Australia’s Whitehaven Coal to sell 30% Blackwater stake to Nippon Steel and JFE Steel

Whitehaven Coal has entered into separate deals with Japan’s Nippon Steel and JFE Steel Corp to sell stakes of 20 per cent and 10 per cent, respectively, in its Blackwater coal mine for a total $1.08 billion, the Australian miner said on Thursday.
Australia is the top source of coal for Japan’s steelmakers who have been concerned by the wave of consolidation underway in the country, given growing competition from India and Indonesia for the higher grade fuel.
Blackwater will be owned by Whitehaven, Nippon Steel and JFE Steel via an unincorporated joint venture, which will be managed by Whitehaven, it said.
Whitehaven expects the deals to complete in the first quarter of 2025.
Whitehaven had acquired the Blackwater and Daunia mines from BHP Group in a $4.1 billion deal last October.