MINEX Forum

Tag: Anglo American

  • Building Trust: The Key to Successful Mining Projects in Europe

    Building Trust: The Key to Successful Mining Projects in Europe

    In a recent interview with Aspermont’s Mining IQ, John Heasley, Chief Financial Officer of Anglo American, emphasised the critical role of trust in the successful development of mining projects in Europe. He highlighted that while the mining industry has made significant strides in improving safety, social, and environmental standards, many projects still face challenges due to a lack of public support. Heasley pointed out that the industry is often perceived negatively, particularly in regions where mining has not been a recent activity, such as Europe. In contrast, countries like Chile, where mining is deeply integrated into the economy, demonstrate higher levels of public trust and support for mining operations.

    Heasley noted that public attitudes towards mining can vary significantly, with communities that have direct interactions with mining operations generally expressing more support. He cited Anglo American’s successful operations in Chile, where the company has been recognised as one of the most attractive employers, as an example of how positive engagement can lead to improved perceptions of the industry. The Leadership Insights 2026 report, which features insights from 13 industry executives, reveals that half of mining professionals rate overall trust in the sector as low, highlighting the need for continued efforts to build and maintain trust.

    The report also discusses the economic implications of negative public perceptions, including delays in project approvals and challenges in securing community support. Heasley stressed that a positive reputation is essential for obtaining and sustaining a licence to operate, as demonstrated by the successful launch of the Quellaveco mine in Peru, which benefited from extensive community engagement.

    As the demand for critical minerals rises due to the energy transition, Heasley expressed hope that public awareness of the importance of mining will improve perceptions of the industry. However, he cautioned against compromising environmental and social standards in the rush to accelerate mining approvals, emphasising that maintaining high standards is crucial for rebuilding public trust. He concluded by reiterating the importance of demonstrating the advancements in modern mining practices, which are significantly different from those of the past, as a means of fostering trust and support for future projects in Europe and beyond.

  • Anglo American’s Woodsmith Project Contributes £127 Million to North Yorkshire Economy in 2025 as Workforce Approaches 1,000

    Anglo American’s Woodsmith Project Contributes £127 Million to North Yorkshire Economy in 2025 as Workforce Approaches 1,000

    Anglo American’s Woodsmith Project in North Yorkshire contributed £127 million to the regional economy in 2025 and has generated nearly £2 billion for the region since construction began in 2017, as the polyhalite mining development cements its position as one of the most significant long-term industrial investments in the north of England.

    The project currently employs 1,000 people, with 76% of its workforce drawn from the surrounding region. Employment is expected to peak at more than 2,500 during further construction phases, making Woodsmith one of the largest sources of skilled employment in the area.

    Polyhalite, the natural mineral fertiliser at the heart of the project, will be mined from deposits beneath the North York Moors and transported via a long tunnel to the Teesside coast for processing and export — a multi-billion-pound investment Anglo American says will drive exports and strengthen long-term regional prosperity.

    Beyond its economic footprint, the company has embedded a significant social investment programme in communities across Teesside and North Yorkshire. The Thriving Communities Programme focuses on livelihoods, education, health and community facilities, while the Woodsmith Foundation supports broader community development. The centrepiece of the education strand is the Achieve programme, delivered jointly with the Woodsmith Foundation, which works intensively with six pilot schools and extends careers guidance to all 17 state-funded secondary schools in Redcar and Cleveland and along the North Yorkshire Coast. Last year the programme generated over 9,000 student engagements. An independent study found that students reported higher confidence, improved motivation and a more positive outlook, alongside better behaviour and increased school attendance.

  • Mitsubishi Corporation to Invest in Anglo American’s Woodsmith Fertiliser Project

    Mitsubishi Corporation to Invest in Anglo American’s Woodsmith Fertiliser Project

    Mitsubishi Corporation (MC) has entered into a definitive agreement with Anglo American plc to invest in the Woodsmith fertiliser resource project in the United Kingdom and collaborate on the development of its feasibility study.

    The Woodsmith project, located in Northeast England, hosts one of the world’s largest polyhalite resources and is expected to support stable operations for more than 60 years. It is set to become one of the UK’s most significant new mining developments in decades. Anglo American has been advancing the project since 2020 as a core component of its long-term growth strategy.

    Polyhalite is a natural multi-nutrient fertiliser containing potassium, sulphur, magnesium and calcium. It is characterised by low chloride content and comparatively lower greenhouse gas emissions during production. The ore body is naturally high grade and does not require beneficiation, reducing water consumption and eliminating mining waste, factors that contribute to the project’s lower environmental footprint. Agronomic trials conducted globally over the past decade have demonstrated improvements in crop yield and soil health.

