Top Page | English | 简体中文 | 繁體中文 | 한국어 | 日本語
Tuesday, 13 June 2017, 09:48 HKT/SGT
Share:
    

Source: Mitsubishi Corporation
Mitsubishi Corporation has Reached Agreement to Sell its Interests in the Hunter Valley Operations and Warkworth Coal Mines in Australia

TOKYO, June 13, 2017 - (JCN Newswire) - Mitsubishi Corporation (MC) hereby makes an announcement in relation to its interests in the Hunter Valley Operations (HVO) and Warkworth (WW) coal mines in Australia. MC currently holds a 32.4% and 28.9% ownership interest in HVO and WW, respectively, through its wholly owned subsidiary Mitsubishi Development Pty Ltd (MDP).

Following Rio Tinto's agreement to sell 100% of its shares in Coal and Allied Limited (C&A) to Yancoal Australia Ltd (Yancoal), MC has been in discussion with Yancoal in respect of its tag along right(1) triggered by this transaction. MC received an offer from Yancoal for it to purchase MC's interest in HVO for the amount of U$710 million and MC has now accepted this offer. MC has also agreed to grant Yancoal a call option over MC's 28.9% interest in WW requiring MC to sell for the amount of U$230 million in connection with the agreement to sell its HVO interest.

Separately, Glencore has made a proposal to MC for Glencore's purchase of its HVO and WW interest at the price of U$920 million, in connection with Glencore's offer to Rio Tinto to purchase all of the shares in C&A. MC has accepted the proposal, subject to Glencore successfully completing the acquisition of C&A.

Based on its mid-term strategic plan, MC has been taking steps to improve its asset portfolio without increasing its overall investment balance, particularly as it relates to its mineral resources investment business. In line with this strategy, MC has agreed to sell both its interests in HVO and WW to whichever party (being either Yancoal or Glencore) that ultimately becomes the successful purchaser of all of the shares in C&A.

In addition to the divestment of its ownership interest in HVO and WW, MC has also reached an agreement with Yancoal on exclusive thermal coal sales agency arrangements for the Japanese market. Through our mineral resources trading division, MC will continue to contribute to the stable supply of thermal coal to power utilities in Japan and more broadly across Asia, where overall demand for thermal coal is expected to grow. MC has agreed separate arrangements with Glencore regarding the Japanese market.

(1) MC's right to sell its interest in HVO to the third party to which Rio Tinto sells its share of C&A.

Ownership structure of HVO and WW before the transaction
http://www.acnnewswire.com/topimg/Low_MitsubishiHVOWW.jpg


About Mitsubishi Corporation

Mitsubishi Corporation (MC; TSE: 8058) is a global integrated business enterprise that develops and operates businesses across virtually every industry including industrial finance, energy, metals, machinery, chemicals, foods, and environmental business. MC's current activities are expanding far beyond its traditional trading operations as its diverse business ranges from natural resources development to investment in retail business, infrastructure, financial products and manufacturing of industrial goods. With over 200 bases of operations in approximately 80 countries worldwide and a network of over 500 group companies, MC employs a multinational workforce of nearly 60,000 people. For more information, please visit www.mitsubishicorp.com.

Contact:
Mitsubishi Corporation
Telephone: +81 3 3210 2171 
Facsimile: +81 3 5252 7705


June 13, 2017 09:48 HKT/SGT
Source: Mitsubishi Corporation

Mitsubishi Corporation (TSE: 8058)

Topic: Press release summary
Sectors: Energy
http://www.acnnewswire.com
From the Asia Corporate News Network


Copyright © 2017 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.


Multimedia
Ownership structure of HVO and WW before the transaction
View Image
 

Mitsubishi Corporation
Aug 7, 2017 11:13 HKT/SGT
Mitsubishi Corporation: Dhaka Mass Rapid Transit Company Ltd Orders for Supplying Rolling Stock and Maintenance Depot Equipment for the First MRT System in Bangladesh, Dhaka MRT Line-6
July 26, 2017 12:47 HKT/SGT
Mitsubishi Corporation Named Preferred Bidder for Offshore Transmission Asset in the UK
July 4, 2017 15:09 HKT/SGT
Realizing the Vision of "Next-Generation Suburban Town Planning" "DRESSER WISE Tama-Plaza" to be Completed in September 2018
June 14, 2017 18:18 HKT/SGT
Ship-to-ship LNG Bunkering Service Started in the Port of Zeebrugge
Apr 7, 2017 10:51 HKT/SGT
Mitsubishi Corporation to Be Part of Europe's Largest Battery Storage Project in Germany
Apr 5, 2017 15:15 HKT/SGT
Mitsubishi Corporation Power Systems Participates in Biomass Power Generation Project
Mar 28, 2017 09:19 HKT/SGT
Mitsubishi Corporation to Set Up Hospital Management Venture in Myanmar
Feb 28, 2017 12:06 HKT/SGT
Mitsubishi Corporation to Construct Geothermal Plant in Kenya
Feb 15, 2017 18:25 HKT/SGT
World's First Purpose-built LNG Bunkering Vessel Delivered to ENGIE, Fluxys, Mitsubishi Corporation and NYK
Jan 13, 2017 11:10 HKT/SGT
Mitsubishi Corporation and Partners Launch Energy Storage Demonstration Project in Delhi, India
More news >>
 News Alerts
Copyright © 2017 ACN Newswire - Asia Corporate News Network
Home | About us | Services | Partners | Events | Login | Contact us | Privacy Policy | Terms of Use | RSS
US: +1 800 291 0906 | Beijing: +86 10 8405 3688 | Hong Kong: +852 2217 2912 | Singapore: +65 6304 8926 | Tokyo: +81 3 5791 1818

Connect With us: