Anglo American mining company has reached an agreement for the acquisition of industry counterpart Sirius Minerals for an amount of £ 404.9 million.. With that Anglo pays a premium of 34 percent on the closing price of Sirius on Friday in London.

The acquisition also gives Anglo control of a major mining project in the north of England. This involves the extraction of potash, a mixture of salts consisting mainly of potassium carbonate, which is often processed into fertilizer. For a long time there was doubt about the feasibility of the Sirius project. With the acquisition, Anglo offers a lifeline for the mine. Another factor is that Anglo wants to reduce its presence in coal and is actively looking for alternatives.

The deal is still subject to the usual approvals, including the approval of shareholders of Sirius. The deal is expected to be completed by the end of March.