JSW eyes controlling stake in Prairie Mining, Poland

Poland’s JSW is interested in taking over Australia’s Prairie Mining, CEO Daniel Ozon confirmed on Wednesday.

Sources told Reuters in September that JSW, the European Union’s biggest coking coal miner, wanted a controlling stake in Prairie Mining, having previously talked with the company about cooperating over Polish mining assets.

“We are now working on internal approvals so that we could start a final stage of talks. We would like to build such a structure that we take control over Prairie Mining,” Ozon told reporters.

He added that JSW would like to close the deal in the first quarter of 2019.

“We are able to finance the takeover with our own funds. Only investment plans will trigger debt financing,” Ozon also said. He declined to comment on the details of the deal and whether JSW would announce a public tender to buy Prairie’s shares.

Prairie Mining, which is valued at 237-million zlotys ($63.45-million) on the Warsaw bourse, has been developing coking coal at the Jan Karski mine in southeast Poland and the Debiensko mine in Silesia, Poland’s industrial heartland in the south.

The company declined immediate comment.

By 12:45 GMT shares in Prairie were 19% higher in Warsaw, while JSW’s shares were 0.18% lower.

Source: miningweekly