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BHP - Operational Review for the Quarter Ended 30 September 2022
BHP Group Limited
ABN 49 004 028 077
Registered in Australia
Registered Office: Level 18, 171 Collins Street
Melbourne VIC 3000
Share code: BHG
ISIN: AU000000BHP4
NEWS RELEASE
Release Time IMMEDIATE
Date 19 October 2022
Release Number 35/22
BHP OPERATIONAL REVIEW
FOR THE QUARTER ENDED 30 SEPTEMBER 2022
. We continued to deliver safe and reliable operational performance during
the quarter.
. All production and unit cost guidance1 remains unchanged for the 2023
financial year.
. Jansen Stage 1 is tracking to plan, with civil and mechanical construction
activities progressing at the Jansen site and at the port. We are targeting
Jansen Stage 1 first production in the 2026 calendar year and have
accelerated the Jansen Stage 2 study.
. BHP announced the signing of a large-scale renewable Power Purchase
Agreement (PPA) with Alinta Energy, which is expected to halve greenhouse
gas (GHG) emissions from the electricity used in our Western Australian
Iron Ore (WAIO) port facilities by the end of the 2024 calendar year.
BHP Chief Executive Officer, Mike Henry:
"We have started the new financial year strongly, achieving safe and reliable
operating performance. The first quarter included significant planned major
maintenance in Western Australia Iron Ore (WAIO), BHP Mitsubishi Alliance
(BMA), and Olympic Dam.
Copper production was up nine per cent on the same quarter last year, with
strong concentrator throughput at Escondida and record quarterly anode
production at Olympic Dam. WAIO continued to perform strongly, with production
up by 3% relative to the same period last year, and we managed through
substantial rainfall and labour constraints in our coal assets with production
only down marginally year on year. Our full year production and unit cost
guidance is unchanged.
The South Flank iron ore ramp-up and the Jansen potash project are tracking
well, with work ongoing to bring forward first production from Jansen Stage 1
and accelerate Jansen Stage 2.
During the quarter, BHP struck a new agreement to supply our WAIO port
facilities with renewable electricity, which is expected to halve GHG emissions
from the electricity used, signed an MoU with India's Tata Steel to collaborate
on lower GHG emission steelmaking and announced a partnership with Pan Pacific
Copper to reduce GHG emissions from maritime transportation, as we take further
action to reduce GHG emissions from our operations and support decarbonisation of our
suppliers and customers.
We expect global macro-economic uncertainty in the short term to continue to
affect supply chains, energy costs, labour markets and equipment and materials
availability. BHP remains well positioned, with a portfolio and balance sheet
to withstand external challenges and a strategy positioned to benefit from the
global mega-trends of decarbonisation and electrification."
Sep Q22 Sep Q22
Production (vs Sep Q21) (vs Jun Q22) Sep Q22 vs Jun Q22 commentary
---------- -------------- ------------ -----------------------------
Copper (kt)..................... 410.1 410.1 Lower volumes at Escondida due to lower concentrator feed grade,
9% (11%) lower ore stacked in prior months at Pampa Norte reducing cathode
production, and lower volumes at Olympic Dam as a result of planned
refinery maintenance.
Iron ore (Mt)................... 65.1 65.1 Strong operational performance at WAIO, partially offset by planned
3% 1% car dumper maintenance in the quarter.
Metallurgical coal (Mt)......... 6.7 6.7 Lower volumes due to significant wet weather in the quarter, mining higher strip ratio areas, a planned
(1%) (19%) longwall move at Broadmeadow and planned wash plant maintenance
at Blackwater, Goonyella and Saraji.
Energy coal (Mt)................. 2.6 2.6 Lower volumes due to significant wet weather in the quarter and
(38%) (33%) ongoing labour shortages impacting stripping and mine productivity.
Nickel (kt)...................... 20.7 20.7 Higher volumes due to unplanned downtime at the smelter in the prior
16% 10% period.
--------------------------------------------------------------------------------
BHP Operational Review for the 1
quarter ended 30 September 2022
Summary
Operational performance
Production and guidance are summarised below.
