Unlock the Editor’s Digest for free
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.
BHP has picked former bank boss Ross McEwan to be its next chair, succeeding Ken MacKenzie, as expectations grow of a wave of dealmaking across the mining industry.
McEwan was chief executive of National Australia Bank for five years until last April and before that led Royal Bank of Scotland, now called NatWest, in the UK. He has been on BHP’s board since last April.
The race for copper, a key metal in the transition to green energy, is expected to drive consolidation across the mining industry. BHP, the world’s largest miner by market capitalisation, last year failed in a £39bn bid for rival Anglo American. Rivals Rio Tinto and Glencore also held early-stage merger talks last year.
The chair of BHP, Australia’s largest company, is seen as one of the most prized business roles in the country. MacKenzie was expected to announce his departure this year with McEwan, alongside board members Don Lindsay, former Teck Resources chief executive, and Michelle Hinchcliffe, a former KPMG partner, regarded as potential successors.
MacKenzie, a Canadian who has chaired the company since 2017, oversaw a significant restructuring of BHP as it withdrew from oil and gas markets, consolidated its listing in Australia and shuffled its portfolio to boost its exposure to copper and shift away from coal.
McEwan, a New Zealander, built a strong reputation in banking after he was appointed to turn around Royal Bank of Scotland in 2013 and was credited with returning the bank to profit following its bailout during the global financial crisis.
He was then appointed to lead National Australia Bank, Australia’s third-largest lender, after an public inquiry into misconduct in the sector triggered the exit of its chair and chief executive.
McEwan said on Wednesday: “As incoming chair, I am committed to generating long-term value for all our shareholders and will work tirelessly with the board and management to achieve this.”
BHP’s announcement was the second appointment in the Australian mining sector involving a former banker on Wednesday after Noel Quinn, who led HSBC, joined the board of iron ore miner Fortescue.
