Sale of Palabora shareholding

RNS Number : 2604T

Anglo American PLC

11 December 2012

 



11 December 2012
Anglo American agrees sale of shareholding in Palabora

Anglo American plc ("Anglo American") announces that it has reached a binding agreement to sell its 16.8% effective interest in Palabora Mining Company Limited ("Palabora") for ZAR893 million (approximately $103 million). As stated previously, Anglo American participated in the sale process led by Rio Tinto which holds a 57.7% effective interest in Palabora.

The purchaser is a consortium comprising South African and Chinese entities led by the Industrial Development Corporation of South Africa Limited and Hebei Iron & Steel Group, who are committed to the ongoing sustainable management of Palabora.

The sale is subject to customary regulatory approvals in South Africa and China which are expected to take four to six months. The purchase price is subject to customary adjustments upon closing.

 

 

 

Notes to editors:

Palabora's principal asset is a copper mine in South Africa which also produces vermiculite and magnetite.

The purchasing consortium comprises the following parties (respective interests in brackets):

·      Hebei Iron & Steel Group (35%), a leading international steel producer wholly-owned by the Chinese Government;

·      The Industrial Development Corporation of South Africa Limited (20%), a development institution wholly-owned by the South African Government;

·      Tewoo Group Co., Ltd (20%), a diversified group wholly-owned by the Chinese Government; and

·      General Nice Development Ltd (25%), a privately-owned Chinese trading company.

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

For further information, please contact:

Media		Investors
UK James Wyatt-Tilby Tel: [phone]		UK Leng Lau Tel: [phone]
Emily Blyth Tel: [phone]		Caroline Crampton Tel: [phone]
South Africa Pranill Ramchander Tel: [phone]		Sarah McNally Tel: [phone]

 

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