Fin24

Shanduka wants to buy Optimum - sources

2011-08-25 20:34

Johannesburg - Glencore's SA black economic empowerment partner Shanduka Coal is interested in buying Optimum Coal Holdings (OCH) and a formal announcement will be made, sources close to the deal said on Thursday.

OCH shareholders confirmed they had received an offer from Shanduka.

OCH, formerly owned by BHP Billiton , will produce 13.7 million tonnes in 2011, up from 13.6 million in 2010.

Glencore is committed to long-term investment in South Africa, sources close to the deal said.

Through its own BEE partner, Shanduka, Glencore fully recognises that Optimum has a broad-based BEE ownership, is a benchmark for transformation in mining and the company would not seek to prejudice Optimum's BEE credentials if the acquisition went ahead, the sources said.