $A500 million on developing its Kennecott Eagle nickel and copper mine in the United States.

Rio Tinto also announced today that it has received environmental approvals from the government for the project. The new projected mine, which has faced protest from a Native American tribe, will be constructed in the state of Michigan's Upper Peninsula.

Rio Tinto said that it will spend $A541.5 million on the proposed mine.

Rio Tinto said on today that it had received final environmental approvals for the mine. This mine would be the first primary nickel mine in the US. Rio is very optimistic for the outlook of copper and nickel is very strong from the mine.

"The Upper Peninsula of Michigan is a highly prospective region for nickel and copper exploration and Rio Tinto is actively exploring for additional resources in the immediate area," said Rio Tinto in a statement.

Rio said that it expects the first production from the mine by late 2013. Rio expects production of around 17300 tons per year of nickel concentrates on an average from the mine. Rio also said that it expects average annual copper concentrates production of around 13200 tons over six years.