India-based Adani Enterprises has signed a $14.52m agreement to acquire the company that operates Australia's Abbot Point Coal Terminal from Glencore.
Under the agreement, Abbot Point Operations (APO), owned by Adani Ports and Special Economic Zone (APSEZ), will buy Glencore subsidiary Abbot Point BulkCoal (APB).
In June 2011, Adani bought the Abbot Point Coal Terminal port through a 99-year lease from the Queensland Government.
However, the control of actual port operations was retained by Glencore through its ownership of the operator.
This caused a legal dispute between both companies, which is now expected to come to an end when Adani takes full control of the port.
Adani and Glencore have now finalised the terms of future operations of the Abbot Point Coal Terminal in Queensland.
Adani Australia CEO Jeyakumar Janakaraj said: "Today's transition is a key milestone in our well advanced plans for Abbot Point, and is yet another demonstration of Adani's commitment to building a long term future with Queensland.
“This is an exciting and important step forward for employees, their families, the Bowen and surrounding communities and for Queensland, and reflects the vital role that Abbot Point plays in the company’s plans to build a long term future in this state.”
Glencore said it will continue to supply coal to export from the terminal from its open-cut coal mines at Newlands and Collinsville.
Located 30km north of Bowen on the North Queensland coast, Abbot Point BulkCoal export terminal is Australia’s most northerly port.