0001193125-20-010449.txt : 20200121 0001193125-20-010449.hdr.sgml : 20200121 20200121061107 ACCESSION NUMBER: 0001193125-20-010449 CONFORMED SUBMISSION TYPE: 6-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20200121 FILED AS OF DATE: 20200121 DATE AS OF CHANGE: 20200121 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BHP Group Ltd CENTRAL INDEX KEY: 0000811809 STANDARD INDUSTRIAL CLASSIFICATION: METAL MINING [1000] IRS NUMBER: 000000000 STATE OF INCORPORATION: C3 FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 6-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-09526 FILM NUMBER: 20534978 BUSINESS ADDRESS: STREET 1: 16/171 COLLINS STREET STREET 2: MELBOURNE CITY: VICTORIA AUSTRALIA STATE: C3 ZIP: 3000 BUSINESS PHONE: 011611300554757 MAIL ADDRESS: STREET 1: GPO BOX 86 STREET 2: MELBOURNE CITY: VICTORIA AUSTRALIA STATE: C3 ZIP: 3001 FORMER COMPANY: FORMER CONFORMED NAME: BHP BILLITON LTD DATE OF NAME CHANGE: 20010629 FORMER COMPANY: FORMER CONFORMED NAME: BHP LTD DATE OF NAME CHANGE: 20010129 FORMER COMPANY: FORMER CONFORMED NAME: BROKEN HILL PROPRIETARY CO LTD DATE OF NAME CHANGE: 19960116 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BHP Group Plc CENTRAL INDEX KEY: 0001171264 STANDARD INDUSTRIAL CLASSIFICATION: BITUMINOUS COAL & LIGNITE MINING [1220] IRS NUMBER: 000000000 STATE OF INCORPORATION: X0 FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 6-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-31714 FILM NUMBER: 20534979 BUSINESS ADDRESS: STREET 1: 8TH FLOOR - NEATHOUSE PLACE CITY: LONDON STATE: X0 ZIP: SW1V 1BH BUSINESS PHONE: 011442078024054 MAIL ADDRESS: STREET 1: 8TH FLOOR - NEATHOUSE PLACE CITY: LONDON STATE: X0 ZIP: SW1V 1BH FORMER COMPANY: FORMER CONFORMED NAME: BHP BILLITON PLC DATE OF NAME CHANGE: 20021211 FORMER COMPANY: FORMER CONFORMED NAME: BHP BILLITON PLC/ADR DATE OF NAME CHANGE: 20020416 6-K 1 d871195d6k.htm FORM 6-K FORM 6-K

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

January 21, 2020

 

 

 

BHP GROUP LIMITED

(ABN 49 004 028 077)

(Exact name of Registrant as specified in its charter)

 

VICTORIA, AUSTRALIA

(Jurisdiction of incorporation or organisation)

 

171 COLLINS STREET, MELBOURNE,

VICTORIA 3000 AUSTRALIA

(Address of principal executive offices)

  

BHP GROUP PLC

(REG. NO. 3196209)

(Exact name of Registrant as specified in its charter)

 

ENGLAND AND WALES

(Jurisdiction of incorporation or organisation)

 

NOVA SOUTH, 160 VICTORIA STREET

LONDON, SW1E 5LB

UNITED KINGDOM

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:  

☒ Form 20-F    ☐ Form 40-F

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):  ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):  ☐

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:  ☐ Yes    ☒ No

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): n/a

 

 

 


NEWS RELEASE    LOGO

 

Release Time        

   IMMEDIATE

Date

   21 January 2020

Release Number

   02/20

BHP OPERATIONAL REVIEW FOR THE HALF YEAR ENDED 31 DECEMBER 2019

 

 

All production and unit cost guidance(1) (based on exchange rates of AUD/USD 0.70 and USD/CLP 683) 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 production was broadly unchanged in the December 2019 half year, with volumes for the full year expected to be slightly higher than last year.

 

 

All major projects under development are tracking to plan. In Petroleum, BHP and Woodside signed a non-binding Heads of Agreement to progress the Scarborough gas development.

 

 

In Copper exploration, the third phase of the drilling program at Oak Dam in South Australia is in progress and is expected to be completed in the June 2020 quarter.

 

 

The financial results for the December 2019 half year are expected to reflect certain items as summarised in the table on page two.

 

Production

   Dec H19
(vs Dec H18)
    Dec Q19
(vs Sep Q19)
   

Dec Q19 vs Sep Q19 commentary

Petroleum (MMboe)

    

57

(9

 

%) 

   

28

(4

 

%) 

  Lower gas sales at Bass Strait and Trinidad and Tobago, partially offset by higher volumes from the Gulf of Mexico following Tropical Storm Barry impacts in the prior quarter.

Copper (kt)

    
885
7
 
   
455
6
 
  Strong concentrator throughput at Escondida more than offset the impact from social unrest in Chile. Higher production at Olympic Dam following planned preparatory work in the prior quarter related to the refinery crane replacement.

Iron ore (Mt)

    
121
2
 
   

60

(1

 

%) 

  Lower volumes at Western Australia Iron Ore (WAIO) due to completion of a major car dumper maintenance program in October 2019.

Metallurgical coal (Mt)

    

20

(2

 

%) 

   
11
17
 
  Higher volumes following completion of significant planned wash plant maintenance activities in the prior quarter.

Energy coal (Mt)

    

12

(12

 

%) 

   
6
8
 
  Higher volumes at New South Wales Energy Coal (NSWEC) as a result of a higher average strip ratio in the prior quarter, and higher volumes at Cerrejon due to adverse weather in the prior quarter.

Nickel (kt)

    

35

(11

 

%) 

   

14

(37

 

%) 

  Volumes reflected the impact of major quadrennial maintenance activities at the Kwinana refinery and Kalgoorlie smelter.

Mike Henry assumed the role of BHP Chief Executive Officer and Executive Director on 1 January 2020.

BHP Chief Executive Officer, Mike Henry, said: “We delivered solid operational performances across the portfolio in the first half of the 2020 financial year, offsetting the expected impacts of planned maintenance and natural field decline. Production and cost guidance is unchanged, and we remain on track to deliver slightly higher production than last year. Our six major development projects are progressing well, and we continue to advance our exploration programs in petroleum and copper.”

 

 

BHP Operational Review for the half year ended 31 December 2019    1


Summary

Operational performance

Production and guidance are summarised below.

