Anglo American Agrees to Sell Coal Assets

Anglo American has finalized a deal to sell its remaining Australian coal mines for steelmaking to Peabody Energy for up to $3.8 billion, marking a significant step in its strategy to pivot towards copper, premium iron ore, and crop nutrients. The agreement includes an upfront payment of $2.1 billion, with additional payments contingent on coal prices and the reopening of the Grosvenor mine. This sale follows a previous transaction involving the Jellinbah coal mine, bringing total proceeds from coal asset sales to approximately $4.9 billion. The move is part of a broader restructuring effort by Anglo American after rejecting a $49 billion takeover bid from BHP earlier this year. The deal is expected to close by the third quarter of 2025, pending regulatory approvals. Chief Executive Duncan Wanblad emphasized the importance of this sale in streamlining the company's operations and enhancing its market resilience.