S32 has a strategic focus on metals. We're certainly not alone...

S32 has a strategic focus on metals. We're certainly not alone in world commodity majors looking to move away from coal. I'm completely agnostic on it as an investment. I'd gladly hold it (but don't own any stocks) but am happy to see S32 divest it.

To get Eagle Downs operational would require borrowing money to fund its development. That money is needed elsewhere. In a world where S32 had only two or three commodities/sites, and a tonne of cash on the balance sheet (eg Pilbara Minerals).... then maybe.

This has been a distraction for years. And costing us money the longer it has dragged on. Let one of the coal-focused companies develop it. We're in the base metals business. Whilst Illawarra is highly profitable and a great contributor for us (hopefully for many years to come) I see no reason to add another project which we would have needed to fund.

That's without considering the ESG and woke issues that surround every decision in 2024. Let someone else deal with it. It's a distraction we don't need. We've got demands of a couple of billion dollars for Hermosa (the future) and expanding our copper operation ahead of us.

Well done to GK and the team, and Macquarie for organising a deal. With Bao Steel's involvement as a complication, it must have been tricky. Reading between the lines of Stanmore's release to see they've been negotiating with Bao Steel to acquire more of the project, I'd say we found ourselves a committed buyer.