Rio Tinto Australia coking coal assets to attract investors consortium bid

A group of investors, including private equity firms, Apollo Global Management and the Canadian Pension Plan (CPP), are bidding on the coal assets, prices or prices that the mining giant Rio Tinto (RIO.L) will sell, the source said to Reuters. Reaching $ 2 billion.

Kestrel and Hail Creek coking coal mines are responsible for the sale of Credit Suisse, which is part of the Rio Tinto (RIO.AX) exit from the Australian Coal Mine business, focusing on iron ore, copper and aluminum.

Interested bidders are required to submit a preliminary bid proposal by December 8th.

Two sources said that Apollo Global Management and CPP have joined the US coal company Xcoal Energy & Resources and a former Glencore (GLEN.L) high-level team, bid for the assets.

They also pointed out that the Anglo American Group (AAL.L) had expressed interest, but coking coal prospects deteriorated, may be blocked in December to make a formal tender; coking coal contract price fell by 5% in the third quarter.

A source said the Australian Whitehaven Coal may also offer a deal.