Mick Davis’ X2 last bidder for Rio Tinto coal

[miningmx.com] – Mick Davis‘ X2 Resources was the last remaining bidder for control of two Rio Tinto Group coal mines in Australia, said Bloomberg News citing people with knowledge of the matter.

X2 is progressing in negotiations with Rio as the other interested parties, including Glencore and New Hope are no longer in talks to buy the assets in New South Wales state’s Hunter Valley region, it said. The mine stakes may fetch more than $2.2bn.

Sam Walsh, CEO of Rio Tinto, has sold $4.5bn in less profitable mines since January 2013, said Bloomberg News.

Were the deal to be completed, it would be the first for X2 Resources since completing a capital raising programme in March in which some $5.6bn was committed by private investors of which $4bn was available for immediate draw-down.

“We continue to carefully review a number of opportunities in the sector in detail,” said Davis at the time of completing the capital raising.

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