Reuters reported that Anglo American could offload its zinc operations first in a fresh divestment drive that could raise USD 6 billion.
Analysts and industry sources said that a disposal of building materials group Tarmac, however, which has been up for sale for several years may depend on economic recovery taking hold.
The mining group said that last week it was expanding its divestment program by putting four more businesses on the block as part of a wider restructuring.
An industry source said that "The zinc business may be the first to go because zinc prices have recovered strongly and they're high quality assets. That's the expectation in the market."
The price of zinc MZN3 has nearly doubled this year, touching a 17 month high and is on course for a 17.7% rise this month as it benefits from producer cutbacks and Chinese buying.
Anglo's zinc operations consist of the Skorpion mine in Namibia, the Lisheen mine in Ireland and the 74% owned Black Mountain mine and Gamsberg project in South Africa.
Mr Kieran Daly analyst at Investec Securities said that the unit which UBS estimated was worth USD 700 million produced 340,500 tonnes of zinc in 2008 and posted earnings before interest, tax, depreciation and amortization of USD 209 million. A natural buyer would be South Africa's Exxaro Resources which owns the remaining 26% of Black Mountain/ Gamsberg and whose zinc refinery processes some material from Skorpion.
He added that Exxaro however, may also be looking to exit the zinc business and could team up with Anglo to sell both firms' assets as a package.
