Rumour mill churning on Anglo bid for Mozambique coal mine
Just one week following Anglo American’s approval of a $1.7 billion met-coal project in Queensland, the London-listed diversified miner may be shopping for more coal assets.
Business Day is reporting that Anglo American (LON:AAL) is preparing a $630 million bid for a 58.9% stake in the Minas de Revuboe coal project, which is estimated to contain 1.4 billion tonnes of coal:
Press reports in Australia say Anglo is “close” to finalising the $630m deal to buy the stake in Revuboè from the privately owned Talbot Group. The other partners in Revuboè are Nippon Steel, with a 33% stake, and South Korean steel group Posco.
Rio Tinto, which earlier this year bought Australia’s Riversdale, and coal/iron ore miner Vale, already have positions in Mozambique. Minas de Revuboe says on its website that the open-pit mine would produce up to 17 million tonnes per year of thermal and coking coal. Production would start in 2013.