A US$3.8 billion ($5.8 billion) deal is the latest payday for Anglo American as it sells off its Australian coal assets, bringing the cash-out to a total of $7.5 billion.
The miner announced at the start of November it had found a new owner for its stake in the Jellinbah Group joint venture, which owns the Jellinbah East and Lake Vermont steelmaking coal mines near Dysart in Queensland.
Now, Anglo has struck a $5.8 billion deal with Peabody Energy to offload its remaining assets, including:
- a 51 per cent interest in the Dawson Complex
- a 50 per cent interest in the Moranbah South joint venture
- a 70 per cent interest in the Capcoal joint venture
- an 86.36 per cent interest in the Roper Creek joint venture
- an 88 per cent interest in the Moranbah North joint venture.
The deal also includes a contingent cash consideration of $US450 million ($690.7 million) linked to the reopening of the Grosvenor mine, which has remained closed after a fire blazed in the underground mine for over a month earlier this year.
Anglo chief executive officer Duncan Wanblad said the sale is another important step towards delivering the strategy the company set out in May to create a world class copper, premium iron ore and crop nutrients business.
“Through focus, asset quality and outstanding growth options, Anglo American will offer a highly differentiated investment proposition supported by strong cash generation and the capabilities and longstanding relationship networks that can deliver our full potential,” Wanblad said.
“We are absolutely focused on delivering that strategy and unlocking the associated value as we streamline our cost structures and create a much simpler, more resilient and more agile business that will enable full market value recognition.”
US-based Peabody has already found a buyer for the Dawson Complex in Delta Dunia Group subsidiary PT Bukit Makmur International (BUMA International).
BUMA will pay Peabody $455 million for the Bowen Basin coal mine, touted to be one of Australia’s largest.
The Anglo-Peabody deal is expected to close by the end of 2025, though there’s no word yet on Peabody’s plans for the rest of the assets.
