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Johannesburg – Anglo American announced on Monday the completion of the sale of its 83.33 percent interest in the mothballed Dartbrook coal mine located in the Hunter Valley, New South Wales, Australia, to Australian Pacific Coal Limited (AQC).

This follows the announcement of the sale and purchase agreement in December 2015.

When the sale was announced, Anglo said it would sell the Dartbrook coal mine to (AQC) for up to A$50 million (R478.3 million), which included an upfront cash payment of A$25 million, as well as royalties on future production up to an additional A$25 million.

Anglo American agreed to provide AQC with a secured vendor loan of A$7.7 million in connection with the AQC’s acquisition of Anglo’s 83.33 percent share of the Dartbrook Joint Venture.

Anglo said that the sale was consistent with the restructuring and radical restructuring of the portfolio, amounting to a 60 percent reduction in the number of assets, announced in 2015.

Read also: Anglo sells Eskom-tied coal ops

Dartbrook, an underground thermal coal mine and processing infrastructure, has been on care and maintenance since 2006.

AQC’s chief executive, John Robinson, said this was an exciting time and a new era for the company.

AFRICAN NEWS AGENCY