here, here, here) has been greeted with a degree of incredulity and indeed anger in some quarters.
Under the terms of the deal, AQC will acquire:
- Anglo American's 83.33% interest in the Dartbrook JV
- a 100% interest in Anglo Coal (Dartbrook Management) Pty Ltd, manager of the Dartbrook JV
- a 83.33% interest in Dartbrook Coal (Sales) Pty Ltd, marketing agent of the Dartbrook JV (
- a A$25 million cash payment
- a royalty over AQC’s share of coal from the Dartbrook joint venture at a rate of A$3.00 per tonne of coal sold or otherwise disposed of and A$0.25 per tonne of any third party coal processed through the Dartbrook infrastructure, but capped at A$25 million (subject to escalation in accordance with CPI).
- in addition, the Company will be replacing approximately A$7.7 million in financial assurances in respect of the Dartbrook mining tenements.
I am not privy to the numbers, but they could well stack up in commercial terms. However, the AQC statement to the Exchange seems remarkably sanguine on two points: the first the likelihood of community support, the second the expectation that environmental approvals will be relatively easy to obtain given nearby mines. Every Hunter Valley coal proposal now meets fierce environmental opposition, while too many people are owed money from Mr Tinkler's previous ventures to provide a basis of trust. Even the unions which normally support mining ventures because of the jobs provided are extremely cautious because of Mr Tinkler's involvement. .