Australia's government approved on Friday SABMiller's A$11.5 billion ($11.2 billion) deal to acquire Foster's Group Ltd under the country's foreign acquisitions laws, but attached conditions requiring the company to keep brewing operations in Australia.

SABMiller has agreed to a number of undertakings which recognize the significance of Foster's to our economy and to our community, and support Australian jobs. I have taken these undertakings into account as part of my decision, Treasurer Wayne Swan said in a statement.

SABMiller's main undertakings are that management of Foster's operations will continue to be located in Australia under SABMiller ownership, and SABMiller will not relocate any of Foster's existing brewing facilities offshore to produce beer for Australian domestic consumption. ($1 = 1.0290 Australian dollars)

(Reporting by Rob Taylor; Editing by Lincoln Feast)

Australia