South32 edges closer to coal spin-off

Image: South32

South32 has made changes to the responsibilities of its two chief operating officers that will guide the company towards its planned South Africa Energy Coal (SAEC) spin-off.

The company has announced that Mike Fraser will be responsible for its alumina and aluminium operations in Australia and southern Africa, and the Cerro Matoso operation in Colombia, while remaining the primary representative for SAEC.

Paul Harvey will be accountable for South32’s manganese operations in Australia and South Africa, as well as the Cannington and Illawarra metallurgical coal operations in Australia.

South32 chief executive officer Graham Kerr said establishing SAEC as a standalone business during the June 2018 half would significantly simplify the organisation.

“The revised accountabilities that we have announced today are an important step in the process, allowing us to fully capture value across our supply chain,” Kerr said.

“We are well advanced in our planning for this important strategic initiative and will provide further updates as we finalise our new operating model, governance structures and redesign the SAEC business.”

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