RIO Tinto has sold it’s the Jacob Ranch coal mine in Wyoming to US group Arch Coal for $761m in cash.
The miner which has $38bn of debt to service says it is simply continuing with plans to divest the rest of its North American coal operations.
Industry officials say the transaction appears to be beneficial for both companies.
Debt-laden Rio Tinto received full price for the mine and Arch Coal was able to afford to pay by virtue of the location of Jacobs Ranch right next to Arch's Black Thunder mine and therefore the synergies available.
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