Glencore is considering creating a standalone company to acquire lucractive mining royalties around the world.

The spin-off business would be seeded with at least £300m of streaming agreements Glencore already owns, and would pursue deals in copper, zinc, nickel and cobalt with a view to an eventual stock market listing.

Glencore’s plan, first reported by industry title Global Mining Observer, would look to emulate the model of companies such as Canada-based Franco-Nevada, which does not own any mines but instead makes money by “streaming” supply from miners for resale. In return, the streaming company advances loans to the miner to help fund capital projects.