Australian mining and exploration company Sandfire Resources is expected to acquire a joint venture of which Abu Dhabi-based Mubadala Investment Company is a part, local reports have said.
The company is Minas de Aguas Teñidas or Matsa, which is a JV subsidiary of Mubadala and commodities trader Trafigura, said the local reports.
The deal is apparently valued at €1.58 billion ($1.85 billion), and is expected to conclude in the first quarter of 2022.
The Spanish mining company Matsa is the only one among the top 30 in turnover in the province of Huelva, located in the Sierra.
Its activity has an annual economic impact of about €190 million in the province, including payments to suppliers and contractors, salaries, fees, and taxes.
It is the owner of the exploitation rights of the Aguas Teñidas, Magdalena and Sotiel underground mines, all of them in the province of Huelva.
Currently, it generates about 4,000 jobs, between direct, indirect, and induced. Its workforce is made up of about 750 people, with 90 percent permanent employment and an average age of around 42 years for men and 36.5 for women.
Located north of the Iberian Pyrite Belt, Matsa is one of the only two mining operations in the Huelva Province and one of the three copper mines currently operating in Spain.
The Magdalena mine commenced production in late 2015.
Mubadala, which has over $243 billion of assets under management, acquired its stake in Trafigura’s flagship Matsa as part of a joint venture to invest in the base metals mining sector.