After the arrival of Covid-19, raw materials occupied a central role: the supply crisis triggered by the pandemic created an imbalance in the commodity market which triggered a surge in prices.
The Russia-Ukraine war has aggravated the situation, as the two countries are among the world’s largest producers and exporters of raw materials.Large companies took advantage of the increase in prices, thanks to their pricing capacity, and this was reflected in stock prices.
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The 10 most capitalized mining companies
Let’s therefore see among the mining companies who are the most respected in the market, making a ranking of the 10 most capitalized companies (data as of 5 February).
BHP Group
The first place is occupied by the Australian company BHP Group, with a market value of 169.74 billion dollars. The company, created from the merger between BHP Limited and Billiton Plc, extracts iron ore, copper, aluminium, manganese and chromium iron alloys.
It also exports coal for the steel and energy industries. The activity through which the business is divided is carried out through seven segments: Petroleum, Aluminum, Base Metals, Carbon Steel Materials, Diamonds and Specialty Products, Energy Coal and Stainless Steel Materials. Shares on the Sydney Stock Exchange are up 23.48% in 2022 and 5% since the start of this year.
Rio Tinto
In second position we find Rio Tinto, which has a capitalization of 121.09 billion dollars. The Anglo-Australian multinational specializes in the exploration, extraction, processing and marketing of aluminium, copper, coal, diamonds and iron ore.
The business portfolio is operated through sites in various parts of the world, including the United States, Mongolia, Chile, Indonesia, Australia, Canada and South Africa. Shares on the London Stock Exchange have risen 19.50% over the past year, while since January 1, 2023 the stock is gaining 5.7 percentage points.
Glencore
Also on the podium is Glencore, which is in third place with a market cap of 84.71 billion dollars. The Baar, Switzerland-based company produces and markets copper, zinc, lead, nickel, aluminum and raw iron.
Among other things, it also carries out industrial activities such as oil extraction, smelting, refining and storage, as well as storage, handling and processing of agricultural products such as cereals, oilseeds, cotton and sugar. Listed in London, Glencore shares jumped by 50.33% in the past year, while in the current one they are traveling just above parity.
Vale S.A.
Fourth place for the Brazilian company Vale S.A., with a capitalization of 80.36 billion dollars. Established by the Brazilian government with the aim of controlling the country’s mineral resources, Vale S.A. it became private in the 1990s and from there began a great process of expansion abroad too.
The company is the world’s largest iron ore producer, but its business also extends to the mining of nickel, coal, copper and precious metals. Shares on the New York Stock Exchange are up 21.04% in 2022 and 2.06% this year.
China Shenhua Energy
China Shenhua Energy holds fifth position with a market value of $79.97 billion. The company is currently the largest state-owned coal mining enterprise in the world. Its production activity involves the extraction, refining and sale of fuel, as well as the generation and sale of electricity in China.
The stock on the Shanghai Stock Exchange has gained 22.65% over the past year. This year the increase has so far reached 2.28%.
Freeport-McMoRan
Sixth in the ranking we find Freeport-McMoRan, an American company specialized in the extraction and sale of copper, gold and molybdenum.
The company has a stock market capitalization of 61.68 billion, as a result of an increase of 13.58% from the beginning of 2023. Last year, however, the stock lost 8.94%, appearing the worst in the group of top ten by capitalization in terms of performance in the financial markets.
Southern Copper
In seventh position is Southern Copper, with a market value of 58.50 billion dollars. The Mexican company specializes in the production of copper, molybdenum, zinc and silver, which it produces mainly in northern Mexico and southern Peru. On the New York Stock Exchange, shares have lost 2.14% in 2022, but are up 25.30% this year.
Anglo American
Anglo American is in eighth place in the ranking, thanks to a capitalization of 57.11 billion dollars. The London-based company was born from the merger of South Africa’s Anglo American Corporation of South Africa and Luxembourg mining company Minorco. The focus of the business is diamonds, copper, platinum and bulk products. Shares on the London Stock Exchange rose 8.40% in 2022 and 5% in 2023.
Ma’aden
Ninth place is occupied by Ma’aden, a Saudi company half controlled by the Riyadh government. The company specializes in gold and base metal mining, but also has many aluminum refineries. Its capitalization is 48.19 billion dollars, the result of an extraordinary performance of shares on the Saudi stock exchange in 2022 (+64.84%) and 10.97% in 2023.
Fortescue Metals Group
Fortescue concludes in the ranking of the 10 most capitalized mining companies, with a market cap of 47.09 billion dollars. The Australian company’s main activity is the production of iron ore, but it also has a good presence in steel, gold, copper and lithium. In Sydney, Fortscue shares have increased by 6.77 percentage points in the past year, while in the current year they have risen by 7.02% so far.
Read also: What are the main factors driving commodity prices?
