Anglo American sale of 70% interest in Amap?

RNS Number : 8106U

Anglo American PLC

04 January 2013

 



4 January 2013
Anglo American agrees sale of its 70% interest in Amapá iron ore mine

Anglo American plc ("Anglo American") announces the sale of its 70% interest in the Amapá iron ore operation in Brazil to Zamin Ferrous Ltd. ("Zamin"). The terms of the transaction are confidential and the transaction is subject to state regulatory approval.

Anglo American has always maintained that it does not envisage holding its interest in Amapá over the long term and, in July 2012, reported that it had transferred responsibility for Amapá to its Other Mining and Industrial business unit and stated that it was exploring the possibility of divesting its interest.

Anglo American has transformed the operational performance of Amapá since acquisition in 2008, increasing production from 1.2 Mt in 2008 to 4.8 Mt in 2011.

The transaction is expected to complete in 2013.

For further information, please contact:

Media		Investors
UK Emily Blyth Tel: [phone]		UK Caroline Crampton Tel: [phone] Sarah McNally Tel: [phone]

Notes to editors:

Anglo American is one of the world's largest mining companies, is headquartered in the UK and listed on the London and Johannesburg stock exchanges. Anglo American's portfolio of mining businesses spans bulk commodities - iron ore and manganese, metallurgical coal and thermal coal; base metals - copper and nickel; and precious metals and minerals - in which it is a global leader in both platinum and diamonds.  Anglo American is committed to the highest standards of safety and responsibility across all its businesses and geographies and to making a sustainable difference in the development of the communities around its operations. The company's mining operations, extensive pipeline of growth projects and exploration activities span southern Africa, South America, Australia, North America, Asia and Europe.

www.angloamerican.com

Zamin Ferrous is a private international mining group that has been operating in Brazil since 2005 and owns three significant assets with a combined 1500 Mt potential resource in Brazil as well as the 2500 Mt Valentines Project in Uruguay. Zamin owns the Zamapa iron ore processing facility in Amapa state with a total of 200 employees, which will produce 1.5 Mt of iron ore in 2013. It also owns 50% of the Susa iron project, which is located in the state of Rio Grande Norte and the Greystone project, a large iron ore deposit in the south east of Bahia State. Shipments from Susa and Zamapa began in 2011 and on-going exploration at Greystone has proven a 284 Mt resource, with a potential resource of 700 Mt. Zamin sold its Bamin project in the State of Bahia to ENRC for total compensation of $1 billion paid in 2008 and 2010.

Zamin has completed a definitive feasibility study for its 18 Mtpa Valentines project in Uruguay with top international consultants SNC Lavalin and Ausenco Sandwell. It has submitted its environmental impact statement to the Uruguayan regulatory authorities and expects to receive its license to commence construction for the Project in late 2013. Valentines is targeting production in early 2016. Zamin Ferrous aspires to be a leading natural resources company and in so doing follows a strict policy of NO HARM to its employees, its host communities and the environment. Zamin upholds a strong set of values and encourages its employees, contractors, suppliers, customers, business partners and host communities in sharing the responsibility for meeting its goals. www.zaminferrous.com

 

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