The Australian mining sector is experiencing a wave of merger and acquisition (M&A) activity.
The deals come amid broader momentum in global mining consolidation.
S&P Global reported that total mining M&A deal value climbed to US$52.7 billion in 2025, the highest in nearly two decades, driven by growing competition for copper, lithium, gold and critical minerals tied to the energy transition.
Here are some of the recent deals anchoring M&A in the country's resource sector.
Yancoal plans US$2.4 billion Kestrel coal buyout
dIn mid-April, Yancoal Australia (ASX:YAL,OTCPL:YACAF), which is majority owned by China’s Yankuang Energy Group (SHA:600188,OTCQX:YZCHF), announced it has agreed to acquire an 80 percent stake in the Kestrel steelmaking coal mine in Queensland's Bowen Basin for up to US$2.4 billion.
The company has committed a US$1.85 billion cash payment upon targeted completion in Q3.
The deal includes up to US$550 million in additional payments distributed over five years, which remain strictly linked to average benchmark coal prices. Yancoal said it will fund the transaction using existing corporate cash, future cashflow and a newly secured US$1.2 billion loan facility.
The China-backed miner is purchasing the stake from private equity firm EMR Capital and Adaro Capital, a unit of PT Adaro Andalan Indonesia. The two sellers originally acquired the 80 percent stake from commodities giant Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO) in 2018 for US$2.25 billion.
Japan’s Mitsui & Co. (TSE:8031,OTCPL:MITSF) continues to hold the remaining 20 percent minority interest in the Bowen Basin operation, which ranks among Australia’s largest underground metallurgical coal mines.
Great Boulder consolidates Peak Hill gold asset
In Western Australia, Great Boulder Resources (ASX:GBR) has set up an asset transfer and strategic alliance with mid-tier producer Westgold Resources (ASX:WGX,OTCPL:WGXRF) to acquire the Peak Hill gold project.
The transaction, announced on Monday (May 4), will give Westgold a 19.9 percent equity stake in Great Boulder. Westgold will also retain a 1 percent net smelter royalty on the 106 square kilometre project.
To fund the cash component and future development, Great Boulder is completing a US$40 million, two tranche institutional placement priced at 8.5 cents per share, leaving it with a US$25 million pro-forma net cash balance.
Peak Hill spans seven granted mining leases and hosts a resource estimate of 9.4 million tonnes at 1.6 grams per tonne gold, containing 481,000 ounces across five main deposits. To fast track development, Great Boulder secured a formal ore purchase agreement to process material at Westgold’s Bluebird, Fortnum and Tuckabianna mills.
The company has already scheduled a 60,000 metre drilling campaign as part of its pre-production activities.
Connected Minerals secures Angolan rare earths
Also on Monday, Connected Minerals (ASX:CML,OTCPL:CMLAF) executed a binding agreement to acquire 100 percent of Frontier Group, giving it an indirect 80 percent working interest in the Bailundo carbonatite project in Central Angola.
The 2,054 square kilometre license hosts a 7 kilometre diameter carbonatite complex located just 80 kilometres from the city of Huambo, providing direct access to the US- and EU-backed Lobito export corridor.
The exploration license is currently governed by a mineral investment contract for copper.
However, Frontier has exercised its priority rights under the Angolan Mining Code to apply for the inclusion of niobium, rare earth elements and phosphorus.
Historical exploration and recent validation sampling confirmed high-grade mineralisation from the surface, which includes channels containing neodymium and praseodymium samples.
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Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
