Mike Henry

WHETHER BHP will make another takeover offer for Anglo American remains a tantalisingly open question for 2025. Intriguingly, Mike Henry's group remains ambivalent. Twice last year senior company figures, notably the chairperson Ken Mackenzie at the AGM on October 30, said BHP had “moved on” from Anglo, only for the company to clarify in front of the UK Takeover Panel that “comments made will not be treated as a statement of intention not to make an offer in respect of Anglo American”. 

As recently as November, Henry said a recent trip to meet senior South African politicians and the state-owned Public Investment Corporation, a major Anglo shareholder, had “nothing to do” with Anglo. That remains to be seen. The smart money suggests BHP will first see how Anglo's restructuring plan works out before considering its options. 

While the future of Anglo remains on the backburner, BHP remains locked on M&A as it seeks to add to its copper portfolio, agreeing with Canada's Lundin Mining in July a joint C$4.1bn cash offer for Filo Corp. Henry's group has targeted 70% growth in annual copper production from 1.9Mt last year to 2050 but organic growth is proving expensive. 

Escondida, BHP's jewel-in-the-crown copper asset in Chile, will sap $10bn in outlay if it is to replace reserves and grow as planned. Returning from a visit to the asset, some analysts concluded M&A was BHP's best growth option, especially as project permitting is time consuming. Meanwhile, BHP is seen as a touchstone on market health. Asked recently what he thought of China's stimulus efforts, Henry said commodities were beginning to respond.