Anglo American To Sell Nickel Business For Up To 500m

Anglo American said on Tuesday it will sell its nickel business to a unit of Hong Kong-listed MMG Ltd for up to 500 million, as a broader restructuring aimed at refocusing its operations on copper and iron ore mining is well under way.

The nickel business includes two ferronickel and two greenfield projects in Brazil.

Anglo will get 350 million at completion, up to 100 million in a price-linked earnout and a contingent 50 million in cash for the potential development of the projects, it said in a statement.

The assets together produce about 38,000 metric tons of nickel per year. The metal's price reached a four-year low in January, as supply soared in top producer Indonesia.

London-listed Anglo American in May rebuffed a 49 billion hostile bid from the world's biggest miner BHP, which was focused on Anglo's copper assets.