Sep Q22 Sep Q22 Current
Sep vs vs FY23
Production Q22 Sep Q21 Jun Q22 guidance
---------- ----- ------- ------- -------------
Copper (kt)..................................... 410.1 9% (11%) 1,635 - 1,825
Escondida (kt)............................... 252.7 4% (13%) 1,080 - 1,180 Unchanged
Pampa Norte (kt)............................. 70.6 5% (9%) 240 - 290 Unchanged
Olympic Dam (kt)............................. 49.7 68% (11%) 195 - 215 Unchanged
Antamina (kt)................................ 37.1 4% (6%) 120 - 140 Unchanged
Iron ore (Mt)................................... 65.1 3% 1% 249 - 260
WAIO (Mt).................................... 63.9 3% 1% 246 - 256 Unchanged
WAIO (100% basis) (Mt)....................... 72.1 2% 1% 278 - 290 Unchanged
Samarco (Mt)................................. 1.1 10% 15% 3 - 4 Unchanged
Metallurgical coal - BMA (Mt)................... 6.7 (1%) (19%) 29 - 32
Metallurgical coal - BMA (100% basis) (Mt)... 13.3 (1%) (19%) 58 - 64 Unchanged
Energy coal - NSWEC (Mt)........................ 2.6 (38%) (33%) 13 - 15 Unchanged
Nickel (kt)..................................... 20.7 16% 10% 80 - 90 Unchanged
Corporate update
Decarbonisation
Throughout the September 2022 quarter we've continued to make progress towards
our decarbonisation targets and goals and supported efforts to reduce GHG
emissions in our value chain.
. BHP entered into a large-scale renewable Power Purchase Agreement (PPA)
with Alinta Energy, which is expected to halve emissions from the
electricity used in our WAIO port facilities by the end of 2024 based on
current forecast demand and compared with FY2020 reported emissions. In
addition, BHP and Alinta Energy have entered a Memorandum of Understanding (MoU) in relation to the
development of the Shay Gap Wind Farm, currently planned to be 45MW
capacity with a targeted first-generation date of 2027.
. BHP signed an MoU with India's Tata Steel to
jointly study and develop lower carbon iron and steelmaking technology. The
technologies to be explored in this partnership seek to reduce GHG emission
intensity of integrated steel mills by up to 30 per cent. The announcement
of this partnership takes BHP to a total of five decarbonisation
partnerships with steelmakers whose combined output accounts for over
13 per cent of reported global steel production.
. BHP announced a partnership with Pan Pacific Copper (PPC) which aims to
reduce GHG emissions from maritime transportation between BHP's mines in
Chile and PPC's smelters in Japan through a retrofit installation of a
push-button wind-assisted propulsion system on board the M/V Koryu vessel
estimated to be around 10 times more efficient than a conventional sail
and expected to make the M/V Koryu the lowest GHG emission intensity vessel
in its category.
--------------------------------------------------------------------------------
BHP Operational Review for the 2
quarter ended 30 September 2022
Copper
Production
Sep Q22 Sep Q22
vs vs
Sep Q22 Sep Q21 Jun Q22
------- ------- -------
Copper (kt)................ 410.1 9% (11%)
Zinc (t)................... 32,685 (2%) 19%
Uranium (t)................ 817 54% 5%
Copper - Total copper production increased by nine per cent to 410 kt. Guidance
for the 2023 financial year remains unchanged at between 1,635 and 1,825 kt.
Escondida copper production increased by four per cent to 253 kt primarily due
to higher concentrator feed grade of 0.83 per cent compared to 0.73 per cent in
the September 2021 quarter. Guidance for the 2023 financial year remains
unchanged at between 1,080 and 1,180 kt, with production weighted toward the
second half of the year. Medium term guidance of 1.2 Mtpa of copper production
on average over the next five years remains unchanged.
Pampa Norte copper production increased by five per cent to 71 kt reflecting
the continued ramp up of the Spence Growth Option (SGO). Guidance for the 2023
financial year remains unchanged at between 240 and 290 kt. This reflects plant
design modification shutdowns at SGO and the continued transition towards the
planned closure of Cerro Colorado at the end of the 2023 calendar year. The SGO
plant modifications started in August 2022 and are planned to finish in the
2023 calendar year, with further studies ongoing for additional capacity uplift.
At Spence, we continue to closely monitor previously identified Tailings
Storage Facility (TSF) anomalies. We have reduced the volume of water in the
tailings facility and continue to work with the local regulatory agencies,
including the implementation of a remediation plan for the TSF. The SGO
concentrator continues to operate with no impact to production or market
guidance. Spence is expected to reach an average of approximately 270 ktpa of
production for four years (including cathodes) following the completion of the
SGO plant modifications and remediation of TSF anomalies.
Olympic Dam copper production increased by 68 per cent to 50 kt primarily as a
result of the September 2021 quarter having included the SCM21 major smelter
maintenance campaign. Strong smelter performance resulted in record gross
anode/2/ production in the September 2022 quarter, however copper cathode
production was constrained by planned annual refinery maintenance. Near record
gold production was also achieved in the quarter as a result of debottlenecking
initiatives implemented in the prior year. Production guidance for the 2023
financial year remains unchanged at between 195 and 215 kt.
Antamina copper production increased by four per cent to 37 kt, reflecting
higher concentrator throughput. Zinc production decreased by two per cent to
33 kt reflecting lower zinc head grades. Guidance remains unchanged for the 2023
financial year, with copper production of between 120 and 140 kt, and zinc
production of between 115 and 135 kt.
