U.S.-based coal producer Peabody Energy raised concerns about the planned acquisition of 1 Australian steel-made coal assets by Anglo American, citing adverse material changes (MAC) related to Bowen Basin's Molamba North Coal Mine in Bowen, Queensland, Australia.

The mine is part of the acquisition since the gas ignition incident on March 31, 2025.

Peabody says that if the issue is not resolved within the specified time frame, you can exit the agreement.

Last month, Peabody Energy announced it was reviewing its options for acquisitions after the mine fire.

"While we have been working to complete the Anglo refining coal acquisition, Moranbah North's problems have created serious uncertainty around the deal," said Jim Grech, president and CEO of Peabody.

“A large portion of the acquisition value is related to northern Molamba, but the timeline for long wall production has not yet been restored.”

Meanwhile, Anglo Americans, based on a certain agreement signed with Peabody in November last year, works against Anglo Americans do not constitute MAC.

Anglo Americans said in a statement: “On April 19, 2025, initially re-entering the Molamba North Mine, Anglo Americans will continue to work closely with safety regulators, resource safety and health Queensland, industry experts and other key stakeholders as we move towards a structured re-installation once secure structured production is determined, so we can do so.

“As a result of progress made toward a secure restart and available information so far, Anglo Americans do not believe that the shutdown in northern Molamba constitutes an authoritative agreement with Peabody, a significant adverse change.

“Anglo Americans want to continue working with Peabody to address their concerns and meet the remaining customary conditions of those agreements required to close the deal.”

"Peobody May Terminate the Acquisition of My Fire in Anglo's American Coal Assets" was originally created and published by GlobalData-owned brand Mining Technology.

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