Anglo American to sell Australian coal mines for up to US$3.88 billion
It exits the sector ahead of a planned merger with Canada’s Teck Resources to form a copper-focused heavyweight
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[BENGALURU] Anglo American said on Monday (May 18) that it will sell its steelmaking coal mines in Australia to UK-based miner Dhilmar for up to US$3.88 billion.
It plans on exiting the sector, cutting debt and streamlining assets ahead of a planned merger with Canada’s Teck Resources.
London-listed Anglo is selling the mines in Queensland’s Bowen Basin, the world’s top steelmaking coal region, as part of its plan to divest or spin off non-core assets.
The deal comprises US$2.3 billion in upfront cash and up to US$1.58 billion linked to coal prices, with proceeds earmarked to cut debt, the company added.
“Through this transaction, we will complete our exit from steelmaking coal,” Anglo’s CEO Duncan Wanblad said.
This comes ahead of completing the merger with Teck Resources to form a copper-focused heavyweight.
In 2025, coal producer Peabody withdrew its US$3.78 billion bid for Anglo’s Australian coking coal assets, after the two companies failed to agree on lowering the price following a mine fire.
In parallel with Monday’s deal, Anglo continues to pursue the arbitration with Peabody over the collapsed deal, the British firm said. REUTERS
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