Joint Venture and Global Role
The Blackwater and Daunia mines form part of a coal joint venture between BHP and Mitsubishi Development in Queensland. This venture, known as the BHP-Mitsubishi Alliance, holds a 50% stake from each partner. It has earned its reputation as the largest exporter of steelmaking coal worldwide and manages seven mines located in Queensland’s Bowen Basin.
This sale represents a strategic decision by BHP and Mitsubishi to reduce their involvement in fossil fuel operations within Australia, in a bid to decrease their reliance on coal assets. Geraldine Slattery, President of Minerals in Australia at BHP, commented on the move, stating, “this transaction has delivered a good outcome for the BHP Mitsubishi Alliance, our workforce, and the communities around the Blackwater and Daunia operations.”
For Whitehaven, this acquisition signifies a substantial step forward in becoming a prominent coking coal producer. The miner plans to fund the transaction using a combination of cash and a bridge loan.