 

Production

    

Dec

H19

 

 

    

Dec

Q19

 

 

    

Dec H19
vs

Dec H18

 
 

 

   

Dec Q19
vs

Dec Q18

 
 

 

   

Dec Q19
vs

Sep Q19

 
 

 

   

FY20

guidance

 

 

  

Petroleum (MMboe)

     57        28        (9 %)      (6 %)      (4 %)      110 - 116        Lower end of range  

Copper (kt)

     885        455        7     9     6     1,705 - 1,820     

Escondida (kt)

     602        309        4     9     5     1,160 - 1,230        Unchanged  

Other copper(i) (kt)

     283        147        15     11     7     545 - 590        Unchanged  

Iron ore (Mt)

     121        60        2     4     (1 %)      242 - 253     

WAIO (100% basis) (Mt)

     137        68        2     4     (2 %)      273 - 286        Unchanged  

Metallurgical coal (Mt)

     20        11        (2 %)      6     17     41 - 45     

Queensland Coal (100% basis) (Mt)

     36        20        0     9     21     73 - 79        Unchanged  

Energy coal (Mt)

     12        6        (12 %)      (9 %)      8     24 - 26     

NSWEC (Mt)

     7        4        (11 %)      (13 %)      5     15 - 17        Unchanged  

Cerrejón (Mt)

     4        2        (13 %)      (2 %)      13     ~9        Unchanged  

Nickel (kt)

     35        14        (11 %)      (24 %)      (37 %)      ~87        Unchanged  

 

(i)

Other copper comprises Pampa Norte, Olympic Dam and Antamina.

Summary of disclosures

BHP expects its December 2019 half year financial results to reflect certain items as summarised in the table below. The table does not provide a comprehensive list of all items impacting the period. The financial statements are the subject of ongoing work that will not be finalised until the release of the financial results on 18 February 2020. Accordingly the information is subject to update.

 

Description

   H1 FY20
impact
US$M(i)
    Classification(ii)  
Unit costs for Petroleum, WAIO, Queensland Coal and NSWEC expected to be in line with full year guidance     
Refer footnote
(iii) 
 
    Operating costs  
Unit costs for Escondida tracking below full year guidance in H1 FY20 primarily due to higher by-product credits     
Refer footnote
(iii) 
 
    i Operating costs  
Exploration expense (including petroleum and minerals exploration programs)      231       h Exploration expense  
The Group’s adjusted effective tax rate for H1 FY20 is expected to be at the lower end of the guidance range of 33 to 38 per cent     
Refer footnote
(iii) 
 
    i Taxation expense  
Application of IFRS 16 Leases, new leases, lease payments, remeasurement of vessel lease contracts(iv) and inclusion of derivatives in net debt      2,100 - 2,500       h Net debt  
The Group’s net debt target range is US$12 to US$17 billion, with net debt expected to remain towards the lower end of the range in the near term      —         Net debt  
Dividends received from equity accounted investments      ~110       h Operating cash inflow  
Dividends paid to non-controlling interests      ~610       h Financing cash outflow  
Provision related to cancellation of power contracts (after taxation) as part of shift towards 100 per cent renewable energy at Escondida and Spence (no cash outflow in H1 FY20)      ~500 (V)       h Exceptional item charge  
Financial impact on BHP Brasil of the Samarco dam failure      Refer footnote (iii)    h  Exceptional item charge  

 

(i)

Numbers are not tax effected, unless otherwise noted.

(ii)

There will be a corresponding balance sheet, cash flow and/or income statement impact as relevant.

(iii)

Financial impact is the subject of ongoing work and is not yet finalised.

(iv)

Vessel lease contracts must be remeasured at each reporting date and are priced with reference to a freight index.

(v)

Provision related to cancellation of power contracts of approximately US$780 million before taxation.

 

 

BHP Operational Review for the half year ended 31 December 2019    2


Major development projects

At the end of December 2019, BHP had six major projects under development in petroleum, copper, iron ore and potash, with a combined budget of US$11.4 billion over the life of the projects. All major projects under development are tracking to plan.

Average realised prices

The average realised prices achieved for our major commodities are summarised below.

 

Average realised prices(i)

   Dec H19      Dec H18      Jun H19      FY19      Dec H19
vs

Dec H18
    Dec H19
vs

Jun H19
    Dec H19
vs

FY19
 

Oil (crude and condensate) (US$/bbl)

     60.64        69.91        63.29        66.59        (13 %)      (4 %)      (9 %) 

Natural gas (US$/Mscf)(ii)

     4.26        4.67        4.42        4.55        (9 %)      (4 %)      (6 %) 

LNG (US$/Mscf)

     7.62        10.19        8.53        9.43        (25 %)      (11 %)      (19 %) 

Copper (US$/lb)

     2.60        2.54        2.70        2.62        2     (4 %)      (1 %) 

Iron ore (US$/wmt, FOB)

     78.30        55.62        77.74        66.68        41     1     17

Metallurgical coal (US$/t)

     140.94        179.82        179.53        179.67        (22 %)      (21 %)      (22 %) 

Hard coking coal (US$/t)(iii)

     154.01        197.86        201.33        199.61        (22 %)      (24 %)      (23 %) 

Weak coking coal (US$/t)(iii)

     101.06        134.12        126.46        130.18        (25 %)      (20 %)      (22 %) 

Thermal coal (US$/t)(iv)

     58.55        84.15        72.18        77.90        (30 %)      (19 %)      (25 %) 

Nickel metal (US$/t)

     15,715        12,480        12,444        12,462        26     26     26

 

(i)

Based on provisional, unaudited estimates. Prices exclude sales from equity accounted investments, third party product and internal sales, and represent the weighted average of various sales terms (for example: FOB, CIF and CFR), unless otherwise noted. Includes the impact of provisional pricing and finalisation adjustments.

(ii)

Includes internal sales.

(iii)

Hard coking coal (HCC) refers generally to those metallurgical coals with a Coke Strength after Reaction (CSR) of 35 and above, which includes coals across the spectrum from Premium Coking to Semi Hard Coking coals, while weak coking coal (WCC) refers generally to those metallurgical coals with a CSR below 35.

(iv)

Export sales only; excludes Cerrejón. Includes thermal coal sales from metallurgical coal mines.

The large majority of iron ore shipments were linked to the index price for the month of shipment, with price differentials predominantly a reflection of market fundamentals and product quality. The large majority of metallurgical coal and energy coal exports were linked to the index price for the month of shipment or sold on the spot market at fixed or index-linked prices, with price differentials reflecting product quality.

At 31 December 2019, the Group had 345 kt of outstanding copper sales that were revalued at a weighted average price of US$2.80 per pound. The final price of these sales will be determined over the remainder of the 2020 financial year. In addition, 322 kt of copper sales from the 2019 financial year were subject to a finalisation adjustment in the current period. The provisional pricing and finalisation adjustments will increase Underlying EBITDA(2) by US$16 million in the 2020 financial year and is included in the average realised copper price in the above table.

Corporate update

In November 2019, BHP approved US$44 million for BHP Brasil’s share of the funding for work related to the restart of one concentrator at Samarco. The funding will enable the construction of a filtration plant and the commencement of operation readiness activities. This follows the approval of the Corrective Operating Licence (LOC) for Samarco’s operating activities at its Germano Complex in October 2019. Restart can occur when the filtration system is complete and Samarco has met all necessary safety requirements, and will be subject to final approval by Samarco’s shareholders.

In December 2019, BHP agreed to fund a total of US$793 million in further financial support for the Renova Foundation and Samarco. This comprises US$581 million to fund the Renova Foundation until 31 December 2020 which will be offset against the Group’s provision for the Samarco dam failure, and a short-term facility of up to US$212 million(3) to be made available to Samarco until 31 December 2020.

