Sale of Solid Energy’s Southland mines to Greenbriar finalised

07/04/2017

Settlement has today been reached in the sale of Solid Energy’s Ohai and New Vale mines to Greenbriar. The transaction sees all of the mines’ current employees and operations transferring to the new owner.

Chief Executive Tony King said that in the circumstances today’s settlement is an extremely pleasing outcome. “The mines are transferring into very capable hands and an experienced and dedicated workforce is being retained. It is the best possible result for our people, our customers, the local communities and the Southland economy.”

The signing of a sale and purchase agreement for the two Southland mines was announced last October at the conclusion of an extensive sales programme encompassing all of Solid Energy’s mining assets across the country. Today’s announcement marks the first of the company’s major mining assets to change hands.

Greenbriar is owned by the Palmer MH Group, a privately-owned South Island resources group, with diverse, well-established interests in mining and quarrying operations.

New Vale Mine is at Waimumu, south-east of Gore. Ohai Mine is located 80 km northwest of Invercargill at the base of the Takitimu Mountains. The mines supply a wide group of customers including the meat and dairy industry, other industrial and commercial organisations as well as schools and hospitals in the region.

Earlier this week Solid Energy announced that settlement of West Coast assets purchased by Birchfield Coal Mines Limited is expected mid-April and with Moore Mining Ltd in May/June. Settlement with BT Mining (a joint venture of Bathurst Resources and Talley’s Group) for the Stockton export coal operation, and the two Waikato mines, Rotowaro and Maramarua is expected in June/July.

Mr King said that staff and customers have been kept informed as much as possible throughout the sales process.

“We have placed significant focus through the asset sales programme on securing the path forward for the assets and facilitating employment opportunities for staff so this result is extremely heartening.”

Ends.

 

For further information:

Mr Tony King, Chief Executive, Solid Energy New Zealand

Tel: +64 3 345 6000