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| Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
|---|---|---|---|---|---|
| Bhp Billiton | LSE:BLT | London | Ordinary Share | GB0000566504 | ORD $0.50 |
| Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.00 | 0.00% | 1,573.00 | 1,571.40 | 1,572.00 | 0.00 | 01:00:00 |
| Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
|---|---|---|---|---|---|
| 0 | 0 | N/A | 0 |
From Apr 2019 to Apr 2024
TIDMBLT
RNS Number : 4408L
BHP Billiton PLC
18 July 2017
Release Time IMMEDIATE Date 19 July 2017 Release Number 19/17
BHP OPERATIONAL REVIEW
FOR THE YEARED 30 June 2017
-- Achieved full year production guidance for petroleum and iron ore, with annual production records at Western Australia Iron Ore (WAIO), Spence and two Queensland Coal mines.
-- Lower copper production reflected the impact of industrial action at Escondida and the power outage and unplanned maintenance at Olympic Dam. Lower metallurgical coal volumes as a result of damage to third party rail infrastructure caused by Cyclone Debbie.
-- We expect to achieve full year unit cost guidance at WAIO and Conventional petroleum, however industrial action and Cyclone Debbie have impacted unit costs at Escondida and Queensland Coal respectively.
-- Group copper equivalent production expected to increase by 7% in the 2018 financial year.
-- In Onshore US, development activity is increasing with up to 10 rigs operating in the 2018 financial year.
-- Divestment of non-core Onshore US acreage is progressing, with the sale of a portion of the southern Hawkville anticipated in the September 2017 quarter.
-- In Petroleum exploration, drilling of the Wildling-2 appraisal well in the Gulf of Mexico is continuing, with results expected in the September 2017 quarter.
Hot Features
Premium
-- All major projects under development are tracking to plan.
Production FY17 vs FY16
Deferral of development activity
in Onshore US for value and natural
Petroleum (MMboe) 208 (13%) field decline in Conventional assets.
Reduced volumes following industrial
action at Escondida and the power
outage and unplanned maintenance
Copper (kt) 1,326 (16%) at Olympic Dam.
Iron ore(1) (Mt) Record WAIO volumes reflects productivity
improvements across the supply chain
231 4% and additional capacity at Jimblebar.
Record volumes at two Queensland
Metallurgical Coal mines more than offset by the
coal(1) (Mt) 40 (6%) impacts from Cyclone Debbie.
Energy coal(1) Strong performance at both NSWEC
(Mt) 29 7% and Cerrejón.
BHP Chief Executive Officer, Andrew Mackenzie said: "Our people have stepped up to unlock low-cost latent capacity and achieve strong productivity gains across our tier one assets.
Improved productivity led to record annual production at Western Australia Iron Ore, Spence and two Queensland Coal mines while production guidance was achieved by Petroleum and Western Australia Iron Ore. Copper production is expected to rebound strongly in the 2018 financial year with the commissioning of the Escondida Water Supply project and ramp-up of the Los Colorados Extension project during the September 2017 quarter to enable utilisation of Escondida's three concentrators.
In Petroleum, the recently approved Mad Dog phase 2 project will extend low-risk oil volumes as supply tightens while in the near-term, Onshore US development activity is to increase with up to 10 rigs planned for the 2018 financial year.
Our relentless focus on safety, productivity and capital discipline will support strong growth in shareholder value."
1
Summary
Operational performance
Production for the 2017 financial year and guidance for the 2018 financial year are summarised in the table below.
Jun Jun
Q17 Q17
Jun FY17 vs vs
2017 vs Jun Mar FY18 FY18e
Production FY17 Qtr FY16 Q16 Q17 guidance vs FY17
Petroleum (MMboe) 208 52 (13%) (7%) 3% 180 -190 (9%) - (13%)
(16%) -
Onshore US (MMboe) 80 20 (26%) (15%) (4%) 61 - 67 (24%)
Conventional (MMboe) 128 32 (2%) (2%) 7% 119 - 123 (4%) - (7%)
1,655 -
Copper (kt) 1,326 387 (16%) (6%) 71% 1,790 25% - 35%
1,130 -
Escondida (kt) 772 225 (21%) (16%) 138% 1,230 46% - 59%
Other copper(i) (kt) 554 162 (8%) 12% 23% 525 - 560 (5%) - 1%
Iron ore(ii) (Mt) 231 60 4% 8% 12% 239 - 243 3% - 5%
WAIO (100% basis)
(Mt) 268 70 4% 8% 12% 275 - 280(iii) 3% - 4%
Metallurgical coal(ii)
(Mt) 40 8 (6%) (27%) (16%) 44 - 46 10% - 15%
Energy coal(ii) (Mt) 29 8 7% 30% 10% 29 - 30 0% - 3%
(i) Other copper comprises Pampa Norte, Olympic Dam and Antamina.
(ii) Excludes production from Samarco, Haju (IndoMet Coal) and New Mexico Coal.