As at the date of this Operational Review, for the purpose of the December 2019 half year financial results, we are not in a position to provide an update on the ongoing potential financial impacts on BHP Brasil of the Samarco dam failure. Any financial impacts will continue to be treated as an exceptional item.

 

 

BHP Operational Review for the half year ended 31 December 2019    3


Petroleum

Production

 

     Dec H19      Dec Q19      Dec H19
vs

Dec H18
    Dec Q19
vs

Dec Q18
    Dec Q19
vs

Sep Q19
 

Crude oil, condensate and natural gas liquids (MMboe)

     26        13        (9 %)      (7 %)      7

Natural gas (bcf)

     189        89        (8 %)      (6 %)      (12 %) 

Total petroleum production (MMboe)

     57        28        (9 %)      (6 %)      (4 %) 

Petroleum – Total petroleum production decreased by nine per cent to 57 MMboe. Guidance for the 2020 financial year remains unchanged at between 110 and 116 MMboe, with volumes expected to be towards the lower end of the guidance range.

Crude oil, condensate and natural gas liquids production declined by nine per cent to 26 MMboe due to the impact of Tropical Storm Barry in the Gulf of Mexico and natural field decline across the portfolio. This decline was partially offset by higher uptime at Pyrenees following the 70 day dry dock maintenance program during the September 2018 quarter.

Natural gas production decreased by eight per cent to 189 bcf, reflecting a decrease in tax barrels at Trinidad and Tobago in accordance with the terms of our Production Sharing Contract, maintenance at North West Shelf, reduced domestic gas sales in Western Australia, and natural field decline across the portfolio.

Projects

 

Project and ownership

   Capital
expenditure
US$M
     Initial
production
target date
    

Capacity

  

Progress

Atlantis Phase 3

(US Gulf of Mexico)

44% (non-operator)

     696        CY20      New subsea production system that will tie back to the existing Atlantis facility, with capacity to produce up to 38,000 gross barrels of oil equivalent per day.    On schedule and budget. The overall project is 36% complete.

Ruby

(Trinidad & Tobago)

68.46% (operator)

     283        CY21      Five production wells tied back into existing operated processing facilities, with capacity to produce up to 16,000 gross barrels of oil per day and 80 million gross standard cubic feet of natural gas per day.    On schedule and budget. The overall project is 13% complete.

Mad Dog Phase 2

(US Gulf of Mexico)

23.9% (non-operator)

     2,154        CY22      New floating production facility with the capacity to produce up to 140,000 gross barrels of crude oil per day.    On schedule and budget. The overall project is 65% complete.

The Bass Strait West Barracouta project is tracking to plan and is expected to achieve first production in the 2021 calendar year.

On 18 November 2019, BHP and Woodside signed a non-binding Heads of Agreement to progress the Scarborough gas development which, amongst other terms, includes agreement on a competitive tariff for gas processing through the Pluto LNG facility and BHP’s election not to exercise its option for an additional 10 per cent of the WA-1-R lease. BHP and Woodside are targeting finalisation of the required conditional binding agreements by the end of March 2020. A final investment decision by BHP is expected from the middle of the 2020 calendar year.

 

 

BHP Operational Review for the half year ended 31 December 2019    4


Petroleum exploration

Exploration and appraisal wells drilled during the December 2019 quarter are summarised below.

 

Well

  

Location

   Target    Formation age    BHP equity   Spud date    Water depth      Total well
depth
    

Status

Carnival-1

   Trinidad & Tobago Block 14    Gas    Late Miocene    70% (BHP

Operator)

  30 September
2019
     2,119 m        4,347 m      Dry hole; Plugged and abandoned

In Trinidad and Tobago, we completed the exploration program on our Northern licences as part of Phase 4 of our deepwater drilling campaign. The Carnival-1 well was spud on 30 September 2019 and was a dry hole. The well was plugged and abandoned on 13 October 2019. Development planning studies of the discoveries in the North are ongoing. Following Carnival-1, the Deepwater Invictus rig returned to the US Gulf of Mexico where it is currently completing regulatory abandonment work on Shenzi appraisal and exploration boreholes.

During the December 2019 quarter, we extended our contract for the Deepwater Invictus rig for an additional year through to May 2021 to support our ongoing exploration activities.

As reported in the September 2019 Operational Review, we were the apparent highest bidder on blocks GC124 and GC168 in Green Canyon in the central Gulf of Mexico and on 18 additional blocks(4) in the western Gulf of Mexico. All leases were awarded by the Regulator in the December 2019 quarter.

Petroleum exploration expenditure for the December 2019 half year was US$306 million, of which US$164 million was expensed. A US$0.7 billion exploration and appraisal program is being executed for the 2020 financial year.

 

 

BHP Operational Review for the half year ended 31 December 2019    5


Copper

Production

 

     Dec H19      Dec Q19      Dec H19
vs
Dec H18
    Dec Q19
vs
Dec Q18
    Dec Q19
vs
Sep Q19
 

Copper (kt)

     885        455        7     9     6

Zinc (t)

     42,937        22,483        (22 %)      (7 %)      10

Uranium (t)

     1,886        949        27     2     1

Copper – Total copper production increased by seven per cent to 885 kt. Guidance for the 2020 financial year remains unchanged at between 1,705 and 1,820 kt.

Escondida copper production increased by four per cent to 602 kt, with record average concentrator throughput of 367 ktpd for the half year, driven by ongoing improvements in maintenance and operational performance under our Transformation program. This offset expected grade decline and a 5 kt concentrate production impact related to stoppages associated with the social unrest in Chile. Including cathodes, the total production impact of the stoppages is expected to be 7 kt for the 2020 financial year. The Escondida Water Supply Expansion project was completed in December 2019, on schedule and budget, further increasing total desalinated water capacity to 3,800 litres per second. Guidance for the 2020 financial year remains unchanged at between 1,160 and 1,230 kt, with further improvements in concentrator throughput expected to offset an approximately five per cent reduction in the copper grade of concentrator feed versus the prior year.

Pampa Norte copper production increased by 18 per cent to 124 kt, reflecting the impact of a fire at the electro-winning plant at Spence in the prior year. Guidance for the 2020 financial year remains unchanged at between 230 and 250 kt, including expected grade decline of approximately 10 per cent.

Olympic Dam copper production increased by 32 per cent to 86 kt as a result of the prior period acid plant outage, partially offset by the impact of planned preparatory work undertaken in the September 2019 quarter related to the replacement of the refinery crane. The physical replacement and commissioning of the refinery crane is scheduled for the March 2020 quarter. Guidance for the 2020 financial year remains unchanged at between 180 and 205 kt.

Antamina copper production decreased by two per cent to 74 kt and zinc production decreased by 22 per cent to 43 kt, reflecting lower copper and zinc head grades, in line with the mine plan. Guidance for the 2020 financial year remains unchanged at approximately 135 kt for copper and approximately 110 kt for zinc.

