Business

Anglo-American puts Central Qld mines on the market

ANGLO-AMERICAN has put its Moranbah South, Moranbah North and Grosvenor coalmines up for sale.

The announcement came on Tuesday despite the company denying rumours in December about the sale of the mines, when news broke it would sell more than half its assets globally.

It hopes to reduce its debt to less than $10 billion by the end of 2016, with the goal of reaping $3-4 billion from asset sales this year.

The company's other CQ mines Dawson, Callide and Foxleigh have been on the market since last February.

In a media release Coal COE Seamus French said engagement with potential buyers had begun.

"The Moranbah North, Grosvenor and Moranbah South assets in the Bowen Basin at Moranbah will be sold as a package as one of the most significant, high quality metallurgical coal businesses in the world with a combined resource base of over half a billion tonnes as at 2014.

"The sale process is under way and is expected to take several months."

Moranbah North, Grosvenor and Moranbah South coal mines would be sold as a package due to their locality and because they shared some infrastructure.

Lock the Gate Alliance spokesperson Rick Humphries urged government to ensure the mines were only sold to a company which could ensure rehabilitation costs.

"Anglo American should not be allowed to sell its Grosvenor and Moranbah coalmines without the Queensland Government vetting the buyer to ensure they have the capacity to do the right thing and clean up the mess left behind."

The Australian Manufacturing Workers' Union has called on the company to immediately consult with employees and for Federal Member for Capricornia Michelle Landry to take a stand against any move that would see mass job losses in the region.

Local AMWU Organiser Jason Lund said that members were concerned for their future employment and the survival of local communities.

"Employees at Moranbah North, Grosvenor, Capcoal, Foxleigh, Grasstree, Dawson and Callide mines have been left wondering what's next for their families and whether these changes mean they will lose their jobs," he said.

Dwayne Muller, an employee from German Creek mine, said communities and employees needed to be protected.

"If people leave our region due to a lack of work, our community will see a reduction in services such as housing, schools and health services," he said.

"Whilst the company haven't announced any redundancies or closures yet, the divestment means employees like me and my family are left up in the air."

Anglo-American said any employees made redundant would receive their full entitlements, although none havr been announced.

Topics:  mining


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