BHP (ASX:BHP) is seeking buyers for the gold and copper assets it took on through its acquisition of Oz Minerals last year, according to a report by Bloomberg which cited people familiar with the matter.
In May 2023, the world’s largest miner took over Oz Minerals for $9.6 billion in bid to boost its exposure to key materials for electric cars and clean energy.
The deal included — among other assets — an untapped gold deposit and four small, high-grade copper-gold mines in the northern Brazilian state of Para. However, following a strategic review of those assets in the aftermath of the transaction, BHP has engaged Banco Santander SA to assist in their potential sale.
The mining giant has in recent years been focused on establishing a copper hub in South Australia, while taking steps to shore up its status as one of the world’s largest producers of the metal.
That said, BHP’s Brazil manager told Bloomberg last year that the company has no intention to offload Samarco Mineracao SA — the iron ore producer it jointly owns with Vale SA (NYSE:VALE).
In any case, BHP is firmly in copper mode, having teamed up with Lundin Mining (TSX:LUN) last week to acquire Filo Corp (TSX:FIL) and its South American copper assets for $4.5 billion.
That — along with BHP’s $75 billion tilt for Anglo American, which was dropped at the end of May — fits with an emerging trend that’s seen many copper miners ‘buying production’.
According to the London Metal Exchange, the price of copper is currently sitting at US$8,769.50 ($13,436.96) per tonne — slightly above a four-month low registered earlier this week as commodities got caught up in a global sell-off.
Shares in BHP were down 2.01% to $40.20 as of 1:00 pm AEST, and down 20.47% so far this year.
Write to Oliver Gray at Mining.com.au
Images: BHP