Projects

 

Project and ownership

   Capital
expenditure
US$M
     Initial
production
target date
    

Capacity

  

Progress

Spence Growth Option

(Chile)

100%

     2,460        H1 FY21      New 95 ktpd concentrator is expected to increase Spence’s payable copper in concentrate production by approximately 185 ktpa in the first 10 years of operation and extend the mining operations by more than 50 years.    On schedule and budget. The overall project is 81% complete.

 

 

BHP Operational Review for the half year ended 31 December 2019    6


Iron Ore    

Production    

 

     Dec H19      Dec Q19      Dec H19
vs
Dec H18
    Dec Q19
vs
Dec Q18
    Dec Q19
vs
Sep Q19
 

Iron ore production (kt)

     121,400        60,395        2     4     (1 %) 

Iron ore – Total iron ore production increased by two per cent to 121 Mt (137 Mt on a 100 per cent basis). Guidance for the 2020 financial year remains unchanged at between 242 and 253 Mt (273 and 286 Mt on a 100 per cent basis), with a stronger second half performance expected in line with our plans.

At WAIO, higher volumes reflected record production at Jimblebar and the impact of the train derailment in the December 2018 half year. This was partly offset by a major car dumper maintenance campaign (completed on 16 October 2019) to further improve port reliability and provide a stable base for our tightly coupled supply chain. Mine operations continued to deliver consistent performance.

Consistent with our revised mine plan, we expect Jimblebar fines Fe grade to improve in the second half of the 2020 financial year, with the typical specification returning to above 60 per cent in the June 2020 quarter.

Mining and processing operations at Samarco remain suspended following the failure of the Fundão tailings dam and Santarém water dam on 5 November 2015. Approval of the Corrective Operating Licence (LOC) for Samarco’s operating activities at its Germano Complex was received in October 2019 and operation readiness activities for restart have commenced. Restart can occur when the filtration system is complete and Samarco has met all necessary safety requirements, and will be subject to final approval by Samarco’s shareholders.

Projects

 

Project and ownership

   Capital
expenditure
US$M
     Initial
production
target date
    

Capacity

  

Progress

South Flank

(Australia)

85%

     3,061        CY21      Sustaining iron ore mine to replace production from the 80 Mtpa (100 per cent basis) Yandi mine.   

On schedule and budget.

The overall project is 58% complete.

 

 

BHP Operational Review for the half year ended 31 December 2019    7


Coal    

Production    

 

     Dec H19      Dec Q19      Dec H19
vs
Dec H18
    Dec Q19
vs
Dec Q18
    Dec Q19
vs
Sep Q19
 

Metallurgical coal (kt)

     20,282        10,924        (2 %)      6     17

Energy coal (kt)

     11,725        6,078        (12 %)      (9 %)      8

Metallurgical coal – Metallurgical coal production was down two per cent to 20 Mt (36 Mt on a 100 per cent basis). Guidance for the 2020 financial year remains unchanged at between 41 and 45 Mt (73 and 79 Mt on a 100 per cent basis), with a stronger second half performance expected in line with our plans.

At Queensland Coal, strong underlying operational performance at Poitrel, Peak Downs, Caval Ridge and Broadmeadow was offset by planned major wash plant shutdowns at Goonyella, Peak Downs and Caval Ridge, low opening raw coal inventories at Blackwater, and truck and shovel underperformance at South Walker Creek.

Energy coal – Energy coal production decreased by 12 per cent to 12 Mt. Guidance for the 2020 financial year remains unchanged at between 24 and 26 Mt.

New South Wales Energy Coal production decreased by 11 per cent to 7 Mt as a result of the change in product strategy to focus on higher quality products. Smoke from regional bushfires and dust have reduced air quality at our operations, which has impacted December 2019 production. We are monitoring the situation and if air quality continues to deteriorate then operations could be constrained further in the second half of the year. Guidance for the 2020 financial year remains unchanged at between 15 and 17 Mt.

Cerrejón production decreased by 13 per cent to 4 Mt as a result of a focus on higher quality products, in line with the mine plan, and the impact of adverse weather in the September 2019 quarter. Guidance for the 2020 financial year remains unchanged at approximately 9 Mt.

 

 

BHP Operational Review for the half year ended 31 December 2019    8


Other

Nickel production

 

     Dec H19      Dec Q19      Dec H19
vs
Dec H18
    Dec Q19
vs
Dec Q18
    Dec Q19
vs
Sep Q19
 

Nickel (kt)

     35.3        13.7        (11 %)      (24 %)      (37 %) 

Nickel – Nickel West production decreased by 11 per cent to 35 kt due to the major quadrennial maintenance shutdowns at the Kwinana refinery and the Kalgoorlie smelter, as well as planned routine maintenance at the concentrators, in the December 2019 quarter. Guidance for the 2020 financial year remains unchanged, with production expected to be broadly in line with the 2019 financial year.

Operations Services – In Australia, Operations Services has now been deployed at 13 locations across WAIO, Queensland Coal and NSWEC, with over 1,500 permanent jobs created. Deployments are successfully accelerating safety and productivity outcomes.

Potash project    

 

Project and ownership

   Investment
US$M
    

Scope

  

Progress

Jansen Potash

(Canada)

100%

     2,700      Investment to finish the excavation and lining of the production and service shafts, and to continue the installation of essential surface infrastructure and utilities.    The project is 85% complete and within the approved budget. Final shaft lining work is continuing.

Minerals exploration

Minerals exploration expenditure for the December 2019 half year was US$84 million, of which US$67 million was expensed. Greenfield minerals exploration is predominantly focused on advancing copper targets within Chile, Ecuador, Mexico, Peru, Canada, South Australia and the south-west United States.

Consistent with our focus on copper, in November 2019, BHP increased its interest in SolGold Plc, the majority owner and operator of the Cascabel porphyry copper-gold project in Ecuador, by 3.6 per cent to 14.7 per cent.

At Oak Dam in South Australia, the third phase of the drilling program commenced in November 2019 and is expected to be completed in the June 2020 quarter. This follows encouraging results from the previous drilling phases, which confirmed high-grade mineralised intercepts of copper, with associated gold, uranium and silver.

Variance analysis relates to the relative performance of BHP and/or its operations during the December 2019 half year compared with the December 2018 half year, unless otherwise noted. Production volumes, sales volumes and capital and exploration expenditure from subsidiaries are reported on a 100 per cent basis; production and sales volumes from equity accounted investments and other operations are reported on a proportionate consolidation basis. Numbers presented may not add up precisely to the totals provided due to rounding. Copper equivalent production based on 2019 financial year average realised prices.

The following footnotes apply to this Operational Review:

 

(1)

2020 financial year unit cost guidance: Petroleum US$10.50-11.50/boe, Escondida US$1.20-1.35/lb, WAIO US$13-14/t, Queensland Coal US$67-74/t and NSWEC US$55-61/t; based on exchange rates of AUD/USD 0.70 and USD/CLP 683.

