Australian mining conglomerate BHP has recently renewed its attempt to acquire competitor Anglo American, according to a source familiar with the matter. The move comes shortly after Anglo American’s announced merger with Teck Resources Limited, a Canadian metals firm, to form a copper-focused global player.
Anglo American, with a market capitalisation estimated at $41.80bn, declined to comment. BHP, valued at $132.18bn according to London Stock Exchange Group (LSEG) data, did not respond to requests made outside business hours. Talks are ongoing, but no definitive decision has yet been reached.
A strategic stake in copper supply
In September, Anglo American announced a merger with Teck Resources through a share-swap deal, marking the mining sector’s second-largest merger and acquisition transaction. The new copper-focused entity is expected to produce around 1.2 million tonnes annually. BHP maintains its position as the leading global producer with an annual capacity of approximately 1.9 million tonnes.
Copper is regarded as a strategic metal within industrial supply chains, particularly for electrical infrastructure and transport equipment. Controlling significant production volumes allows major mining companies to increase their influence over global markets.
Rivalry reignited amid sector consolidation
In 2024, BHP had already submitted a $49bn takeover offer for Anglo American, which did not materialise. The renewed talks suggest that the Australian group has not abandoned its ambitions for consolidation in strategic metals. An acquisition would broaden BHP’s portfolio with assets across Africa, Australia and South America.
The new entity formed by Anglo American and Teck would also contribute to increased market concentration, potentially prompting other players to consider similar mergers to maintain competitiveness against larger groups.
Regulatory outlook and market balance
A BHP-Anglo American transaction would significantly reshape the structure of the global base metals market. It would likely attract scrutiny from regulators in several jurisdictions, given the combined market share in copper, iron ore and platinum.
The prospect of a deal of this scale highlights the pressure on producers to secure access to critical raw materials. According to an industry professional, the current trend is pushing “large groups to realign their portfolios around the most strategic resources amid prolonged market volatility”.