--------------------------------------------------------------------------------
BHP Operational Review for the 3
quarter ended 30 September 2022
Iron Ore
Production
Sep Q22 Sep Q22
vs vs
Sep Q22 Sep Q21 Jun Q22
------- ------- -------
Iron ore production (kt)... 65,073 3% 1%
Iron ore - Total iron ore production increased by three per cent to 65 Mt.
Guidance for the 2023 financial year remains unchanged at between 249 and 260
Mt.
WAIO production increased by three per cent to 64 Mt (72 Mt on a 100 per cent
basis), reflecting continued strong supply chain performance and lower COVID-19
related impacts than the prior period, partially offset by wet weather impacts.
South Flank ramp up to full production capacity of 80 Mtpa (100 per cent basis)
remains on track. Natural variability in the ore grade is expected as the mine
progresses through the close to surface material, however this is expected to
stabilise as we move deeper into the ore body and achieve full ramp up.
WAIO production guidance for the 2023 financial year remains unchanged at between 246 and
256 Mt (278 and 290 Mt on a 100 per cent basis) and reflects the tie-in of the
port debottlenecking project (PDP1) as well as the continued ramp up of South
Flank throughout the year.
Samarco production of 1.1 Mt (BHP share) reflected continued production of one
concentrator, following the recommencement of iron ore pellet production in
December 2020. Guidance for the 2023 financial year is unchanged at between 3
and 4 Mt (BHP share).
Coal
Production
Sep Q22 Sep Q22
vs vs
Sep Q22 Sep Q21 Jun Q22
------- ------- -------
Metallurgical coal (kt).... 6,662 (1%) (19%)
Energy coal (kt)........... 2,622 (38%) (33%)
Metallurgical coal - BMA production was marginally lower than the prior period
at 7 Mt (13 Mt on a 100 per cent basis) despite record wet weather during the
September 2022 quarter3 and ongoing labour shortages. These impacts have been
largely offset by an inventory drawdown, and the continued ramp up of
autonomous haul truck fleets at Goonyella. Maintenance activities
completed in the quarter included a planned longwall move at Broadmeadow,
planned wash plant maintenance at both Saraji and Blackwater, and the
commencement of wash plant maintenance at Goonyella in September.
The near tripling of top end royalties by the Queensland Government remains a
serious concern and threat to investment and jobs in that state. We see strong
long-term demand from global steelmakers for Queensland's high-quality
metallurgical coal. In the absence of fiscal terms that are both competitive and
predictable, we are unable to make significant new investments in Queensland.
Guidance for the 2023 financial year remains unchanged at between 29 and 32 Mt
(58 and 64 Mt on a 100 per cent basis).
Energy coal - New South Wales Energy Coal (NSWEC) production decreased by 38 per cent to 3 Mt, reflecting the
ongoing impacts of significant wet weather with more than three times the
amount of rainfall than the prior year,4 continued labour shortages impacting stripping
performance and mine productivity, and an increased proportion of washed coal.
Higher quality coals made up approximately 85 per cent of sales compared to
approximately 70 per cent in the September 2021 quarter. Guidance for the 2023
financial year remains unchanged at between 13 and 15 Mt.
--------------------------------------------------------------------------------
BHP Operational Review for the 4
quarter ended 30 September 2022
Other
Nickel production
Sep Q22 Sep Q22
vs vs
Sep Q22 Sep Q21 Jun Q22
------- ------- -------
Nickel (kt)................ 20.7 16% 10%
Nickel - Nickel West production increased by 16 per cent to 21 kt, reflecting
the completion of planned maintenance across the supply chain in the prior
period. Guidance for the 2023 financial year remains unchanged at between 80
and 90 kt, weighted to the second half of the year due to planned smelter
maintenance in the December 2022 quarter.
Potash - Our major potash project under development is tracking to plan. For
the 2023 financial year, we will continue to focus on civil and mechanical
construction on the surface and underground, as well as equipment procurement
and port construction.
Projects
Capital Initial
Project and expenditure production
ownership US$M target date Capacity Progress
----------- ----------- ----------- ------------------------------------- ----------------------------------
Jansen Stage 1 5,723 End-CY26 Design, engineering and construction Approved in August 2021, project
(Canada) of an underground potash mine and is 11% complete
100% surface infrastructure, with capacity
to produce 4.35 Mtpa.
Minerals exploration
Minerals exploration expenditure for the September 2022 quarter was
US$73 million, of which US$58 million was expensed.
Following our agreement with Midland Exploration in April 2022 to fund a new
nickel exploration program in Nunavik, Quebec, on 21 July 2022 we extended our
strategic alliance for one year until August 2023, including agreement to
provide additional funding for the program.
At Oak Dam in South Australia, BHP is continuing next stage resource definition
drilling with six drill rigs.
--------------------------------------------------------------------------------
BHP Operational Review for the 5
quarter ended 30 September 2022
Variance analysis relates to the relative performance of BHP and/or its
operations during the three months ended September 2022 compared with the three
months ended September 2021, 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.
