From pit-to-port: Navigating integration complexities in mining
From pit-to-port: Navigating integration complexities in mining
The integration execution phase is where mining deals are won or lost. Beyond the usual post-merger complexities, mining assets are embedded in intricate value chains, governed by strict regulations, and tightly coupled to external infrastructure. Geographic realities from pit-to-port, as well as the end-to-end logistics chain to site, amplify operational risks that have a material impact on the integration. Getting to Day 1, the official completion date of mergers and acquisitions (M&A) transactions, while protecting production and safety, is non-negotiable.
As the natural resources and energy sector continues to attract investment and lead the way in energy transition, our experts outline the key considerations and external factors impacting mining integrations and how you can prepare your organisation.
The current state of M&A: A spotlight on the natural resources and energy sector
As reported in BDO’s Annual Renewables Report 2025, M&A related to energy transition remained strong in 2024, with approximately $172.9 billion across almost 700 transactions. With approximately $42.5 billion in activity, Australia ranked fifth globally for renewable energy M&A.
The report underscores Australia’s strategic position within the global natural resources and energy sector, and highlights the need to align policy, investment, and capability to keep the industry resilient and future-ready.
Why integration readiness determines post-merger success
In the M&A process, the integration execution phase is the structured program of work that translates a signed deal into a safe and stable Day 1. The aim is to meet all transactional and operational prerequisites, to ensure any changes won’t disrupt production, safety, or logistics upon change of ownership at Day 1. It focuses on maintaining continuity, keeping plans on track, and avoiding unplanned downtime, allowing for operational efficiencies to occur post-merger after stabilisation. The result lies in delivering the deal's promise by executing the agreed changes that create value post-merger.
Collaboration with sellers and stakeholders: A critical path to Day 1
A range of external regulatory and third-party dependencies can significantly influence the time needed to get to Day 1. These factors must be proactively managed, often in lockstep with the seller, to avoid delays and ensure compliance.
Examples of these include:
- ACCC Clearance (mandatory from 2026): You can learn more in our article, ‘Australian M&A enters a new merger review era in 2025’
- Tenement transfer approvals and Native Title Act compliance
- Safety and health management system compliance
- Legislative health assessments
- Industrial relations consultation to support workforce transition
- Environment Protection and Biodiversity Conservation Act approval.
Early engagement with the seller, regulators, and third-party stakeholders is essential to maintain momentum and avoid bottlenecks.
Site-level complexity: Why early action matters
For mining companies, the risks of not being prepared can be substantial. Ranging from safety exposures to production downtime, disruptions, and uncertainty. Mining transactions face numerous integration pain points that can quickly erode value if not managed with intention. Key considerations facing mining integrations include:
- Port and rail access
- Procurement, warehousing, and critical spares
- Contracts, leases, and land tenements transfer
- People logistics (housing, villages, travel)
- Systems integration
- Maintenance scheduling and repairs
- HSE compliance and site access
- Workforce readiness
- Rehabilitation obligations
- Cross-functional process readiness.
In mining integrations, starting early and staying one step ahead of the seller is essential to successfully navigating the complexities and external factors involved.
BDO’s integration observations: Five pillars for success
Our experts suggest that successful mining integrations can hinge on five core themes:
- Establish a clear integration program structure for rapid decision making
- Start your integration planning by defining how Day 1 processes will run
- Define what is critical to Day 1 operations, and only then consider other requirements beyond
- Reduce uncertainty through clear and regular communications at site over multiple rosters
- Ensure operational continuity through transitional services if required.
Our value creation services team can partner with you to offer end-to-end support tailored to your situation. Contact us to learn how we can provide support throughout your M&A journey.
