Retiring Peter Munk Says Glencore Xstrata's Boss Will 'Eat Them All'
Legendary founder and former chairman of Barrick Gold Corp. Peter Munk knows a thing or two about mining for precious resources. And earlier this week he showed he can be a resource for precious quotes when he said that Glencore Xstrata chief Ivan Glasenberg will “eat them all.”
Munk, 86, who recently retired as head of Barrick Gold, acknowledges that he’s good friends with Glasenberg and likes that the Glencore boss is willing to take on global mining giants Rio Tinto, BHP Billiton, and Vale SA.
“He’s taken Xstrata, he’s now very close to the BHP Billitons, he’s going to eat them all,” Munk said, according to Sotuh Africa’s Mail & Guardian newspaper.
Munk says he enjoys seeing the aggressiveness and esprit de corps Glasenberg has taken while heading Glencore Xstrata. Munk says risk-taking is essential to expand and survive in mining, as reported in the Mail & Guardian.
Glasenberg, who led Glencore’s all-share takeover of Xstrata last year for $29 billion, eventually forcing out Xstrata CEO Mick Davis, attended Munk’s farewell dinner from Barrick Gold this past week at the company’s annual shareholders’ meeting in Toronto.
Munk built Barrick, which he founded in 1983, into the world’s largest gold producer. No mining company in the past 25 years has generated the revenue that Barrick has been able to, according to Munk. The gold mining company is active in 27 countries and produces millions of ounces a year.
But Munk is more than just a successful businessman. He’s a husband and father of five children, a former Alpine skier, a developer of a super yacht harbor in south Florida, and a philanthropist.
In 1992, the Peter Munk Charitable Foundation was founded and has since disbursed approximately $100 million to a variety of organizations that work to improve the health, learning and international reputation of Canadians.
Munk has donated $37 million to Toronto General Hospital, the largest gift ever made to a Canadian medical institution. The donation supported the Peter Munk Cardiac Centre, which Munk helped create with a $6 million donation to the hospital in 1997. He is also a major donor to the University of Toronto, to which he has donated $50.9 million to establish the Munk School of Global Affairs. The foundation also created the Munk Debates.
According to reports, during the shareholders’ meeting this past week, the octogenarian closed his speech, stating “you could take Munk out of Barrick, you can't take Barrick out of Munk.”
Mining Profile: Gary Nagle, CEO, Glencore
Gary Nagle has spent his career in mining, across two decades, with Glencore – the Anglo-Swiss metals and mining company with a diverse global portfolio. Nagle is a one company man who has experienced the journey of the resources industry from boots on the ground to the boardroom. He will succeed Ivan Glasenberg as Glencore’s CEO in July 2021
Gary Nagle was born in South Africa in 1975 where he earned degrees in commerce and accounting from the University of Witwatersrand, before qualifying as a chartered accountant in 1999. Nagle joined Glencore in 2000 as an asset manager in the coal department. His rise was swift; by 2007 he was named chief executive of the company’s Colombian coal operation, Prodeco.
Following the acquisition of Xstrata in 2013, Nagle moved to run the company’s South Africa-focused alloy assets, before being named head of the company’s global coal assets portfolio in 2018
Building his career by rising through the ranks of Glencore’s coal department Nagles was considered the most likely to succeed Glasenberg due to his asset-focus; mining accounts for a growing share of Glencore’s revenue as it moves away from its origins as a pure trader.
Glencore’s Chairman, Tony Hayward, commented on the appointment: “Gary Nagle has held senior roles in coal and ferroalloys in Colombia, South Africa and Australia. He has been on the Board’s radar for more than several years and was selected following a succession process overseen by the Board. We are confident that he has the right skill set and qualities to lead the Glencore of tomorrow.”
Ivan Glasenberg is retiring from his role as CEO after nearly 20 years at the helm of Glencore which saw him complete one of the largest mining mergers in history, with Xstrata. Looking back on his time at Glencore, the world’s largest commodities trader, Glasenberg reflected: “I am proud of the great company that we have built. Together, we have created one of the world’s largest diversified miners and marketers of commodities. Today, our diversified portfolio uniquely positions us to play an essential role in the global transition to a low-carbon economy.”
Glencore has announced plans to reach net-zero emissions by 2050 by reducing its direct and indirect carbon footprint by 40% by 2035.
Glasenberg has served as mentor to Nagle who has followed a similar career path at Glencore rising to the role of CEO via heading up the company’s global coal business.
“I have worked with Gary since he joined the company twenty years ago,” recalled Glasenberg. “I have always regarded it as a critical part of my job to develop the next generation of leadership at Glencore and I am proud of the strong leadership team that we developed from which we were able to select Gary. I am confident that his leadership, along with the support of the management team, will enable Glencore to take advantage of the opportunities that lie ahead and be a strong custodian for my shareholding in the company.”
Looking ahead to the challenges awaiting him, Nagle was full of optimism: “I am grateful for the trust placed in me by the Board and honoured to be appointed CEO at such an exciting time for Glencore. We will continue to deliver value to our shareholders, while operating safely and responsibly.”
Nagle will relocate from Australia to Switzerland to take up his new role.