JPMorgan analyst Dominic O'Kane upgraded Rio Tinto (RIO) to Overweight while lowering his price target for the shares to 4,850p from 4,950p. The analyst finds the current valuation attractive with Rio trading at a 15% discount to BHP Billiton (BHP). Further, he believes China's fiscal loosening and infrastructure investment, as well as its anti-pollution steel capacity shut downs, will boost demand for high quality Australian iron ore.

Anglo American (NGLOY) doesn't view BHP's (BHP) proposed $39B takeover bid as attractive, Reuters' Clara Denina, Amy-Jo Crowley and Anousha Sakoui report, citing two sources. According to one source, the offer does not address the complexities of demerging the Anglo American Platinum and Kumba Iron Ore businesses in South Africa. Anglo's board is expected to give a formal response in the coming days. Reference Link

BHP Group (BHP) is weighing a possible acquisition of Anglo American (NGLOY), Bloomberg's Crystal Tse, Dinesh Nair, and Thomas Biesheuvel report, citing people with knowledge of the matter. The company has recently been evaluating the possibility of an offer for Anglo American, the authors note. Reference Link

Midland Exploration announced the execution of an amended option agreement on April 22, 2024 with Rio Tinto Exploration Canada and the addition of the Wookie project to the option agreement signed with RTEC in June 2023. The Wookie project is located in Eeyou Istchee James Bay area. The amended option agreement now consists of eleven projects totalling 2,208 claims covering a surface of about 1,139 square kilometres. These projects include Galinee, Corvette, Mythril East, Chisaayuu, Moria, Shire, Komo, Warp, Sulu, Picard and Wookie. Highlights: Addition of the Wookie project to the option agreement with RTEC; Additional $1,5M of expenditures for the initial 50% and $4,0M for 70% interest, with additional $100,000 cash payment upon execution and another $250,000 over a 4-year period. Under the amended Option Agreement, RTEC may acquire an initial 50% interest in the Properties over a period of five years, subject to the following conditions: Additional cash payment of $100,000 within 45 days of the amendment execution and additional cash payment of $250,000 over a 4-year period. Additional exploration expenditures of $1,500,000 for a new total of $16,000,000, including a firm commitment to spend not less than $2,000,000 in the first 18 months following the lifting of the wildfire restrictions in Quebec last August 2023. After acquiring an initial 50% interest, RTEC will have the option to increase its interest in the Properties to 70% over a period of five years following the exercise of the First Option, subject to the following conditions: Additional exploration expenditures of $4,000,000 for a new total of $54,000,000. The Properties are wholly-owned by Midland and all located within he Eeyou Istchee James Bay region, Quebec. RTEC will act as project operator under the Option Agreement during the First Option period and the Second Option period. The signing of the amended option agreement follows a new evaluation of the lithium potential of the Wookie project and its favorable geological context. The Wookie project is located within the La Grande geological subprovince of the lithium-rich Eeyou Istchee James Bay region, which hosts most of the lithium deposits, including deposits such as Corvette, James Bay Lithium, Whabouchi, and Adina. among others. The Wookie project consists of 188 claims and is located about 40 kilometres north-northwest of the James Bay Lithium deposit. The Wookie project is underlain by a lower Amphibolite facies metamorphosed bedrock, recognized to be the most favorable metamorphic facies for lithium pegmatites worldwide. Furthermore, most of the lithium deposits in the Eeyou Istchee James Bay area are found in pegmatites emplaced within mafic volcanic or intrusive rocks units. The Wookie project covers more than twenty square kilometers of mafic volcanic rocks that have not been extensively explored for lithium. Finally, several historical Quebec government rock samples of pegmatites collected close to the project have returned anomalous tantalum, cesium and rubidium values. While these samples were not analyzed for lithium, this element suite is strongly suggestive of favorable LCT pegmatites. The favorable environment is strengthened by the discovery of a spodumene pegmatite that returned up to 3.9% Li2O by Quebec Precious Metals Corporation near the Wookie project