South African Executive Gary Nagle Leads Glencore's Copper Deal With Philippines' Villar Family

Glencore to sell Philippine copper smelter to Villar family amid global oversupply and record-low refining fees.

The deal signals Gary Nagles strategic shift as Glencore trims non-core assets and boosts metals portfolio efficiency.

Villar family diversifies 23 billion empire, expanding into copper refining through landmark acquisition of Pasar.

Glencore Plc, the Swiss commodity trading and mining giant led by South African executive Gary Nagle, is set to sell its copper refinery in the Philippines to the Villar familyone of the countrys wealthiest business dynasties. The move comes as global copper smelting faces unprecedented pressure from record-low processing fees and overcapacity.

Strategically located, Pasar has been a critical asset for Glencores copper trading operations, facilitating the processing of copper concentrates from key Pacific suppliers in Australia and Indonesia. It also handles cargoes redirected from South America destined for China.

However, copper smelters worldwide are grappling with oversupply in refining capacity, driving processing fees down to historic lows. This market squeeze has prompted Glencore to conduct a comprehensive review of its copper and zinc smelting portfolio, resulting in write-downs of its metal processing assets.

Earlier this year, Glencore placed the Philippine refinery on care and maintenance, signaling an operational pause while seeking a buyer. The sale process has been ongoing since late 2024, highlighting the companys strategic pivot amid challenging market dynamics.

The Villar family, with an estimated net worth exceeding 23 billion, is a dominant force in the Philippines real estate and retail sectors. Manny Villar Jr. controls the countrys largest home builder alongside significant stakes in retail chains, including supermarkets and home improvement stores. Acquiring Pasar marks a diversification into the metals processing industry, potentially expanding their industrial portfolio.