(iii) Subject to regulatory approvals to increase capacity above 270 Mt.
Major development projects
During the year, the Bass Strait Longford Gas Conditioning Plant was fully commissioned and is running at design capacity, enabling full production from the Turrum and Kipper fields. The BHP Board also approved the Mad Dog Phase 2 project in the deepwater Gulf of Mexico. The Escondida Water Supply project achieved mechanical completion in the December 2016 quarter and was transitioned to operations effective 1 July 2017, following completion of project commissioning in June 2017.
At the end of the 2017 financial year, BHP had three major projects under development in Petroleum and Potash, with a combined budget of US$5.1 billion over the life of the projects.
Corporate update
BHP expects to record exceptional items of US$546 million (US$740 million post-tax) in the second half of the 2017 financial year. These items relate to idle capacity and other strike-related costs incurred as a result of the Escondida industrial action in the March 2017 quarter and Chilean withholding tax on a one-off dividend paid while a concessional tax rate was available.
Exceptional items to be recognised in the June 2017 half year Charges/(credits) Loss before Loss after (US$ million) taxation Taxation taxation Escondida industrial action costs 546 (179) 367 Withholding tax on Chilean dividends - 373 373
On 18 January 2017, Samarco and its shareholders, Vale S.A. and BHP Billiton Brasil, entered into a preliminary agreement with the Federal Prosecutors' Office in Brazil in relation to the Samarco dam failure (Preliminary Agreement). The Preliminary Agreement outlines the process and timeline for negotiation of a settlement of the BRL 155 billion (approximately US$47.5 billion) and BRL 20 billion (approximately US$6.1 billion) Public Civil Claims relating to the dam failure. The Court has extended the final date for negotiation of a settlement until 30 October 2017, allowing for the continuation of the interim security arrangements provided to the Court on 24 January 2017 and the provision of ongoing expert advice to the Federal Prosecutors in respect of the remediation and compensation programs identified under the Framework Agreement.
2
On 30 June 2017, BHP announced a total of US$250 million in financial support for the Renova Foundation and Samarco until 31 December 2017. The amount of US$174 million will be used to fund the Renova Foundation and will be offset against the Group's provision for the Samarco dam failure. A short-term facility of up to US$76 million will be made available to Samarco to carry out remediation and stablisation work and to support Samarco's operations. These funds will be released to Samarco only as required, and subject to achievement of key milestones.
For the second half of the 2017 financial year, we are not yet in a position to provide an update to the ongoing potential financial impacts on BHP Billiton Brasil of the Samarco dam failure. Any financial impacts will continue to be classified as an exceptional item.
The above guidance will be updated should material information or events arise as the Group finalises its financial statements.
On 16 June 2017, the BHP Board elected Ken MacKenzie to succeed Jac Nasser as Chairman. Mr MacKenzie will assume the role of Chairman effective 1 September 2017, following Mr Nasser's retirement as both Chairman and a Non-executive Director.
In July 2017, BHP filed an amendment to its 2016 20-F (2016 20-F/A) to restate its 2016 report on internal controls over financial reporting, as deficiencies were identified in the controls and processes that were used to determine the impairments of certain Onshore US assets. The identified deficiencies did not require any change to the carrying values of the Company's Onshore US assets at 31 December 2016 or any prior period and there is no need for a restatement of any of the Group's financial statements. A remediation plan has been implemented and we expect to confirm the controls are operating effectively as part of the 2017 financial year annual reporting process.
Marketing update
The average realised prices achieved for our major commodities are summarised in the table below. The majority of iron ore shipments were linked to the index price for the month of shipment, with price differentials predominantly a reflection of product quality and market fundamentals. The 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.
FY17 Jun H17 Jun H17
vs vs vs
Average realised prices(i) Jun H17 Dec H16 FY17 FY16 FY16 Jun H16 Dec H16
Oil (crude and condensate) (US$/bbl) 50 45 48 39 23% 35% 11%
Natural gas (US$/Mscf)(ii) 3.48 3.21 3.34 2.83 18% 27% 8%
US natural gas (US$/Mscf) 2.98 2.79 2.88 2.16 33% 52% 7%
LNG (US$/Mscf) 7.37 6.35 6.84 7.71 (11%) 4% 16%
Copper (US$/lb) 2.70 2.41 2.54 2.14 19% 25% 12%
Iron ore (US$/wmt, FOB) 62 55 58 44 32% 41% 13%
Hard coking coal (US$/t) 180 179 180 83 117% 117% 1%
Weak coking coal (US$/t) 121 122 121 69 75% 73% (1%)
Thermal coal (US$/t)(iii) 75 74 75 48 56% 63% 1%
Nickel metal (US$/t) 9,799 10,581 10,184 9,264 10% 11% (7%)
(i) Based on provisional, unaudited estimates. Prices exclude 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. In Copper, the adjustment will increase Underlying EBITDA by US$27 million in the 2017 financial year.
