Clifford Chance

Clifford Chance advises on Sale of Syntech Resources to Yancoal Australia

Leading international law firm Clifford Chance has advised Australian Mining Holdings (AMH) on the sale of its interests in Syntech Resources to Yancoal Australia, a subsidiary of China’s Yanzhou Coal. The transaction closed on 1 August 2011. Goldman Sachs also sold its interests in Syntech Resources, as part of the transaction.  The total consideration was AUD202.5 million.

Syntech Resources is developing the Cameby Downs coal-mining project in the Surat Basin, Queensland, Australia.  The new Cameby Downs Mine and surrounding tenements contain large JORC Resources of 723Mt of thermal coal. Further exploration and delineation drilling is likely to add another 1.0 billion tonnes to the current resource base.

The Cameby Downs Mine is currently producing 1.4Mtpa of high quality thermal coal.

Sydney partners Mark Pistilli and Jason Mendens had previously advised AMH on its initial acquisition of the Cameby Downs project, as well as advising AMH on several rounds of equity and debt project financing provided by Goldman Sachs and Commonwealth Bank of Australia.

The Clifford Chance team was led by partner Jason Mendens assisted by associate Liz Humphry.