Diversified miner and commodity trader Glencore on Tuesday announced that it had completed the acquisition of Anglo American’s and BHP’s respective 33.3% interests in the Cerrejon coal mine, in Colombia, having received regulatory approvals.
The companies in June last year agreed that Glencore, which held the remaining 33.3% interest in Cerrejon, would take full ownership of the coal mine.
A purchase price consideration of $588-million was agreed, based on an economic effective date of December 31, 2020.
After taking into account the dividends generated by robust 2021 operating cash flows, together with certain adjustments, Glencore stated that it would make a cash payment of $101-million on completion.
“Glencore’s acquisition of Cerrejon is consistent with our climate change strategy and has been factored into our stated emissions reduction targets,” the group reiterated in a statement.
Meanwhile, Anglo American noted that the completion of the transaction marked its final exit from thermal coal operations.