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* Glencore sets IPO price range at 480-580 pence per share
* Offering could raise up to $10 bln
* Cornerstone investors to buy $3.1 bln of deal (Adds breakdown of offering, cornerstone investors)
HONG KONG, May 4 (Reuters) - Switzerland's Glencore International AG has set a price range for its initial public offering in London and Hong Kong, enabling the company to raise up to 6 billion pounds ($10 billion), a source with direct knowledge of the plan told Reuters on Wednesday.
The world's largest diversified commodities trader had set a price range of 480 to 580 pence per share for the IPO, which would value Glencore at $ 48-58 billion, said the source, who declined to be named because the terms were not yet public.
Glencore is due to release a prospectus for the offering with indicative price range and other details later on Wednesday.
The company could raise up to $8 billion from the sale of new shares in a primary offering, while its partners planned to raise about $2 billion in a secondary sale, the source said.
That amount excludes a 15 percent or $1.5 billion over-allotment option.
Glencore officials were not immediately available for comment.
Twelve cornerstone investors had agreed to buy $3.1 billion worth of Glencore stock, just above 30 percent of the total, the source added. Such investors back many Asian listings, committing to take large, guaranteed stakes and hold them for a minimum period of time.
Abu Dhabi's International Petroleum Investment Co (IPIC) will be the biggest cornerstone investor, with Government of Singapore Investment Corp (GIC) , U.S. fund manager BlackRock Inc , and Credit Suisse Group AG and UBS AG private banks also taking part of the group.
Glencore has also signed up hedge funds Och-Ziff Capital Management Group , Eton Park and York Capital. ($1 = 0.599 British Pounds) (Reporting by Elzio Barreto; Editing by Chris Lewis)