Mining behemoth BHP reported a strong operational performance for the first half of its financial year, with copper output for the six months to end-December up 10% year on year.
The increase in copper production came as Escondida, the group’s Chilean copper asset, achieved a 10-year production record. The group has a bullish outlook for its copper assets.
This more than offset the effects of a weather-related power outage at Copper SA (South Australia). The two-week power cut, which badly affected the operation during the second quarter did, however, see BHP revising down Copper SA’s full-year production guidance.
The group’s iron ore business also reported operational improvements, with Western Australian Iron Ore (WAIO) production up 1% year on year thanks to record volumes from South Flank and Mining Area C.
WAIO’s port debottlenecking project also enabled it to achieve record shipments through ports, while production at Samarco increased 9% year on year, further boosting BHP’s iron output.
Our WA Nickel operations were safely transitioned into a period of temporary suspension.
— Mike Henry, BHP CEO
Meanwhile, steelmaking coal tonnes from BHP Mitsubishi Alliance (BMA), Australia’s largest supplier of seaborne energy coal in which BHP has a 50% stake, increased by 14% year on year.
The group maintained production guidance for copper, steelmaking coal and iron ore, with all three guiding to the upper half of their ranges.
BHP’s Western Australian nickel operations also reported higher production as a result of drawing down inventory, with Nickel West ceasing production in October.
“Our WA Nickel operations were safely transitioned into a period of temporary suspension, with many employees moving into roles to support this phase or within other parts of BHP,” CEO Mike Henry said.
“BHP delivered a safe and reliable performance in the first half. Our flagship copper, iron ore and steelmaking coal assets delivered particularly strong production in the period,” Henry said.
“We made further progress on our growth pathways in future facing commodities,” he said, highlighting the group's joint venture with Lundin Mining in Argentina, which it considers to be one of the most significant global copper discoveries in decades.
Henry said the miner’s potash project in Canada was now at 63%, with first production set to begin in late 2026.
“We are well positioned to continue strong momentum into the second half with a number of assets now expected to deliver production in the upper half of their respective ranges, while maintaining tight cost control,” said Henry.
“BHP is in good shape, and we have a clear pathway for growth."
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