By Paulo Winterstein
SAO PAULO--Coal mining company CCX Carvao da Colombia SA
(CCXC3.BR), controlled by Brazilian businessman Eike Batista,
signed a memorandum of understanding with Yildrim Holding SA to
sell CCX's coal mines and transportation infrastructure for $450
million, CCX said Tuesday.
Turkey's Yildrim will immediately deposit $5 million as part of
the agreement, and full terms of the deal are expected to be
completed by December, with the deal potentially completed by April
of next year, CCX said in a regulatory filing.
Yildrim agreed to pay $50 million for the Canaverales and
Papayal open-air mines, and $400 million for the San Juan
underground mine as well as rail and port facilities, CCX said.
Located in Colombia, the underground San Juan mine has one of
the world's five largest coal deposits, according to CCX's website.
CCX sought to develop production of 25 million tons of coal a year
from the mine, with enough capacity to maintain that annual output
for 20 years.
CCX had previously signed a memorandum of understanding with
Transwell Enterprises last month, but that agreement expired,
allowing CCX to negotiate with other parties, the coal company
said.
Write to Paulo Winterstein at paulo.winterstein@wsj.com
