Glencore to acquire 49% of Hunter Valley Operations

Diversified mining and marketing company Glencore announced on Thursday that it had signed agreements with Yancoal Australia Limited (Yancoal) to acquire a 49% interest in the Hunter Valley Operations (HVO) coal mine in New South Wales and form a joint venture (JV) following Yancoal's acquisition of Coal & Allied (C&A) from Rio Tinto. Glencore will pay  $1 139-million cash plus a 27.9% share of $240-million non-contingent royalties over five years and 49% of price contingent royalties payable by Yancoal to Rio Tinto on production from HVO in respect of the C&A acquisition.