Anglo American confirms completion of the sale of its Eskom-tied domestic thermal coal operations in South Africa to Seriti.
The consideration payable for the Operations as at 1 January 2017 is ZAR2.3 billion, approximately $164 million.
“We are pleased to have completed the sale of our Eskom-tied domestic thermal coal operations in South Africa to Seriti. This transaction continues the reshaping of our global asset portfolio based on value and the optimal deployment of capital, while realising value for our shareholders and ensuring reliable supply of coal to Eskom,” says Mark Cutifani, Chief Executive of Anglo American.
“We believe the conclusion of the sale to Seriti, a broad-based, majority black-owned and controlled South African mining company, represents a major step change in transformation in the coal (and broader mining) sector, reinforcing Anglo American’s longstanding track record, and commitment to, economic empowerment and sustainable transformation,” Norman Mbazima, Anglo American South Africa Deputy Chairman.
The Operations consist of the New Vaal, New Denmark and Kriel collieries, as well as four closed collieries.