MINING CORPORATIONS – AUSTRALIA

Toronto tempts Aussie miners

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Original article by Glenda Korporaal
The Australian – Page: 15 : 20-May-24

About 21 Australian mining companies are currently listed on the Toronto Stock Exchange; however, the TSX’s Dean McPherson says this could quickly increase to around 30, as more companies in the local mining sector recognise the benefits of raising capital in North America. The TSX is the third-largest stock exchange in North America, with a total market capitalisation of $4.65 trillion and about 3,500 listed companies; in contrast, the Australian Stock Exchange boasts a total market capitalisation of $2.7 trillion and about 2,200 listed companies. Both bourses have traditionally had a heavy weighting towards the resources sector.

CORPORATES
TORONTO STOCK EXCHANGE, ASX LIMITED – ASX ASX

Toronto tempts Aussie miners

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Original article by Glenda Korporaal
The Australian – Page: 15 : 20-May-24

About 21 Australian mining companies are currently listed on the Toronto Stock Exchange; however, the TSX’s Dean McPherson says this could quickly increase to around 30, as more companies in the local mining sector recognise the benefits of raising capital in North America. The TSX is the third-largest stock exchange in North America, with a total market capitalisation of $4.65 trillion and about 3,500 listed companies; in contrast, the Australian Stock Exchange boasts a total market capitalisation of $2.7 trillion and about 2,200 listed companies. Both bourses have traditionally had a heavy weighting towards the resources sector.

CORPORATES
TORONTO STOCK EXCHANGE, ASX LIMITED – ASX ASX

Miners hail $17.6b in tax credits – but BHP nickel still on death row

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Original article by Brad Thompson
The Australian Financial Review – Page: Online : 15-May-24

Australia’s critical minerals industry has welcomed the federal government’s decision to provide the sector with a 10 per cent production tax credit. However, the budget measure may not ensure the future of BHP’s nickel operations in Western Australia, given that the tax credit will not be availabe until 2027. The potential closure of BHP’s nickel mines, refinery and smelter would result in the loss of about 3,000 jobs; BHP has previously warned that tax credits may not be enough to save the Nickel West business, which is contending with a glut of low-cost nickel produced in Indonesia with Chinese backing.

CORPORATES
BHP GROUP LIMITED – ASX BHP, NICKEL WEST

Anglo unveils radical restructuring plan

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Original article by Paul Garvey
The Australian – Page: 25 & 26 : 15-May-24

Anglo American has announced a major restructuring of its global operations in the wake of a spurned takeover approach from BHP. Anglo American intends to focus primarily on its copper and iron ore assets, and CEO Duncan Wanblad says any potential suitors will have to pay an "enormous amount of money" to acquire the company after the two-year overhaul is completed. Amongst other things, Anglo American will sell its coking coal mines in Queensland, demerge its platinum assets and put the Woodsmith potash project in the UK on hold indefinitely.

CORPORATES
ANGLO AMERICAN PLC, BHP GROUP LIMITED – ASX BHP

Rio investigates third derailment of one of its driverless iron ore trains

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Original article by Brad Thompson
The Australian Financial Review – Page: 20 : 14-May-24

Rio Tinto has notified rail safety authorities of an incident in which an autonomous iron ore train was derailed about 80km from Karratha early on Monday morning. It is believed to have occurred when the driverless train collided with a set of stationary wagons while it was enroute to port with a shipment of iron ore. Rio Tinto will also commence an internal investigation into the incident. Rio Tinto’s driverless trains have now been derailed three times in the last year. The company began operating autonomous trains in the Pilbara in 2019.

CORPORATES
RIO TINTO LIMITED – ASX RIO

Anglo American rejects second, higher BHP takeover offer

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Original article by Peter Ker
The Australian Financial Review – Page: Online : 14-May-24

BHP CEO Mike Henry says it is disappointing that Anglo American’s board has rejected a revised takeover offer and has not been willing to enter into further discussions. The initial offer had comprised 0.7097 of its shares for every Anglo American share; however, BHP increased this to 0.8132 of its shares last week, valuing the target at $64.4bn. Henry adds that the two companies are a "strategic fit", and the combined group would have a leading portfolio of high-quality assets across a range of commodities.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC

Iluka boss calls out China over rare earths prices

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Original article by Brad Thompson
The Australian Financial Review – Page: 18 : 8-May-24

Iluka Resources MD Tom O’Leary contends that the entire rare earths industry is unprofitable due to China’s efforts to manipulate prices in order to retain its dominance in the sector. O’Leary has told shareholders at Iluka’s AGM that no rare earths producer is making money at the current prices for minerals that are critical to the energy transition. He also alleges that Chinese state-owned entities are seeking to control rare earths production via binding offtake agreements or the acquisition of rival producers. Meanwhile, Iluka is seeking additional federal government funding for its rare earths refinery at Eneabba in Western Australia.

CORPORATES
ILUKA RESOURCES LIMITED – ASX ILU

High-profile backers give BHP green light for improved Anglo bid

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Original article by Peter Ker
The Australian Financial Review – Page: 18 : 7-May-24

Argo Investments’ Andy Forster believes that BHP’s takeover bid for Anglo American makes sense, but he adds that BHP will need to sweeten its bid in order to gain the target’s support. He adds that BHP must adopt a "disciplined" approach to the takeover bid. Wilson Asset Management has also expressed support for BHP’s takeover bid; WAM Leaders Fund portfolio manager Matt Haupt notes that Anglo American’s copper assets will generate synergies for BHP, and he believes that the latter has the capacity to increase its offer by 5-10 per cent.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC, ARGO INVESTMENTS LIMITED – ASX ARG, WILSON ASSET MANAGEMENT, WAM LEADERS LIMITED – ASX WLE

High-profile backers give BHP green light for improved Anglo bid

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Original article by Peter Ker
The Australian Financial Review – Page: 18 : 7-May-24

Argo Investments’ Andy Forster believes that BHP’s takeover bid for Anglo American makes sense, but he adds that BHP will need to sweeten its bid in order to gain the target’s support. He adds that BHP must adopt a "disciplined" approach to the takeover bid. Wilson Asset Management has also expressed support for BHP’s takeover bid; WAM Leaders Fund portfolio manager Matt Haupt notes that Anglo American’s copper assets will generate synergies for BHP, and he believes that the latter has the capacity to increase its offer by 5-10 per cent.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC, ARGO INVESTMENTS LIMITED – ASX ARG, WILSON ASSET MANAGEMENT, WAM LEADERS LIMITED – ASX WLE

BHP needs bid lift for Anglo deal

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Original article by Perry Williams
The Australian – Page: 17 : 1-May-24

Research house Bernstein says BHP’s takeover bid for Anglo American can secure the target’s support at the right price. BHP’s offer comprises 0.7097 of its shares for every share in Anglo American; this valued Anglo’s shares at Stg25.08 at the time the offer was made. Bernstein analysts suggest that BHP’s bid could succeed if its offer is increased to around Stg29 per share. Anglo American deemed BHP’s initial approach to be "opportunistic", and contended that it significantly undervalues the company’s assets. Anglo American has given BHP a deadline of 22 May to make a firm offer or walk away from the proposed deal.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC, BERNSTEIN RESEARCH