REG - Anglo American PLC - Agreement re sale of steelmaking coal business

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RNS Number : 6905E  Anglo American PLC  18 May 2026

 18 May 2026
 Anglo American agrees sale of steelmaking coal business for up to US$3.875
 billion in cash

Anglo American announces that it has agreed to sell its portfolio of
steelmaking coal mines in Australia ("Steelmaking Coal Portfolio") to Dhilmar
Limited ("Dhilmar") for a cash consideration of up to US$3.875 billion ("the
Transaction").

 

The agreed cash consideration of up to US$3.875 billion comprises an upfront
cash consideration of US$2.3 billion payable by Dhilmar at completion and a
price-linked earnout(1) of up to US$1.575 billion. Anglo American will use the
cash proceeds to reduce net debt.

 

Duncan Wanblad, CEO of Anglo American, said: "Our agreement for Dhilmar to
acquire our steelmaking coal business in Australia is testament to the high
quality of these assets and our people. Dhilmar's leadership brings
considerable experience of operating major mining assets, including in
steelmaking coal, in Southeast Asia and Canada. We will work together with the
Dhilmar team and with our workforce, local communities, government, customers,
and partners to ensure a successful transition.

 

"This agreement represents another major step in the simplification of our
portfolio ahead of completing our merger with Teck. Through this transaction,
we will complete our exit from steelmaking coal, delivering aggregate cash
proceeds of up to US$4.9 billion, given the prior completion of the sale of
our interest in the Jellinbah mine for approximately US$1 billion."

 

The Transaction is subject to a number of conditions, including customary
competition and regulatory clearances, and pre-emption arrangements. The
upfront cash consideration is subject to normal completion adjustments and
completion is expected by the first quarter of 2027.

 

Anglo American's Steelmaking Coal Portfolio consists primarily of an 88.0%
interest in the Moranbah North and Grosvenor joint ventures; a 70% interest in
the Capcoal joint venture; an 86.36% interest in the Roper Creek joint
venture; a 51.0% interest in the Dawson joint venture, Dawson South joint
venture, Dawson South Exploration joint venture and the Theodore South joint
venture; and a 50.0% interest in the Moranbah South joint venture.

 

In parallel with the Transaction, Anglo American continues to pursue the
arbitration with Peabody in relation to its November 2024 agreement to acquire
the Steelmaking Coal Portfolio. Anglo American remains confident that the
incident at Moranbah North relied upon by Peabody in support of its purported
termination of its agreement did not constitute a Material Adverse Change.

 

 

Footnotes:

 

(1)     The price-linked earnout comprises uncapped annual payments
(calculated quarterly) of up to US$1.575 billion in aggregate, applicable for
five years starting from the first day of the quarter following the
transaction completion date. The quarterly payment will be calculated as 50%
of incremental revenue post royalties from equity coal production above agreed
metallurgical and thermal coal index prices. The precise trigger prices above
which payments are made differ by product, but broadly align to PLV HCC
Benchmark prices of US$259/t inflated annually by US CPI from completion.

 

 

 

 

About Dhilmar

Dhilmar is a privately held, UK-registered mining company whose leadership
brings significant experience in mining operations and investments in
established mining jurisdictions and across a range of commodities, in both
surface and underground operations. In 2025, Dhilmar acquired from Newmont
Corporation the Éléonore gold mine in Canada where it has maintained a
strong safety, environmental, and social performance record. The acquisition
of Anglo American's Steelmaking Coal portfolio reflects Dhilmar's continued
focus on owning and operating long-life mining assets and its commitment to
sustainable mining practices.

 

 

For further information, please contact:

 

 Media                                                                              Investors

 UK                                                                                 UK

 James Wyatt-Tilby                                                                  Tyler Broda

 james.wyatt-tilby@angloamerican.com                                                tyler.broda@angloamerican.com
 (mailto:james.wyatt-tilby@angloamerican.com)

                                                                                  Tel: +44 (0)20 7968 1470
 Tel: +44 (0)20 7968 8759

                                                                                  Michelle West-Russell
 Marcelo Esquivel

                                                                                  michelle.west-russell@angloamerican.com
 marcelo.esquivel@angloamerican.com (mailto:marcelo.esquivel@angloamerican.com)     (mailto:michelle.west-russell@angloamerican.com)

 Tel: +44 (0)20 7968 8891                                                           Tel: +44 (0)20 7968 1494

 Rebecca Meeson-Frizelle                                                            Wade Haggarty

                                                                                  wade.haggarty@angloamerican.com (mailto:wade.haggarty@angloamerican.com)
 rebecca.meeson-frizelle@angloamerican.com
Tel: +44 (0)20 7968 1464
 (mailto:rebecca.meeson-frizelle@angloamerican.com)

