Lane Neave utilised years of experience in the coal sector to act for Bathurst Resources Limited in the formation of a joint venture with Talley’s Energy Limited, and that joint venture’s conditional purchase of certain coal mining assets from Solid Energy New Zealand Limited.
The assets purchased include the Rotowaro, Maramarua, and Stockton mines for cash consideration of NZ$46m plus a contingent payment of up to NZ$50m. Funding for the acquisition was made up of $14 million from Talley’s Energy for a 35 percent stake, $26 million from Bathurst Resources Limited for a 65 percent stake and a $15 million debt facility from lender Bank of New Zealand, and includes $9 million for working capital.
The sale is conditional on the approval of the Overseas Investment Office.
The Lane Neave team comprised partners Gerard Dale and Claire Evans and Senior Associate Joelle Grace.
Partner Gerard Dale says, “We’re pleased to have advised Bathurst Resources Limited on this strategically important transaction, as they look to enter into the export market in an efficient and scalable manner and penetrate the North Island domestic market.”