(ii) Includes internal sales.
(iii) Export sales only; excludes Cerrejón. Includes thermal coal sales from metallurgical coal mines.
3
At 30 June 2017, the Group had 254 kt of outstanding copper sales that were revalued at a weighted average price of US$2.69 per pound. The final price of these sales will be determined in the 2018 financial year. In addition, 316 kt of copper sales from the 2016 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$27 million in the 2017 financial year.
Petroleum
Production
Jun FY17 Jun Q17 Jun Q17
2017 vs vs vs
FY17 Qtr FY16 Jun Q16 Mar Q17
Crude oil, condensate and natural
gas liquids (MMboe) 97 24 (16%) (9%) (3%)
Natural gas (bcf) 668 167 (10%) (6%) 8%
Total petroleum production (MMboe) 208 52 (13%) (7%) 3%
Total petroleum production - Total petroleum production for the 2017 financial year decreased by 13 per cent to 208 MMboe.
Petroleum production is forecast to decrease to between 180 and 190 MMboe in the 2018 financial year.
In Onshore US, volumes are expected to decline to between 61 and 67 MMboe as production from the phased ramp-up of development activity is more than offset by natural field decline. The expanded rig program is forecast to deliver production growth of approximately 35 per cent in the 2019 financial year, with investment plans subject to market conditions.
In our Conventional business, volumes are expected to decrease to between 119 and 123 MMboe as infill drilling and brownfield projects are more than offset by planned maintenance at Mad Dog and natural field decline across the portfolio.
Crude oil, condensate and natural gas liquids - Production for the 2017 financial year decreased by 16 per cent to 97 MMboe.
Onshore US liquids volumes decreased by 29 per cent to 34 MMboe as value accretive deferral of activity in the Black Hawk and natural field decline across all fields were partially offset by increased production from the Permian.
Conventional liquids volumes decreased by eight per cent to 63 MMboe as an additional infill well at Mad Dog and higher production at North West Shelf and Algeria partially offset planned maintenance at Atlantis and natural field decline across the portfolio.
Natural gas - Production for the 2017 financial year declined by 10 per cent to 668 bcf.
Divestment of our Pakistan gas business in December 2015 and lower Onshore US gas volumes as a result of deferred development activity for value, were partially offset by strong performance at Bass Strait and Macedon and increased LNG volumes at North West Shelf.
Projects
Initial
Capital production
expenditure target
Project and ownership (US$m) date Capacity Progress
North West Shelf 314 CY19 To maintain On schedule and
Greater LNG plant throughput budget. The overall
Western Flank-B from the North project is 47%
(Australia) West Shelf operations. complete.
16.67% (non-operator)
Mad Dog Phase 2 2,154 CY22 New floating On schedule and
(US Gulf of Mexico) production facility budget. The overall
23.9% (non-operator) with the capacity project is 3%
to produce up complete.
to 140,000 gross
barrels of crude
oil per day.
4
Petroleum capital expenditure for the 2017 financial year declined by approximately 41 per cent to US$1.5 billion. In the 2018 financial year we expect an increase to approximately US$2.0 billion (including higher forecast capital creditor movements of approximately US$0.2 billion, the majority relating to Onshore US). This includes Conventional capital expenditure of US$0.8 billion, which remains focused on high-return infill drilling opportunities in the Gulf of Mexico, a life extension project at North West Shelf along with investments related to the recently approved Mad Dog Phase 2 project.
Onshore US development activity
Onshore US drilling and development expenditure for the 2017 financial year was approximately US$554 million. During the June 2017 quarter, our operated rig count increased to five, as two additional rigs commenced operations in the Haynesville.
Liquids focused
FY17 areas Gas focused areas
Eagle
(FY16) Ford Permian Haynesville Fayetteville Total
Capital expenditure(i) US$ billion 0.3 (0.8) 0.2 (0.4) 0.1 (0.0) 0.0 (0.0) 0.6 (1.2)
At period
Rig allocation end 1 (2) 1 (2) 3 (0) 0 (0) 5 (4)
Net wells drilled Period
and completed(ii) total 51 (89) 21 (30) 5 (5) 2 (11) 79 (136)
At period
Net productive wells end 963 (929) 126 (107) 394 (411) 1,044 (1,086) 2,527 (2,533)
(i) Includes land acquisition, site preparation, drilling, completions, well site facilities, mid-stream infrastructure and pipelines.
(ii) Can vary between periods based on changes in rig activity and the inventory of wells drilled but not yet completed at period end.
Onshore US capital expenditure is expected to be approximately US$1.2 billion in the 2018 financial year. Our plan considers up to five additional rigs.
-- Evaluation of trials in the Black Hawk are expected to be completed in the September 2017 quarter and, subject to approval, one additional rig will commence toward the end of that quarter.
-- One rig has recently commenced operations in the Hawkville executing a 14 well program that will include a mix of completion trials and acreage retention drilling.
