MMG Offers Supply Guarantee to Get EU Approval for Anglo American Brazilian Nickel Deal

By Edith Hancock

MMG proposed a legally-enforceable supply guarantee in order to persuade European Union officials to clear its bid for Anglo American's Brazilian nickel business.

EU officials sent a formal statement of objections to the companies in September saying they were concerned that MMG--which is majority owned by state-owned China Minmetals--could divert ferronickel supplies away from European customers. The commission set a Nov. 30 deadline to end its in-depth investigation into the deal.

"MMG continues to believe the transaction does not raise competition concerns and can be cleared unconditionally," Troy Hey, MMG's executive general manager of corporate relations, said in a statement Friday. "While maintaining this position, MMG has engaged with European customers and offered a legally enforceable guarantee to maintain existing levels of supply under U.K. law, which can be independently monitored," he said. The guarantee should directly address the European Commission's concerns the deal could hinder competition in the EU, he added.

"If the transaction is not approved by the European Commission, the mines in Brazil will close," Hey said.

Anglo American also said in a statement that the offer should lead to the commission approving the deal. "This robust, effective and comprehensive solution will provide European stainless steel producers with a security of supply insurance policy, entirely removing any of the competition concerns put forward by the commission," a spokesperson said.

Write to Edith Hancock at edith.hancock@wsj.com

(END) Dow Jones Newswires

October 23, 2026 09:05 ET (13:05 GMT)