Diversified miner Altura Mining has acquired a one third equity stake in an operating coal mine in East Kalimantan, Indonesia for $25m from Delta Coal.
Transaction includes an initial payment of $12.5m with equal installments of the balance payable over the next three years.
Following the closure of the transaction, Altura will gain a direct equity interest in Delta Coal, the owner and operator of the Binamitra Sumberarta mining tenement.
Located on a 1,260ha mining permit in the Mahakam River delta, the open pit mine is serviced by existing regional infrastructure.
Binamitra Sumberarta is situated proximal to a 1,000t an hour processing plant and a port facility 5km from the plant.
The mine has a coal resource estimate of 57 million tons and is currently producing an annual output of 1.5 million tons of marketable medium energy product for the local as well as export market.
The company plans to increase output to 2 million tons a year by 2015, and has further plans to develop coal mines in Indonesia.