Anglo American Warns Brazilian Nickel Operations Could Close if EU Blocks $500 Million MMG Sale
Brussels, October 8, 2026: Anglo American has warned that its Brazilian nickel business could ultimately be shut down if European Union antitrust regulators block the proposed $500 million sale of the operations to MMG, escalating a regulatory dispute over critical mineral supplies and Europe’s stainless-steel industry.
Anglo American Brazil Chief Operating Officer Ruben Fernandes and Chief Financial Officer Cristina Morgan are due to make the company’s case at a closed hearing with European Commission officials. The miner plans to argue that the transaction would not damage European stainless-steel producers and that MMG is the only credible buyer identified for the assets.
EU Raises Concerns Over Nickel Supplies
The European Commission has expressed preliminary concerns that MMG’s acquisition of the Brazilian operations could lead to ferronickel supplies being diverted away from European customers. The scrutiny comes amid broader concerns in Europe over access to critical raw materials and reliance on China-linked supply chains.
MMG has challenged those concerns. In September, the company said it currently has no ferronickel production or market share and argued that blocking the transaction could reduce investment and employment in Brazil while potentially removing supply from the market.
Anglo Warns of ‘Care and Maintenance’
Anglo American has been seeking to exit its nickel business for more than two years. Fernandes is expected to tell regulators that if the MMG transaction is prohibited, the company would have few alternatives other than moving the Brazilian operations toward care and maintenance, which could eventually result in their closure.
Anglo American maintains that practical measures could be found to address European regulators’ supply concerns without blocking the acquisition. MMG executive Troy Hey is also expected to participate in the hearing and defend the transaction.
Critical Minerals Face Growing Geopolitical Scrutiny
The dispute illustrates how competition policy and mineral security are increasingly intersecting. Anglo American CEO Duncan Wanblad has described both the MMG nickel transaction and the company’s proposed merger with Teck Resources as examples of the geopolitical complexities confronting major mining deals.
The outcome of the EU review could therefore have implications beyond Anglo American’s Brazilian assets. It may also demonstrate how regulators balance traditional competition concerns with security of supply, foreign ownership and the strategic importance of mineral resources.