The European Union started a probe on MMG's (HKG:1208) $500-million acquisition of Anglo American's nickel operations in Brazil on fears the purchase could harm the industry inside the bloc, according to a Monday press release.

The probe is seen to find out whether the deal could "jeopardize continued and reliable access in Europe to this important resource," Executive Vice-President for Clean, Just and Competitive Transition Teresa Ribera said.

Officials in the EU will have until March 20, 2026 to decide on the results of the probe, the commission said.

Anglo American operate two ferronickel mines and two greenfield development projects in Brazil, the EU said.

Both MMG and Anglo American said they will work with the EU to address outstanding questions, Bloomberg reported separately.