Anglo American
Night view of the secondary and tertiary crushing building and screening building at the Boa Vista niobium mine. Photo supplied by Anglo American/Urias Gaspar
Diversified major Anglo American has completed the sale of its niobium and phosphates businesses in Brazil to China Molybdenum for $1.7 billion.

Anglo American has received cash proceeds of approximately $1.7 billion, constituting the agreed consideration of $1.5 billion and approximately $187 million of working capital and other adjustments, subject to certain post-closing adjustments.

The economic benefits of the businesses will transfer to China Molybdenum on 30 September 2016.

The net proceeds of the $1.5 billion from the sale, after taxes payable and transaction costs, will be used to reduce debt.

The  niobium and phosphates businesses are located in the states of Goiás and São Paulo, in Brazil.

The phosphates business consists of a mine, beneficiation plant, two chemical complexes and two further mineral deposits.

The niobium business consists of one mine and three processing facilities, two non-operating mines, two further mineral deposits and sales and marketing operations in the UK and Singapore.

On announcement of the sale in April, Anglo American chief executive Mark Cutifani said that the sale of its niobium and phosphates businesses is another positive step forward in the strategic reshaping of Anglo American that the company embarked on in February.