Anglo American will not proceed with Mozambique coal acquisition

Anglo American has announced that it will not to proceed with the acquisition of a 58.9% interest in the Revuboè metallurgical coal project in Mozambique from the Talbot Estate.

According to a company statement, the transaction had not met the conditions to which it was subject.

Anglo American expects to continue with its objective of establishing a position in the emerging metallurgical coal basin in Mozambique.

The Revuboè project is a joint venture partnership and includes Nippon Steel Corp. (33.3% interest) and POSCO (7.8% interest).

Mozambique’s coal industry has faced a number of challenges in recent months. Heavy rains forced the Sena railway, which links the mines in Tete province and the Port of Beira, to close in February, disrupting coal shipments. Earlier this year Rio Tinto took a US$ 3 billion writedown on its investments in the country as concerns over logistics grow.

Adapted from press release by Jonathan Rowland.

Read the article online at: https://www.worldcoal.com/mining/28032013/anglo_american_will_not_proceed_with_-revubo%C3%A8_acquisition/