RNS Number: 3851 A BHP Group PLC 20 January 2020 BHP OPERATIONAL REVIEW FOR THE HALF YEAR ENDED 31 DECEMBER 2019 All production and unit cost guidance remains unchanged for the 2020 financial year. Escondida unit costs tracking below full year guidance at the December 2019 half year largely as a result of higher by-product credits. Group copper equivalent...
RNS Number: 6685 Z BHP Group PLC 13 January 2020. BHP Board Update and Director Declaration. In accordance with UK Listing Rule 9.6. 14, BHP Group Plc advises that Terry Bowen, Director of BHP Group Plc and BHP Group Limited, has been appointed to the Board of Transurban Group with effect from 1 February 2020..
RNS Number: 0245 Z BHP Group PLC 07 January 2020. Retirement of Andrew Mackenzie as Chief Executive Officer and Executive Director. Andrew Mackenzie retired as Chief Executive Officer and Executive Director of BHP Group Limited and BHP Group Plc on 31 December 2019..
RNS Number: 0235 Z BHP Group PLC 07 January 2020. TR-1: S tandard form for notification of major holdings. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom.
RNS Number: 7443 X BHP Group PLC 22 December 2019. Andrew Mackenzie retirement date 31 March 2020. His base salary is US $1,700,000 per annum and pension contributions are 25 per cent of salary for FY2020.
RNS Number: 6185 V BHP Group PLC 04 December 2019 NEWS RELEASE. BHP Chairman, Ken MacKenzie, today announced the appointment of Gary Goldberg to the BHP Board as an independent Non-executive Director, effective 1 February 2020.. Gary Goldberg has also served as a Director and Vice-Chair of the World Gold Council, Director and Treasurer of the International...
RNS Number: 4045 U BHP Group PLC 22 November 2019 BHP GROUP PLC and BHP GROUP LIMITED. Notification and public disclosure of transactions by. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom.
BHP Group Plc (BHP.L) Announced, in its operational review for the quarter ended 30 September 2019, that copper equivalent production decreased by 3% largely due to planned maintenance across a number of operations and natural field decline in Petroleum. Volumes for FY20 are expected to be slightly higher than last year. Iron ore production fell 3% due to the significant planned maintenance at Port Hedland. Further highgrade mineralised intercepts of copper, with associated gold, uranium and silver, were confirmed during the second phase of the drilling program at Oak Dam in South Australia. The next drilling phase is expected to commence in November 2019. Further, the company approved an investment of $283 million for the development of the Ruby oil and gas project in Trinidad and Tobago
BHP (BHP LN) 1,811p, £99.8bn – Annual results dominated by iron ore • BHP reports attributable earnings of US$8.31bn for the year ending 30th June 2019 ((2018 – US$3.71bn). Overall EBITDA of US$23.2bn (2018 – US$23.2bn) is dominated by the contribution from iron ore operations in Western Australia of US$11.1bn (2018- US$8.9bn). • Copper (US$4.6bn) and coal operations US$4.1bn amounted to 20% and 18% respectively of the underlying EBITDA with petroleum operations (US$3.8bn) contributing a further 16%. • Escondida’s copper operations (US$3.4bn) represented approximately 75% of the copper division’s EBITDA with Pampa Norte (US$0.7bn), Antamina (0.7bn) and Olympic Dam contributing 15%, 16% and 6% respectively. • EBITDA from coal (US$4.4bn) is dominated by the Queensland operation (US$3.6bn or 83%), with US$0.7bn from the operations in New South Wales and US$0.4bn from Colombia. • The group’s net debt declined to US$9.2bn (2018- US$10.9bn) which continues a declining trend established since a peak of US$26.1bn in 2016. • Operating cash-flow of US$17.9bn (2018 – US$18.5bn) was offset by capital expenditure from continuing operations of US$7.4bn (2018 – US$5.1bn) and discontinued operations of US$0.4bn (2018 -US$0.9bn) and proceeds from the sale of the Group’s US onshore operations of US$10.4bn resulting in surplus cash flow before finance of US$21.1bn (2018 – US$12.0bn) • Exploration expenditure of US$537m during the year was dominated by US$409m spent on petroleum, however, copper (US$62m) dominated the spending on metals with a further US$41m on iron ore and US$15m on coal. • The company’s exploration effort is focussed on conventional petroleum, particularly in the Caribbean and Gulf of Mexico and on the replenishment of its resource base in copper where “activities are directed towards the discovery of large, high-quality copper deposits in Chile, Peru, Ecuador, North America and Australia”. • BHP identifies the success of its exploration team in drilling four holes located approximately 65km southeast of Olympic Dam including an intersection averaging “3.04 per cent copper, 0.59 grams per tonne gold and 346 parts per million uranium over a drill length of 426 metres” and also adds that “During FY2019, we acquired an 11.2 per cent interest in Solgold Plc*, the majority owner and operator of the Cascabel porphyry copper-gold project, and in July 2019 we entered into a binding earn-in and joint venture agreement with Luminex, both in Ecuador.” *SP Angel acts as broker and advisor to Solgold.