-- In the Permian, the current rig will focus on near-term lease obligations while an additional one to two rigs will continue to focus on completion trials that will inform a transition to full pad development as early as the 2019 financial year.
-- One additional rig is expected to commence in the Haynesville in the September 2017 quarter. Further, our hedging strategy allows us to reduce price risk and secure average rates of return in excess of 20 per cent.
-- At this point we do not anticipate any operated development in the Fayetteville, however we continue to work with joint venture partners to assess the potential of the Moorefield horizon through non-operated activity.
The divestment of non-core acreage for value is progressing, with the sale of a portion of the southern Hawkville anticipated to be executed in the September 2017 quarter. Our Fayetteville acreage is currently under review and we are considering all options including divestment.
Petroleum exploration
Exploration and appraisal wells drilled during the June 2017 quarter are summarised below.
Total
Water well
Well Location Target BHP equity Spud date depth depth Status
US Gulf
of Mexico 15 April 1,267 8,928
Wildling-2 GC520 Oil 100% 2017 m m Drilling ahead
(Operator)
The Wildling-2 well was spud on 15 April 2017 and drilling is in progress, with results expected in the September 2017 quarter. The Scimitar exploration well is expected to be spud in the September 2017 quarter.
5
In Mexico, BHP has commenced working in partnership with Pemex to plan and execute, during the next 24 months, the Minimum Work Program for blocks AE-0092 and AE-0093 consisting of one appraisal well, one exploration well and the acquisition of additional seismic data.
In Trinidad and Tobago, we continued appraisal work to assess the potential commercialisation of the gas discovery at LeClerc and to prepare for deepwater oil exploration in Phase 2, which is expected to commence in the second half of the 2018 financial year.
In the US Gulf of Mexico, BHP was the apparent high bidder on two leases adjacent to the Scimitar prospect (GC260 and GC304) in the Central Gulf of Mexico Lease Sale 247. BHP (28.32 per cent equity interest), with BP (Operator), was the apparent high bidder on two leases adjacent to the Mad Dog field (GC738 and GC870). All four leases were awarded by the Regulator during the June 2017 quarter.
In Australia, BHP has completed its evaluation of the WA-480-P permit in the Northern Beagle sub-basin and has elected to exit this exploration permit. Acquisition of the seismic survey in the Exmouth sub-basin was completed on 1 May 2017. Processed data will be delivered during the June 2018 quarter.
Petroleum exploration expenditure for the 2017 financial year was US$805 million, of which US$473 million was expensed. We are pursuing high-quality oil plays in our priority basins and an US$840 million exploration program is planned for the 2018 financial year taking advantage of low rig rates. This program includes one well in the US Gulf of Mexico, three wells in Trinidad and Tobago, and one well in Mexico.
Copper
Production
Jun
Q17 Jun Q17
Jun FY17 vs vs
2017 vs Jun Mar
FY17 Qtr FY16 Q16 Q17
Copper (kt) 1,326 387 (16%) (6%) 71%
Zinc (t) 87,502 29,076 58% 349% 41%
Uranium oxide concentrate (t) 3,661 737 (16%) (16%) (22%)
Copper - Total copper production for the 2017 financial year decreased by 16 per cent to 1.3 Mt. Total copper production is forecast to increase to between 1,655 and 1,790 kt in the 2018 financial year.
Escondida copper production for the 2017 financial year decreased by 21 per cent to 772 kt. The decrease was due to: a four day site-wide suspension of operations following a fatality in October 2016, 44 days of industrial action in the March 2017 quarter and severe weather in early June 2017, reducing production by 21 kt, 214 kt and 12 kt, respectively. Copper production of between 1,130 and 1,230 kt is expected in the 2018 financial year, supported by the ramp-up of the Los Colorados Extension project during the September 2017 quarter, enabling utilisation of three concentrators.
Pampa Norte copper production for the 2017 financial year increased by one per cent to 254 kt, supported by record cathode production and ore milled at Spence following the completion of the Recovery Optimisation project. Pampa Norte copper production for the 2018 financial year is expected to be higher than the prior year.
Olympic Dam copper production for the 2017 financial year decreased by 18 per cent to 166 kt following the state-wide power outage during September and October 2016 and unplanned maintenance at the refinery during December 2016 and January 2017. Copper production of 150 kt is expected in the 2018 financial year as a major smelter maintenance campaign is phased through August to November 2017, including a rebuild of the electric slag furnace, the flash furnace and the electro static precipitator. This is the largest maintenance program undertaken by BHP at Olympic Dam and on completion, the improved operational performance will underpin an expected increase in copper production to approximately 215 kt in the 2019 financial year. This will provide a stable base for the potential to increase capacity to 280 kt in the 2022 financial year.
6
Antamina copper production for the 2017 financial year decreased by nine per cent to 134 kt as record material mined was more than offset by lower copper grades as mining progressed through a zinc rich ore zone. Copper production is expected to decrease in the 2018 financial year to approximately 125 kt, as mining continues through a zinc rich ore zone consistent with the mine plan. Zinc production is expected to increase from 88 kt to approximately 100 kt in the 2018 financial year.
