Four law firms are acting on Australian producer Whitehaven Coal’s divestment of two stakes in the Blackwater mine in Central Queensland to Nippon Steel Corporation and JFE Steel Corporation for USD1.08 billion.
Nishimura & Asahi, Clayton Utz and Allens are advising on Whitehaven Coal’s USD720 million sale of a 20% stake, while Jones Day and Allens are acting as deal counsel on a concurrent USD360 million divestment of a 10% interest in the mine.
The two separate share acquisition transactions both involved the signing of a long-term offtake agreement for coal produced at the Blackwater mine to be supplied by Whitehaven Coal to Nippon Steel and JFE Steel, respectively.
As long-term consumers of metallurgical coal from the Blackwater mine, Nippon Steel and JFE Steel will jointly own the mine with Whitehaven Coal via an unincorporated joint venture, which will be managed by the Australian coal producer, a 22 August press release on the Australian Securities Exchange.
Nishimura & Asahi and Clayton Utz are representing Nippon Steel in its purchase of the 20% stake in Blackwater mine, with Allens advising Whitehaven Coal on the sale. The Clayton Utz team is being led by partners Samy Mansour, Joel von Thien and Stuart MacGregor, while partner Richard Malcolmson is heading the Allens team.
Malcolmson is also acting as the lead partner for Allens assisting Whitehaven Coal in selling the 10% stake in the Blackwater mine to JFE Steel, which is being counselled by Jones Day, Allens told Asia Business Law Journal.
Both transactions are expected to close in the first quarter of next year.
In Japan, Nippon Steel is the largest steelmaker, JFE Steel is the second largest integrated steelmaker.
