El Salvador lawmakers overturn mining ban Bukele called absurd
El Salvador became the first country in the world to ban all forms of metals mining in 2017.
Mining streaming company Anglo Pacific could be open to selling its thermal coal royalties to accelerate its transition away from the most polluting fossil fuel, chief executive Julian Treger said on Wednesday.
The London-listed company aims to decrease its reliance on coal and steel and attract a broader base of investors by adding more battery metals, including lithium, manganese and copper, to its streaming and royalty portfolio, Treger said.
A form of mining financing, royalties are payments that give the owner the right to receive a percentage of production from a mining operation, or retain a stake in it, in exchange for upfront payments to the producer.
Anglo Pacific has recently bought a share of cobalt production from Vale’s Voisey’s Bay mine in Canada for $205 million, marking the start of the transition to cleaner resources.
Cobalt, whose price has quadrupled in two years, is also one of the metals used to make batteries for electric vehicles.
With this acquisition, Anglo’s exposure to coal and steel has gone down to around 20%, from 50% previously, but the company aims to take that “well below 20% by the end of the year via further acquisitions,” Treger said.
The company is working on a base metals transaction that will require an upfront payment of $50 million, it previously said.
Its main thermal coal asset, Narrabri in Australia, contributed less than 10% to the company’s 2020 revenue.
(By Clara Denina; Editing by Mark Potter)
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