BHP (BHP LN) 1,680p, £97.2bn – Declares record final dividend of 78UScents/share • BHP reports that with a 124% rise in attributable profit for the year ending 30th June 2019 to US$8.3bn (2018 – US$3.7bn) it has declared a record final dividend of US$0.78/share bringing the total for the year to US$1.33/share. • Chief Executive, Andrew Mackenzie explained that the final dividend came “on top of a record US$17 billion already returned to shareholders in the 2019 financial year.” He went on to say that the company had benefitted from higher prices and record production levels in some of its operations resulting in strong operating cash flows and that “We enter the 2020 financial year with positive momentum and a strong outlook for both volume and cost” • Analysis of the distribution of the underlying EBITDA contribution of the principal product groups included in the announcement shows that the iron-ore operations contributed US$11.13bn (48%) of the total US$23.16bn compared to 39% (US$8.93bn) in 2018. • Copper operations represented approximately 20% (US$4.55bn) of EBITDA in 2019 (28% or 6.52bn) in 2018 while the UD$4.07bn (18%) contribution of coal was a similar proportion (19% or US$4.40bn) to that in 2018. • Commenting on the outlook for the outlook for the global economy, BHP said that it expected “global growth to register near the lower end of a range of 3¼ per cent to 3¾ per cent for the 2019 calendar year. Any further escalation in trade protection or loss of business confidence is a downside risk for consensus views of the world economy, commodity demand and energy and metals prices in the 2020 financial year.” • The company also said that it continued “to expect China's economic growth to slow modestly in the 2019 calendar year to around 6¼ per cent … … Over the longer term, we expect China's economic growth rate to decelerate as the working age population falls and the capital stock matures.” • The company’s website also points to weakening commodity prices and volatility in financial markets in recent weeks and says that “We revised our near–term world growth mid–case downwards twelve months ago to reflect the negative impact of rising trade protection, partially offset by more expansionary domestic policy settings. While we retain that forecast in this update, we acknowledge emerging downside risks based on recent policy signposts. While end–use demand has been somewhat stronger than expected in the calendar year to date, and monetary policy settings in many economies have been eased, the continuing uncertainty with respect to trade remains a stark negative offset.” • The company also says that “While we stress that an increase in trade protection is not, on its own, a recessionary level shock for the global economy, it is an exceedingly unhelpful starting point for the pursuit of broad based growth across regions, expenditure drivers and industries … we encourage policymakers to prioritise structural reforms at home as the surest route to sustainable productivity growth, and ultimately, prosperity … … In this environment, it is important to emphasize that many advanced and emerging economies are still seeking to open up further and increase their exposure to international trade and cross–border investment”
Mining company BHP Group has announced an increase in full-year pre-tax profits from $14.8bn to $15bn, despite $1bn of exceptional costs from the fatal collapse of a dam at its Samarco iron ore joint venture in Brazil four years ago. Revenues rose from $43.1bn to $44.3bn, while profits from operations edged up from $16bn to $16.1bn. Underlying attributable profits advanced from $8.9bn to $9.1bn.The group also warns that iron ore prices will continue to be volatile but says demand for copper should grow steadily.
BHP Group Plc (BHP.L) Announced, in its financial results for the year ended 30 June 2019, that revenues rose to $44.3 billion from $43.1 billion recorded in the previous year. Profit after tax widened to $9.2 billion from $4.8 billion. In total, dividends of $11.9 billion ($2.35 per share) have been determined for the 2019 financial year, including the special dividend of $5.2 billion ($1.02 per share) and an additional amount of $2.2 billion above the minimum payout policy.
