BHP has entered into an agreement to sell the Cerro Colorado copper mine in Chile’s Atacama desert to private equity manager EMR Capital.
Under the terms of the agreement, total cash consideration consists of US$230 million to be paid to BHP after closing of the transaction (subject to customary closing adjustments), plus approximately US$40 million in proceeds from the post-closing sale of certain Cerro Colorado copper inventory, and a contingent payment of up to US$50 million to be paid in the future, depending upon copper price performance.
The sale is subject to financing and customary closing conditions, and is expected to close during 4Q18.