Rio said to seek bank pitches on $1.5bn coal mine sale

February 16, 2017

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Rio Tinto Group has asked banks to pitch for a role advising on the divestment of its last remaining coal operations in Australia, people with knowledge of the matter said.

The London-based company has decided to pursue a sale of its Hail Creek and Kestrel mines after receiving unsolicited approaches from potential buyers, according to the people, who asked not to be identified because the details are private. The assets in Queensland state’s Bowen Basin, which mainly produce coking coal used in steelmaking, could fetch as much A$2-billion ($1.5-billion), people familiar with the matter said earlier this month.

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