(2)

Underlying EBIT and Underlying EBITDA are used to reflect the underlying performance of BHP. Underlying EBIT is earnings before net finance costs, taxation and any exceptional items. Underlying EBITDA is Underlying EBIT before depreciation, amortisation and impairment.

(3)

Short-term facility of up to US$212 million includes US$2 million related to the decommissioning of the Germano dam which will be offset against the Group’s provision.

(4)

We were the apparent high bidder on 18 additional blocks: GB630, GB574, GB575, GB619, GB676, GB677, EB655, EB656, EB701, GB762, GB805, GB806, GB851, GB852, GB895, GB672, GB716 and GB760.

The following abbreviations may have been used throughout this report: barrels (bbl); billion cubic feet (bcf); cost and freight (CFR); cost, insurance and freight (CIF); dry metric tonne unit (dmtu); free on board (FOB); grams per tonne (g/t); kilograms per tonne (kg/t); kilometre (km); metre (m); million barrels of oil equivalent (MMboe); million cubic feet per day (MMcf/d); million tonnes (Mt); million tonnes per annum (Mtpa); ounces (oz); pounds (lb); thousand barrels of oil equivalent (Mboe); thousand barrels of oil equivalent per day (Mboe/d); thousand ounces (koz); thousand standard cubic feet (Mscf); thousand tonnes (kt); thousand tonnes per annum (ktpa); thousand tonnes per day (ktpd); tonnes (t); and wet metric tonnes (wmt).

In this release, the terms ‘BHP’, ‘Group’, ‘BHP Group’, ‘we’, ‘us’, ‘our’ and ourselves’ are used to refer to BHP Group Limited, BHP Group plc and, except where the context otherwise requires, their respective subsidiaries as defined in note 28 ‘Subsidiaries’ in section 5.1 of BHP’s 30 June 2019 Annual Report and Form 20-F, unless stated otherwise. Notwithstanding that this release may include production, financial and other information from non-operated assets, non-operated assets are not included in the BHP Group and, as a result, statements regarding our operations, assets and values apply only to our operated assets unless stated otherwise.

 

 

BHP Operational Review for the half year ended 31 December 2019    9


Further information on BHP can be found at: bhp.com

Authorised for lodgement by:

Rachel Agnew

Company Secretary

 

Media Relations    Investor Relations
Email: media.relations@bhp.com    Email: investor.relations@bhp.com
Australia and Asia    Australia and Asia
Gabrielle Notley    Tara Dines
Tel: +61 3 9609 3830  Mobile: +61 411 071 715    Tel: +61 3 9609 2222  Mobile: +61 499 249 005
Europe, Middle East and Africa    Europe, Middle East and Africa
Neil Burrows    Elisa Morniroli
Tel: +44 20 7802 7484   Mobile: +44 7786 661 683    Tel: +44 20 7802 7611   Mobile: +44 7825 926 646
Americas    Americas
Judy Dane    Brian Massey
Tel: +1 713 961 8283   Mobile: +1 713 299 5342    Tel: +1 713 296 7919   Mobile: +1 832 870 7677

 

BHP Group Limited ABN 49 004 028 077    BHP Group plc Registration number 3196209
LEI WZE1WSENV6JSZFK0JC28    LEI 549300C116EOWV835768
Registered in Australia    Registered in England and Wales
Registered Office: Level 18, 171 Collins Street    Registered Office: Nova South, 160 Victoria Street
Melbourne Victoria 3000 Australia    London SW1E 5LB United Kingdom
Tel +61 1300 55 4757 Fax +61 3 9609 3015    Tel +44 20 7802 4000 Fax +44 20 7802 4111

Members of the BHP Group which is

headquartered in Australia

 

 

LOGO

Follow us on social media

 

 

BHP Operational Review for the half year ended 31 December 2019    10


Production summary

           Quarter ended      Year to date  
     BHP
interest
    Dec
2018
     Mar
2019
     Jun
2019
     Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 

Petroleum (1)

                      

Petroleum

                      

Production

                      

Crude oil, condensate and NGL (Mboe)

       14,497        13,236        13,366        12,507        13,412        25,919        28,584  

Natural gas (bcf)

       93.9        92.9        97.8        100.4        88.7        189.1        206.2  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total (Mboe)

       30,147        28,719        29,666        29,240        28,195        57,436        62,951  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Copper (2)

                      

Copper

                      

Payable metal in concentrate (kt)

                      

Escondida (3)

     57.5     212.6        205.4        224.1        237.0        240.3        477.3        452.6  

Antamina

     33.8     38.3        34.5        37.4        37.6        36.2        73.8        75.3  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       250.9        239.9        261.5        274.6        276.5        551.1        527.9  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cathode (kt)

                      

Escondida (3)

     57.5     71.9        62.4        63.5        55.9        68.4        124.3        127.3  

Pampa Norte (4)

     100     61.8        67.2        74.1        63.9        60.0        123.9        105.2  

Olympic Dam

     100     31.6        50.2        45.2        35.1        50.5        85.6        64.9  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       165.3        179.8        182.8        154.9        178.9        333.8        297.4  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 
                      
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total copper (kt)

       416.2        419.7        444.3        429.5        455.4        884.9        825.3  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Lead

                      

Payable metal in concentrate (t)

                      

Antamina

     33.8     600        456        770        405        383        788        1,163  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       600        456        770        405        383        788        1,163  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Zinc

                      

Payable metal in concentrate (t)

                      

Antamina

     33.8     24,237        20,848        22,469        20,454        22,483        42,937        54,795  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       24,237        20,848        22,469        20,454        22,483        42,937        54,795  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Gold

                      

Payable metal in concentrate (troy oz)

                      

Escondida (3)

     57.5     73,726        73,998        74,704        48,801        49,209        98,010        137,304  

Olympic Dam (refined gold)

     100     17,856        28,609        37,032        43,205        35,382        78,587        41,327  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       91,582        102,607        111,736        92,006        84,591        176,597        178,631  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Silver

                      

Payable metal in concentrate (troy koz)

                      

Escondida (3)

     57.5     2,570        2,189        2,074        1,626        1,798        3,424        4,567  

Antamina

     33.8     1,178        1,062        1,209        1,101        1,173        2,274        2,487  

Olympic Dam (refined silver)

     100     212        230        268        245        203        448        425  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       3,960        3,481        3,551        2,972        3,174        6,146        7,479  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Uranium

                      

Payable metal in concentrate (t)

                      

Olympic Dam

     100     929        1,106        975        937        949        1,886        1,484  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       929        1,106        975        937        949        1,886        1,484  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Molybdenum

                      

Payable metal in concentrate (t)

                      

Antamina

     33.8     417        82        178        405        527        932        881  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       417        82        178        405        527        932        881  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

 

BHP Operational Review for the half year ended 31 December 2019    11


Production summary

           Quarter ended      Year to date  
     BHP
interest
    Dec
2018
     Mar
2019
     Jun
2019
     Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 

Iron Ore

                      

Iron Ore

                      

Production (kt) (5)

                      

