Yancoal Completes Acquisition of 80% Kestrel Coal Mine Stake
MT Newswires Live
Yesterday
Yancoal Australia (HKG:3668, ASX:YAL) completed the acquisition of an 80% interest in the Kestrel Coal Mine in Queensland's Bowen Basin for an upfront cash consideration of $1.85 billion, according to a Thursday Hong Kong bourse filing.
The acquisition was funded through available cash and an initial drawdown under a five-year, $1.20 billion syndicated acquisition loan facility.
Yancoal said it may pay up to $550 million in contingent cash consideration if the relevant benchmark coal price exceeds $225 a tonne in any of the first five years after completion.
The company will recognize its share of Kestrel's attributable production, revenue and earnings from Oct. 1.
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