A new mining order: Canada and the world brace for selective megadeals and strategic repositioning in 2026

The Mining Association of Canada (MAC) welcomed the federal government’s 2025 budget, saying it includes measures that will strengthen the country’s mining industry and spur investment in critical minerals. MAC said the budget aligns with several of its recommendations and reflects commitments made in the Liberals’ 2025 election platform. A key item is a $2-billion, five-year allocation to Natural Resources Canada beginning in 2026-27 to create a Critical Minerals Sovereign Fund, which would provide strategic support for critical-minerals projects and companies.

The policy backdrop comes as the mining sector undergoes notable consolidation, with companies adjusting portfolios in response to shifting regulatory expectations, geopolitical pressures, and volatile commodity markets. The most consequential transaction under review is the proposed US$50-billion merger between Anglo American and Teck Resources. Although global in scale, the deal carries significant implications for Canada, where federal authorities have launched a national-security review under the Investment Canada Act. The scrutiny reflects Ottawa’s heightened focus on critical-minerals ownership.

Moreover, consolidation is reshaping the North American precious-metals landscape. Coeur Mining’s agreement to acquire New Gold Inc., announced in November 2025, would fold New Gold’s Canadian operations into a broader, multi-jurisdictional platform. The deal underscores a growing preference for cross-border combinations that prioritize cash-flow stability, operational synergies, and exposure to multiple metals rather than high-risk bets on single jurisdictions or commodities.

Smaller but strategically important deals are also influencing the sector. Uncertainty surrounding permitting timelines, geopolitical tensions, and global trade disruptions has prompted many Canadian miners to pursue joint ventures, partnerships, and targeted acquisitions that provide scale without excessive leverage. This has made 2025 less a year of megadeals and more one of deliberate repositioning, with companies prioritizing high-quality assets, strong regulatory footing, and diversified metal exposure.

Internationally, the merger-and-acquisition (M&A) pipeline heading into 2026 is one of the strongest the industry has seen in years. After two active dealmaking cycles in 2024 and 2025, another round of consolidation is emerging across copper, gold, lithium, and other critical minerals. Alongside the Anglo-Teck proposal, several significant transactions are advancing toward possible completion next year. Dundee Precious Metals’ planned US$1.25-billion acquisition of Adriatic Metals would give the Canadian miner control of the high-grade Vareš silver-zinc project in Bosnia and Herzegovina. In West Africa, Perseus Mining’s bid for Predictive Discovery reflects fierce competition for long-life, district-scale gold deposits that can anchor future production profiles.

Producers with global portfolios are also preparing for strategic realignments. BHP and Rio Tinto are expected to pursue targeted, multi-billion-dollar deals focused on copper, lithium, and other metals central to energy transition. Stabilizing lithium prices are also setting the stage for further consolidation among developers and mid-tier producers.

As policy frameworks evolve and competition for critical minerals intensifies, 2026 is shaping up to be a defining year for M&A deals.

Finally, our team wishes our readers Happy Holidays and a Happy New Year! Our next edition is February/March (PDAC 2026), which will feature our annual review on the state of mining in Ontario, the Ontario Mining Association’s annual address, and a look at the new technology and innovations. Relevant editorial contributions can be sent directly to the Editor in Chief no later than Feb. 4th, 2026.