https://www.miningweekly.com

Wesfarmers hunting for coal buyers

16th November 2016

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

Font size: - +

PERTH (miningweekly.com) – ASX-listed conglomerate Wesfarmers on Wednesday confirmed that it was evaluating "strategic options" for its coal assets.

The company, which is better known for its retail businesses, was responding to reports that it had launched a A$2-billion sale of its Curragh and Bengalla mines, in Queensland and New South Wales, respectively.

Wesfarmers said it was evaluating its options for the coal operations with a view to maximising shareholder value.

“Wesfarmers is continuing to consider a broad range of options, from operational to divestment initiatives, including recently seeking expressions of interest from external parties who may want to acquire the coal assets,” the company said.

However, it cautioned that there was no certainty that the process would lead to a transaction. 

The Curragh mine produces around 12-million tonnes a year of metallurgical coal and steaming coal, while the Bengalla mine, in which Wesfarmers owns 40%, is capable of producing around nine-million tonnes a year of thermal coal.

Rio Tinto in March exited the Bengalla joint venture, selling its 40% interest in the mine to New Hope Corporation for $616.7-million.

Metallurgical coal prices have doubled in the last year and thermal coal has almost doubled since July.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Kriel Occupational Health Centre
Kriel Occupational Health Centre

Occupational health services, mobile clinics, wellness campaigns, aviation.

VISIT SHOWROOM 
Advanced Fire Suppression Technologies
Advanced Fire Suppression Technologies

Established on 1 March, 2000, by Barries Barnard, Advanced Fire Suppression Technologies (AFST) and the Advanced Group stands as Sub-Saharan...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.046 0.818s - 110pq - 2rq
Subscribe Now