Mining Giants Teck and Anglo Must Show Merger Has ‘Net Benefit’ to Canada Before Approval: Industry Minister

Industry Minister Melanie Joly speaks with media before attending cabinet on Parliament Hill in Ottawa on Sept. 16, 2025. The Canadian Press/Adrian Wyld

Industry Minister Mélanie Joly says she has not yet seen enough “net benefit” to Canada to allow Vancouver’s Teck Resources Ltd. to merge with UK-based miner Anglo American PLC.

“There have been conversations with the companies, and clearly we wanted to make sure that there would be a net benefit to Canada, but I think right now that it’s not enough,” Joly told reporters on her way to a cabinet meeting in the House of Commons on Sept. 16.

Last week, Teck and Anglo reached an agreement to combine the two companies to form a copper mining powerhouse worth about $70 billion. The companies proposed the deal as a “merger of equals,” and plans include sourcing upper management and board representation roughly equally between the two. The deal would also see company headquarters of what would be known as Anglo Teck move to Vancouver.

Joly said she would like to see longer-term commitments to Canada before approving the deal. She said while it’s important to think about the short term, the long term also need to be considered in determining whether the merger will benefit Canada.

“We need to think about longer term and how we can make sure that ultimately we create jobs, but we have a strong headquarters, not only now, but also for the next decade,” Joly said.

Further conversations with the two companies are still needed, she said, adding that she will be meeting with CEOs of both companies next week.

Meanwhile, the deal is subject to review under the Investment Canada Act, which governs large foreign direct investment in Canada and can be used to block deals deemed to be against the national interest. Joly must determine whether the deal is of net economic benefit to Canada as well as whether it meets Canada’s national security concerns and objectives.

The federal government announced changes to the Investment Canada Act in March to include economic security as a factor when deciding whether an investment deal can go ahead, in an effort to block “predatory investment behaviour.”

The merger deal includes roughly $4.5 billion in spending commitments to Canada over five years. A significant portion of these commitments was already previously announced by Teck, including the $2.4 billion mine life extension project of its Highland Valley copper mine, for which construction began southwest of Kamloops, B.C. last week.

Also included in the deal is up to $750 million in spending for the Golden Triangle in northwest B.C., $750 million for the Trail smelter in B.C. for a strategic metals initiative that could add copper refining to the existing lead and zinc production, and $300 million in critical minerals exploration and technology in Canada.

B.C. Premier David Eby called the deal a “remarkable vote of confidence” in the people and resources of British Columbia as well as its role in the Canadian economy.

When the deal was announced, Joly said the federal government would take into account several issues as it considers the merger, including the companies’ pledge to have its headquarters based in Canada.

The Canadian Press contributed to this report.