Rio Tinto completes sale of Bengalla Joint Venture for $616.7 million

Rio Tinto has completed the sale of its 40 percent interest in the Bengalla coal Joint Venture in Australia to New Hope Corporation Limited for $616.7 million.

According to the mining company, a change to the ownership structure of Coal & Allied completed on February 3, 2016 helped enable this transaction. Rio Tinto has now announced or completed $4.7 billion of divestments since January 2013. 

• Related: Rio Tinto delivers underlying earnings of $4.5 billion, maintains 2015 full year dividend

As a 100 percent owner of Coal & Allied, Rio Tinto: receives all consideration associated with the sale of Rio Tinto’s interest in the Bengalla Joint Venture; holds a 67.6 percent interest with management rights in the Hunter Valley Operations mine; holds interests of 80 percent and 55.6 percent respectively, with management rights, in the integrated Mount Thorley and Warkworth operations; and currently holds 100 percent interest in the Mount Pleasant project.

On January 27 2016, Rio Tinto announced it had reached a binding agreement for the sale of Mount Pleasant to MACH Energy Australia for $224 million plus royalties. The sale is expected to close in the second half of 2016.

Mitsubishi Development has moved from holding a 20 percent stake in Coal & Allied to holding a direct 32.4 percent stake in the Hunter Valley Operations mine.

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