ITOCHU Corporation and Mitsu, two Japanese conglomerates, are going to spend a combined $AU1.64 billion in shares and loans in BHP Billiton’s Jimblebar mine in the Pilbara.
ITOCHU had invested $872.5 million and Mitsu $763.4 million, resulting in the companies taking an eight and seven per cent stake respectively.
BHP Billiton’s iron ore boss Jimmy Wilson said the deal would improve simplicity and flexibility.
“We are pleased to extend our successful, long-standing joint venture relationship with ITOCHU and Mitsui,” he said in a statement submitted to the Australian Securities Exchange.
Australia’s Foreign Investment Review Board still needs to approve the deal. It is expected it will be signed-off on during the September quarter.
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