    Under the agreement, Mitsubishi Corporation will contribute funding to the feasibility study and participate in pilot sales to validate the product’s market potential and build demand. The study will assess development plans, operational parameters, economic viability and social and environmental impacts. Mitsubishi will also leverage its global food and agriculture networks, including facilitating agronomic trials through its group companies.

    The collaboration will allow Mitsubishi to evaluate potential further equity participation at the time of Anglo American’s Final Investment Decision, currently anticipated from 2028.

    Demand for fertiliser minerals is expected to grow over the medium to long term, driven by global population growth, evolving dietary trends and increasing focus on food security. Sustainable fertiliser products are also gaining importance as agriculture faces mounting pressure to reduce environmental impacts and adopt responsible practices.

  • Anglo American and Teck Resources Agree $53bn Merger to Create Global Copper Giant

    Anglo American and Teck Resources Agree $53bn Merger to Create Global Copper Giant

    Anglo American has reached an agreement to merge with Canada’s Teck Resources in a $53bn (£39bn) deal that will form one of the world’s largest copper producers, following both companies’ successful defence against recent takeover attempts.

    The combined group, to be called Anglo Teck, will be headquartered in Vancouver, Canada, reflecting Canadian government efforts to safeguard its critical minerals sector. While the new company will keep Anglo’s primary listing on the London Stock Exchange, it will also be listed in Johannesburg, Vancouver, and New York. Anglo has held its London listing since 1999.

    The merger is expected to deliver $800m in annual cost savings within four years, with around $60m anticipated from board and head office “rationalisation,” raising the likelihood of job losses at Anglo’s London headquarters. However, the companies pledged that Canada would see “no net reduction in the number of employees,” in line with government legislation.

    Under the terms, Anglo shareholders will own 62.4% of the new entity, while Teck investors will control 37.6%. Although the deal represents a 17% premium to Teck’s share price, the companies presented it as a zero-premium merger because Anglo plans to issue a $4.5bn special dividend to its shareholders before completion.

    Anglo’s chief executive Duncan Wanblad, who will lead the new group from Vancouver, described the transaction as a “true merger of equals,” stressing its significance for Canada and its role in supporting critical mineral strategies globally. Teck CEO Jonathan Price will become deputy chief executive, with copper expected to contribute more than 70% of earnings by 2027.

    The merger follows Anglo’s defence against a £39bn takeover bid by BHP and Teck’s rejection of Glencore’s £16.6bn offer in 2023. Analysts say the deal marks a dramatic turnaround for Anglo, which has repositioned itself as an industry consolidator.

    The new company will bring together six major copper assets in Chile and other “world-class jurisdictions,” a move that both executives say will position the business at the heart of the global transition to renewable energy and electric vehicles.

    If approved, the deal will be one of the largest in mining history, second only to the $90bn Glencore-Xstrata merger in 2013. Shares in both Anglo and Teck surged more than 10% after the announcement, signalling strong investor confidence.

  • Anglo American’s Sakatti Copper Project Gains EU Strategic Status

    Anglo American’s Sakatti Copper Project Gains EU Strategic Status

    Anglo American’s Sakatti copper and polymetallic project, situated in Finnish Lapland, has received the distinguished designation of a ‘Strategic Project’ by the European Commission under the European Union’s Critical Raw Materials Act (CRMA). This landmark recognition underscores Sakatti’s pivotal role in bolstering the EU’s security of supply for critical raw materials and ensures an expedited permitting process and streamlined development timelines for the project.

    Alison Atkinson, Anglo American’s Projects & Development Director, expressed pride in the achievement, remarking, “We are delighted to be awarded Strategic Project status for Sakatti – an important milestone for this exceptional mineral deposit with a high concentration of future-enabling metals, including a primary product of copper. This aligns seamlessly with Finland’s and the EU’s critical raw materials priorities.”

    The Sakatti project is poised to make a significant contribution to the EU’s ambitions of reducing reliance on external sources for critical minerals. Currently, the EU produces approximately 4% of its critical minerals but aims to increase this to 10%. Sakatti is projected to deliver an annual production of approximately 100,000 tonnes of copper equivalent metal starting in the early 2030s, addressing the growing demand for metals essential to decarbonisation, advanced technologies, and sustainable energy systems.

    The Sakatti deposit was discovered in 2009, a milestone in Anglo American’s two-decade presence in Finland. Located 15 kilometres north of Sodankylä, the project is set to become one of Anglo American’s innovative FutureSmart mines—underground operations characterised by cutting-edge automation, low carbon emissions, and minimal environmental impact.