Newman

     85     17,578        15,608        17,058        16,316        15,766        32,082        33,956  

Area C Joint Venture

     85     10,280        11,627        13,837        12,620        12,727        25,347        21,976  

Yandi Joint Venture

     85     15,627        15,214        17,486        17,827        14,857        32,684        32,497  

Jimblebar (6)

     85     14,326        13,658        14,209        14,239        17,045        31,284        30,679  

Wheelarra

     85     30        10        5        3        —          3        144  

Samarco

     50     —          —          —          —          —          —          —    
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       57,841        56,117        62,595        61,005        60,395        121,400        119,252  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Coal

                      

Metallurgical coal

                      

Production (kt) (7)

                      

BMA

     50     7,694        7,608        9,090        6,905        8,723        15,628        15,438  

BHP Mitsui Coal (8)

     80     2,578        2,269        2,804        2,453        2,201        4,654        5,192  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       10,272        9,877        11,894        9,358        10,924        20,282        20,630  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Energy coal

                      

Production (kt)

                      

Australia

     100     4,311        4,552        5,412        3,592        3,763        7,355        8,293  

Colombia

     33.3     2,356        2,199        2,017        2,055        2,315        4,370        5,014  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       6,667        6,751        7,429        5,647        6,078        11,725        13,307  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Other

                      

Nickel

                      

Saleable production (kt)

                      

Nickel West (9)

     100     18.1        19.2        28.7        21.6        13.7        35.3        39.5  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       18.1        19.2        28.7        21.6        13.7        35.3        39.5  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cobalt

                      

Saleable production (t)

                      

Nickel West

     100     154        194        302        211        120        331        403  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

       154        194        302        211        120        331        403  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

(1)

LPG and ethane are reported as natural gas liquids (NGL). Product-specific conversions are made and NGL is reported in barrels of oil equivalent (boe). Total boe conversions are based on 6 bcf of natural gas equals 1,000 Mboe.

(2)

Metal production is reported on the basis of payable metal.

(3)

Shown on a 100% basis. BHP interest in saleable production is 57.5%.

(4)

Includes Cerro Colorado and Spence.

(5)

Iron ore production is reported on a wet tonnes basis.

(6)

Shown on a 100% basis. BHP interest in saleable production is 85%.

(7)

Metallurgical coal production is reported on the basis of saleable product. Production figures include some thermal coal.

(8)

Shown on a 100% basis. BHP interest in saleable production is 80%.

(9)

Production restated to include other nickel by-products.

Throughout this report figures in italics indicate that this figure has been adjusted since it was previously reported.

 

 

BHP Operational Review for the half year ended 31 December 2019    12


Production and sales report

           Quarter ended      Year to date  
           Dec
2018
     Mar
2019
     Jun
2019
    Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 

Petroleum (1)

                     

Bass Strait

                     

Crude oil and condensate

     (Mboe)       1,401        893        1,246       1,409        1,427        2,836        3,054  

NGL

     (Mboe)       1,447        849        1,299       1,810        1,405        3,215        3,287  

Natural gas

     (bcf)       25.2        21.0        30.6       36.6        27.8        64.4        60.3  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       7,048        5,242        7,645       9,319        7,465        16,784        16,391  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

North West Shelf

                     

Crude oil and condensate

     (Mboe)       1,520        1,431        1,357       1,337        1,376        2,713        3,034  

NGL

     (Mboe)       206        193        189       202        200        402        448  

Natural gas

     (bcf)       37.5        36.6        34.8       32.1        32.9        65.0        74.1  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       7,976        7,724        7,346       6,889        7,059        13,948        15,832  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Pyrenees

                     

Crude oil and condensate

     (Mboe)       1,101        940        1,001       979        934        1,913        1,383  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       1,101        940        1,001       979        934        1,913        1,383  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Other Australia (2)

                     

Crude oil and condensate

     (Mboe)       8        6        7       8        1        9        15  

Natural gas

     (bcf)       13.9        13.0        12.2       12.0        11.4        23.4        27.7  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       2,325        2,173        2,040       2,008        1,901        3,909        4,632  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Atlantis (3)

                     

Crude oil and condensate

     (Mboe)       3,802        3,888        3,607       2,759        3,525        6,284        6,992  

NGL

     (Mboe)       268        275        248       192        245        437        483  

Natural gas

     (bcf)       1.9        2.0        2.2       1.4        1.8        3.2        3.4  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       4,387        4,496        4,222       3,184        4,070        7,254        8,042  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Mad Dog (3)

                     

Crude oil and condensate

     (Mboe)       1,158        1,258        1,246       1,096        1,202        2,298        2,428  

NGL

     (Mboe)       54        58        23       49        52        101        115  

Natural gas

     (bcf)       0.2        0.2        0.2       0.2        0.2        0.4        0.4  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       1,245        1,349        1,302       1,178        1,287        2,466        2,610  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Shenzi (3)

                     

Crude oil and condensate

     (Mboe)       2,024        1,881        1,725       1,345        1,671        3,016        4,040  

NGL

     (Mboe)       121        112        (2     70        94        164        243  

Natural gas

     (bcf)       0.4        0.4        0.4       0.2        0.3        0.5        0.8  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       2,212        2,060        1,790       1,448        1,815        3,263        4,416  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Trinidad/Tobago

                     

Crude oil and condensate

     (Mboe)       200        284        235       175        166        341        647  

Natural gas

     (bcf)       14.0        19.5        17.3       17.9        14.2        32.1        38.0  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       2,533        3,534        3,118       3,158        2,533        5,691        6,980  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Other Americas (3) (4)

                     

Crude oil and condensate

     (Mboe)       218        284        272       185        230        415        425  

NGL

     (Mboe)       4        18        3       2        4        6        7  

Natural gas

     (bcf)       0.1        0.2        0.1       —          0.1        0.1        0.1  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       239        335        292       187        251        438        449  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

UK (5)

                     

Crude oil and condensate

     (Mboe)       36        —          —         —          —          —          72  

NGL

     (Mboe)       21        —          —         —          —          —          42  

Natural gas

     (bcf)       0.7        —          —         —          —          —          1.4  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       174        —          —         —          —          —          347  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Algeria

                     

Crude oil and condensate

     (Mboe)       908        866        910       889        880        1,769        1,869  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

Total petroleum products

     (Mboe)       908        866        910       889        880        1,769        1,869  
    

 

 

    

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

 

 

 

BHP Operational Review for the half year ended 31 December 2019    13


Production and sales report

           Quarter ended      Year to date  
           Dec
2018
     Mar
2019
     Jun
2019
     Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 

Petroleum (1)

                      

Total production

                      

Crude oil and condensate

     (Mboe)       12,376        11,731        11,606        10,182        11,412        21,594        23,959  

NGL

     (Mboe)       2,121        1,505        1,760        2,325        2,000        4,325        4,625  

Natural gas

     (bcf)       93.9        92.9        97.8        100.4        88.7        189.1        206.2  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

     (Mboe)       30,147        28,719        29,666        29,240        28,195        57,436        62,951  
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

(1)

Total boe conversions are based on 6 bcf of natural gas equals 1,000 Mboe. Negative production figures represent finalisation adjustments.