The following footnotes apply to this Operational Review:
1 2023 financial year unit cost guidance: Escondida US$1.25-1.45/lb, WAIO
US$18-19/t, and BMA of US$90-100/t; based on exchange rates of AUD/USD 0.72
and USD/CLP 830.
2 Anode is the product from the smelting process at Olympic Dam. Anode is
converted to copper cathode through the refining process.
3 BMA experienced the wettest September quarter in 10 years with 212mm of
rainfall recorded at Moranbah in the September 2022 quarter compared to
123mm in the September 2021 quarter.
4 Rainfall of 297mm was recorded at Muswellbrook in the September 2022
quarter, compared to 96mm in the September 2021 quarter.
The following abbreviations may have been used throughout this report: 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); megawatt (MW); metre (m); million tonnes (Mt); million tonnes per annum
(Mtpa); ounces (oz); pounds (lb); thousand ounces (koz); 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', the 'Group', 'BHP Group', 'we', 'us', 'our'
and 'ourselves' are used to refer to BHP Group Limited and, except where the
context otherwise requires, our subsidiaries. Refer to note 28 'Subsidiaries'
of the Financial Statements in BHP's 30 June 2022 Appendix 4E for a list of our
significant subsidiaries. Those terms do not include non-operated assets.
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. Our
non-operated assets include Antamina and Samarco. BHP Group cautions against
undue reliance on any forward-looking statement or guidance in this release,
particularly in light of the current economic climate and significant
volatility, uncertainty and disruption arising in connection with COVID-19.
These forward-looking statements are based on information available as at the
date of this release and are not guarantees or predictions of future
performance and involve known and unknown risks, uncertainties and other
factors, many of which are beyond our control and which may cause actual
results to differ materially from those expressed in the statements contained
in this release.
--------------------------------------------------------------------------------
BHP Operational Review for the 6
quarter ended 30 September 2022
Further information on BHP can be found at: bhp.com
Sponsor: J.P. Morgan Equities South Africa Proprietary Limited
Authorised for lodgement by:
Stefanie Wilkinson
Group Company Secretary
Media Relations Investor Relations
Email: media.relations@bhp.com Email: investor.relations@bhp.com
Australia and Asia Australia and Asia
Gabrielle Notley Dinesh Bishop
Tel: +61 3 9609 3830 Mobile: +61 411 071 715 Mobile +61 407 033 909
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Americas Americas
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Mobile: +56 9 8229 5357 Mobile: +1 416 518-6293
BHP Group Limited ABN 49 004 028 077
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Tel +61 1300 55 4757 Fax +61 3 9609 3015
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--------------------------------------------------------------------------------
BHP Operational Review for the 7
quarter ended 30 September 2022
Production summary
Quarter ended Year to date
------------------------------------ ---------------
Sep Dec Mar Jun Sep Sep Sep
BHP 2021 2021 2022 2022 2022 2022 2021
interest ------ ------- ------- ------ ------ ------- -------
Copper /1/
Copper
Payable metal in concentrate (kt)
Escondida /2/ ......................... 57.5% 194.7 196.2 178.2 233.5 203.1 203.1 194.7
Pampa Norte /3/ ....................... 100.0% 26.4 24.2 32.4 28.2 28.6 28.6 26.4
Antamina .............................. 33.8% 35.8 38.4 36.1 39.6 37.1 37.1 35.8
------ ------- ------- ------ ------ ------- -------
Total ................................. 256.9 258.8 246.7 301.3 268.8 268.8 256.9
------ ------- ------- ------ ------ ------- -------
Cathode (kt)
Escondida /2/ ......................... 57.5% 49.0 48.4 48.2 55.8 49.6 49.6 49.0
Pampa Norte /3/ ....................... 100% 41.1 44.1 35.8 49.0 42.0 42.0 41.1
Olympic Dam ........................... 100% 29.5 14.2 39.0 55.7 49.7 49.7 29.5
------ ------- ------- ------ ------ ------- -------
Total ................................. 119.6 106.7 123.0 160.5 141.3 141.3 119.6
------ ------- ------- ------ ------ ------- -------
Total copper (kt) ........................ 376.5 365.5 369.7 461.8 410.1 410.1 376.5
------ ------- ------- ------ ------ ------- -------
Lead
Payable metal in concentrate (t)
Antamina .............................. 33.8% 378 277 282 181 228 228 378
------ ------- ------- ------ ------ ------- -------
Total ................................. 378 277 282 181 228 228 378
------ ------- ------- ------ ------ ------- -------
Zinc
Payable metal in concentrate (t)
