Sydney, Australia, Dec 23, 2011 - (ABN Newswire) - Yanzhou Coal Mining (HKG:1171.HK - News) (SHH:600188.SS - News) (NYSE:YZC - News), one of China's biggest coal producer, has signed a proposal with Australia-based Gloucester Coal Ltd., with an aim to merge Gloucester Coal with Yanzhou Coal's wholly-owned Australian subsidiary Yancoal Australia.
The merged company will be owned 77% by Yanzhou Coal and 23% by Gloucester Shareholders who participate in the merger.
The combination of assets of Gloucester and Yancoal Australia is expected to create one of Australia's largest listed operating coal companies, with world-class coal production and export operations.
The proposal is subject to the completion of due diligence by both parties, a process which is currently underway, and expected to be completed by late February 2012.
Qiubei Fu Asia Business News Tel: +61-2-9247-4344 http://www.abnnewswire.net
Copyright (C) 2011 ABN Newswire. All rights reserved.