(2)

Other Australia includes Minerva and Macedon.

(3)

Gulf of Mexico volumes are net of royalties.

(4)

Other Americas includes Neptune, Genesis and Overriding Royalty Interest.

(5)

BHP completed the sale of its interest in the Bruce and Keith oil and gas fields on 30 November 2018. The sale has an effective date of 1 January 2018.

 

 

BHP Operational Review for the half year ended 31 December 2019    14


Production and sales report

          Quarter ended      Year to date  
          Dec
2018
     Mar
2019
     Jun
2019
     Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 

Copper

                       

Metals production is payable metal unless otherwise stated.

 

Escondida, Chile (1)

                       

Material mined

   (kt)      105,580        103,936        100,693        101,026        100,057        201,083        212,840  

Sulphide ore milled

   (kt)      30,507        32,027        32,519        33,956        33,659        67,615        61,020  

Average concentrator head grade

   (%)      0.87      0.82      0.86      0.86      0.87      0.86      0.91

Production ex mill

   (kt)      219.9        216.9        230.9        245.0        246.1        491.1        461.8  

Production

                       

Payable copper

   (kt)      212.6        205.4        224.1        237.0        240.3        477.3        452.6  

Copper cathode (EW)

   (kt)      71.9        62.4        63.5        55.9        68.4        124.3        127.3  

- Oxide leach

   (kt)      23.4        20.9        23.4        21.9        28.3        50.2        42.9  

- Sulphide leach

   (kt)      48.5        41.5        40.1        34.1        40.1        74.2        84.3  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total copper

   (kt)      284.5        267.8        287.6        292.9        308.7        601.6        579.9  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Payable gold concentrate

   (troy oz)      73,726        73,998        74,704        48,801        49,209        98,010        137,304  

Payable silver concentrate

   (troy koz)      2,570        2,189        2,074        1,626        1,798        3,424        4,567  

Sales

                       

Payable copper

   (kt)      229.2        212.0        223.4        222.2        248.3        470.5        445.7  

Copper cathode (EW)

   (kt)      72.3        56.6        67.5        52.3        70.6        122.9        125.5  

Payable gold concentrate

   (troy oz)      73,726        73,999        74,704        48,801        49,209        98,010        137,304  

Payable silver concentrate

   (troy koz)      2,570        2,189        2,074        1,626        1,798        3,424        4,567  

(1)   Shown on a 100% basis. BHP interest in saleable production is 57.5%.

    

Pampa Norte, Chile

                       

Cerro Colorado

                       

Material mined

   (kt)      19,875        15,561        13,534        15,071        18,102        33,173        38,363  

Ore milled

   (kt)      5,069        4,277        4,740        3,995        5,009        9,004        9,871  

Average copper grade

   (%)      0.62      0.63      0.64      0.54      0.57      0.56      0.58

Production

                       

Copper cathode (EW)

   (kt)      19.4        18.2        23.4        16.4        13.8        30.2        33.6  

Sales

                       

Copper cathode (EW)

   (kt)      19.0        15.5        26.8        14.5        15.8        30.3        32.8  

Spence

                       

Material mined

   (kt)      21,661        18,632        19,213        21,040        23,132        44,172        44,668  

Ore milled

   (kt)      5,428        4,376        5,224        5,635        5,133        10,768        11,070  

Average copper grade

   (%)      1.10      1.03      1.02      0.95      0.90      0.93      1.16

Production

                       

Copper cathode (EW)

   (kt)      42.4        49.0        50.7        47.5        46.2        93.7        71.6  

Sales

                       

Copper cathode (EW)

   (kt)      39.1        46.1        55.0        46.7        44.3        91.0        68.8  

 

 

BHP Operational Review for the half year ended 31 December 2019    15


Production and sales report

          Quarter ended      Year to date  
          Dec
2018
     Mar
2019
     Jun
2019
     Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 

Copper (continued)

                       

Metals production is payable metal unless otherwise stated.

 

Antamina, Peru

                       

Material mined (100%)

   (kt)      62,850        57,900        58,994        59,299        63,224        122,523        125,320  

Sulphide ore milled (100%)

   (kt)      12,912        11,466        12,864        13,121        13,637        26,758        26,109  

Average head grades

                       

- Copper

   (%)      1.02      1.04      1.02      0.99      0.96      0.97      0.99

- Zinc

   (%)      0.85      0.87      0.86      0.80      0.82      0.81      0.98

Production

                       

Payable copper

   (kt)      38.3        34.5        37.4        37.6        36.2        73.8        75.3  

Payable zinc

   (t)      24,237        20,848        22,469        20,454        22,483        42,937        54,795  

Payable silver

   (troy koz)      1,178        1,062        1,209        1,101        1,173        2,274        2,487  

Payable lead

   (t)      600        456        770        405        383        788        1,163  

Payable molybdenum

   (t)      417        82        178        405        527        932        881  

Sales

                       

Payable copper

   (kt)      40.7        33.3        36.0        33.1        43.6        76.7        74.3  

Payable zinc

   (t)      26,072        20,595        21,750        20,196        23,808        44,004        57,894  

Payable silver

   (troy koz)      1,236        1,027        937        954        1,396        2,350        2,429  

Payable lead

   (t)      649        749        296        844        432        1,276        1,261  

Payable molybdenum

   (t)      535        256        127        173        400        573        743  

Olympic Dam, Australia

                       

Material mined (1)

   (kt)      2,434        2,191        2,425        2,477        2,347        4,824        4,478  

Ore milled

   (kt)      2,157        2,371        2,195        2,200        2,153        4,353        3,399  

Average copper grade

   (%)      2.10      2.22      2.30      2.31      2.36      2.33      2.08

Average uranium grade

   (kg/t)      0.62        0.65        0.65        0.65        0.71        0.68        0.62  

Production

                       

Copper cathode (ER and EW)

   (kt)      31.6        50.2        45.2        35.1        50.5        85.6        64.9  

Payable uranium

   (t)      929        1,106        975        937        949        1,886        1,484  

Refined gold

   (troy oz)      17,856        28,609        37,032        43,205        35,382        78,587        41,327  

Refined silver

   (troy koz)      212        230        268        245        203        448        425  

Sales

                       

Copper cathode (ER and EW)

   (kt)      26.6        47.4        50.5        32.1        49.0        81.1        60.5  

Payable uranium

   (t)      828        550        1,427        778        638        1,416        1,593  

Refined gold

   (troy oz)      17,812        27,574        36,133        40,073        36,507        76,580        38,957  

Refined silver

   (troy koz)      177        241        257        250        202        452        393  

 

(1)

Material mined refers to run of mine ore mined and hoisted.

 

 

BHP Operational Review for the half year ended 31 December 2019    16


Production and sales report

          Quarter ended      Year to date  
          Dec
2018
     Mar
2019
     Jun
2019
     Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 

Iron Ore

                       

Iron ore production and sales are reported on a wet tonnes basis.

