Anglo American & Teck: Reshaping the Minerals Supply Chain

The merger of Anglo American plc and Teck Resources Limited creates Anglo Teck, a global leader in critical minerals with the scale and resources to transform supply chains worldwide.

Headquartered in Canada and with leadership in the UK and South Africa, Anglo Teck takes immediate position as a top five copper producer while strengthening its role in sustainable supply chain growth.

It will provide the companies with greater global reach and the union of their infrastructure will encourage the sourcing of finer quality materials.

Building a stronger minerals portfolio

Anglo American is a British multinational mining company recognised as the world’s largest platinum producer. Its operations extend to diamonds, copper, nickel, iron ore, polyhalite and steelmaking coal, all of which play an essential role in modern supply chains.

The merger with Canadian company Teck Resources creates a new entity dedicated to responsibly supplying materials vital for the global energy transition.

The combined Anglo Teck portfolio includes six major copper assets and a pipeline of development projects across brownfield and greenfield sites.

Copper is an essential material in power transmission, renewable energy infrastructure and electrification technologies, making the company’s supply capabilities central to industrial and energy systems worldwide.

Jonathan Price, Chief Executive Officer at Teck, explains: "This merger of two highly-complementary portfolios will create a leading global critical minerals champion headquartered in Canada – a top five global copper producer with exceptional mining and processing assets located across Canada, the United States, Latin America and Southern Africa.

"It is a natural progression of our strategy and portfolio simplification, which created a platform to enable exactly this sort of transformative transaction. Bringing together our world-class copper assets, premium iron ore and zinc operations and an outstanding pipeline of high-quality growth projects provides enormous resiliency and optionality."

Financial scale and supply efficiency

The combined financial base provides strength for future investment and supply chain expansion. Anglo American reports underlying EBITDA of US$8.46bn in 2024, while Teck records adjusted EBITDA of CAD$2.93bn (US$2.12bn).

Together, Anglo Teck expects to generate greater efficiency and growth, underpinned by supply chain optimisation across continents.

Pre-tax cost savings of around US$800m are targeted by the fourth year, with 80% of those savings expected to materialise by the second year.

A further US$1.4bn of underlying EBITDA is projected through collaboration at Chilean operations Collahuasi and Quebrada Blanca. These mines demonstrate how combining logistics, processing and infrastructure can improve productivity and lower unit costs across supply chains.

Jonathan adds: "This transaction will create significant economic opportunity in Canada, while positioning Anglo Teck to deliver sustainable, long-term value for shareholders and all stakeholders."

Duncan Wanblad, Chief Executive Officer at Anglo American, comments: "We are unlocking outstanding value both in the near and longer term – forming a global critical minerals champion with the focus, agility, capabilities and culture that have characterised both companies for so long."

Unlocking supply chain growth

For supply chains, the merger extends reach and integration across multiple regions. The combination of Collahuasi and Quebrada Blanca operations in Chile highlights how mining assets can be aligned to unlock higher ore grades and throughput by sharing processing capacity.

The ability to optimise these assets allows Anglo Teck to supply critical minerals more consistently to customers worldwide.

Beyond copper, the merger creates broader sourcing and delivery options for iron ore, zinc and agricultural inputs. This diversification reduces supply chain risk and gives Anglo Teck greater resilience against market fluctuations.

The company’s commitment to sustainability also ensures that partners and downstream users benefit from responsibly produced minerals.

Duncan stresses: "We have a unique opportunity to bring together two highly-regarded mining companies whose portfolios and capabilities are deeply complementary, while also sharing a common set of values.

"We are all committed to preserving and building on the proud heritage of both companies, both in Canada, as Anglo Teck’s natural headquarters, and in South Africa where our commitment to investment and national priorities endure.

"Together, we are propelling Anglo Teck to the forefront of our industry in terms of value accretive growth in responsibly produced critical minerals."

The merger not only consolidates Anglo American and Teck’s existing positions but also creates a supply chain platform ready to respond to the increasing global demand for minerals central to renewable energy, infrastructure and food production.

Anglo Teck’s combined reach, scale and financial capacity ensures long-term stability and growth opportunities across its global supply networks.