Rio Tinto completed the sale of its remaining coal assets in Queensland, Australia, for $3.95 billion. This included its interests in the Hail Creek coal mine and Valeria coal development project to Glencore for $1.7 billion, and its interest in the Kestrel underground coal mine to a consortium comprising private equity manager EMR Capital and PT Adaro Energy Tbk for $2.25 billion.

“The sale of our remaining Australian coal assets delivers exceptional value to our shareholders,” Rio Tinto Chief Executive J-S Jacques said. “Once again, I would like to thank the many people across Rio Tinto and the communities in which we operate who have contributed to the coal business. I wish them continued success under new ownership.”

To reflect the sale of these assets, 2018 production guidance is updated to 4 million metric tons (mt) of hard coking coal and 2.5 million mt of thermal coal. Estimated tax payable on the transactions is $1 billion.