Chinese miner Yancoal’s ambitious bid for Rio Tinto coal assets in the Hunter Valley has suffered a major setback, following the surprise announcement of a rival offer… Read more “Yancoal mega-deal under threat as Rio Tinto weighs up ‘superior bid’ from Glencore “
Yanzhou, China’s fourth biggest state-owned coal miner, has confirmed that subsidiary Yancoal’s bid for Coal & Allied assets in NSW would give China a “big say” in international coal price negotiations.
The Australian has reported that Yancoal’s proposed acquisition of Coal & Allied assets in NSW is far from a done deal.
Companies that rely on Newcastle Port to export Australian coal are worried that Yancoal’s Coal & Allied deal could push up costs and create market distortion, it has been reported.
China’s Premier Li Keqiang has just concluded an official five-day visit to Australia, focused on boosting trade ties between the two countries.
Chinese mining company Yancoal is hoping to raise $3.2 billion to buy coal assets in the Hunter Valley, as well as a significant stake in Newcastle Port. If successful, the move would make Yancoal the biggest pure-play coal producer in Australia.
China is looking to further strengthen its influence over the global coal market, industry analysts have suggested.
Vessel queues at Newcastle Port have leapt to a six-week high, underlining the importance of the world’s largest coal export terminal.