LONDON (Reuters) - Miner Rio Tinto is considering selling its Chapudi coal exploration assets in South Africa as they will not yield coal suitable for the global market, a source close to the company said on Sunday.

Rio Tinto's coal strategy is focused on internationally traded markets and Chapudi is better suited as a domestic project, the source said.

The Independent on Sunday said the company had invited bids, and had a preferred buyer in place for the assets in the Limpopo province, which could fetch up to $75 million.

Rio Tinto and its partner Kwezi Mining discovered the 1.04 billion tonne coal resource in 2008.