March 27 (Bloomberg) -- BHP Billiton Ltd., bidding $133 billion for Rio Tinto Group, is seeking talks with Aluminum Corp. of China to convince the state-owned producer to sell its stake in the London-based company.

``We will seek to meet with them in the same way we are meeting with all the top 20, 50 shareholders of Rio Tinto,'' Marius Kloppers, chief executive officer of the Melbourne-based company, said today. ``We clearly want 100 percent of the company, but 50 percent acceptances will be enough to gain control.''

Kloppers wants the support of Chinalco, as the Beijing- based company is known, to create the world's biggest producer of aluminum and energy coal. Chinalco bought a potential blocking stake in Rio last month and Chairman Xiao Yaqing said March 18 he may buy more shares to secure the metals needed by China, the biggest consumer of aluminum, copper and iron ore.

``It would be the best outcome if they do get the Chinese to play ball,'' said Paul Xiradis, who owns both stocks among the $11 billion in investments he helps oversee at Ausbil Dexia in Sydney. ``They are a significant shareholder and BHP wants all shareholders to agree on the offer.''

BHP rose 15 pence, or 1 percent, to 1,465 as of 10:11 a.m. in London trading. Rio rose 30 pence, or 0.6 percent, to 5,080 pence. That's 15 percent less than the 6,000 pence a share paid by Chinalco and Alcoa Inc. for their combined 9 percent stake.

China Driving Demand

Chinalco spokesman Lu Youqing said by phone that the company hasn't met with BHP. Xiao also said in a March 18 television interview in Hong Kong that he hadn't met with BHP.

``China's resource needs are going to be very large over the next couple of decades,'' Kloppers said today. ``The demand for raw materials is driven largely by the growth in China and while we see that slowing down somewhat, I believe that demand, particularly in the long run, is going to be very good.''

Chinalco said it bought the stake in Rio to diversify into other metals to secure resources.

Rio may seek opportunities to work together with its largest shareholder, Rio's Chief Executive Officer Tom Albanese said in February. BHP hasn't discussed anything material relating to its bid for Rio with Chinalco, Kloppers said today.

Kloppers said he planned to meet with all the significant shareholders in Rio ``in due course'' to convince them of the merits of his offer.

Rio is trading at a 0.2 percent premium to the BHP offer of 3.4 shares for every Rio share held. This may indicate investors aren't expecting a higher offer, Ausbil's Xiradis said.

``The market is perhaps saying what BHP is offering is quite fair and reasonable,'' he said.

To contact the reporters on this story: Rebecca Keenan in Melbourne at rkeenan5@bloomberg.net Xiao Yu in Beijing at yxiao@bloomberg.net

Last Updated: March 27, 2008 06:21 EDT