This boosts the China-backed Yancoal’s position in the Hunter Valley coal mining region of New South Wales.
The acquisition of the stake from Mitsubishi Development Pty Ltd is a result of Yancoal exercising a call option outlined in September 2017.
Boosts total stake to 84% in Warkworth joint venture
Yancoal now owns 84.47% of the Warkworth joint venture.
This will increase Yancoal’s share of coal production from the integrated Mount Thorley Warkworth operations from 64.1% to 82.9%.
Rio Tinto exited the Hunter Valley in 2017
Rio Tinto departed the Hunter Valley and the thermal coal sector in September last year after Yancoal agreed to buy its Coal & Allied operations for $US2.69 billion.