The Australian miner seeking to buy Anglo American will decide this week whether it is willing to increase its £34bn offer.
Melbourne’s BHP has until 5pm on Wednesday to make a bid for the FTSE-100 rival.
Anglo’s board has rejected two bids so far – the first for £31bn – and said it had been “significantly undervalued”.
The suitor will make a decision early this week on whether to submit an improved offer after a weekend of talks described as “on a knife’s edge”, according to the Sunday Times.
BHP boss Mike Henry spent a few days at a major mining conference in Miami, gauging Anglo investor interest in a desirable price.
Digging deeper: BHP set to make decision on submitting improved bid after weekend of talks described as ‘knife’s edge’
It wants Anglo to spin off parts of its business so it can take over its copper mines. But major Anglo-Saxon investors have said they would prefer a less complicated deal.
Duncan Wanblad, head of Anglo, has been trying to defend himself against the takeover. He intends to divest his De Beers diamond business, as well as his platinum division in South Africa and his coking coal and nickel operations.