Iron Ore
Production
Jun
Q17 Jun Q17
Jun FY17 vs vs
2017 vs Jun Mar
FY17 Qtr FY16 Q16 Q17
Iron ore(i) (kt) 231,352 60,141 4% 8% 12%
(i) Represents Western Australia Iron Ore (WAIO). Excludes production from Samarco.
Iron ore - Total iron ore production for the 2017 financial year increased by four per cent to 231 Mt, or 268 Mt on a 100 per cent basis. WAIO production is expected to increase to between 239 and 243 Mt, or between 275 and 280 Mt on a 100 per cent basis, in the 2018 financial year. BHP will continue to work with the relevant authorities to obtain the necessary approvals to increase system capacity to 290 Mtpa (100 per cent basis).
Record annual production of 268 Mt (100 per cent basis) at WAIO reflects strong productivity improvements across the supply chain as well as the commissioning of a new primary crusher and additional conveying capacity at Jimblebar. Following recovery from the wet season, WAIO produced at a record annualised rate of 280 Mt (100 per cent basis) in the June 2017 quarter. The rail renewal and maintenance program was completed in May 2017.
In June 2017, BHP approved initial funding of US$184 million (BHP share) for the South Flank sustaining mine project. The initial funding will be used primarily for the expansion of accommodation facilities to support construction and future operational workforce requirements. The South Flank project, which will leverage and expand the existing Mining Area C hub, is BHP's preferred option to replace production from the 80 Mtpa (100 per cent basis) Yandi mine when it reaches the end of its economic life in the early-to-mid 2020s. The project is expected to be submitted for Board approval in the middle of the 2018 calendar year and, if approved, first ore is targeted in the 2021 calendar year with ramp-up timed to coincide with the ramp-down of Yandi. The capital cost for South Flank is expected to be in the range of US$30 to US$40 per tonne, with expenditure fitting within WAIO's previously indicated average annual sustaining capital expenditure of US$4 per tonne over the next five years.
Mining and processing operations at Samarco remain suspended following the failure of the Fundão tailings dam and Santarém water dam on 5 November 2015.
Coal
Production
Jun Q17 Jun Q17
Jun FY17 vs vs
2017 vs Jun Mar
FY17 Qtr FY16 Q16 Q17
Metallurgical coal(i) (kt) 39,770 8,494 (6%) (27%) (16%)
Energy coal(ii) (kt) 29,135 8,186 7% 30% 10%
(i) Represents Queensland Coal. Excludes production from Haju following the divestment of IndoMet Coal (2017 financial year: 129 kt).
(ii) Excludes production from New Mexico Coal following divestments (2017 financial year: 451 kt).
Metallurgical coal - Metallurgical coal production for the 2017 financial year decreased by six per cent to 40 Mt. Production is expected to increase to between 44 and 46 Mt in the 2018 financial year.
7
At Queensland Coal, production for the 2017 financial year was lower as a result of damage caused by Cyclone Debbie to the network infrastructure of rail track provider Aurizon. Mine operations recovered quickly after the cyclone, as dewatering infrastructure installed after the 2011 floods worked as designed. Force majeure was declared for all Queensland Coal products on 5 April 2017 and was lifted on 1 July 2017.
Despite the impacts of Cyclone Debbie, Peak Downs and Saraji achieved record annual production underpinned by improved stripping and mining performance, and utilisation of latent wash-plant capacity, including approximately 2 Mt trucked to Caval Ridge (100 per cent). Three additional mines were on track for record production prior to Cyclone Debbie.
The Caval Ridge Southern Circuit latent capacity project is progressing according to plan, with production expected to ramp-up early in the 2019 financial year.
Energy coal - Energy coal production for the 2017 financial year increased by seven per cent to 29 Mt. Production is expected to remain broadly unchanged at approximately 29 to 30 Mt in the 2018 financial year.
New South Wales Energy Coal production increased by six per cent as it benefitted from a lower strip ratio and additional bypass coal. Cerrejón production increased by nine per cent compared to the prior year, which was constrained by drought conditions.
Other
Nickel production
Jun Q17 Jun Q17
Jun FY17 vs vs
2017 vs Jun Mar
FY17 Qtr FY16 Q16 Q17
Nickel (kt) 85.1 25.2 5% 8% 33%
Nickel - Nickel West production for the 2017 financial year increased by five per cent to 85.1 kt. Debottlenecking activities at the Kwinana refinery have resulted in record refined metal production. Nickel production for the 2018 financial year is expected to remain broadly unchanged from the 2017 financial year.
Potash project
Investment
Project and ownership (US$m) Scope Progress
Jansen Potash 2,600 Investment to finish The project is 70%
the excavation and lining complete and within
of the production and the approved budget.
service shafts, and Shaft excavation is
to continue the installation progressing.
of essential surface
infrastructure and utilities.
