New Hope to acquire Malabar Resources in Hunter Valley mining deal

Australian mining company New Hope has announced a binding agreement to acquire Malabar Resources, the developer and owner of the Maxwell Underground coal mine near Muswellbrook. Under the Scheme Implementation Deed, New Hope will purchase the remaining 74 per cent of Malabar shares it does not already own, merging the two companies into a single group.

The Maxwell Underground mine is a central asset in the deal. Once fully developed, the mine is expected to support 430 full-time workers and produce up to 5.5 million tonnes per annum of saleable production following longwall expansion. The site is located on land formerly part of Anglo American’s Drayton open-cut and sits adjacent to BHP’s Mount Arthur open-cut.

The transaction has received unanimous support from the boards of both companies. In addition to the underground mine, the deal involves Malabar’s recent acquisition of 3,700 hectares from Mount Arthur to facilitate plans for the Maxwell North underground mine. Malabar will also manage tailings from its neighbor until its open-cut operations conclude in 2030.