Anglo American withdraws from Pebble Project in Alaska

13th Dec 2013 12:03

Mining giant Anglo American has completed its withdrawal from the Pebble copper project in Alaska, it announced Friday. The Pebble partnership was created in 2007 between Anglo American and an affiliate of Northern Dynasty Minerals (NDM). The business will continue under the sole ownership of NDM.The company explained its withdrawal includes providing financial support to the business in relation to its commitments to employees, local institutions and community organisations. Anglo American previously said it expected to record an impairment charge of $0.3bn at December 31st 2013 on a post-tax basis. Speaking in September, Mark Cutifani, Chief Executive of Anglo American, commented: "Despite our belief that Pebble is a deposit of rare magnitude and quality, we have taken the decision to withdraw following a thorough assessment of Anglo American's extensive pipeline of long-dated project options. "Our focus has been to prioritise capital to projects with the highest value and lowest risks within our portfolio, and reduce the capital required to sustain such projects during the pre-approval phases of development as part of a more effective, value-driven capital allocation model."The group's share price was down 1.73% to 1,253p shortly after the statement was released late morning. NR