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Fortescue targets copper Alta Copper shareholders have approved Fortescue’s (ASX: FMG) proposed acquisition of its portfolio of exploration assets, including the Cañariaco copper project in northern Peru.The Cañariaco copper project comprises multiple deposits and prospects across a large, highly prospective landholding within an emerging porphyry copper corridor and has the potential to support a long-life copper operation.Fortescue currently holds about 64% of Alta Copper’s issued share capital and the acquisition will be implemented by way of a Canadian Plan of Arrangement.Under the transaction, Alta Copper shareholders will receive cash consideration of $1.47 (C$1.40) per share, implying a total equity value for Alta Copper of $146m (C$139m).Fortescue growth and energy chief executive Gus Pichot comments on the transaction.“Copper is a core pillar of Fortescue’s long-term growth strategy and the transaction is aligned with our disciplined approach to capital allocation and reputation of responsibly developing high-quality assets,” he said.“The Cañariaco project is a compelling copper opportunity, and full ownership will provide Fortescue with greater control over project development, capital allocation and long-term value creation.“Subject to completion of the transaction, Fortescue’s initial focus will be on integration planning, technical review, community engagement and progressing the studies required to inform future development decisions.”Completion of the transaction remains subject to the approval by the British Columbia Supreme Court, Investment Canada Act and the satisfaction of other customary closing conditions.

Brownfield expansion overtakes greenfield development Brownfield development has intensified in recent years and — despite global mineral demand rising faster than supply growth — new mine commissioning has slowed.A new study, led by researchers from The University of Queensland’s Sustainable Minerals Institute (SMI), provides a snapshot of the potential social and environmental costs of this growing trend and the implications for sustainable development.As worldwide demand for minerals surges, mining companies have been doubling down on investment into brownfield development, with the study showing increasing investment in brownfield mining over greenfield sites.This is particularly prevalent in minerals crucial to renewable energy technologies, transport, digital and defence infrastructure — most notably, copper and lithium.Growing demand reflects the rapid uptake of decarbonisation technologies. Such technologies are considered minerally intense. Electric vehicles require about six times the mineral inputs of conventional cars and onshore wind turbines require significantly more minerals than gas-fired plants of similar capacity.While historical mineral production has broadly kept pace with rising demand, projections show demand growing more sharply in the future. For copper and lithium, projected primary supply from announced mining projects will fall short of demand by 2035 under current policy settings, according to the IEA.To maintain supply, the Federal and State Governments continue to reform policy to support mineral exploration and major project development.Last year, the Federal Government proposed amendments to the Environment Protection and Biodiversity Conservation (EPBC) Act to speed up decision making processes, deliver faster turn arounds and improve bilateral agreements with states and remove duplication for the assessment and approval of projects.Despite growing efforts to streamline approvals for greenfield sites, the global interval between discovery and production has lengthened, now averaging 15.7 years, according to S&P Global.Expansion of brownfield explorationExpanding existing operations has been a cornerstone of many miners’ business models as companies can leverage existing infrastructure and sunk capital.SMI Centre for Social Responsibility in Mining director and lead author Professor Deanna Kemp says 60% of major company exploration budgets in 2024 were at or near existing mines, more than double 2016 levels.“Brownfield mining is an appealing option for mining companies because it maintains production, offers a stronger return on investment, with fewer financial and regulatory risks than establishing new ‘greenfield’ mines, while also deferring the significant costs of closure and rehabilitation,” she said.A snapshot of 366 brownfield sites across 58 countries and16 minerals including critical minerals including cobalt, copper and platinum were used by researchers to understand their social and environmental contexts.The study found that number of new copper mines peaked around 2015, in the early 2000s for iron ore, around 2010–2012 for nickel, and around 2012–2014 for gold. However, since these peaks, and the subsequent decline in the numbers of new mines, production has continued to rise.The research revealed the inverse relationship of rising production with fewer new mines and where output is increasingly concentrated in large, long-life operations for copper, iron ore and nickel — with brownfield capital expenditure being dominated by copper, constituting just under half the total spend.Between 2010 and 2024, expansion dominated industry spending in Australia while other parts of the world saw a gradual increase over the period.According to the researchers, about 80% of the brownfield sites that were studied are located in high risk jurisdictions, facing challenges including water scarcity, poor governance and low press freedom.Regulation of mine expansionThe 2020 destruction of Juukan Gorge, a 47,000-year-old Indigenous cultural heritage site, as part of a legal expansion of an iron ore mine illustrates that brownfield projects can have real and significant costs.“Once a mine has been approved and permitted, expansion is typically a business-as-usual part of developing a mine, even when that expansion changes the original risk of social and environmental impact,” Professor Kemp said.“Brownfield expansion often unfolds incrementally over time, with less public scrutiny: the risk factors involved in each mine site are unique and no-one has really been looking at the scale of growth brownfield mining globally.”The researchers found that more than half of their samples were in locations with multiple complex risk factors like social conflict, fragile ecosystems and weak governance, making it harder for governments and affected communities to respond to the risks presented by these expansions.Mine approval and regulatory standards are usually heavily focused on the beginning of operations by assessing risks and impacts before a mine opens. More recently, there has been an increasing focus on responsible mine closure and land rehabilitation. Both aspects are important, but the research highlights that the way mines expand and extend is becoming more important.“In the ‘middle’ of a mine’s lifespan — when the mine is active there is often less oversight or public focus — changes tend to be regulated, step by step, but the impacts of these expanded operations add up over time,” Professor Kemp said.“More research is needed to quantify the sheer scale of this trend towards greater reliance on brownfield sites, and their cumulative, long-term social and environmental effects.”CSRM research fellow and co-author Dr Julia Loginova says that given that capital is flowing into brownfields, regulatory and academic scrutiny should be moving there as well.“Brownfield sites may be the fastest and economically attractive way to meet rising mineral demand, but it is important to anticipate and manage pressures and long-term liabilities, that’s why further research in this space is very much needed, because there is still a fundamental knowledge gap,” she said.“There is a significant opportunity for interdisciplinary research to better understand scale and impacts, to support improved practice in the sector.”

