Tag: Judd

first_imgCliffs Natural Resources and Alpha Natural Resources have approved settlement of litigation brought by Alpha in Delaware Chancery Court and termination of the previously announced definitive merger agreement, under which Cliffs would have acquired all outstanding shares of Alpha. The companies said each board’s decision was made after considering various issues, including the current macroeconomic environment, uncertainty in the steel industry, shareholder dynamics and risks and costs of potential litigation. Alpha and Cliffs added that, going forward, the companies plan to work together to find ways to realise synergies in their respective coal operations. Under the terms of the settlement, the merger agreement will be terminated, Cliffs will pay Alpha $70 million, Alpha will dismiss the Delaware litigation with prejudice and the parties will release each other from all obligations with respect to the proposed transaction as well as from any claims arising out of or relating to the merger agreement.Cliffs Natural Resources, headquartered in Cleveland, is an international mining company, the largest producer of iron ore pellets in North America and a major supplier of metallurgical coal to the global steelmaking industry. It operates six iron ore mines in Michigan, Minnesota and eastern Canada, and three coking coal mines in West Virginia and Alabama. Cliffs also is majority owner of Portman, a large iron ore mining company in Australia, serving the Asian iron ore markets with direct-shipping fines and lump ore. In addition, the company has a 30% interest in the Amapá project, a Brazilian iron ore project, and a 45% economic interest in the Sonoma project, an Australian coking and thermal coal project.Alpha Natural Resources is a leading supplier of high-quality Appalachian coal to electric utilities, steel producers and heavy industry. Approximately 89% of the company’s reserve base is high Btu coal and 82% is low sulphur, qualities that are in high demand among electric utilities which use steam coal. Alpha is also the nation’s largest supplier and exporter of metallurgical coal, a key ingredient in steel manufacturing. Alpha and its subsidiaries currently operate mining complexes in four states, consisting of 57 mines supplying 11 coal preparation and blending plants.last_img read more