MINING CORPORATIONS – AUSTRALIA

BHP warns on unions’ advance

roymorgansocial Leave a comment

Original article by Brad Thompson
The Australian – Page: 15 & 24 : 18-Feb-26

BHP has posted a 2025-26 interim profit of $US5.64bn ($7.9bn), which is 28 per cent higher than previously; revenue increased by 11 per cent to $US27.9bn ($39.5bn). Copper was a key driver of BHP’s half-year result, with the energy transition metal exceeding earnings from iron ore for the first time; copper accounted for 51 per cent of BHP’s underlying EBITDA of $US15.5bn, and CEO Mike Henry has described the earnings shift as a ‘milestone’. Meanwhile, Henry has expressed concern about the growing push to reunionise the Pilbara in the wake of industrial relations reforms during the federal government’s first term in office; he notes that there has been a big increase in unions’ right-of-entry requests at its iron ore mines.

CORPORATES
BHP GROUP LIMITED – ASX BHP

Fortescue pursues green tick for new mine

roymorgansocial Leave a comment

Original article by Brad Thompson
The Australian – Page: 17 : 18-Feb-26

Fortescue recently submitted an application to develop the Wyloo North iron ore mine to Western Australia’s Environmental Protection Authority. Fortescue estimates that the mine’s carbon emissions will peak at nearly 99,000 tonnes per annum during the two-year construction phase, and up to 53,300 tonnes a year when it is operational. Fortescue’s mining CEO Dino Otranto emphasises that the emissions forecasts are based on the company’s current iron ore mines, and Wyloo North will be designed to operate without the use of fossil fuels. Fortescue has set a net-zero emissions target of 2030 for its mining operations.

CORPORATES
FORTESCUE LIMITED – ASX FMG, WESTERN AUSTRALIA. ENVIRONMENTAL PROTECTION AUTHORITY

Lithium boss urges West to instate price floor after landmark deal

roymorgansocial Leave a comment

Original article by Mark Wembridge
The Australian Financial Review – Page: Online : 11-Feb-26

PLS Group has secured a two-year offtake agreement with China-based Canmax Technologies for the suppy of spodumene concentrate. PLS will supply Canmax with 150,000 tonnes of spodumene concentrate over two years, with an option to extend the deal for a further 12 months. The agreement includes a guaranteed floor price of $US1,000 per tonne, and CEO Dale Henderson has urged Western governments to consider implementing a floor price for lithium, as well as other incentives. The price of six per cent spodumene rose to more than $US2,000 per tonne in early 2026, compared with just $US575 per tonne in mid-2025.

CORPORATES
PLS GROUP LIMITED – ASX PLS, CANMAX TECHNOLOGIES COMPANY LIMITED

Rio Tinto investors lean to London

roymorgansocial Leave a comment

Original article by Peter Ker
The Australian Financial Review – Page: 17 : 4-Feb-26

Rio Tinto’s Australian-listed shares have fallen by 1.5 per cent since the resources giant confirmed in early January that it is holding merger talks with Glencore, while its London-listed shares have gained nearly nine per cent. Rio Tinto’s Australian shares have traditionally traded at a premium to its London stock, but this premium has fallen from 23 per cent at the start of 2026 to around 14 per cent. Some observers believe that Rio Tinto is more likely to pay for the Glencore deal by issuing new Australian shares, which could result in the shareholdings of local investors being diluted.

CORPORATES
RIO TINTO LIMITED – ASX RIO, GLENCORE PLC

Regis revives $1b gold mine halted by bee ruling

roymorgansocial Leave a comment

Original article by Peter Ker
The Australian Financial Review – Page: 17 : 3-Feb-26

Regis Resources will seek environmental approval from the federal government for an ‘integrated waste landform’ to store waste from its proposed McPhillamys gold mine near Blayney in NSW. Regis contends that the tailings dam that it had originally proposed – and which was blocked by former environment minister Tanya Plibersek on Indigenous heritage grounds – is still the ‘optimal’ solution. However, it has lodged the application to develop the integrated waste landform at an alternative site in case its legal challenge to Plibersk’s 2024 ruling is unsuccessful. Regis estimates that McPhillamys contains at least 2.26 million ounces of gold.

