Brazilian mining giant Vale (NYSE:VALE) has sold its second Australian coal mine in a month to Bloomfield Group and Glencore. Now, about 65% of the miner’s coal output will be generated by Vale’s flagship Moatize project in Mozambique.
The Integra coal mine complex, located in New South Wales’ Hunter Valley, has been on “care and maintenance” for about a year, as Vale decided the operation was not economically viable.
The sale follows last month’s touted deal with Stanmore Coal, which bought the Rio de Janeiro-based company’s Isaac Plains coking and thermal coal mine for just a dollar, after the project was valued at $613 million only three years ago.
The divestment of Isaac Plains and the closing and now sale of Integra Coal has led to a 7.2% reduction in Vale’s total coal output, as reflected in the company’s results for the first half of 2015.
Now, about 65% of the miner’s coal output will be generated by Vale’s flagship Moatize project in Mozambique.