Antamina .............................. 33.8% 33,289 29,603 32,732 27,576 32,685 32,685 33,289
------ ------- ------- ------ ------ ------- -------
Total ................................. 33,289 29,603 32,732 27,576 32,685 32,685 33,289
------ ------- ------- ------ ------ ------- -------
Gold
Payable metal in concentrate (troy oz)
Escondida /2/ ......................... 57.5% 41,962 42,937 36,303 45,770 38,236 38,236 41,962
Pampa Norte /3/ ....................... 100% 6,967 5,776 7,929 8,198 5,521 5,521 6,967
Olympic Dam (refined gold) ............ 100% 26,277 37,805 29,355 26,080 47,184 47,184 26,277
------ ------- ------- ------ ------ ------- -------
Total ................................. 75,206 86,518 73,587 80,048 90,941 90,941 75,206
------ ------- ------- ------ ------ ------- -------
Silver
Payable metal in concentrate (troy koz)
Escondida /2/ ......................... 57.5% 1,291 1,462 1,270 1,311 1,210 1,210 1,291
Pampa Norte /3/ ....................... 100% 273 215 261 262 252 252 273
Antamina .............................. 33.8% 1,367 1,308 1,191 1,212 1,190 1,190 1,367
Olympic Dam (refined silver) .......... 100% 191 258 149 145 295 295 191
------ ------- ------- ------ ------ ------- -------
Total ................................. 3,122 3,243 2,871 2,930 2,947 2,947 3,122
------ ------- ------- ------ ------ ------- -------
Uranium
Payable metal in concentrate (t)
Olympic Dam ........................... 100% 531 287 781 776 817 817 531
------ ------- ------- ------ ------ ------- -------
Total ................................. 531 287 781 776 817 817 531
------ ------- ------- ------ ------ ------- -------
Molybdenum
Payable metal in concentrate (t)
Pampa Norte /3/ ....................... 100% -- -- -- 71 34 34 --
Antamina .............................. 33.8% 142 217 190 249 262 262 142
------ ------- ------- ------ ------ ------- -------
Total ................................. 142 217 190 320 296 296 142
------ ------- ------- ------ ------ ------- -------
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BHP Operational Review for the 8
quarter ended 30 September 2022
Production summary
Quarter ended Year to date
------------------------------------- ---------------
Sep Dec Mar Jun Sep Sep Sep
BHP 2021 2021 2022 2022 2022 2022 2021
interest ------ ------- ------- ------ ------ ------- -------
Iron Ore
Iron Ore
Production (kt) /4/
Newman ................................ 85% 16,461 14,577 11,940 14,063 14,053 14,053 16,461
Area C Joint Venture .................. 85% 18,947 22,911 24,888 27,685 26,971 26,971 18,947
Yandi Joint Venture ................... 85% 11,834 12,261 8,418 6,409 5,497 5,497 11,834
Jimblebar /5/ ......................... 85% 15,009 15,324 13,444 15,005 17,404 17,404 15,009
Samarco ............................... 50% 1,048 1,029 994 1,000 1,148 1,148 1,048
------ ------- ------- ------ ------ ------- -------
Total ................................. 63,299 66,102 59,684 64,162 65,073 65,073 63,299
------ ------- ------- ------ ------ ------- -------
Coal
Metallurgical coal
Production (kt) /6/
BHP Mitsubishi Alliance (BMA) ......... 50% 6,715 6,300 7,944 8,183 6,662 6,662 6,715
------ ------- ------- ------ ------ ------- -------
Total ................................. 6,715 6,300 7,944 8,183 6,662 6,662 6,715
------ ------- ------- ------ ------ ------- -------
Energy coal
Production (kt)
NSW Energy Coal ....................... 100% 4,238 2,967 2,577 3,919 2,622 2,622 4,238
------ ------- ------- ------ ------ ------- -------
Total ................................. 4,238 2,967 2,577 3,919 2,622 2,622 4,238
------ ------- ------- ------ ------ ------- -------
Other
Nickel
Saleable production (kt)
Nickel West ........................... 100% 17.8 21.5 18.7 18.8 20.7 20.7 17.8
------ ------- ------- ------ ------ ------- -------
Total ................................. 17.8 21.5 18.7 18.8 20.7 20.7 17.8
------ ------- ------- ------ ------ ------- -------
Cobalt
Saleable production (t)
Nickel West ........................... 100% 177 220 125 110 238 238 177
------ ------- ------- ------ ------ ------- -------
Total ................................. 177 220 125 110 238 238 177
------ ------- ------- ------ ------ ------- -------
1 Metal production is reported on the basis of payable metal.
2 Shown on a 100% basis. BHP interest in saleable production is 57.5%.
3 Includes Cerro Colorado and Spence.
4 Iron ore production is reported on a wet tonnes basis.
5 Shown on a 100% basis. BHP interest in saleable production is 85%.
6 Metallurgical coal production is reported on the basis of saleable product.
Production figures may include some thermal coal.
Throughout this report figures in italics indicate that this figure has
been adjusted since it was previously reported.
