Cockatoo to Develop Mines with KEPCO (SEO:015760) and POSCO (SEO:005490)
07.07.2010 | ABN Newswire
13:59 AEST July 7, 2010 ABN Newswire (C) 2004-2010 Asia Business News PL. All Rights Reserved.Sydney, Australia (ABN Newswire) - Australian miner Cockatoo Coal (ASX: COK) has teamed up with Electricity monopoly Korea Electric Power Corporation (KEPCO) (SEO: 015760) and Korean steel maker POSCO (SEO: 005490) to develop five mines acquired from UK mining company Anglo American (LON: AAL), including two underground coal deposits in New South Wales, and three open-cut coal deposits in Queensland. These undeveloped mines have a total estimated resource of 847-million tons.
Cockatoo has entered into a conditional agreement to acquire Anglo American's interest in three projects in Queensland, and 30 per cent interests in each of two further projects in New South Wales.
The total consideration of the deal between the consortium and Anglo American will be A$580 million. Cockatoo's share of the total purchase price is A$105.5 million. Its 30 per cent interest in Sutton Forest project in NSW will be funded by POSCO subscribing for A$21.5 million worth of shares in Cockatoo at A$0.467 per share, Cockatoo said in a statement.
KEPCO signed a A$400 million contract with Anglo American to buy the Bylong coal mine in New South Wales, which is at the exploration stage.
POSCO has concluded a 50 million dollar contract with Anglo American to take over a 70 percent stake in the Sutton Forest mine 160 km south of Sydney.
Contact:
Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344
Email: michelle.liang@abnnewswire.net
http://www.abnnewswire.net