LONDON, NOV 25 – Mining group Anglo American announced today that it has agreed to sell all of its remaining Australian steelmaking coal mines to US group Peabody Energy for up to US$3.8 billion.
The move comes as countries move away from highly polluting coal production to achieve net zero carbon emissions, including an agreement reached by several countries at the recent COP29 climate summit that agreed not to build any coal-fired power plants without the technology carbon capture.
“The sale of our steelmaking coal business is another important step towards the execution of the strategy we set out in May to create a world-class copper, premium iron ore and crop nutrient business,” said Duncan Wanblad, Chief Executive of London-listed Anglo American.
This year, Anglo announced plans to sell its coal, diamond and platinum businesses after rejecting a US$49 billion takeover offer from mining rival BHP.
Wanblad also noted that all transactions to transform their portfolio are progressing well, with the spin-off of Anglo American Platinum expected in mid-2025, and strong interest in their nickel business, with a sale process underway.
A deal to sell their diamond business, De Beers, is expected to follow.
Wanblad added that the group is “extremely focused” on reducing costs and creating “a simpler, more resilient and more agile business that will enable full market value recognition.”
Earlier this month, Anglo agreed to sell their other coal mining interest – a stake in Australian mining company Jellinbah – for US$1.1 billion. – AFP
