BHP CEO Mike Henry Foresees $250 Billion Copper Investment to Drive Industry Mergers
Soaring demand for copper will require an estimated $250 billion of investment over the next decade, fueling further mergers in the industry, according to BHP Group Ltd. CEO Mike Henry.
In a Bloomberg Television interview, Henry highlighted the increasing challenges in finding and developing new deposits of critical minerals, which are becoming more costly and technically complex to manage.
“This suggests a trend toward consolidation, with companies that have scale, strong balance sheets, and deep technical expertise, like BHP, being well-positioned to lead in the decades ahead,” Henry stated.
Copper demand, crucial for the energy transition, is expected to rise by 70% to 100% by 2050. In response to this growing demand, BHP recently acquired Filo Corp. and teamed up with Lundin Mining Corp. in a $3 billion deal to secure South American copper assets.
Earlier this year, BHP also abandoned a $49 billion takeover bid for Anglo American Plc, aimed at gaining access to its copper mines. Henry declined to comment on whether BHP would revisit a potential offer for Anglo.
SOURCE:mining.com
