Mitsubishi Corporation Reaches Agreement to Sell Interest in Gregory Crinum Coking Coal Mine in Australia

Mitsubishi Corporation (MC) has entered into an agreement with Sojitz Corporation (Sojitz) to sell its 50% interest in BMA’s Gregory Crinum (GC) coking coal mine, which is currently under care and maintenance. The sale will be executed through Mitsubishi Development Pty Ltd (MDP), MC’s wholly-owned subsidiary headquartered in Brisbane, Australia.

 

BHP, the holder of the remaining interest in the GC mine, will also sell their 50% interest to Sojitz. The total sale value of the mine, with interests held by MC and BHP combined, will be A＄100 million (ca. ￥8.2B). Completion of the sale will be subject to fulfillment of conditions precedent, including approval from the Australian government.

 

Based on its “Midterm Strategy 2018,” released in May 2016, MC has been taking steps to improve its asset portfolio while maintaining its size, and the divestment of the GC mine is one part of this strategy.

 

In conjunction with these efforts to optimize its asset portfolio, MC is committed to enhancing the competitiveness of its existing assets through continuous endeavors aimed at reducing cost and improving productivity.

 

The profit from this sale has been included in the full-year earnings forecast for the fiscal year ending March 31, 2019.

 

 

Location of the Gregory Crinum mine

Head Office： 3-1, Marunouchi 2-Chome, Chiyoda-Ku, Tokyo 100-8086, Japan

Main Business： Mitsubishi Corporation is a global integrated business enterprise that develops and operates business across virtually every industry including industrial finance, energy, metals, machinery, chemicals, foods, and environmental business. Mitsubishi Corporation’s current activities are expanding far beyond its traditional trading operations as its diverse business ranges from natural resources development to investment in retail business, infrastructure, financial products and manufacturing of industrial goods.

Representative： Takehiko Kakiuchi, President and CEO

Establishment： 1954

 

Head Office： 171 Collins Street, Melbourne Victoria 3000

Main Business： BHP is a world-leading resources company, extracting and processing minerals, oil and gas, with more than 60,000 employees and contractors, primarily in Australia and the Americas. Products are sold worldwide, with sales and marketing led through Singapore and Houston, United States. Our global headquarters are in Melbourne, Australia.

Representative： Andrew Mackenzie, Chief Executive Officer

Establishment： 1873

 

Head Office： 1-1, Uchisaiwaicho 2-chome, Chiyoda-ku, Tokyo 100-8691, Japan

Main Business： Sojitz Corporation is a global integrated business enterprise engaged in a wide range of businesses globally, including buying, selling, importing, and exporting goods, manufacturing and selling products, providing services, and planning and coordinating projects, in Japan and overseas. The Group also invests in various sectors and conducts financing activities. The broad range of sectors in which Sojitz operates includes those related to automobiles, plants, energy, mineral resources, chemicals, foodstuff resources, agricultural and forestry resources, consumer goods, and industrial parks.

Representative： Masayoshi Fujimoto, President and CEO

Establishment： 2003