Anglo American Sells Nickel Business to MMG for Up to $500 Million

Anglo American has entered into a definitive agreement to sell its nickel business to MMG Singapore Resources, a subsidiary of MMG Limited, for up to $500 million. The transaction includes two ferronickel operations in Brazil—Barro Alto and Codemin—as well as two greenfield growth projects, Jacaré and Morro Sem Boné.

The deal comprises an upfront cash consideration of $350 million, a price-linked earnout of up to $100 million, and an additional $50 million contingent on the Final Investment Decision (FID) for the development projects. Completion is expected by Q3 2025, subject to regulatory approvals.

Anglo American CEO Duncan Wanblad stated that the sale aligns with the company’s strategy to simplify its portfolio, emphasizing copper, premium iron ore, and crop nutrients. The transaction follows the company's November 2024 agreement to sell its steelmaking coal business, contributing to a total of up to $5.3 billion in gross cash proceeds.

MMG CEO Cao Liang highlighted the acquisition’s strategic importance, strengthening MMG’s presence in Latin America and diversifying its operations. He emphasized the business’s sustainability credentials, including Barro Alto’s certification by the Initiative for Responsible Mining Assurance at the IRMA 75 level in 2024.

The nickel operations produced 39,400 tonnes of nickel in 2024 and serve both the stainless steel and battery markets. The Jacaré project holds approximately 300 million tonnes of mineral resources, while Morro Sem Boné has an estimated 65 million tonnes of potential mineralization.