(Canada)
100%
Minerals exploration
Minerals exploration expenditure for the 2017 financial year was US$163 million, of which US$139 million was expensed. Greenfield minerals exploration is predominantly focused on advancing copper targets within Chile, Peru, Canada, South Australia and the South-West United States. BHP was awarded five exploration concessions in Ecuador in June 2017.
8
Variance analysis relates to the relative performance of BHP and/or its operations during the 2017 financial year compared with the 2016 financial 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. Copper equivalent production based on 2017 financial year average realised prices.
The following footnotes apply to this Operational Review:
(1) Excludes production from Samarco, Haju (IndoMet Coal) and New Mexico Coal.
(2) Underlying EBITDA and Underlying attributable profit are used to reflect the underlying performance of BHP. Underlying EBITDA is earnings before net finance costs, taxation, depreciation, amortisation, impairment and any exceptional items. Underlying attributable profit is Attributable profit excluding any exceptional items.
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 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).
9
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10
Production summary
Quarter ended Year to date
BHP Jun Sep Dec Mar June June Jun
interest 2016 2016 2016 2017 2017 2017 2016
Petroleum (1)
Petroleum
Crude oil, condensate
and NGL (Mboe)
Onshore US 9,469 8,288 8,143 9,439 8,501 34,371 48,181
Conventional 16,896 15,959 15,768 15,369 15,612 62,708 67,858
Total 26,365 24,247 23,911 24,808 24,113 97,079 116,039
Natural gas (bcf)
Onshore US 82.0 73.9 67.8 66.1 67.2 275.0 364.5
Conventional 95.7 107.8 97.1 88.4 99.5 392.8 380.2
Total 177.7 181.7 164.9 154.5 166.7 667.8 744.7
Total petroleum production
(MMboe) 56.0 54.5 51.4 50.6 51.9 208.4 240.1
Copper (2)
Copper
Payable metal in
concentrate
(kt)
Escondida (3) 57.5% 182.7 147.0 162.6 67.6 162.4 539.6 648.9
Antamina 33.8% 38.7 34.1 32.0 29.2 38.5 133.8 146.4
Total 221.4 181.1 194.6 96.8 200.9 673.4 795.3
Cathode (kt)
Escondida (3) 57.5% 85.3 70.5 71.5 27.2 62.8 232.0 330.3
Pampa Norte (4) 100% 65.8 62.1 53.8 66.1 72.3 254.3 251.4
Olympic Dam 100% 40.7 40.9 37.2 36.8 51.4 166.3 202.8
Total 191.8 173.5 162.5 130.1 186.5 652.6 784.5
Total copper (kt) 413.2 354.6 357.1 226.9 387.4 1,326.0 1,579.8
Lead
Payable metal in
concentrate
(t)
Antamina 33.8% 645 1,146 1,220 1,308 1,799 5,473 3,719
Total 645 1,146 1,220 1,308 1,799 5,473 3,719
Zinc
Payable metal in
concentrate
(t)
Antamina 33.8% 6,474 15,367 22,406 20,653 29,076 87,502 55,438
Total 6,474 15,367 22,406 20,653 29,076 87,502 55,438
Gold
Payable metal in
concentrate
(troy oz)
Escondida (3) 57.5% 35,894 27,561 37,784 11,572 33,941 110,858 108,996
Olympic Dam
(refined gold) 100% 20,010 24,366 29,651 21,941 28,188 104,146 117,686
Total 55,904 51,927 67,435 33,513 62,129 215,004 226,682
11
Quarter ended Year to date
BHP Jun Sep Dec Mar June June Jun
interest 2016 2016 2016 2017 2017 2017 2016
Silver
Payable metal in concentrate
(troy koz)
Escondida (3) 57.5% 1,874 1,229 1,323 540 1,234 4,326 5,561
Antamina 33.8% 1,558 1,345 1,446 1,301 1,691 5,783 6,711
Olympic Dam (refined
silver) 100% 232 163 188 174 243 768 917
Total 3,664 2,737 2,957 2,015 3,168 10,877 13,189
Uranium
Payable metal in concentrate
(t)
Olympic Dam 100% 876 916 1,060 948 737 3,661 4,363
Total 876 916 1,060 948 737 3,661 4,363
Molybdenum
Payable metal in concentrate
(t)
Antamina 33.8% 562 561 225 30 328 1,144 1,113
Total 562 561 225 30 328 1,144 1,113
12
Production summary
Quarter ended Year to date
BHP Jun Sep Dec Mar Jun Jun Jun
interest 2016 2016 2016 2017 2017 2017 2016
Iron Ore
Iron Ore
Production (kt) (5)
Newman 85% 15,115 18,008 17,751 16,283 16,241 68,283 65,941
Area C Joint Venture 85% 11,911 12,384 12,179 11,165 13,016 48,744 46,799
Yandi Joint Venture 85% 18,325 15,729 17,555 14,656 17,415 65,355 67,375
Jimblebar (6) 85% 5,304 6,057 5,178 4,824 5,891 21,950 18,890
Wheelarra 85% 4,971 5,409 7,386 6,647 7,578 27,020 22,549
Samarco 50% - - - - - - 5,404
Total 55,626 57,587 60,049 53,575 60,141 231,352 226,958
Coal
Metallurgical coal
Production (kt) (7)
BMA 50% 9,225 8,384 8,684 7,996 6,394 31,458 33,413
BHP Mitsui Coal (8) 80% 2,345 2,145 1,929 2,138 2,100 8,312 8,898
Haju (9) 75% 260 102 27 - - 129 529
Total 11,830 10,631 10,640 10,134 8,494 39,899 42,840
Energy coal
Production (kt)
USA 100% 632 451 - - - 451 7,052
Australia 100% 3,991 3,952 3,851 4,662 5,711 18,176 17,101
Colombia 33.3% 2,329 2,928 2,800 2,756 2,475 10,959 10,094
Total 6,952 7,331 6,651 7,418 8,186 29,586 34,247
Other
Nickel
Saleable production
(kt)
Nickel West 100% 23.4 18.8 22.1 19.0 25.2 85.1 80.7
Total 23.4 18.8 22.1 19.0 25.2 85.1 80.7
(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 MMboe.
