Stanmore Resources Limited’s US$1.35 Billion Acquisition of a Majority Interest in BHP Mitsui Coal

Norton Rose Fulbright has advised Stanmore Resources Limited on the deal.

Stanmore Resources Limited (Stanmore), on its execution of an agreement to acquire all of the shares in Dampier Coal (Queensland) Pty Ltd, which owns an 80% interest in BHP Mitsui Coal (BMC), for consideration of up to US$1.35 billion.

BMC owns several significant metallurgical coal mining projects, including South Walker Creek and Poitrel mines in Queensland’s Bowen Basin, as well as the undeveloped Wards Well coal project. South Walker Creek and Poitrel together have metallurgical coal production of about 10Mt per annum and total marketable reserves of over 135Mt.

The acquisition is transformational for Stanmore, making it one of the largest mining companies in Queensland and one of Australia’s biggest metallurgical coal businesses. BMC’s assets are in close proximity to Stanmore’s existing operating assets and there is potential for the combined group to benefit from shared infrastructure, corporate functions and coal blending opportunities.

Norton Rose Fulbright’s multi-jurisdictional team, led by partners Adam Edelman (Picture), David Jewkes and Keira Brennan, leveraged deep mining and M&A experience across the firm’s corporate, projects, banking & finance, regulatory and tax teams to advise on all aspects of the transaction. Adam, David and Keira were supported by partners Alen Pazin, Claire Forster and Adam Smith, as well as special counsel Herman Yip; senior associate Ellen Whittred; associates Mauricio Da Rocha, Kellie Hayman, Morgan Woodland, Laura Martin and Amelia Martin; and lawyers Chris Minus and Ellen Pen.

Involved fees earner: Keira Brennan – Norton Rose Fulbright; Adam Edelman – Norton Rose Fulbright; Claire Forster – Norton Rose Fulbright; Kellie Hayman – Norton Rose Fulbright; David Jewkes – Norton Rose Fulbright; Alen Pazin – Norton Rose Fulbright; Adam Smith – Norton Rose Fulbright; Ellen Whittred – Norton Rose Fulbright;

Law Firms: Norton Rose Fulbright;

Clients: Stanmore Resources Limited;

Author: Giulia Di Palma