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BHP Operational Review for the 9
quarter ended 30 September 2022
Production and sales report
Quarter ended Year to date
------------------------------------------- ----------------
Sep Dec Mar Jun Sep Sep Sep
2021 2021 2022 2022 2022 2022 2021
------- ------- ------- ------- ------- ------- -------
Copper
Metals production is payable metal unless otherwise stated.
Escondida, Chile /1/
Material mined ................................ (kt) 113,874 117,284 107,676 115,409 110,248 110,248 113,874
Concentrator throughput ....................... (kt) 33,528 35,787 30,235 34,318 32,894 32,894 33,528
Average copper grade - concentrator ........... (%) 0.73% 0.71% 0.80% 0.88% 0.83% 0.83% 0.73%
Production ex mill ............................ (kt) 201.2 203.6 191.5 239.5 214.6 214.6 201.2
Production
Payable copper ................................ (kt) 194.7 196.2 178.2 233.5 203.1 203.1 194.7
Copper cathode (EW) ........................... (kt) 49.0 48.4 48.2 55.8 49.6 49.6 49.0
- Oxide leach ................................ (kt) 14.8 13.1 12.2 17.5 15.2 15.2 14.8
- Sulphide leach ............................. (kt) 34.2 35.3 36.0 38.3 34.4 34.4 34.2
------- ------- ------- ------- ------- ------- -------
Total copper .................................. (kt) 243.7 244.6 226.4 289.3 252.7 252.7 243.7
------- ------- ------- ------- ------- ------- -------
Payable gold concentrate ...................... (troy oz) 41,962 42,937 36,303 45,770 38,236 38,236 41,962
Payable silver concentrate .................... (troy koz) 1,291 1,462 1,270 1,311 1,210 1,210 1,291
Sales
Payable copper ................................ (kt) 190.5 200.2 177.0 230.4 196.7 196.7 190.5
Copper cathode (EW) ........................... (kt) 46.7 49.7 47.2 58.9 45.9 45.9 46.7
Payable gold concentrate ...................... (troy oz) 41,962 42,937 36,303 45,770 38,236 38,236 41,962
Payable silver concentrate .................... (troy koz) 1,291 1,462 1,270 1,311 1,210 1,210 1,291
1 Shown on a 100% basis. BHP interest in saleable production is 57.5%.
Pampa Norte, Chile
Cerro Colorado
Material mined ................................ (kt) 5,378 4,782 3,516 3,604 3,179 3,179 5,378
Ore stacked ................................... (kt) 3,566 4,029 3,181 4,259 4,373 4,373 3,566
Average copper grade - stacked ................ (%) 0.60% 0.62% 0.53% 0.55% 0.54% 0.54% 0.60%
Production
Copper cathode (EW) ........................... (kt) 13.4 15.3 11.6 14.7 12.8 12.8 13.4
Sales
Copper cathode (EW) ........................... (kt) 12.1 16.0 10.5 16.2 13.3 13.3 12.1
Spence
Material mined ................................ (kt) 21,154 24,025 24,040 26,749 26,956 26,956 21,154
Ore stacked ................................... (kt) 5,258 5,071 5,055 5,099 5,577 5,577 5,258
Average copper grade - stacked ................ (%) 0.64% 0.66% 0.67% 0.66% 0.70% 0.70% 0.64%
Concentrator throughput ....................... (kt) 5,786 6,234 6,512 6,311 6,433 6,433 5,786
Average copper grade - concentrator ........... (%) 0.65% 0.60% 0.65% 0.66% 0.63% 0.63% 0.65%
Production
Payable copper ................................ (kt) 26.4 24.2 32.4 28.2 28.6 28.6 26.4
Copper cathode (EW) ........................... (kt) 27.7 28.8 24.2 34.3 29.2 29.2 27.7
------- ------- ------- ------- ------- ------- -------
Total copper .................................. (kt) 54.1 53.0 56.6 62.5 57.8 57.8 54.1
------- ------- ------- ------- ------- ------- -------
Payable gold concentrate ...................... (troy oz) 6,967 5,776 7,929 8,198 5,521 5,521 6,967
Payable silver concentrate .................... (troy koz) 273 215 261 262 252 252 273
Payable molybdenum ............................ (t) -- -- -- 71 34 34 --
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BHP Operational Review for the 10
quarter ended 30 September 2022
Production and sales report
Quarter ended Year to date
------------------------------------------- ----------------
Sep Dec Mar Jun Sep Sep Sep
2021 2021 2022 2022 2022 2022 2021
------- ------- ------- ------- ------- ------- -------
Sales
Payable copper ................................ (kt) 28.4 24.9 28.1 28.1 26.0 26.0 28.4
Copper cathode (EW) ........................... (kt) 27.7 31.2 20.2 35.4 29.1 29.1 27.7
Payable gold concentrate ...................... (troy oz) 6,967 5,776 7,929 8,198 5,521 5,521 6,967
Payable silver concentrate .................... (troy koz) 273 215 261 262 252 252 273
Payable molybdenum ............................ (t) -- -- -- 25 25 25 --
Antamina, Peru
Material mined (100%) ......................... (kt) 66,581 58,179 58,118 64,026 63,865 63,865 66,581
Concentrator throughput (100%) ................ (kt) 13,219 13,011 13,135 13,131 13,858 13,858 13,219
Average head grades
