Canada has launched a NATIONAL SECURITY REVIEW of the proposed merger between Anglo American (LON: AAL) and Teck Resources (TSX: TECK.A, TECK.B; NYSE: TECK), Industry Minister Melanie Joly announced Wednesday. The review will be conducted under the INVESTMENT CANADA ACT, with a final decision expected in the coming months. Joly noted from South Korea that while the security review is a standard step for evaluating foreign transactions, the government expects stronger long-term commitments to Canada from the merging parties.

The national security review will focus on assessing how the transaction could impact CRITICAL MINERALS and their related supply chains—copper is designated as a critical mineral in Canada. Anglo American and Teck Resources have pledged approximately $4.5 billion in Canadian spending over five years, though much of this was previously announced by Teck, including the extension of the Highland Valley copper mine in British Columbia. Anglo has also offered to relocate its global headquarters from London to Vancouver, rebrand as Anglo Teck, and transfer senior executives such as CEO Duncan Wanblad and CFO John Heasley to Canada.

However, market insiders indicate Ottawa remains uncon...