Mallesons, Gilbert + Tobin and Freshfields assisted on producer Yancoal Australia’s proposed acquisition of an 80% interest in the Kestrel coal mine for USD2.4 billion.
Mallesons acted for the sellers of the Kestrel coal mine – a consortium consisting of private equity firm EMR Capital and Adaro Capital, a subsidiary of Adaro Andalan Indonesia.
The firm, led by Sydney-based partners Paul Schroder and Mark Vanderneut, advised on the multi-jurisdictional regulatory framework, including Foreign Investment Review Board and China-related approvals, along with global merger clearances. Further support was provided on foreign investment, antitrust, environment and planning, mining tenements, native title and cultural heritage.
“This was a large-scale, cross-border transaction spanning Australia, China and Indonesia. It required close co-ordination across multiple stakeholders, jurisdictions and legal workstreams. A key feature was the use of warranty and indemnity insurance, which is relatively novel in mining transactions reflecting private equity-style structuring,” Schroder told Asia Business Law Journal.
G+T advised Yancoal, a subsidiary of China-based Yankuang Energy Group Company, on the proposed acquisition, including regulatory and foreign investment approvals. Partners Costas Condoleon, who co-leads G+T’s corporate advisory group, Mark McAleer, the co-lead of the metals and mining sector at the firm, and partner Kevin Ko led the team.
Freshfields also supported Yancoal on the proposed acquisition of Kestrel, a tier-one underground metallurgical coal mine located in Queensland.
Under the terms of the proposed deal, Yancoal will pay USD1.85 billion upfront and up to USD550 million in additional annual payments over five years, subject to coal price performance.
The deal is expected to close by the third quarter of 2026.