- Copper ..................................... (%) 0.97% 1.00% 0.94% 1.02% 0.93% 0.93% 0.97%
- Zinc ....................................... (%) 1.16% 1.11% 1.13% 1.05% 1.09% 1.09% 1.16%
Production
Payable copper ................................ (kt) 35.8 38.4 36.1 39.6 37.1 37.1 35.8
Payable zinc .................................. (t) 33,289 29,603 32,732 27,576 32,685 32,685 33,289
Payable silver ................................ (troy koz) 1,367 1,308 1,191 1,212 1,190 1,190 1,367
Payable lead .................................. (t) 378 277 282 181 228 228 378
Payable molybdenum ............................ (t) 142 217 190 249 262 262 142
Sales
Payable copper ................................ (kt) 32.7 41.9 32.9 40.7 37.6 37.6 32.7
Payable zinc .................................. (t) 32,635 32,513 29,920 30,847 33,820 33,820 32,635
Payable silver ................................ (troy koz) 1,103 1,405 1,078 1,230 1,015 1,015 1,103
Payable lead .................................. (t) 232 344 269 363 130 130 232
Payable molybdenum ............................ (t) 86 170 199 205 250 250 86
Olympic Dam, Australia
Material mined /1/............................. (kt) 1,935 1,998 2,424 2,477 2,412 2,412 1,935
Ore milled .................................... (kt) 2,024 1,105 2,122 2,436 2,570 2,570 2,024
Average copper grade .......................... (%) 2.03% 2.17% 2.21% 2.15% 2.13% 2.13% 2.03%
Average uranium grade ......................... (kg/t) 0.55 0.55 0.62 0.56 0.58 0.58 0.55
Production
Copper cathode (ER and EW) .................... (kt) 29.5 14.2 39.0 55.7 49.7 49.7 29.5
Payable uranium ............................... (t) 531 287 781 776 817 817 531
Refined gold .................................. (troy oz) 26,277 37,805 29,355 26,080 47,184 47,184 26,277
Refined silver ................................ (troy koz) 191 258 149 145 295 295 191
Sales
Copper cathode (ER and EW) .................... (kt) 29.1 17.9 36.3 55.8 45.9 45.9 29.1
Payable uranium ............................... (t) 536 541 236 1,031 272 272 536
Refined gold .................................. (troy oz) 24,654 38,768 30,935 24,622 49,542 49,542 24,654
Refined silver ................................ (troy koz) 126 290 182 87 320 320 126
1 Material mined refers to underground ore mined, subsequently hoisted or
trucked to surface.
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BHP Operational Review for the 11
quarter ended 30 September 2022
Production and sales report
Quarter ended Year to date
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Sep Dec Mar Jun Sep Sep Sep
2021 2021 2022 2022 2022 2022 2021
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Iron Ore
Iron ore production and sales are reported on a wet tonnes basis.
Western Australia Iron Ore, Australia
Production
Newman ........................................ (kt) 16,461 14,577 11,940 14,063 14,053 14,053 16,461
Area C Joint Venture .......................... (kt) 18,947 22,911 24,888 27,685 26,971 26,971 18,947
Yandi Joint Venture ........................... (kt) 11,834 12,261 8,418 6,409 5,497 5,497 11,834
Jimblebar /1/ ................................. (kt) 15,009 15,324 13,444 15,005 17,404 17,404 15,009
------- ------- ------- ------- ------- ------- -------
Total production .............................. (kt) 62,251 65,073 58,690 63,162 63,925 63,925 62,251
------- ------- ------- ------- ------- ------- -------
Total production (100%) ....................... (kt) 70,587 73,852 66,674 71,660 72,135 72,135 70,587
------- ------- ------- ------- ------- ------- -------
Sales
Lump .......................................... (kt) 17,546 17,827 16,966 20,006 19,561 19,561 17,546
Fines ......................................... (kt) 45,039 46,809 42,187 44,308 42,696 42,696 45,039
------- ------- ------- ------- ------- ------- -------
Total ......................................... (kt) 62,585 64,636 59,153 64,314 62,257 62,257 62,585
------- ------- ------- ------- ------- ------- -------
Total sales (100%) ............................ (kt) 70,815 73,222 67,110 72,796 70,276 70,276 70,815
------- ------- ------- ------- ------- ------- -------
1 Shown on a 100% basis. BHP interest in saleable production is 85%.
Samarco, Brazil
Production..................................... (kt) 1,048 1,029 994 1,000 1,148 1,148 1,048
Sales.......................................... (kt) 1,111 950 943 991 1,146 1,146 1,111
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BHP Operational Review for the 12
quarter ended 30 September 2022
Production and sales report
Quarter ended Year to date
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Sep Dec Mar Jun Sep Sep Sep
2021 2021 2022 2022 2022 2022 2021
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Coal
Coal production is reported on the basis of saleable product.
