Dhilmar Ltd agreed to acquire Portfolio of steelmaking coal mines in Australia from Anglo American plc (LSE:AAL) for $3.9 billion on May 18, 2026. A total cash consideration of up to $3.875 billion, comprises an upfront cash consideration of $2.3 billion payable by Dhilmar at completion and a price-linked earnout of up to $1.575 billion. The price-linked earnout comprises uncapped annual payments (calculated quarterly) of up to $1.575 billion in aggregate, applicable for five years starting from the first day of the quarter following the transaction completion date. Anglo American will use the cash proceeds to reduce net debt. Anglo American?s Steelmaking Coal Portfolio consists primarily of an 88.0% interest in the Moranbah North and Grosvenor joint ventures; a 70% interest in the Capcoal joint venture; an 86.36% interest in the Roper Creek joint venture; a 51.0% interest in the Dawson joint venture, Dawson South joint venture, Dawson South Exploration joint venture and the Theodore South joint venture; and a 50.0% interest in the Moranbah South joint venture. This agreement represents another major step in the simplification of Anglo American plc's portfolio ahead of completing Anglo American plc's merger with Teck. Through this transaction, Anglo American plc will complete exit from steelmaking coal, delivering aggregate cash proceeds of up to $4.9 billion, given the prior completion of the sale of Anglo American plc's interest in the Jellinbah mine for approximately $1 billion.

The Transaction is subject to a number of conditions, including customary competition and regulatory clearances, and pre-emption arrangements. The upfront cash consideration is subject to normal completion adjustments and completion is expected by the first quarter of 2027. Christian McDermott, Hayden Teo, Helen Lethaby, Sam Newhouse, Ludmilla Le Grand and Emily Cridland of Latham & Watkins (London) LLP acted as legal advisor to Anglo American plc. Morgan Stanley & Co. Limited acted as financial advisor to Anglo American plc.