BHP made an offer to acquire OZ Minerals, but the South Australian mining company ain't interested.
👉 Background: BHP, is the Australian born mining and resources company (which actually stands for Broken Hill Proprietary). OZ Minerals is a South Australian mining company that deals mostly with copper and nickel - aka metals used in sustainable projects.
👉 What happened: Here’s what went down. BHP shimmied its way in front of OZ Minerals and offered a cool $8.3 billion to acquire it. But OZ Minerals said nuh-uh, we’re worth more than that.
👉 What else: OZ Minerals reckons it’s worth a lot more than what BHP is offering because copper and nickel are future facing commodities.
💡As the world transitions its energy from traditional commodities like fossil fuels, commodities like nickel, copper and lithium are all the rage.
💡These are the commodities needed to make batteries used for solar power and electric cars (aka the future). So it’s no surprise that demand for these metals is expected to skyrocket.
💡 We’re talkin’ twice as much demand for copper and 34 times as much for nickel. That’s why OZ Minerals reckons its can afford to be picky.
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