Nov 13 Reuters Canada39;s Teck Resources is planning to sell a majority stake in its steelmaking coal unit to Glencore Plc, while Asian steelmakers Nippon Steel and POSCO will buy the rest in an overall 8.9 billion deal, the Globe Mail reported on Monday.

Glencore will pay 6.9 billion for a 77 stake in Teck39;s coal unit, while Japan39;s Nippon Steel will pay 1.7 billion and swap its interest in one of Teck39;s coal operations for 20 of the coal business, the report said, citing sources.

South Korea39;s POSCO will swap its interests in two of Teck39;s coal operations for 3 of the business, the report said, adding that the deal could be announced as soon as Tuesday.

The Wall Street Journal first reported that Glencore and Teck were in advanced talks on a deal that would value Teck39;s coal assets at close to 10 billion.

Glencore and Nippon Steel declined to comment. Teck and Posco did not immediately respond to Reuters39; request for comment.

Teck has been considering splitting its coal and copper businesses since March. In April, it rebuffed a 22.5 billion unsolicited takeover offer for the entire company from Glencore.

The Vancouverbased company has twice rejected an unsolicited 22.5 billion bid for the entire company from Glencore. The company in July said it had received offers from various interested parties for its coal business.

Reporting by Shubhendu Deshmukh and Shubham Kalia in Bengaluru; Editing by Sonia Cheema

Source Reuters