Global Investment company MBU Capital has completed the acquisition of the Ben’s Creek Carbon mine in the US.
Located in West Virginia, the mine holds an estimated 22 million tonnes of metallurgical coal reserves, which will be extracted through high-wall mining and used exclusively for the production of high strength steel.
Adam Wilson, Head of Natural Resources at MBU Capital, said Government expenditure in largescale national infrastructure projects combined with growth in the construction and the automotive sectors, has spurred the high strength steel market, creating opportunities for asset backed investments in metallurgical coal mining and steel production – a core pillar of MBU Capital’s investment strategy.
“The manufacturing of steel delivers the goods and services that society needs, from healthcare, telecommunications, improved agricultural practices, better transport networks, to clean water and access to reliable and affordable energy. But without met coal, there is no steel,” Mr Wilson said.
“We forecast strong demand for high strength steel over the coming decade, and this acquisition will significantly add to MBU Capital’s portfolio of precious metals and compound materials.”
“Once Ben’s Creek Carbon becomes fully operational in July 2021, MBU Capital anticipates the acquisition will directly create and sustain jobs and will also contribute to the economic development of the region in other meaningful ways.