Federal Resources Minister Madeleine King has spoken about the proposed Rio Tinto–Glencore merger, noting the sentimental attachment the wider Australian business community has to Rio Tinto.
King said Rio Tinto will “always be regarded as a Western Australian asset in our hearts”, even as this proposed mega deal, which would make Rio the world’s largest miner, reminds Australians that the mining giant is very much a “global company”.
This reported deal, a revival of 2024 discussions, would include an all-share merger between Rio Tinto and Glencore, according to the Dow Jones Newswire. Bloomberg recently reported that negotiations are “the most serious they have ever been”, suggesting we could be inching closer to the blockbuster merger. The consolidated company would be valued at over $317 billion.
“You can see its influence in the global resources industry is really important,” King said. “We saw the incoming CEO [Simon Trott] also meet with President Trump in the White House, just showing how important… these resources companies, whilst not always based in Perth – one in London, one in Melbourne – are so vitally important to international thinking on resources extraction.”
Critical Minerals Strategic Reserve update
Minister King also announced that Australia’s Critical Minerals Strategic Reserve should be operational by late 2026. The Government plans to introduce legislation to expand Export Finance Australia’s powers to facilitate stockpiling, off-take agreements, and price stability.
“Really importantly, the reserve is being created for the benefit of Australians and Australian taxpayers because they are supporting this initiative,” King said. “But it is in the interests of Australia to make sure we work collaboratively with partners to bring in other financing into this.”
Initially focusing on antimony, gallium, and rare earth elements, the reserve aims to support clean energy and defence sectors while mitigating market volatility. By providing investment certainty and establishing secure supply chains, the initiative seeks to bolster domestic extraction and processing.
King emphasised that the design process involves ongoing consultation with industry stakeholders and international partners to meet global demand.
