On 1 June, Vale announced it had acquired a further 24.5% interest in the Belvedere coal project from AMCI Investments Pty Ltd (AMCI). As a result of the US$92 million deal, Vale’s stake in the project now stands at 75.5%.
Belvedere is an underground coal project in the Bowen Basin region, close to the town of Moura in Queensland, Australia. According to our preliminary estimates, once Belvedere is up and running, it will be capable of producing up to 7.0 million metric tons of metallurgical coal per year.
The price paid in this transaction was agreed before the Australian government’s recent proposal to levy a new mining tax.