The proposed Anglo American-Teck merger has revived long-standing ambitions to share infrastructure at two major mines in northern Chile, but analysts say the plan could face hurdles to gain buy-in from Swiss miner and trader Glencore.
Glencore an equal partner with London-listed Anglo at Collahuasi, one of the world’s largest copper deposits that sits about 10 kilometers (6.21 miles) from Canadian miner Teck’s flagship Quebrada Blanca mine.
Investors see combining operations at the two sites as a linchpin to the Anglo-Teck merger, one of the biggest deals in mining history that would catapult two medium-sized mining firms into the top tier of global copper producers just ahead of an expected boom in demand.
Yet the companies will face questions about how such a fusion would work in practice, because of issues critical to Glencore such as valuation, supply agreements, profit sharing and…