CORPORATES
REGIS RESOURCES LIMITED – ASX RRL, AUSTRALIA. DEPT OF CLIMATE CHANGE, ENERGY, THE ENVIRONMENT AND WATER

Rio must buy Glencore whole: shareholders

roymorgansocial Leave a comment

Original article by Peter Ker
The Australian Financial Review – Page: 15 : 21-Jan-26

Some of Glencore’s biggest shareholders have stated that Rio Tinto must agree to buy the entire company rather than merely its most desirable assets, such as its copper and zinc mines. Rio Tinto is unlikely to want to retain Glencore’s coal assets if the proposed merger goes ahead, given that it exited the sector about eight years ago. However, some Glencore shareholders have warned that they are unlikely to support Rio Tinto’s bid if it seeks to ‘cherry-pick’ the company’s assets. The investors also contend that Rio Tinto will need to offer a takeover premium if its management team led by CEO Simon Trott is to run the merged group.

CORPORATES
RIO TINTO LIMITED – ASX RIO, GLENCORE PLC

Standoff with China buyer is hurting iron ore prices: BHP

roymorgansocial Leave a comment

Original article by Brad Thompson
The Australian – Page: 13 & 19 : 21-Jan-26

BHP has advised that its iron ore division achieved an average realised price of $US84.71 per tonne in the December quarter. This is four per cent higher than the same period in 2024, although it represents a large discount to the benchmark price. BHP is continuing to hold talks with state-run iron ore trader China Mineral Resources Group on annual contract terms, and BHP has acknowledged that the long-running dispute has affected the price it receives for the iron ore it ships from the Pilbara. BHP has also advised that the first stage of its Jansen potash project in Canada is now expected to cost $US8.4bn ($12.5bn); this compares with a previous forecast of between $US7bn and $US7.4bn.

CORPORATES
BHP GROUP LIMITED – ASX BHP, CHINA MINERAL RESOURCES GROUP COMPANY LIMITED

Rio Tinto boss delivers snub to Davos

roymorgansocial Leave a comment

Original article by Brad Thompson
The Australian – Page: 13 & 14 : 20-Jan-26

Rio Tinto’s former CEO Jakob Stausholm attended the last three World Economic Forums in Davos. However, the resources group will not be represented at the 2026 event; current CEO Simon Trott and his executive team are believed to be focusing on operational matters and the proposed merger with Glencore. Meanwhile, BHP CEO Mike Henry and Fortescue’s executive chairman Andrew Forrest are amongst the mining industry leaders who will address the WEF. Glencore CEO Gary Nagle will also be at Davos, and he is expected to advocate the merits of the proposed merger with Rio Tinto.

CORPORATES
RIO TINTO LIMITED – ASX RIO, BHP GROUP LIMITED – ASX BHP, FORTESCUE LIMITED – ASX FMG, GLENCORE PLC

BHP considering its options amid mega-merger talks

roymorgansocial Leave a comment

Original article by Mark Wembridge, Tom Rabe
The Australian Financial Review – Page: 15 : 13-Jan-26

BHP has declined to comment on speculation about its possible response to the renewed merger between Rio Tinto and Glencore. Romano Sala Tenna from Katana Asset Management says it could make more sense for BHP to merge with Glencore, given that both companies have significant coal assets and Rio Tinto has completely exited that sector. He adds that growing global sovereign risk means that achieving scale in the mining sector also makes sense. MKI Global Partners’ CEO Mark Kelly in turn notes that BHP is seeking to reduce its reliance on iron ore for export earnings.

CORPORATES
BHP GROUP LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, KATANA ASSET MANAGEMENT LIMITED, MKI GLOBAL PARTNERS

BHP closes in on CBA’s crown as ASX king

roymorgansocial Leave a comment

Original article by Cecile Lefort
The Australian Financial Review – Page: 21 : 13-Jan-26

Shares in BHP have risen by 30 per cent in the last six months, lifting its market capitalisation to $236bn. The resources giant is now just 8.5 per cent shy of the Commonwealth Bank of Australia’s market cap of $258bn, and a continued strong run could see it reclaim the title of the ASX’s biggest company. CBA’s shares peaked at $192 in mid-2025; Peter Gardner from Plato Investment Management believes that CBA is still a bit overvalued at its current price of about $154 per share. Meanwhile, BHP has been buoyed by strong commodity prices, which has prompted investors to rebalance their portfolios in favour of mining companies rather than banks.

CORPORATES
BHP GROUP LIMITED – ASX BHP, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, PLATO INVESTMENT MANAGEMENT LIMITED