BHP (BHP LN) 2,035p, £112.5bn – Annual Production report • BHP reports that with a strong performance during the final quarter, production for the year ending 30th June 2019 met its revised guidance for copper and iron ore while it exceeded the guidance for petroleum and was marginally below the expectation for metallurgical and thermal coal. • Commenting on the performance, Chief Executive, Andrew Mackenzie, said that “Our overall production was broadly in line with last year, overcoming the impacts of weather, grade and natural field decline, and unplanned outages in the first half”. • Copper production for the year was 4% lower at 1.69mt with production at Escondida declining by 6% “as an expected 12 per cent decline in copper grade was partially offset by record average concentrator throughput of 344ktpd”. Production at Olympic Dam, however, rose by 17% to 160kt “as a result of the major smelter maintenance campaign in the prior period, which was partially offset by an unplanned acid plant outage in August 2018, and two minor production outages in May 2019 relating to the smelter and to the refinery crane. Underground operations continue to perform well, with record development kilometres achieved”. • At the Antamina mine, production also increased by 6% to 147kt. The US$2.46bn concentrator expansion at Spence, which is planned to increase output by approximately 185,000tpa is reported to be 60% complete and on schedule for initial production in FY2021. • The company’s FY 2020 production guidance envisages a 1% to 8% increase in Group copper production to the range 1.705-1.820mt. • Iron Ore production “was broadly unchanged at 238 Mt (270 Mt on a 100 per cent basis). Production of between 242 and 253 Mt (273 and 286 Mt on a 100 per cent basis) is expected in the 2020 financial year as we undertake a significant maintenance program at Port Hedland.” • In Brazil, “Mining and processing operations at Samarco remain suspended following the failure of the Fundão tailings dam and Santarém water dam on 5 November 2015.” • The company explains that “record production at Jimblebar“ offset “inventory impacts from the Mt Whaleback fire in the prior period” to deliver broadly unchanged output for its Western Australian Iron Ore operations. Production guidance for FY 2020 is for between 242-253mt (273-286mt on a 100% basis). • “Metallurgical coal production was broadly flat at 42 Mt (75 Mt on a 100 per cent basis). Production is expected to be between 41 and 45 Mt (73 and 79 Mt on a 100 per cent basis) in the 2020 financial year. … … Energy coal production for the 2019 financial year decreased six per cent to 27 Mt. Production is expected to decrease to between 24 and 26 Mt in the 2020 financial year.” • Energy coal output at Cerrejon in Colombia “decreased by 13 per cent due to adverse weather and its impacts on mine sequencing.” • “Nickel West production decreased by six per cent to 87 kt as operations were suspended following a fire at the Kalgoorlie smelter in September 2018. The smelter returned to operation on 1 October 2018, with final repairs and ramp up completed in the March 2019 quarter.” Production in the 2020 FY is “expected to be broadly unchanged”. • BHP reports mineral exploration expenditure for the year of US$188m (US$128m expensed) with “Greenfield minerals exploration … predominantly focused on advancing copper targets within Chile, Ecuador, Peru, Canada, South Australia and the South-West United States.” Conclusion: After a difficult first half BHP’s production finished strongly in the final quarter of FY19 to leave output broadly in line with last year’s performance and the most recent guidance.
Mining company BHP Group has issued an operational review warning that it expects “a negative movement in productivity” of approximately $1bn for the 2019 financial year. It says first-half underlying productivity improvements were largely offset by unplanned outages costing $835m. Second-half productivity, meanwhile, was impacted by lower volumes, wet weather and increased contractor stripping costs at its Queensland Coal operations, contractor costs at New South Wales Energy Coal and mine plan changes in its Nickel West business. A surge in iron ore prices offset a fall in fourth-quarter iron ore output from 72 million to 71 million tonnes.
BHP Group Plc (BHP.L) Announced, in its operational review for the year ended 30 June 2019, that the company exceeded full year production guidance for petroleum and met revised guidance for copper and iron ore. Group copper equivalent production increased by 11.0% in the June 2019 quarter reflecting a strong operational performance across the portfolio, particularly at Western Australia Iron Ore and Queensland Coal which achieved annualised run rates above 290 Mt (excluding the impact of Tropical Cyclone Veronica) and 48 Mt, respectively during the quarter.
BHP Group Plc (BHP.L) Announced that the company hosting an investor and analyst briefing on its strategy. The purpose of the briefing is to provide further information on the company’s strategic framework and the strategic themes considered to test portfolio resilience.
