Anglo American PLC, the London-listed mining giant, announced on Monday that it has agreed to sell its minority stake in an Australian coal joint venture to Zashvin Pty Ltd. for AU$1.6 billion (about $1.1 billion). This sale, guided by legal advisers at Latham & Watkins LLP, is part of Anglo American’s strategy to exit the steelmaking coal business and pivot to other minerals deemed essential for a low-carbon future.
Anglo American’s $1.1B Stake Sale : Details of the Transaction with Zashvin Pty Ltd.
The sale involves a 33.3% interest in Jellinbah Group Pty Ltd., a joint venture that operates two key steelmaking coal mines in Queensland, Australia: Jellinbah East and Lake Vermont. Jellinbah Group is a partnership with Marubeni Corp., a Japanese conglomerate, and Zashvin Pty Ltd., a private investment firm owned by billionaire Sam Chong, who has long been involved with the Jellinbah venture.
Zashvin Pty Ltd. executive James Xu highlighted the firm’s dedication to the Australian coal industry and its communities, stating, “Our increased investment not only reflects our confidence in Queensland’s coal industry but also our commitment to supporting the central Queensland community.”
Anglo American’s Focus on “Future-Enabling” Assets
The $1.1 billion sale aligns with Anglo American’s strategic pivot away from coal toward assets supporting clean energy and sustainability goals. Chief Executive Duncan Wanblad confirmed that the company’s efforts to divest from its steelmaking coal business are well underway, with additional transactions expected in the coming months. Wanblad emphasized that Anglo American is focusing on “future-enabling” products, including copper, premium iron ore, and crop nutrients, as part of its long-term plan.