                       

Pilbara, Australia

                       

Production

                       

Newman

   (kt)      17,578        15,608        17,058        16,316        15,766        32,082        33,956  

Area C Joint Venture

   (kt)      10,280        11,627        13,837        12,620        12,727        25,347        21,976  

Yandi Joint Venture

   (kt)      15,627        15,214        17,486        17,827        14,857        32,684        32,497  

Jimblebar (1)

   (kt)      14,326        13,658        14,209        14,239        17,045        31,284        30,679  

Wheelarra

   (kt)      30        10        5        3        —          3        144  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total production

   (kt)      57,841        56,117        62,595        61,005        60,395        121,400        119,252  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total production (100%)

   (kt)      65,515        63,609        71,133        69,257        68,044        137,301        134,857  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Sales

                       

Lump

   (kt)      14,020        13,603        15,568        14,785        15,982        30,767        29,034  

Fines

   (kt)      44,059        41,981        48,064        45,509        45,785        91,294        90,586  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   (kt)      58,079        55,584        63,632        60,294        61,767        122,061        119,620  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total sales (100%)

   (kt)      65,758        62,853        72,173        68,291        69,481        137,772        135,179  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

(1)   Shown on a 100% basis. BHP interest in saleable production is 85%.

    

Samarco, Brazil (1)

                       

Production

   (kt)      —          —          —          —          —          —          —    

Sales

   (kt)      10        —          —          —          —          —          10  

 

(1)

Mining and processing operations remain suspended following the failure of the Fundão tailings dam and Santarém water dam on 5 November 2015.

 

 

BHP Operational Review for the half year ended 31 December 2019    17


Production and sales report

          Quarter ended      Year to date  
          Dec
2018
     Mar
2019
     Jun
2019
     Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 

Coal

                       

Coal production is reported on the basis of saleable product.

 

Queensland Coal

                       

Production (1)

                       

BMA

                       

Blackwater

   (kt)      1,680        1,484        1,735        1,045        1,734        2,779        3,384  

Goonyella

   (kt)      1,813        2,141        2,620        1,489        2,662        4,151        3,802  

Peak Downs

   (kt)      1,685        1,468        1,649        1,423        1,386        2,809        2,816  

Saraji

   (kt)      1,288        1,250        1,243        1,214        1,325        2,539        2,399  

Daunia

   (kt)      419        470        669        556        579        1,135        1,039  

Caval Ridge

   (kt)      809        795        1,174        1,178        1,037        2,215        1,998  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total BMA

   (kt)      7,694        7,608        9,090        6,905        8,723        15,628        15,438  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total BMA (100%)

   (kt)      15,388        15,216        18,180        13,810        17,446        31,256        30,876  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

BHP Mitsui Coal (2)

                       

South Walker Creek

   (kt)      1,636        1,429        1,624        1,378        1,196        2,574        3,141  

Poitrel

   (kt)      942        840        1,180        1,075        1,005        2,080        2,051  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total BHP Mitsui Coal

   (kt)      2,578        2,269        2,804        2,453        2,201        4,654        5,192  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Queensland Coal

   (kt)      10,272        9,877        11,894        9,358        10,924        20,282        20,630  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Queensland Coal (100%)

   (kt)      17,966        17,485        20,984        16,263        19,647        35,910        36,068  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Sales

                       

Coking coal

   (kt)      7,514        7,221        7,932        7,299        7,775        15,074        14,870  

Weak coking coal

   (kt)      3,058        3,282        2,942        2,466        2,475        4,941        5,871  

Thermal coal

   (kt)      157        379        350        94        30        124        298  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   (kt)      10,729        10,882        11,224        9,859        10,280        20,139        21,039  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total (100%)

   (kt)      18,818        19,176        19,789        17,145        18,459        35,604        36,920  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

(1)   Production figures include some thermal coal.

(2)   Shown on a 100% basis. BHP interest in saleable production is 80%.

    

    

NSW Energy Coal, Australia

                       

Production

   (kt)      4,311        4,552        5,412        3,592        3,763        7,355        8,293  

Sales

                       

Export thermal coal

   (kt)      4,809        3,529        5,181        3,075        3,952        7,027        8,358  

Inland thermal coal

   (kt)      393        302        975        567        —          567        725  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

   (kt)      5,202        3,831        6,156        3,642        3,952        7,594        9,083  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cerrejón, Colombia

                       

Production

   (kt)      2,356        2,199        2,017        2,055        2,315        4,370        5,014  

Sales thermal coal - export

   (kt)      2,297        2,200        2,245        2,069        2,261        4,330        4,886  

 

 

BHP Operational Review for the half year ended 31 December 2019    18


Production and sales report

          Quarter ended      Year to date  
          Dec
2018
     Mar
2019
     Jun
2019
     Sep
2019
     Dec
2019
     Dec
2019
     Dec
2018
 
Other                                                      

Nickel production is reported on the basis of saleable product

 

Nickel West, Australia

                       

Mt Keith

                       

Nickel concentrate

   (kt)      44.9        52.5        52.8        43.7        31.5        75.2        95.1  

Average nickel grade

   (%)      19.8        19.2        19.5        18.3        17.3        17.9        19.3  

Leinster

                       

Nickel concentrate

   (kt)      65.3        51.8        48.3        67.2        56.6        123.8        144.1  

Average nickel grade

   (%)      8.4        9.3        10.8        10.0        8.6        9.4        8.4  

Saleable production

                       

Refined nickel (1) (2)

   (kt)      16.3        17.6        19.9        17.4        11.1        28.5        36.1  

Intermediates and nickel by-products (1) (3)

   (kt)      1.8        1.6        8.8        4.2        2.6        6.8        3.4  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total nickel (1)

   (kt)      18.1        19.2        28.7        21.6        13.7        35.3        39.5  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cobalt by-products

   (t)      154        194        302        211        120        331        403  

Sales

                       

Refined nickel (1) (2)

   (kt)      17.3        17.9        19.9        17.0        10.6        27.6        36.6  

Intermediates and nickel by-products (1) (3)

   (kt)      2.1        0.1        8.4        5.7        2.7        8.4        4.3  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total nickel (1)

   (kt)      19.4        18.0        28.3        22.7        13.3        36.0        40.9  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Cobalt by-products

   (t)      154        194        302        212        131        343        403  

 

(1)

Production and sales restated to include other nickel by-products.

(2)

High quality refined nickel metal, including briquettes and powder.

(3)

Nickel contained in matte and by-product streams.

 

 

BHP Operational Review for the half year ended 31 December 2019    19


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

      BHP Group Limited and BHP Group Plc
Date: January 21, 2020     By:  

/s/ Rachel Agnew

    Name:   Rachel Agnew
    Title:   Company Secretary
GRAPHIC 2 g8711951.jpg GRAPHIC begin 644 g8711951.jpg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end GRAPHIC 3 g871195g0122044241347.jpg GRAPHIC begin 644 g871195g0122044241347.jpg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end