(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) Shown on a 100% basis. BHP interest in saleable production is 75%.
Throughout this report figures in italics indicate that this figure has been adjusted since it was previously reported.
13
Production and sales report
Quarter ended Year to date
Jun Sep Dec Mar Jun Jun Jun
2016 2016 2016 2017 2017 2017 2016
Petroleum (1)
Bass Strait
Crude oil and condensate (Mboe) 1,745 1,922 1,770 1,355 1,552 6,599 6,825
NGL (Mboe) 1,831 2,102 1,460 1,236 1,661 6,459 6,684
Natural gas (bcf) 38.1 41.9 31.3 28.7 37.4 139.3 131.0
Total petroleum products (MMboe) 9.9 11.0 8.4 7.4 9.4 36.3 35.3
North West Shelf
Crude oil and condensate (Mboe) 925 1,486 1,468 1,239 1,314 5,507 4,834
NGL (Mboe) 241 292 263 200 209 964 962
Natural gas (bcf) 27.6 38.7 36.9 32.2 32.5 140.3 130.2
Total petroleum products (MMboe) 5.8 8.2 7.9 6.8 6.9 29.9 27.5
Pyrenees
Crude oil and condensate (Mboe) 2,097 1,676 1,726 1,509 1,606 6,517 8,617
Total petroleum products (MMboe) 2.1 1.7 1.7 1.5 1.6 6.5 8.6
Other Australia (2)
Crude oil and condensate (Mboe) 9 10 8 8 9 35 39
Natural gas (bcf) 17.2 17.5 17.1 15.2 16.3 66.1 64.4
Total petroleum products (MMboe) 2.9 2.9 2.9 2.5 2.7 11.1 10.8
Atlantis (3)
Crude oil and condensate (Mboe) 4,058 3,054 3,263 3,881 3,637 13,835 16,008
NGL (Mboe) 269 208 207 295 213 923 1,048
Natural gas (bcf) 1.9 1.5 1.6 2.1 1.9 7.1 7.4
Total petroleum products (MMboe) 4.6 3.5 3.7 4.5 4.2 15.9 18.3
Mad Dog (3)
Crude oil and condensate (Mboe) 1,134 950 1,170 1,185 1,167 4,472 3,250
NGL (Mboe) 52 36 52 59 68 215 157
Natural gas (bcf) 0.2 0.1 0.2 0.2 0.2 0.7 0.5
Total petroleum products (MMboe) 1.2 1.0 1.3 1.3 1.3 4.8 3.5
Shenzi (3)
Crude oil and condensate (Mboe) 2,813 2,632 2,692 2,675 2,588 10,587 12,369
NGL (Mboe) 192 94 131 161 179 565 903
Natural gas (bcf) 0.6 0.5 0.5 0.5 0.6 2.1 2.7
Total petroleum products (MMboe) 3.1 2.8 2.9 2.9 2.9 11.5 13.7
Eagle Ford (4)
Crude oil and condensate (Mboe) 4,949 3,871 4,008 5,451 4,278 17,608 26,823
NGL (Mboe) 2,717 2,268 2,159 2,354 2,240 9,021 13,971
Natural gas (bcf) 19.5 16.5 15.2 17.0 15.1 63.8 95.8
Total petroleum products (MMboe) 10.9 8.9 8.7 10.6 9.0 37.3 56.8
Permian (4)
Crude oil and condensate (Mboe) 1,410 1,415 1,378 1,202 1,336 5,331 5,744
NGL (Mboe) 393 734 580 428 646 2,388 1,642
Natural gas (bcf) 4.9 4.4 4.4 4.0 6.2 19.0 14.6
Total petroleum products (MMboe) 2.6 2.9 2.7 2.3 3.0 10.9 9.8
14
Quarter ended Year to date
Jun Sep Dec Mar Jun Jun Jun
2016 2016 2016 2017 2017 2017 2016
Haynesville (4)
Crude oil and condensate (Mboe) - - 3 1 1 5 1
NGL (Mboe) - - 15 3 - 18 -
Natural gas (bcf) 31.1 28.2 24.0 22.0 21.4 95.6 136.6
Total petroleum products (MMboe) 5.2 4.7 4.0 3.7 3.6 16.0 22.8
Fayetteville (4)
Natural gas (bcf) 26.5 24.8 24.2 23.1 24.5 96.6 117.5
Total petroleum products (MMboe) 4.4 4.1 4.0 3.9 4.1 16.1 19.6
15
