Japanese steelmaker Nippon Steel Corporation has, through its Australian subsidiary, entered into an agreement, together with its Japanese partners, to acquire a part of the mining interests of the Grosvenor Coal Mine from Anglo American, a leading mining company.
The value of the acquisition is AUD 86.4 million (approximately JPY 6.6 billion), which represents an interest ratio of 5%.
The Grosvenor Coal Mine is located in the state of Queensland, Australia and, says Nippon Steel, has been producing high quality coking coal with competitive mining cost since 2016. The mine is adjacent to the Moranbah North Coal Mine, in which Nippon Steel is currently participating alongside Anglo American. The Grosvenor Coal Mine shares surface facilities with the Moranbah North Coal Mine. The fact that Nippon Steel's latest transaction has the same interest ratio (5%) as Nippon's involvement with the Moranbah North Coal Mine, means that the joint venture managing both mines can achieve further improvements in operational efficiency and increase production through integration.
Nippon Steel will continue efforts to secure medium- and long-term stability in raw-materials procurement while continuing to strengthen its ties with raw materials producers for iron- and steelmaking going forward.
