Rio Tinto, a leading mining corporation with dual headquarters in London and Melbourne, is publicly traded in both the UK and Australia.

Glencore, another major industry player, operates out of both the United Kingdom and Switzerland.

Both of these mining giants have significant operational footprints across Australia.

Previously, the two companies engaged in negotiations last year, though those conversations concluded without reaching a deal.

However, in a market announcement released this morning, Rio Tinto has confirmed that fresh discussions are now in progress.

“There can be no certainty that an offer will be made or as to the terms of any such offer, should one be made,” the statement read.

Under the merger agreement, Rio Tinto would engage in a formal takeover of Glencore.

Rio Tinto has until February 5 to announce a “firm intention to make an offer for Glencore” or to announce it won’t make a deal.

“A further announcement will be made in due course as appropriate,” the statement read.

The merger would create the largest copper mining business in the world.

Rio Tinto’s shares on the ASX dropped more than five per cent after the announcement.

It also has copper interests in north Queensland, zinc and lead mines in North Queensland and the Northern Territory, and nickel and cobalt in Western Australia.

Rio Tinto’s Australian operations span across every state but South Australia.

Tomago Aluminium was founded in 1983 and produces up to 590,000 tonnes of aluminium per year, making it the country’s largest smelter.

Both Rio Tinto and Glencore have major operations elsewhere around the world.

The larger of the two businesses, Rio Tinto has a market capitalisation of $202 billion.

Glencore’s market capitalisation is about $98 billion.