China-Australia steel dilemma reaches boiling point China has warned the Federal Government that imposing tariffs or quotas on steel imports could damage Australia’s iron ore industry.The warning came after the Anti-Dumping Commission found there were “reasonable grounds” to support claims by Australian suppliers that Chinese companies were undercutting local competitors by dumping millions of dollars’ worth of steel and aluminium products.Dumping occurs when a company exports a product at a price that is lower than the price charged in the country of manufacture — often due to state-backed subsidisation allowing the exporter to sell their goods at a lower price. Global overcapacity in steel production, an industry China dominates, and increasingly protectionist trade policies have led to an increase in this practice.Chinese companies are at the centre of most investigations by the Anti-Dumping Commission about unfair trade across the steel and aluminium sectors.In a letter to the Anti-Dumping Commission, Chinese Ministry of Commerce export division first secretary Fan Xi noted that Australia’s iron ore industry is “deeply interwoven” into China’s steel industry and supply chain cooperation is essential.“We urge the Committee to respect facts and rules, correct its improper approaches, refrain from negatively impacting the stable and healthy cooperation between the industries of both countries, and earnestly adhere to multilateral trade rules,” he said.“We call for avoiding the misuse of trade remedy measures and ensuring the legitimate rights and interests of Chinese exporting enterprises are safeguarded in a fair, just and non-discriminatory manner.”It is no secret China has the ability to disrupt Australia’s iron-ore industry.More than 80% of Australia’s iron ore exports are bound for China, with exports totalling $385b for FY25, according to the Australian National University.If the dispute between China and Australia escalates, it could place further downwards pressure on iron ore pricing.In its recent quarterly report, BHP (ASX: BHP) confirmed that it remains in a deadlock with China’s state-run buyer, China Mineral Resources Group (CMRG), over an annual buying contract — which has also negatively affected its realised prices.China has long been trying to control market fluctuations. In response to climbing iron ore prices, the Chinese Government established CMRG in 2022 to act as intermediary and centralise iron ore purchasing to improve China’s pricing power in the global market — reverting to private contract negotiations.The state-controlled entity now coordinates 600-700mtpa or about 55-64% of China's total iron ore imports, according to GMK Centre.The Federal Government and iron ore majors are treading lightly as any move that prompts China to further diversify suppliers or alter buying terms can have resounding affects across Australia’s industries.Australian manufacturers are urging the Federal Government to introduce tariffs of 50% as well as a 400,000t-450,000t quota on fabricated steel imports which, if unchecked, pose a threat to the stability of local markets.Federal Industry and Innovation Minister Tim Ayres says Australia has a robust anti-dumping regime that is built to ensure that domestic industry is protected from unfair trade practices overseas.“As Australians saw last year, the announcement of tariffs by the US administration was an unwelcome development,” he said.“We have acted to make sure that our anti-dumping regime is fit for purpose. We’re backing Australian manufacturing because it delivers good jobs in suburbs right around Australia.”For now, Australia continues to grapple with balancing its domestic industries with the need to keep its biggest export market willing to spend.

Fortescue makes moves in Gabon, delivers record iron ore output Despite an increase in operating costs, Fortescue (ASX: FMG) has delivered record iron ore shipments and landed within production guidance for Q2 FY26.The company shipped 50.5mt throughout the quarter, bringing total shipments for the H1 FY26 to 100.2mt — a 3% year-on-year (YoY) increase.Unit costs rose 5% on Q1 prices to $28 /wmt, predominantly due to higher diesel prices and a weaker exchange rate, but the company’s full year guidance remains unchanged.The company’s Pilbara hematite iron ore was reaching about $140 /dmt while higher-grade product from the Iron Bridge operations was hitting about $180 /dmt for the quarter.Fortescue metals and operations chief executive Dino Otranto says the company has had a record first half for FY26.“This was achieved safely and sets us up well heading into the second half to meet our FY26 shipments and cost guidance,” he said.Fortescue also advanced operations at its Belinga iron ore project in Gabon, Africa following successful senior level visits. A Presidential Taskforce has now been established to streamline the planning and delivery of the Belinga iron ore project.The project was acquired in 2021 but has been slow to start for several reasons, including the deposit’s isolated location and lack of supporting infrastructure.Fortescue is set to deliver a feasibility study in December 2026 and start shipping ore by 2030.Fortescue continued to diversify and bolster its critical minerals strategy during the quarter with the acquisition of the remaining 64% of Peruvian copper miner Alta Copper for $152m.Fortescue growth and energy chief executive Gus Pichot says the company continues to make disciplined progress across its global growth portfolio of metals, critical minerals, energy and technology opportunities.“In line with our critical minerals strategy, this quarter we entered into a binding agreement to acquire the remaining 64% of Alta Copper’s shares,” he said.“Fortescue will apply its strong track record of project delivery and well-established technical, permitting and community engagement expertise to diversify and expand our copper portfolio and exploration footprint in Latin America.”During the quarter, Fortescue also reached an important milestone with delivery of its first large-scale battery energy storage system at North Star Junction.“With a total capacity of 250MWh, this installation marks the first step in a planned 4-5GWh rollout of energy storage required to support the decarbonisation of our operations over the coming years,” Mr Otranto said.