    Finland’s rich natural resources, advanced processing capabilities, and robust investment in the critical minerals value chain position the country as a cornerstone in Europe’s sustainable raw materials strategy. With Sakatti’s development, Anglo American aims to further cement Finland’s role as a reliable supplier of responsibly sourced materials vital to the green energy transition and a low-carbon future.

  • Anglo American Leads Hydrogen Fuel Cell Electric Vehicle Revolution Across Europe

    Anglo American Leads Hydrogen Fuel Cell Electric Vehicle Revolution Across Europe

    Anglo American, the South Africa-linked mining giant, is spearheading the introduction of platinum-catalysed hydrogen fuel cell electric vehicles (FCEVs) in Europe, offering new mobility options across major cities.

    The London- and Johannesburg-listed corporation is partnering with FCEV taxi operator Hype under the banner of H2 Moves Europe to bring these eco-friendly vehicles to the continent.

    Since launching in Berlin in 2022, the initiative has expanded to Paris and Brussels, with Hamburg reportedly the next stop. H2 Moves Europe has already achieved over eight million zero-emission kilometres across nearly 650,000 passenger journeys.

    Key partners include Toyota Deutschland and SafeDriver-ennoo in Berlin, while Paris boasts a 250-strong hydrogen-powered FCEV taxi fleet, featuring models like the Toyota Mirai, Hyundai Nexo, Peugeot e-Expert, and Citroën ë-Jumpy vans adapted for wheelchair access. Brussels follows a similar pattern, with a fleet of 50 FCEVs.

    In each case, platinum group metals (PGMs) from South Africa play a crucial role, working alongside emission-free green hydrogen, which Hasan Akbulut, an academic expert, highlights on LinkedIn for its high energy content and its significance across various industries, including the chemicals sector.

    Moreover, the New York Times reports that the Biden administration has finalised new rules offering substantial tax credits to companies producing hydrogen—an element efficiently produced using PGM-catalysed proton exchange membrane (PEM) electrolysers and converted back into green electricity through PEM fuel cells.

    Zero-emission PEM fuel cells are gaining traction in various sectors, from buses and commercial trucks to trains, ships, and power stations, providing clean energy solutions for both mobile and stationary needs.

    Notably, Ballard Power Systems has secured contracts to supply fuel cell engines for zero-emission trains and city buses, validating the advantages of fuel cells as a sustainable transport alternative.

    As hydrogen’s industrial applications grow, Bosch Hydrogen Energy reports a transition to large-scale PEM electrolysis systems with capacities in the hundreds of megawatts, positioning hydrogen as a major player in future energy production.

    The global hydrogen movement is gaining momentum, with major cities and industries investing in projects to produce, store, and utilise hydrogen for greener energy solutions. From China to Europe and the US, hydrogen continues to emerge as a pivotal technology for decarbonising industries across the world.

  • Anglo American Faces Investor Pressure to Close North Yorkshire Mine

    Anglo American Faces Investor Pressure to Close North Yorkshire Mine

    Anglo American PLC (LSE) is under pressure from one of its major investors to shut down the Woodsmith fertiliser mine in North Yorkshire, amid growing concerns over the project’s financial viability. Dawid Heyl, a portfolio manager at Ninety One, which owns a 1.5% stake in Anglo valued at approximately £500 million, expressed doubts about the profitability of the venture. “They should just leave it and shutter the whole plan. I don’t think there is a market for polyhalite of that size,” Heyl told the Sunday Times. He further noted that despite the project’s potential impact on local employment, with around 2,000 jobs at stake, the mine is likely to face issues related to demand and pricing that would prevent profitability. This sentiment has been amplified by recent developments, including Anglo’s US$1.6 billion write-down due to site development challenges. A final decision regarding the mine’s future is expected as part of a broader restructuring effort following a failed takeover bid from BHP. The pressure comes after Anglo reported an 8% revenue decline for the first half of 2024, with earnings falling from US$15.7 billion to US$14.5 billion. Despite these setbacks, the company remains optimistic about the Woodsmith project’s potential, citing confidence in its proven project delivery capabilities once financial conditions improve.

  • Anglo American Restructures Trading Operations Post-BHP Bid

    Anglo American Restructures Trading Operations Post-BHP Bid

    Anglo American Plc, a major mining company, is downsizing its trading operations following a restructuring initiative spurred by a takeover attempt from BHP Group Ltd. earlier this year. Approximately 10 employees from Anglo American’s London and Singapore offices have recently departed due to job cuts. Notable departures include Sebastian Castelli, head of metals origination, and Mark Sainsbury, head of structured origination.

    As part of the restructuring, Anglo American announced internally that it will cease entering long-term agreements to buy commodities that it does not already produce. This strategic shift comes after BHP’s attempted acquisition, which, if successful, would have established a major commodities conglomerate. Although BHP eventually abandoned the takeover bid, the move prompted Anglo American to expedite its business overhaul, including plans to divest its platinum business and exit from coal, diamonds, and nickel markets.

