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This year is going to be all about COPPER! The International Energy Agency estimates existing and planned mines will only deliver 70% of what the world needs by the mid-2030s.
Right now, two of the world's mining giants are circling each other. Rio Tinto and Glencore confirmed this week that they're in preliminary talks about merging some or all of their businesses. If it happens, the deal could potentially create one of the largest mining companies on the planet, worth roughly $207 billion.
And it's all about copper: Glencore digs up about a million tonnes each year and wants to double that. Rio extracts roughly 800,000 tonnes. Combined, they'd control roughly 7% of global copper production. That's a commanding position in a market where demand is surging.
Every solar panel, wind turbine, and EV motor needs copper. The AI boom only intensifies that demand. The world's biggest miners know this. They're racing to lock up supply before it becomes genuinely scarce.
BHP has attempted to acquire Anglo American twice. First with a $75 billion offer last year, then another crack at $79 billion in November. Now, Anglo is merging with Canada's Teck Resources in a $92 billion deal. It's one of the biggest transactions in mining history, and it's explicitly pitched as a copper play.
BHP has boosted copper production 28% in three years. Copper now represents 45% of its earnings, up from 29%. Rio has pushed ahead with its expansion in Mongolia. Its Oyu Tolgoi mine is on track to become a top-five global copper mine. Copper now accounts for 19% of group earnings, up from 13% in just three years.
Under takeover rules, Rio now has until February 5 to make a formal offer or walk away. Watch the February 5 deadline!
