Archived article
Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.
Glencore PLC on Friday said sold its wholly owned stake in Cobar Management Pty Ltd, the owner of the Cobar copper mine in New South Wales, Australia.
The Barr, Switzerland-based miner and commodity trader said it has sold the copper mine to Metals Acquisition Corp.
Glencore said it has received $775 million in cash and $100 million in shares on closing. As of Friday, Glencore holds a 20.6% interest in Metals Acquisition.
The transaction also includes a $75 million deferred payment to be paid within 12 months and a $150 million contingent payment contingent upon future copper prices, as well as a 1.5% life of mine net smelter return royalty.
Metals Acquisition will assume ownership and full operational control of the mine and Glencore will offtake 100% of the copper concentrate produced at Cobar.
‘The sale of CSA Mine is consistent with delivering our strategy of simplifying and aligning our global portfolio to focus on lower-cost, long-life assets,’ Glencore said.
‘Glencore will continue to be among Australia’s leading producers and exporters of the metals that underpin the global transition to a low-carbon future.’
Copyright 2023 Alliance News Ltd. All Rights Reserved.