PERTH (miningweekly.com) – ASX-listed Wesfarmers on Monday reported that all conditions precedent for the A$700-million sale of its Curragh coal mine, in Queensland, had been met, clearing the way for the transaction to be completed this week.
Wesfarmers in December struck a deal with US coal producer Coronado Coal Group to divest of its mine. The transaction also included a value share mechanism linked to future metallurgical coal prices.
“The sale delivers value to our shareholders while giving the employees and customers of Curragh the opportunity to work with a leading coal producer with ambitions to expand into Australia,” Wesfarmers MD Rob Scott said.
Curragh is one of the world’s largest metallurgical coal mines, with baseline production of 8.5-million tonnes a year of export metallurgical coal and 3.5-million tonnes a year of steaming coal, which is sold to the Queensland government’s Stanwell Corporation.