LONDON, June 28 (Reuters Breakingviews) - Glencore (GLEN.L) is getting deeper into its role as environmental poacher-turned-gamekeeper. The 42 billion pound miner announced on Monday it’s buying out partners Anglo American (AAL.L) and BHP (BHP.AX), (BHPB.L) from its Cerrejón thermal coal mine in Colombia for an effective $230 million read more . On a purely financial basis, that’s a no-brainer. With coal prices having doubled in the last year to their highest since at least 2015, the investment should pay for itself within two years. The problem is that investors hate coal due to its role in heating up the atmosphere. So far, they’re giving Glencore the benefit of the doubt. Former Chief Executive Ivan Glasenberg’s strategy to run down its coal mines while investing more in copper and cobalt won 97% approval at its recent annual meeting. Taking full control of Cerrejón hedges against a change of mood. Should owning coal become even more unpalatable, Glencore can more easily carve out its coal assets. (By Ed Cropley) On Twitter http://twitter.com/breakingviews Capital Calls - More concise insights on global finance: Australia overconfidently approaches awkward age read more Microsoft’s D.C. shield is showing cracks read more Banking’s footprint fallacy read more UK investors score another win over buyout barons read more Didi steers towards more muted Uber-like valuation read more
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