BHP Mitsubishi Alliance (BMA), Australia
Production /1/
Blackwater .................................... (kt) 1,403 1,202 1,478 1,751 1,283 1,283 1,403
Goonyella ..................................... (kt) 1,798 1,797 2,336 2,429 1,780 1,780 1,798
Peak Downs .................................... (kt) 1,223 960 1,395 1,366 1,325 1,325 1,223
Saraji ........................................ (kt) 999 1,081 1,366 1,168 1,020 1,020 999
Daunia ........................................ (kt) 377 304 338 472 324 324 377
Caval Ridge ................................... (kt) 915 956 1,031 997 930 930 915
------- ------- ------- ------- ------- ------- -------
Total production .............................. (kt) 6,715 6,300 7,944 8,183 6,662 6,662 6,715
------- ------- ------- ------- ------- ------- -------
Total production (100%) ....................... (kt) 13,430 12,600 15,888 16,366 13,324 13,324 13,430
------- ------- ------- ------- ------- ------- -------
Sales
Coking coal ................................... (kt) 5,415 4,875 6,334 6,734 5,615 5,615 5,415
Weak coking coal .............................. (kt) 734 754 805 1,118 600 600 734
Thermal coal .................................. (kt) 576 455 484 765 267 267 576
------- ------- ------- ------- ------- ------- -------
Total sales ................................... (kt) 6,725 6,084 7,623 8,617 6,482 6,482 6,725
------- ------- ------- ------- ------- ------- -------
Total sales (100%) ............................ (kt) 13,450 12,168 15,246 17,234 12,964 12,964 13,450
------- ------- ------- ------- ------- ------- -------
1 Production figures include some thermal coal.
--------------------------------------------------------------------------------
BHP Operational Review for the 13
quarter ended 30 September 2022
Production and sales report
Quarter ended Year to date
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Sep Dec Mar Jun Sep Sep Sep
2021 2021 2022 2022 2022 2022 2021
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NSW Energy Coal, Australia
Production .................................... (kt) 4,238 2,967 2,577 3,919 2,622 2,622 4,238
Sales ......................................... (kt) 3,780 3,718 2,703 3,923 2,441 2,441 3,780
Other
Nickel production is reported on the basis of saleable product
Nickel West, Australia
Mt Keith
Nickel concentrate ............................ (kt) 53.7 47.0 47.1 48.0 42.6 42.6 53.7
Average nickel grade .......................... (%) 14.6 13.2 14.4 16.1 17.0 17.0 14.6
Leinster
Nickel concentrate ............................ (kt) 73.8 77.4 78.0 76.0 66.8 66.8 73.8
Average nickel grade .......................... (%) 8.9 9.1 8.9 10.3 9.9 9.9 8.9
Saleable production
Refined nickel /1/ ............................ (kt) 14.4 18.2 13.3 11.7 17.5 17.5 14.4
Nickel sulphate /2/ ........................... (kt) -- 0.4 0.7 0.5 1.2 1.2 --
Intermediates and nickel by-products /3/....... (kt) 3.4 2.9 4.7 6.6 2.0 2.0 3.4
------- ------- ------- ------- ------- ------- -------
Total nickel .................................. (kt) 17.8 21.5 18.7 18.8 20.7 20.7 17.8
------- ------- ------- ------- ------- ------- -------
Cobalt by-products ............................ (t) 177 220 125 110 238 238 177
Sales
Refined nickel /1/ ............................ (kt) 13.8 16.9 15.3 11.7 18.1 18.1 13.8
Nickel sulphate /2/ ........................... (kt) -- 0.1 0.7 0.5 0.8 0.8 --
Intermediates and nickel by-products /3/ ...... (kt) 3.9 3.1 2.7 6.4 1.8 1.8 3.9
------- ------- ------- ------- ------- ------- -------
Total nickel .................................. (kt) 17.7 20.1 18.7 18.6 20.7 20.7 17.7
------- ------- ------- ------- ------- ------- -------
Cobalt by-products ............................ (t) 177 220 125 110 238 238 177
1 High quality refined nickel metal, including briquettes and powder.
2 Nickel sulphate crystals produced from nickel powder.
3 Nickel contained in matte and by-product streams.
--------------------------------------------------------------------------------
BHP Operational Review for the 14
quarter ended 30 September 2022
Date: 19-10-2022 07:05:00
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