Nathan Morgan
 Tel: + 44 (0)20 7968 1374                                                          nathan.morgan@angloamerican.com (mailto:nathan.morgan@angloamerican.com)

Tel: +44 (0)20 79682154

 South Africa

 Nevashnee Naicker

 nevashnee.naicker@angloamerican.com

 Tel: +27 (0)11 638 3189

 Ernest Mulibana
 ernest.mulibana@angloamerican.com (mailto:ernest.mulibana@angloamerican.com)

 Tel: +27 (0)82 263 7372

Notes:

Anglo American is a leading global mining company focused on the responsible
production of copper, premium iron ore and crop nutrients - future-enabling
products that are essential for decarbonising the global economy, improving
living standards, and food security. Our portfolio of world-class operations
and outstanding mineral endowments offers value-accretive growth potential
across all three businesses, positioning us to deliver into structurally
attractive major demand growth trends.

 

Our integrated approach to sustainability and innovation drives our
decision-making across the value chain, from how we discover new resources to
how we mine, process, move and market our products to our customers - safely,
efficiently and responsibly. Our Sustainability Strategy commits us to a
series of stretching goals over different time horizons to ensure we build
trust as a corporate leader, contribute to a healthy environment and help
create thriving communities. We work together with our business partners and
diverse stakeholders to unlock enduring value from precious natural resources
for our shareholders, for the benefit of the communities and countries in
which we operate, and for society as a whole. Anglo American is re-imagining
mining to improve people's lives.

 

Anglo American is currently implementing a number of major structural changes
to unlock the inherent value in its portfolio and thereby accelerate delivery
of its strategic priorities of Operational excellence, Portfolio optimisation,
and Growth. The sale of our steelmaking coal and nickel businesses and the
separation of our iconic diamond business (De Beers) continue to progress and
once completed, will focus Anglo American on its world-class resource asset
base in copper, premium iron ore and crop nutrients.

 

www.angloamerican.com (http://www.angloamerican.com)

 

 

 

Group terminology

In this document, references to "Anglo American", the "Anglo American Group",
the "Group", "we", "us", and "our" are to refer to either Anglo American plc
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No representation or warranty, either express or implied, is provided, nor is
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Such forward-looking statements are based on numerous assumptions regarding
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inflation, terrorism, war, conflict, political or civil unrest, uncertainty,
tensions and disputes and economic and financial conditions around the world,
evolving societal and stakeholder requirements and expectations, shortages of
skilled employees, unexpected difficulties relating to acquisitions or
divestitures, competitive pressures and the actions of competitors, activities
by courts, regulators and governmental authorities such as in relation to
permitting or forcing closure of mines and ceasing of operations or
maintenance of Anglo American's assets and changes in taxation or safety,
health, environmental or other types of regulation in the countries where
Anglo American operates, conflicts over land and resource ownership rights and
such other risk factors identified in Anglo American's most recent Annual
Report. Forward-looking statements should therefore be construed in light of
such risk factors, and undue reliance should not be placed on forward-looking
statements. These forward-looking statements speak only as of the date of this
document. Anglo American expressly disclaims any obligation or undertaking
(except as required by applicable law, rules or regulations) to release
publicly any updates or revisions to any forward-looking statement contained
herein to reflect any change in Anglo American's expectations with regard
thereto or any change in events, conditions or circumstances on which any such
statement is based.

Nothing in this document should be interpreted to mean that future earnings
per share of Anglo American will necessarily match or exceed its historical
published earnings per share. Certain statistical and other information
included in this document is sourced from third party sources (including, but
not limited to, externally conducted studies and trials). As such it has not
been independently verified and presents the views of those third parties, but
may not necessarily correspond to the views held by Anglo American and Anglo
American expressly disclaims any responsibility for, or liability in respect
of, such information.

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This document has been prepared without reference to your particular
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Financial Services and Markets Act 2000 in the UK, or in South Africa, under
the Financial Advisory and Intermediary Services Act 37 of 2002 or under any
other applicable legislation).

Alternative Performance Measures

Throughout this document a range of financial and non-financial measures are
used to assess our performance, including a number of financial measures that
are not defined or specified under IFRS (International Financial Reporting
Standards), which are termed 'Alternative Performance Measures' (APMs).
Management uses these measures to monitor the Group's financial performance
alongside IFRS measures to improve the comparability of information between
reporting periods and businesses. These APMs should be considered in addition
to, and not as a substitute for, or as superior to, measures of financial
performance, financial position or cash flows reported in accordance with
IFRS. APMs are not uniformly defined by all companies, including those in the
Group's industry. Accordingly, it may not be comparable with similarly titled
measures and disclosures by other companies.

©Anglo American Services (UK) Ltd 2026.  (TM) and (TM) are trade marks of
Anglo American Services (UK) Ltd.

 

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