US-based critical minerals company to acquire Australian Strategic Materials Energy Fuels is set to acquire Australian Strategic Materials (ASX: ASM) for about $447m.The companies have entered into a binding scheme implementation deed with the goal of creating a near-term Western “mine to metal & alloy” supply chain delivering heavy and light rare earths.This closely follows new details emerging of the $1.2b Critical Minerals Strategic Reserve (CMSR), with the Federal Government confirming antimony, gallium and rare earth elements as early priorities.Under the scheme, each ASM shareholder will receive a total implied value of $1.60/share.The board of directors of ASM unanimously recommends that shareholders vote in favour of the schemeASM managing director and chief executive Rowena Smith comments on the proposal.“This proposed combination delivers a significant premium for ASM shareholders and ensures our shareholders retain the opportunity to participate in the substantial upside of a larger, better capitalised critical minerals business,” she said.“We are pleased to recommend this transaction not only for the value it delivers but it accelerates the execution of our mine to metals strategy in a way that unlocks greater scale, de-risks delivery and positions us to capture the full potential of our rare-earths opportunity.”Through the acquisition, ASM would gain exposure to Energy Fuels’ significant experience in solvent extraction at the White Mesa Mill in Utah, which has been in operation for 45 years.The company would also be positioned to capitalise on US Government funding and incentive options, with the combined business strongly aligning with the objectives of the recent US-Australian Critical Minerals Framework.

Rio beats estimates despite China pressure Rio Tinto (ASX: RIO) reported record iron ore and copper production during Q4 CY25 — a successful first quarter for recently ascended chief executive Simon Trott.The company recorded a 4% increase in year-on-year (YoY) production and a 7% rise in YoY shipment number, exporting 91.3mt of iron ore during the quarter, most of which was bound for China.Another milestone in Rio’s iron ore business was achieved during the quarter with the highly anticipated inaugural cargo from the Simandou iron ore project leaving Guinea, Africa.Rio reported that mine operations bounced back from cyclone impacts in Q1, recovering 9mt of the 13mt of output lost due to cyclone, to ship a total 326.2mt for 2025 — meeting the company’s guidance of 323mt to 338mt.Rio’s realised iron ore prices for the quarter were up 1% contrasted to BHP (ASX: BHP), who, earlier this week, reported it had agreed to lower prices for some iron ore sales while still undertaking negotiations with China for a 2026 supply deal.Rio Tinto chief executive Simon Trott says operations delivered exceptional production performance, both on a quarter-on-quarter and full year basis.“We achieved record quarterly iron ore production in the Pilbara, with a strong recovery from the extreme weather interruptions earlier in the year,” he said.“At Simandou, we celebrated the major milestone of first shipment from the port — a testament to our ability to deliver major growth projects.”There are a number of hurdles iron ore majors will face this year, with steel demand forecast to fall 1.5%, according to China Metallurgical Industry Planning and Research Institute (MPI), likely having resonating effects on global iron ore markets.Stockpiles at China’s ports are also rising rapidly. According to Shanghai SteelHome E-Commerce Co, there is at least 155mt of iron ore now stockpiled at Chinese ports — the highest level since April 2024 — suggesting further demand softening.Diversified assets deliver strong resultsUnderpinned by the ramp up at Oyu Tolgoi, annual copper production rose 11% YoY, exceeding the top end of Rio’s increased guidance range, and shipments increased 5%.Rio’s bauxite and lithium operations also finished the year strong, supported by record quarterly production from lithium assets in Argentina and bauxite production reaching 15.4mt in Q4 CY25.“Record copper production continues following delivery of our Oyu Tolgoi underground project, another demonstration of our unique and diverse project capabilities,” Mr Trott said.“In lithium, we achieved production growth from our operations and in-flight projects as planned in 2025, as we build out our high-quality portfolio with discipline.“Implementation of our stronger, sharper, simpler way of working continues, and is delivering results and creating value.”Rio is currently in preliminary takeover talks with Glencore and its strong quarter results could bolster its standing. Rio has until February 5 to make a formal offer for Glencore.