Anglo American Sells Australian Coal Mines for Up to $3.88 Billion as Mining Giant Accelerates Shift Toward Copper and Energy Transition Minerals
Anglo American, the global mining giant founded by South African billionaire , has announced a landmark agreement to sell its Australian steelmaking coal business for up to $3.88 billion, marking another major step in the company’s sweeping transformation strategy focused on copper and iron ore.
The transaction will see Anglo American divest its Queensland Bowen Basin coal assets to London based mining company as the miner accelerates efforts to streamline operations, reduce debt and reposition itself around minerals expected to play a critical role in the global energy transition.
Under the agreement, Anglo American will receive $2.3 billion in upfront cash, with the potential for an additional $1.58 billion in performance-linked payments tied to future coal prices, bringing the total value of the deal to as much as $3.88 billion.
The sale represents a defining moment in Anglo American’s ongoing restructuring programme and effectively completes the company’s planned exit from steelmaking coal.
Chief Executive Officer described the transaction as a key milestone in reshaping the company’s long-term future.
“Through this transaction, we will complete our exit from steelmaking coal,” Wanblad stated, reinforcing the miner’s commitment to focusing on high-growth commodities such as copper and premium iron ore.
Founded in South Africa and once regarded as one of Africa’s most influential mining empires, has evolved into a global mining powerhouse headquartered in London while maintaining deep historical ties to South Africa through its Johannesburg Stock Exchange listing and strategic investments.
The latest divestment highlights Anglo American’s broader strategic pivot toward transition minerals, particularly copper, which is expected to experience surging global demand due to the rapid expansion of electric vehicles, renewable energy infrastructure and modern electricity grids.
The company has intensified its restructuring efforts in recent years as it seeks to sharpen operational efficiency, strengthen its balance sheet and prioritise assets positioned to benefit from the global clean energy transition.
The transformation drive accelerated significantly after Anglo American successfully resisted a $49 billion takeover bid from rival mining giant . Following the failed takeover attempt, the miner moved aggressively to reshape its portfolio and unlock shareholder value.
In September 2025, Anglo American further demonstrated its ambitions by unveiling plans for a $53 billion all-stock merger with Canadian mining company . The proposed merger is expected to create the world’s fifth-largest copper producer, positioning the combined company among industry leaders such as , and .
Despite its strategic progress, Anglo American’s restructuring programme has weighed heavily on short-term financial performance. The miner reported a net loss of $3.17 billion for the 2025 financial year, compared with a $2.79 billion loss recorded in 2024. The losses were largely attributed to restructuring costs, the demerger of its platinum division and writedowns associated with its diamond business, Copper production also declined by 10% in 2025 to 695,000 metric tonnes, placing output at the lower end of company guidance. Nevertheless, Anglo American remains one of the world’s most valuable mining companies, with a market valuation estimated at approximately $56 billion.
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Alongside the coal divestment, Anglo American is also reviewing strategic options for De Beers amid prolonged weakness in global diamond demand. The Botswana government, which currently owns a 15% stake in De Beers, has reportedly expressed interest in increasing its ownership position as discussions around the future of the iconic diamond business continue.
At the same time, Anglo American has signalled that it intends to retain its stake in , underlining the company’s continued commitment to selected South African-linked operations.
The latest agreement with Dhilmar comes after Anglo American’s previous attempt to sell the same Australian coal assets to U.S.-based for $3.78 billion collapsed following a mine fire that disrupted negotiations between the parties.
Anglo American has since initiated arbitration proceedings against Peabody over the failed transaction.
For Dhilmar, the acquisition marks another significant expansion of its global mining footprint. The privately held company recently acquired the Eleonore gold mine in Canada from , further strengthening its position in the international mining sector.
The $3.88 billion deal underscores the accelerating transformation taking place across the global mining industry as companies reposition portfolios around minerals critical to the future of clean energy, industrial growth and global infrastructure development.
