The Australian Foreign Investment Review Board has approved the sale of diversified miner South32’s Illawarra metallurgical coal assets to an entity owned by Singapore’s Golden Energy and Resources (GEAR) and coal trader M Resources.

The transaction, announced in March, will be completed in the first quarter of the 2025 financial year, said South32 on Friday.

The Illawarra deal, comprising a cash payment of $1.05-billion at completion and a deferred cash consideration of $50-million payable in 2030, will see South32 exit coal, aligning with a strategy that emphasises ventures in copper and zinc.

GEAR is an investment vehicle that is focused on resources in Asia Pacific. Its current major investments include a 59% interest in Australian miner Stanmore Resources and a 50% interest in Queensland operator Ravenswood Gold.

M Resources specialises in the trading of various metallurgical coal products for steel manufacturing.