Anglo American sells Australian coal JV stake for $1.1 billion
Anglo has agreed to sell its 33.3% stake in Jellinbah Group, a JV that owns 70% interest in the Jellinbah East and Lake Vermont coal mines.
Australia’s Kibaran Resources Ltd said on Tuesday its proposed production facility at Kwinana, near Perth in Western Australia, would manufacture battery graphite worth $72 million a year for export.
The company said an engineering study had found the plant would be financially and technically robust, and it forecast an up-front capital cost of $22.8 million for initial production of 5,000 tonnes a year.
Further out, production could be expanded to 20,000 tonnes a year of battery-grade graphite at a cost of $49.2 million, it said.
The graphite processed at the facility will be exported to lithium-ion battery customers in Asia, Europe and the United States.
The graphite-focused explorer said the plant was estimated to generate annual earnings before interest, tax, depreciation and amortization (EBITDA) of $35 million.
Kibaran will now seek to secure funding and environmental approvals for the facility, it said in a statement.
Asian battery manufacturers have been turning to battery metals miners in Australia, ahead of expected shortages as demand for electric vehicles revs up.
(By Shanima A; Editing by Richard Pullin)
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