Glencore has confirmed that it has received interest in the CSA copper mine in New South Wales – an asset the company has been trying to offload since 2015.
While offers have been received by Glencore, there is no guarantee this will lead to the sale of the CSA mine.
Aurelia Metals showed interest in the CSA mine in 2019, before backing out in May of that year.
The company released a statement at the time saying it would instead be focusing on the leadership transitions occurring at the company.
In April 2019, interest by Aeris Resources in the CSA mine also fell through, with the former unable to come to an agreement with Glencore regarding the mine.
It posted an $878 million offer to Glencore for the underground mine in March 2019, which included $807 million in cash and $71 million in shares.
The CSA mine produces about 50,000 tonnes of copper each year, which is mined and processed onsite, before being railed 700 kilometres to the Port of Newcastle for export to smelters in Asia.
One of Australia’s deepest underground mines (1.75 kilometres), the mine directly employs 670 people (including contractors) and operates 24 hours per day, seven days per week.
Glencore engage a diverse range of people at CSA, employing mining and metallurgical engineers, plant and vehicle mechanics, welders, electricians, geologists, environmental scientists, health and safety experts and more.
Many of its workers are based in the local community of Cobar.
In 2019, CSA mine contributed $305 million to the local, state and national economies.
It is understood Glencore will involve Bank of America and global financial services company UBS to assist in the sale of the mine.