Squire Sanders has advised ITOCHU Corporation and Mitsui & Co on the acquisition of interests in BHP Iron Ore (Jimblebar) Pty.Ltd., which is developing the Jimblebar Iron Ore mine in Western Australia, part of the Iron Ore business of mining company, BHP Billiton. ITOCHU and Mitsui will invest US$0.8 billion and US$0.7 billion respectively, representing an 8 per cent and 7 per cent interest in the Jimblebar mining hub and resource. The transaction is subject to Australian Foreign Investment Review Board approval and is expected to complete in September 2013.
The Jimblebar mine, in the Pilbara region, is currently under construction and will be a large scale, low cost, open pit mining operation, with an initial production capacity of 35 million tons per year.
The Perth Squire Sanders team advising ITOCHU and Mitsui on the acquisition was led by partner and co-head of the Energy & Natural Resources Industry Group, Duncan Maclean, assisted by Partner, Michael Ferguson, Senior Associate, Samantha Smart and Associates, Fiona Meaton and Sarah Teh.
Squire Sanders has previously advised ITOCHU Corporation and Mitsui & Co on a long term relationship with BHP Billiton in connection with three iron ore joint ventures, Mt. Newman, Yandi, and Mt. Goldsworthy in Western Australia.