0007 GMT - Whitehaven Coal sees an opportunity to review its capital allocation framework at the end of FY 2025, leading Jefferies to assess what that may involve. Whitehaven's dividend is currently anchored by 20%-50% of net profit from its New South Wales coal mines. Soon, though, Whitehaven will receive US$1.08 billion proceeds from selling a 30% stake in the Blackwater mine in Queensland to two Japanese steelmakers. Analyst Daniel Roden says cash flow from Whitehaven's new Queensland assets will initially be used for deferred payments to BHP Group and Japan's Mitsubishi, which sold them. He expects Whitehaven will then update its dividend policy, potentially adding in 20%-50% of net profit from the Queensland mines. Jefferies retains a buy call on Whitehaven. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
January 28, 2025 19:07 ET (00:07 GMT)
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