The merger of TECK.US (TECK.US) and Anglo-American Resources was approved by the Canadian Government to create one of the world's largest copper producers

The Zhitong Finance App learned that TECK.US (TECK.US) and Anglo-American Resources Group announced that their merger plan has received key approval from the Canadian government. This move will create one of the world's largest copper producers. As of press release, US stocks rose 2.3% before the market on Tuesday.

The two companies said that the newly formed “Ametech” company will “bring extraordinary and lasting benefits to Canada” and that its global headquarters will be located in Vancouver, British Columbia, where Tektronix Resources is currently headquartered.

The company announced that it has further clarified the commitment plan drawn up under the Canadian Investment Act, including: Anglo-American Tech agreed to invest at least 4.5 billion Canadian dollars (about 3.27 billion US dollars) in Canada within five years to extend the life span of the Highland Valley copper mine, enhance the critical mineral processing capacity of the Terrell smelting complex, and advance the development of the Gallore Creek and Shaft Creek copper projects in British Columbia. Based on this commitment, Amtech said it plans to invest at least $10 billion over 15 years.

Jonathan Price, President and CEO of Tektronix Resources, said, “This merger will combine two world-class companies to form a new entity of significant scale and strength, which will bring billions of dollars in investment to Canada and the world, and drive new economic activity and employment growth.”

The deal was approved despite Canada's Minister of Industry Melanie Jolly's reservations. In a statement issued on Monday, Jolly stated that the deal is beneficial to the Canadian economy, and placed special emphasis on the two companies' commitment to retain 4,000 employees to ensure that more than half of the new company's board of directors will account for at least the next seven years, while reserving hundreds of millions of Canadian dollars in special funds for the Aboriginal community in British Columbia.