ST. LOUIS, Nov. 27, 2017 /PRNewswire/ -- Peabody announced
today that it has completed the sale of the majority of its
inactive Burton Mine and related infrastructure to the Lenton Joint
Venture for approximately US$11
million, subject to certain customary post-closing
adjustments.
In addition to receipt of cash proceeds from the sale, the
transaction reduces Peabody's asset retirement obligation by
approximately US$41 million.
The sale also provides for the release of approximately
US$30 million of restricted cash in
support of such asset retirement obligation, which combined with
the company's recently announced revolving credit facility, is
expected to free up approximately US$300
million in cash.
Peabody placed the Burton Mine on care, maintenance and
rehabilitation in December 2016 and
announced the sale of the mine in September 2017. The Lenton
Joint Venture, of which New Hope Coal is a 90 percent participant,
controls mining tenements that adjoin the Burton Mine located in
Queenland's Bowen Basin.
Peabody is the world's largest private-sector coal company.
The company is also a leading voice in advocating for
sustainable mining, energy access and clean coal technologies.
Peabody serves metallurgical and thermal coal customers in
more than 25 countries on five continents. For further
information, visit PeabodyEnergy.com.
Media Contact:
Michelle Constantine
+61 402 476 543
Investor Relations Contact:
Julie Gates
+1 314 342 4336
This press release contains forward-looking statements within
the meaning of the securities laws. Forward-looking statements can
be identified by the fact that they do not relate strictly to
historical or current facts. They often include words or variation
of words such as "expects," "anticipates," "intends," "plans,"
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"targets," "would," "will," "should," "goal," "could" or "may" or
other similar expressions. Forward-looking statements provide
management's current expectations or predictions of future
conditions, events or results. All statements that address
operating performance, events or developments that we expect or
anticipate will occur in the future are forward-looking statements.
They may include estimates of revenues, income, earnings per share,
cost savings, capital expenditures, dividends, share repurchases,
liquidity, capital structure, market share, industry volume, or
other financial items, descriptions of management's plans or
objectives for future operations, or descriptions of assumptions
underlying any of the above. All forward-looking statements speak
only as of the date they are made and reflect the company's good
faith beliefs, assumptions and expectations, but they are not
guarantees of future performance or events. Furthermore, the
company disclaims any obligation to publicly update or revise any
forward-looking statement, except as required by law. By their
nature, forward-looking statements are subject to risks and
uncertainties that could cause actual results to differ materially
from those suggested by the forward-looking statements. Factors
that might cause such differences include, but are not limited to,
a variety of economic, competitive and regulatory factors, many of
which are beyond the company's control, that are described in our
Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2016, as amended on July 10, 2017 and Aug. 14,
2017, and in Exhibit 99.2 to the Company's Current Report on
Form 8-K filed with the SEC on April 11,
2017, as well as additional factors we may describe from
time to time in other filings with the SEC. You may get such
filings for free at our website at www.peabodyenergy.com. You
should understand that it is not possible to predict or identify
all such factors and, consequently, you should not consider any
such list to be a complete set of all potential risks or
uncertainties.
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SOURCE Peabody