Anglo American has agreed to sell its coal mines and steelmaking coal portfolio in Australia to the mining firm Dhilmar Limited for a cash consideration of up to $3.875 billion. The operation is part of the company’s strategy to simplify its asset portfolio and strengthen its financial position.
The agreement includes an initial payment of $2.3 billion upon closing the transaction and an additional payment contingent on coal prices that could reach up to $1.575 billion. The British company indicated that it will use the proceeds to reduce its net debt.
Anglo American accelerates its exit from steelmaking coal
The sale represents a new step in the corporate reorganization driven by Anglo American as it continues its process of operational simplification and the integration related to its future merger with Teck.
Duncan Wanblad, CEO of Anglo American, noted that the transaction demonstrates the quality of the Australian assets and the operational teams involved. The executive also highlighted Dhilmar’s experience in managing mining assets across different jurisdictions.
Furthermore, Wanblad explained that the company will complete its exit from the steelmaking coal business following this operation. As he indicated, Anglo American had already obtained nearly $1 billion from the previous sale of its stake in the Jellinbah mine.
Anglo coal mines include key assets in Queensland
Anglo American’s steelmaking coal portfolio is composed of interests in several joint ventures located in Australia. Notable among them are Moranbah North and Grosvenor with an 88% stake, as well as Capcoal with 70%.
The company also maintains interests in Roper Creek, Dawson, Dawson South, Theodore South, and Moranbah South, assets considered relevant for the supply of coal used in global steel production.
These mines operate primarily in Queensland and are part of one of the most important regions for steelmaking coal exports to Asia.
Dhilmar expands its international mining presence
Dhilmar is a private mining company registered in the United Kingdom that has recently expanded its presence in international mining assets. In 2025, it acquired the Éléonore gold mine from Newmont Corporation in Canada.
The company indicated that the purchase of the Anglo American portfolio aligns with its strategy to operate long-life assets and maintain standards of sustainability, safety, and environmental responsibility.
Dhilmar’s management team has experience in underground mining and open-pit operations across various commodities and established jurisdictions.
The operation is still subject to regulatory approvals
The transaction is still subject to regulatory authorizations, competition approvals, and agreements related to pre-emptive rights. Anglo American expects to complete the closing during the first quarter of 2027.
In parallel, the miner is continuing arbitration with Peabody related to the agreement signed in November 2024 for the acquisition of the same steelmaking coal portfolio.
The company maintains that the incident recorded at Moranbah North does not constitute a material adverse change that justifies the termination of the agreement proposed by Peabody.
Source and photo: Anglo American