Abbot Point Operations Pty Ltd (APO), the Australian subsidiary of Adani Ports and Special Economic Zone Limited (APSEZ) on Monday announced that it has entered into an agreement to acquire ownership of Abbot Point Bulkcoal Pty Ltd (APB).
Post agreement, APO would be acquiring 100 per cent shares in APB, an Australian registered company performing the operations and maintenance activities of Abbot Point Coal Terminal in Queensland, Australia, from Glencore Coal Queensland Pty Limited upon receiving certain approvals.
Abbot Point has currently one operating terminal named Adani Abbot Point Terminal having firm take or pay contract for 50 mmtpa cargo.
Acquired by Adani Group on June 1, 2011 by way of a 99-year lease from the Queensland Government, the terminal has been operated by APB under an operations and maintenance agreement with Adani Abbot Point Terminal Pty Ltd (AAPT), the group stated in an official communique. "The acquisition cost is AUD 1 plus closing adjustments for the 100% shares and AUD 19.25 million for the operational rights," it further stated.
Post acquisition of APB, APSEZ would have an access to operate 50 mmtpa capacity in a developed economy on a cost plus basis with no capital investment. APO would operate as a stand-alone entity from AAPT and Adani Mining.
Commenting on the development, Karan Adani, CEO, APSEZ said "The acquisition gives us a strategic foothold enhancing our experience of handling world-class fully automated terminals."
Source: Business StandardPrevious Next