Glencore: buys Rio Tinto's Australian mining assets
(CercleFinance.com) - Glencore has signed an agreement with Rio Tinto to buy two coal mines in the State of Queensland, Australia.
The deal amounts to 1.7 billion dollars in cash.
It said in a statement that the sale includes Rio Tinto's 82% stake in the Hail Creek mine (currently operated) and its 71.2% interest in the Valeria project. The remainder of Hail Creek's capital will be held by Nippon Steel Australia (8%), Marubeni (6.67%) and Sumisho Coal Development (3.33%). These three partners have sale options to Glencore amounting to 340 million dollars.
In 2017, the Hail Creek mine generated EBITDA group share of 408 million dollars or 357 million dollars after tax. Also taking into account Valeria, the gross asset value, group share of the entire stake amounts to 859 million dollars.
The transaction is expected to be finalised in the second half of 2018.
Glencore points out that in 2017 its 17 Australian coal mines produced over 87 million tonnes of coal.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The deal amounts to 1.7 billion dollars in cash.
It said in a statement that the sale includes Rio Tinto's 82% stake in the Hail Creek mine (currently operated) and its 71.2% interest in the Valeria project. The remainder of Hail Creek's capital will be held by Nippon Steel Australia (8%), Marubeni (6.67%) and Sumisho Coal Development (3.33%). These three partners have sale options to Glencore amounting to 340 million dollars.
In 2017, the Hail Creek mine generated EBITDA group share of 408 million dollars or 357 million dollars after tax. Also taking into account Valeria, the gross asset value, group share of the entire stake amounts to 859 million dollars.
The transaction is expected to be finalised in the second half of 2018.
Glencore points out that in 2017 its 17 Australian coal mines produced over 87 million tonnes of coal.
Copyright (c) 2018 CercleFinance.com. All rights reserved.