Political considerations and critical minerals strategy will be top of mind for Ottawa as it considers whether to approve a planned tie-up between Canada’s Teck Resources Ltd. and U.K.-based Anglo American PLC.
The proposed merger would create a $70 billion critical minerals giant at a time when Prime Minister Mark Carney’s government is keenly aware of the sector’s importance, including naming two mining sites among the first five major projects it aims to fast-track.
The parties appear to have kept regulators in mind when hammering out the deal, which promises to keep the new company’s headquarters in Vancouver and yield no net job losses.
However, the government will determine whether this will be enough to help the deal go ahead after review under the Investment Canada Act, which can be used to block deals deemed not in the national interest.
The review also marks the first time the act has been used to scrutinize a merger since it was updated to incorporate a consideration for deals that may undermine Canada’s economic security.
Jennifer Quaid, a professor at the civil law faculty of the University of Ottawa, says review under the Investment Act act is recognized as essentially a political decision.
This report by The Canadian Press was first published Sept. 12, 2025.
Companies in this story: (TSX:TECK.B)