    The company is now concentrating on key commodities and reducing its cost-heavy business units. A spokesperson for Anglo American declined to comment on the recent developments, and neither Castelli nor Sainsbury provided statements regarding their departures.

  • The UK’s major miners face multiple challenges.

    The UK’s major miners face multiple challenges.

    For the former, adjusted EBITDA fell by 50 per cent year-on-year to $17bn in 2023 while Anglo American saw a net profit fall of 94 per cent.

    Glencore is really struggling to reckon an attempted exit of its legacy coal business, one that delivered $17.9bn EBITDA in 2022 – more than the groups entire return in that metric for 2023.

    The problem across the board for miners, not just Anglo and Glencore, is that this isn’t the good old days.

    It is instead putting down a roadmap towards essential metals for the energy transition; nickel, cobalt and zinc.

    Anglo is also trying to dial in on battery metals but remains heavily tied to another poorly-performing asset class – Platinum Group Metals (PGM), used in the diesel and petrol car industry.

    Alongside a wheezing diamond market, PGMs cost Anglo around $5.5bn in revenue in 2023.

    The problem across the board for miners, not just Anglo and Glencore, is that this isn’t the good old days.

    Miners had rarely been as profitable in recent history as they were in the immediate aftermath of the pandemic, which effectively ignored individual market permutations and sent all commodities skywards.

    Now, mining sub-sectors are off the ride and are starting to reconfigure individual supply-demand dynamics and that is where the underlying issues are coming to the fore.

    The nickel market, for example, has dramatically over-estimated short-term demands resulting in a market flood and pain for those with exposure.

    Exacerbated by a supply monopoly from Indonesia, miners with exposure like Glencore are struggling to sell the metal at a lower market price, and further hampered by dramatic increases in operational costs versus what they were a decade ago.

    The firm has firmly felt the nickel bite, announcing the sell-off of its stake in the Koniambo mine in New Caledonia after a profitless decade.

    The head of French metal mining group Eramet said last week that Indonesia would effectively render “old traditional players structurally non-competitive” for the foreseeable future.

    Nevertheless, the firm’s chief executive Gary Nagle is determined to spin off Glencore’s coal businesses to the U.S in favour of making UK-based operations more green metal focused – an uphill battle for the foreseeable future.

    China is continuing to weigh on miners too as its copper-hungry property business remains subdued despite state efforts to wake it up.

    Firms like Anglo are sitting on ageing assets and analysts know that major projects need to be found pretty quickly to avoid slipping further into the mooted steep production deficits.

    But Anglo faces a challenge not shared as acutely by its competitors like Glencore, Rio Tinto or Vale in that its portfolio is attempting to cater for two inversely expanding ends of the motoring market.

    The costly revenue shortfalls from its PGM group in 2023 are in large part attributable to stalling petrol and diesel vehicle demand. And with battery metal demand bottoming out too, the firm is stuck between a rock and a hard place.

    Glencore and Anglo are not Shell and BP. In market cap terms at $45bn and $23bn, they might look like they hold relatively comparable positions within the London-listed market.

    But miners are far more exposed to market volatility owing to the demand in sectors they feed.

    For now, both Glencore and Anglo can weather instability through manageable debt piles and the resources to try and pivot in whatever way possible to drive profitability.

    But investors should strap in for a bumpy ride.

  • Anglo American’s Woodsmith Mine Project: A Monumental Undertaking

    Anglo American’s Woodsmith Mine Project: A Monumental Undertaking

    In the heart of Yorkshire’s North York Moors National Park, a colossal venture is underway, captivating the attention of mining magnate Duncan Wanblad. Leading the charge for Anglo American, Wanblad finds himself at the helm of the ambitious Woodsmith fertiliser mine project, nestled near the coastal town of Whitby.

    Boasting unparalleled dimensions, the project unveils the largest polyhalite deposits globally, concealed beneath the picturesque countryside. With mine shafts delving a mile deep and engineers carving out a 23-mile transport tunnel, the scale of operations is nothing short of monumental.

    Yet, amid the grandeur lies a daunting reality. The project’s expenses have skyrocketed, far surpassing initial estimates since Anglo American’s acquisition of Woodsmith Mine owner Sirius Minerals in 2020. With expenditures already exceeding £2 billion and projections pointing towards a total bill of at least £7 billion, Wanblad faces mounting scrutiny over the venture’s viability.

    In Wanblad’s own words, the Woodsmith project embodies both promise and peril, encapsulating the spirit of ambition and risk inherent in the mining industry’s pursuit of monumental endeavors.