Anglo American PLC (AAL.LN) is close to a US$630 million deal to acquire a controlling interest in a large undeveloped steelmaking coal deposit in Mozambique from the Talbot Group, a person familiar with the matter said Monday.

London-listed Anglo is in late-stage talks to acquire the 58.9% stake in the Revuboe River coking coal deposit from the Talbot Group, with parties needing to resolve issues including the award of a mining license by the Mozambique government, the person said.

Talbot Group is selling all its assets, including the stake in Revuboe, following the death of founder Ken Talbot in an air crash in Africa last year.

Consolidation in coal mining is intensifying globally, as major miners seek exposure to large deposits that can be developed for export to rapidly industrializing countries in Asia, including China and India. In the latest major deal Monday, Whitehaven Coal Ltd. (WHC.AU) said it has agreed a nearly A$3 billion (US$3.1 billion) deal to acquire fellow mid-tier Australian coal miner Aston Resources Ltd. (AZT.AU) and a smaller coal prospector.

Coking coal is far more scarce than thermal coal, and commands nearly double the price on global markets even though there isn't much difference between mining costs. High-quality coking coal deposits are mostly confined to a few regions of Australia, Colombia, North America, Russia, Mongolia and Mozambique.

Revuboe is a 1.4 billion metric ton coking and thermal coal deposit in the fast-growing Tete coal province in central-western Mozambique. The joint venture, which includes Japan's Nippon Steel Corp. (5401.TO) and South Korea's Posco (005490.SE), hopes to start production of up to 17 million tons of coking and thermal coal from September 2013.

The joint venture partners are likely to give the deal their blessing as they want a miner with the ability to develop the deposit quickly, especially given the logistical constraints in Mozambique such as port and rail access, another person familiar with the deal said.

A successful deal would mean most of Mozambique's largest coal deposits will now be controlled by mining heavyweights, including Rio Tinto PLC (RIO), which acquired Riversdale Mining Ltd. for nearly A$4 billion earlier this year, and Brazil's Vale SA (VALE).

Anglo spokeswoman Jacqui Strambi declined to comment, while the Talbot Group couldn't immediately be reached for comment.

-By David Winning, Dow Jones Newswires; +61-2-82724688; david.winning@dowjones.com

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