Julie Steinberg of The Wall Street Journal reports that the U.S. and China are competing to acquire the supplies of copper essential for EVs and data centers. It is also at the center of a $43 billion takeover battle. Steinberg writes:
After one of the world’s top copper producers recently hit a financial crunch, the Biden administration started huddling with potential investors about taking a stake in the company’s Zambian mines worth as much as $3 billion.
The search isn’t restricted to American companies, with entities from the United Arab Emirates, Japan and Saudi Arabia—all viewed as friendly to U.S. interests—expressing interest in the stake in First Quantum Minerals’ assets, according to people familiar with the matter.
The goal is simple: to keep it out of Chinese control and prevent the Asian superpower from tightening its grip over the global supply of crucial metals and minerals.
The bidding, expected to be concluded later this year, is part of a global rush to acquire more copper, a key component in everything from electric cars to transmission lines and the data centers powering the AI revolution.
BHP Group’s record nearly $43 billion takeover bid for Anglo American, which was rejected Monday, puts a fresh spotlight on the intense demand for copper. […]
Duncan Blount, chief executive of C3, said he spoke with the International Development Finance Corp and State Department about making a bid, but concluded it would have been too expensive. Still, he said, “They were incredibly helpful on this venture and other projects. They’re keen to see American businesses and entrepreneurs go back into Congo.”
Read more here.
