NEW YORK (TheStreet) -- Goldman Sachs (GS) is in talks to sell its coal mines in Colombia at a loss, as the global investment banking, securities, and investment management company faced a number of issues in the region, some of which closed down production for most of last year, the Wall Street Journal has reported.
Issues plaguing the company included locals having formed a human blockade at the mines in order to protest labor issues which halted production. The company also dealt with coal prices that fell by 20% in three years, the Journal noted, adding that executives speaking with directors in late 2013 said another 6% decline would permanently impair the value of the company's investment.
Goldman Sachs was then faced with a 40% slump in coal prices and an environmental law that closed down production for most of 2014.
Goldman seems to have had enough and sources speaking with the Journal said the company is in talks and ready to sell. Any deal, which would come after Goldman has already sold power plants and an aluminum storage business would mark the end of the company's shaky sideline as a raw materials producer, the Journal said.
Shares of Goldman Sachs are up by 0.63% to $198.78 at the start of trading on Monday morning.
Separately, TheStreet Ratings team rates GOLDMAN SACHS GROUP INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate GOLDMAN SACHS GROUP INC (GS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and attractive valuation levels. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."