A worker walks past a board outside Anglo American offices in Johannesburg. Picture:  REUTERS/SIPHIWE SIBEKO
A worker walks past a board outside Anglo American offices in Johannesburg. Picture: REUTERS/SIPHIWE SIBEKO

ANGLO American continued the sale of assets outlined by its CEO Mark Cutifani last year, agreeing to sell its Callide thermal coal mine in Australia.

Anglo has embarked on a sale of assets to reduce debt and to focus on 20-25 core mines in diamonds, industrial minerals, including platinum, and bulk commodities such as iron ore and coal. At the end of last year, Anglo had 55 mines. Mr Cutifani said in July last year that Anglo wanted to raise at least $3bn from asset sales.

Anglo is cutting its workforce to fewer than 50,000 people from 135,000 last year, with most of that reduction coming from the sale of assets.

The price of the sale of the opencast Callide mine, which produced 7.6-million tonnes of coal in 2014, to Batchfire Resources was confidential and there were a number of conditions still to be met, Anglo said.

In the first nine months of last year, the mine produced 5.6-million tonnes of coal and the operation’s production largely went to supplying local power stations.

Anglo said last week that it had completed its exit from its Tarmac business with the sale of assets in the Middle East to Colas Moyen Orient, a subsidiary of French engineering and construction company Bouygues Group. The terms of the sale were confidential.