Mitsui and Cockatoo enter agreement over Surat Basin coal assets From: The Australian September 11, 2010 12:00AM
JUNIOR coalminer Cockatoo Coal will broaden its relationship with Japan's Mitsui & Co over coal assets in Queensland's Surat Basin.
According to Cockatoo, it has entered an exclusivity agreement with Mitsui over 3900sq km of coal tenements in which it currently holds 100 per cent interest, with a view to allowing the trader to take significant stakes in the projects.
"The rationale . . . is to facilitate the study of a proposed equalisation of interests between the company and Mitsui in these tenements (to) enhance the development of the company's Surat Basin tenements," the company's statement to the Australian Securities Exchange says.
Mitsui holds a number of junior stakes in Australian mining assets, particularly coal and iron ore, and is a 49 per cent joint venture partner in Cockatoo's Collingwood and Taroom thermal coalmines in the Surat Basin.
Cockatoo bought its majority stakes in the assets from Anglo American as part of a consortium deal with Korean steel producers in July.
The company's shares jumped 2.5c to 52.5c on the ASX yesterday.
