December 03, 2008

Shenhua denies interest in Anglo American

It is reported that Chinese coal mining titan Shenhua Energy denied plans to take major stakes in some of the leading global mining companies.

Mr Wang Jinli deputy general manager of China Shenhua Energy in a response to a report in Hong Kong’s South China Morning Post said that it is not true that the company is seeking a strategic alliance with Anglo American.

He added that Shenhua also has no plans to take stakes in BHP Billiton or Rio Tinto, though he conceded “we are always in talks for overseas acquisitions,” saying the company planned to buy assets in “Indonesia, Mongolia and Australia.”

The newspaper had claimed that Shenhua is to buy up to a 10% stake in the company.

Speculation has been rife in recent months that Chinese miners and steel makers would seek to buy strategic share stakes in the world’s major mining companies in order to secure access to supplies of metals and coal.