Macarthur Coal Ltd and Gloucester Coal Ltd completed a transaction involving the exercise of Gloucester Coal's call option for an additional 20% interest in Middlemount Coal Pty Ltd and the early transfer of shares that were previously transferable on achievement of a certain project milestone.

Macarthur will receive AUD 97.6 million from Gloucester, a discount to the nominal AUD 108 million exercise price, recognizing that the transfer had occurred prior to the specified project milestone and the option had been exercised within the option period but approximately two years earlier than expiry of the option period. Macarthur Coal now has a 50% interest in the Middlemount project.

Commenting on the transaction Ms Nicole Hollows CEO of Macarthur said that "Gloucester's early exercise of the option is testament to the quality of the Middlemount project. We are pleased to conclude this transaction and work with Gloucester to bring this project to completion."