Rio Tinto and Glencore are in merger talks that could result in the creation of the world’s largest mining company, as deal-making in the sector picked up where it left off in the new year.
Following reports by the Financial Times overnight, Rio Tinto said in a statement on Friday that they: ‘note the announcement by Glencore and confirm that Rio Tinto and Glencore have been engaging in preliminary discussions about a possible combination of some or all of their businesses, which could include an all-share merger between Rio Tinto and Glencore’.
Glencore shares jumped over 8% in early trade on Friday, while Rio Tinto slipped 2%.
“Last year’s theme of consolidation in the natural resources sector has shown no sign of let up in the early part of 2026,” said Derren Nathan, head of equity research, Hargreaves Lansdown.
“In the same week we’ve seen Chevron make a swoop for Lukoil’s non-Russian fossil fuel assets, Rio Tinto and Glencore have confirmed that the mother of all mining deals could be back on the table.”
Rio Tinto and Glencore explored a potential tie around a year ago, but a deal couldn’t be struck at the time. Talks resume with many metals trading near all-time highs.
A successful merger would create a mining behemoth with exposure to pretty much every major metal group, as well as Glencore’s significant coal assets.
“Details are thin on the ground, but a deal could see Rio scoop up some or all of Glencore’s assets. A full combination would create a global leader in multiple industrial metals including iron ore and transition metals such as copper, cobalt and lithium,” Nathan explained.
The news of a potential tie-up between Glencore and Rio Tinto follows the merger of Anglo American and Teck Resources to form Anglo Tek, which is awaiting antitrust clearance.
FTSE 100 silver miner Fresnillo was also busy on the M&A front towards the end of last year, snapping up Probe Gold.