BHP (BHP LN) 1,848p, £101.3bn – Q3 operations update highlights the impact of Cyclone Veronica and focus on copper exploration • BHP reports a lowering of its production guidance its Western Australian iron ore operations for the year to 30th June to 235-239mt “reflecting a 6 to 8 Mt impact from Tropical Cyclone Veronica”. Cost guidance has been increased to “below US$15 per tonne an increase from previous guidance of less than US$14 per tonne,” • With iron ore production of 56.12 mt during the quarter and year to date output of 175.34mt achieving the approximately 60mt of production during the final quarter to meet the lower end of the revised guidance looks realistic. It is particularly encouraging that “volumes reflected record production at Jimblebar” where year to date output of 44.3mt compares with 15.3mt in the nine months ending 31st March 2018. • The company reports that “our facilities did not sustain major damage as a result of the cyclone, the port ramp up was slowed by localised flooding, processing wet material and equipment assessments” implying that the return to more normal operations should not face major obstacles. • Production guidance for the Group’s other major commodities remains unchanged with copper output expected in the range 1.645mt-1.740mt, metallurgical coal in the range 43-46mt and thermal coal between 28-29mt. Petroleum guidance is also maintained in the range 113-118 MMboe. • BHP’s copper output of 420,000t (Q3 – 2018 during the quarter (1.245mt YTD vs 1.290mt 2018 YTD) reflects lower output at the Escondida and Pampa Norte operations which suffered a planned grade decline and the “impact of heavy rainfall in northern Chile in February 2019 at both Spence and Cerro Colorado” respectively, partially offset by a 22% increase in output from Olympic Dam where production rose to 115kt as production built up following a “major smelter maintenance campaign in the prior period”. • Copper output also increased at Antamina “by five per cent to 110 kt due to higher head grades”. • “Metallurgical coal production was broadly flat at 31 Mt (54 Mt on a 100 per cent basis).” The sale of the Gregory Crinum Mine to Sojitz was completed in late March. Energy coal output was also broadly unchanged at 20mt year to date. Improved performance in the New South Wales operations were offset by lower output from Cerrejon where weather impacted on mine sequencing. • BHP’s exploration expenditure amounts to US$122m so far this financial year. Greenfield exploration “is predominantly focused on advancing copper targets within Chile, Ecuador, Peru, Canada, South Australia and the South-West United States.” • Among the projects highlighted by the company are the “identification in November 2018 of a potential iron oxide, copper and gold (IOCG) mineralised system at Oak Dam, 65 kilometres to the south east of Olympic Dam, BHP has commenced a further drilling program to define the extent of mineralisation.” • BHP also points to its agreement with Luminex “for an earn-in and joint venture agreement on Luminex's Tarqui 1 and 2 mining concessions in Ecuador. Negotiations to complete a binding agreement will be undertaken over the next two months.” Additional copper exploration exposure comes through its 5% interest in “Midland Exploration Inc., which has copper exploration tenements in Canada.” Conclusion: The effects of the cyclone in W Australia are reflected in the loss of around 6-8mt of production and lower iron ore production guidance. The group’s other operations are operating consistently within the previously announce guidance targets. The exploration focus on copper is clear with a focus on the Americas and Australia.
Mining company BHP Group has announced in an operational review that iron ore production for 2019 will be lower than last year, due to the impact of Cyclone Veronica on Australian ports last month. The group expects to experience a fall from 273–283 million tonnes to 265–273 million tonnes.
BHP Group Plc (BHP.L) Announced, in its operational review for the nine months ended 31 March 2019, that its production guidance for the 2019 financial year remains unchanged for petroleum, copper, metallurgical coal and energy coal. Iron ore production guidance decreased to between 265 and 270 Mt (100% basis), reflecting impacts of Tropical Cyclone Veronica. Further, in Petroleum, the Atlantis Phase 3 project in the US Gulf of Mexico was approved and the Bélé-1 exploration well in Trinidad and Tobago encountered hydrocarbons (drilling still in progress) during the quarter. Meanwhile, at the end of March 2019, the company had five major projects under development in petroleum, copper, iron ore and potash, with a combined budget of $11.1 billion over the life of the projects.
BHP Group has become the latest mining group to disclose the estimated effects on production of tropical cyclone Veronica. The group says its port and rail operations in Port Hedland, Western Australia, are now ramping-up after being suspended due to the cyclone. Initial inspections show no major damage to operations but the port is operating at reduced rates and is not expected to return to full capacity until later this month. BHP estimates that the incident will result in reduced iron ore production of between 6m - 8m tonnes and says its 2019 production and unit cost guidance are under review.
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