PERTH (miningweekly.com) – Diversified miner Anglo American has completed the sale of its 83.33% interest in the Dartbrook coal mine, in New South Wales to ASX-listed Australian Pacific Coal (APC).
The two companies at the end of 2015 agreed to the A$50-million transaction, which included an upfront cash payment of A$25-million and the grant of a royalty equal to A$3/t of coal produced by the operation in the future and A$0.25 for each tonne of coal sourced from other sites and processed using Dartbrook’s processing infrastructure.
The deal also comprised royalty payments that would be subject to escalation with reference to the Brisbane All Groups Consumer Price Index and capped at A$25-million (in real terms).
The project consists of an underground thermal coal mine and associated processing infrastructure, which has been on care and maintenance since 2006.
APC in May last year announced a total coal resource estimate of 1.2-billion tonnes at the Dartbrook mine, making it one of the largest underdeveloped coal operations in the Hunter Valley.