Coal mining giant Anglo American has launched arbitration proceedings against Peabody Energy after the company pulled out of a multi-billion-dollar deal to buy five Queensland steelmaking coal mines.

The $5.7 billion sale collapsed in August when US coal producer Peabody invoked a "material adverse change" (MAC) clause following a fire at Anglo's Moranbah North mine .

The underground blaze forced operations to halt in March, which the buyer said was grounds to withdraw under the contract.

But Anglo American disputed this, and said it would seek damages for "wrongful termination" of the sale.

In a filing to the US Securities and Exchange Commission on Friday, Peabody demanded its full deposit of $113 million be "returned without further delay".

It said it had received nearly $44 mill

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