The $300 million Moolarben project is planned to commence construction in late 2007, producing 4 million tonnes in financial year 2008, and 10Mt from 2010.
Felix managing director Brian Flannery said Sojitz will be the exclusive marketing agent for Moolarben coal exported to Japan.
“Felix looks forward to working with Sojitz to expand our sales profile in Japan with coal from the Moolarben Mine which has a life of some 25 to 30 years,” Flannery said in a statement.
Sojitz already holds a 45% stake in Felix’s Minerva Mine as well as a significant shareholding in Rio Tinto subsidiary Coal & Allied Industries and several direct equity interests in coal mines in Queensland and NSW.
Flannery also announced today that a number of other large bidders have expressed interest in purchasing a stake in the project.
“Discussions have commenced with several other Asian power generators for the sale of a further 10 percent equity provided it adds value to Felix shareholders, such as future long-term offtake agreements,” Flannery said.
In June, Korea Electric Power (KEPCO) announced it was already in advanced talks with Felix to buy the 10% stake for $100 million.
The Moolarben opencut mine will provide approximately 222 direct jobs during the 16-month construction period and a further 317 jobs during operation of the opencut and underground mines.
In March this year, Xstrata launched a court action to stop the granting of a mining lease that would hand over part of the Swiss miner's neighbouring Ulan complex to Felix’s Moolarben project.
The NSW Supreme Court will hand down its final determination over the disputed land in September.
The Sojitz acquisition is subject to Foreign Investment Review Board (FIRB) approval and also approval by the NSW Government of the issue and transfer of the necessary mining tenements.
