Australian coal miner Whitehaven is on track to double the size of its business and transform the company into a leading metallurgical coal producer.
The ASX-listed miner has satisfied all conditions precedent to allow for the completion of its acquisition of the Daunia and Blackwater mines from the BHP Mitsubishi Alliance (BMA).
On completion on April 2, Whitehaven will pay $2-billion to BMA, which is the balance of the upfront consideration together with customary completion adjustments, to be funded by a $1.1-billion term facility and cash held on the balance sheet.
MD and CEO Paul Flynn said Whitehaven and BMA were well prepared for a smooth transition.
“I thank the teams at Whitehaven, BMA, BHP and Mitsubishi who have been working hard preparing for the transition. We are well placed to take ownership of the new assets and to seamlessly maintain supply for our steel-producing customers across Asia. I also thank our shareholders, suppliers, community members and other important stakeholders who have supported us through the acquisition process,” said Flynn.