London, England — MININGREVIEW.COM — 07 July 2010 – Mining and resources giant Anglo American plc has announced that it has agreed to sell its interests in five underdeveloped coal assets in Australia for about US$500 million (R3.8 billion).
In a statement released here, Anglo American confirmed that it had entered into a conditional agreement with a consortium composed of Korea Electric Power Corporation, POSCO and Cockatoo Coal, which plans to acquire the assets.
The statement added that the assets comprised two wholly-owned underground coal deposits in New South Wales (Bylong and Sutton Forest) and Anglo American’s share in three open cut coal deposits in Queensland (Collingwood, Ownaview and Taroom), all of which were held 51% by Anglo American and 49% by Mitsui. Their combined estimated JORC-compliant attributable resources amounted to 847 million tonnes.
The transaction is expected to be completed in the fourth quarter of 2010.