Production and sales report
Quarter ended Year to date
Jun Sep Dec Mar Jun Jun Jun
2016 2016 2016 2017 2017 2017 2016
Petroleum (1) (continued)
Trinidad/Tobago
Crude oil and condensate (Mboe) 162 140 156 127 139 562 709
Natural gas (bcf) 8.6 6.4 8.4 8.4 9.4 32.6 31.0
Total petroleum products (MMboe) 1.6 1.2 1.6 1.5 1.7 6.0 5.9
Other Americas (3)
(5)
Crude oil and condensate (Mboe) 308 275 269 257 238 1,039 1,363
NGL (Mboe) 10 1 5 6 10 22 50
Natural gas (bcf) 0.2 0.1 0.1 0.1 0.1 0.4 0.8
Total petroleum products (MMboe) 0.4 0.3 0.3 0.3 0.3 1.1 1.5
UK
Crude oil and condensate (Mboe) 76 69 63 72 64 268 274
NGL (Mboe) 10 22 49 32 16 119 43
Natural gas (bcf) 1.3 1.1 1.0 1.0 1.1 4.2 4.3
Total petroleum products (MMboe) 0.3 0.3 0.3 0.3 0.3 1.1 1.0
Algeria
Crude oil and condensate (Mboe) 964 990 1,016 1,072 942 4,020 3,689
Total petroleum products (MMboe) 1.0 1.0 1.0 1.1 0.9 4.0 3.7
Pakistan (6)
Crude oil and condensate (Mboe) - - - - - - 42
Natural gas (bcf) - - - - - - 7.9
Total petroleum products (MMboe) - - - - - - 1.4
BHP Petroleum
Crude oil and condensate
Onshore US (Mboe) 6,359 5,286 5,389 6,654 5,615 22,944 32,568
Conventional (7) (Mboe) 14,291 13,204 13,601 13,380 13,256 53,441 58,011
Total (Mboe) 20,650 18,490 18,990 20,034 18,871 76,385 90,579
NGL
Onshore US (Mboe) 3,110 3,002 2,754 2,785 2,886 11,427 15,613
Conventional (Mboe) 2,605 2,755 2,167 1,989 2,356 9,267 9,847
Total (Mboe) 5,715 5,757 4,921 4,774 5,242 20,694 25,460
Natural gas
Onshore US (bcf) 82.0 73.9 67.8 66.1 67.2 275.0 364.5
Conventional (bcf) 95.7 107.8 97.1 88.4 99.5 392.8 380.2
Total (bcf) 177.7 181.7 164.9 154.5 166.7 667.8 744.7
Total petroleum products
Onshore US (Mboe) 23,136 20,605 19,443 20,456 19,701 80,204 108,931
Conventional (7) (Mboe) 32,846 33,926 31,951 30,102 32,195 128,175 131,225
Total (Mboe) 55,982 54,530 51,394 50,558 51,896 208,379 240,156
16
(1) Total boe conversions are based on 6 bcf of natural gas equals 1 MMboe. Negative production figures represent finalisation adjustments.
(2) Other Australia includes Minerva and Macedon. (3) Gulf of Mexico volumes are net of royalties. (4) Onshore US volumes are net of mineral holder royalties. (5) Other Americas includes Neptune, Genesis and Overriding Royalty Interest. (6) BHP completed the sale of the Pakistan gas business on 31 December 2015.
(7) September 2015 includes (8) Mboe for the finalisation adjustment following the cessation of production at Stybarrow on 26 June 2015.
17
Production and sales report
Quarter ended Year to date
Jun Sep Dec Mar Jun Jun Jun
2016 2016 2016 2017 2017 2017 2016
Copper
Metals production is payable metal unless otherwise stated.
Escondida, Chile (1)
Material mined (kt) 108,037 106,504 90,863 26,045 93,389 316,801 433,274
Sulphide ore milled (kt) 22,905 20,787 19,866 8,054 18,777 67,484 84,989
Average copper grade (%) 0.94% 0.87% 1.02% 1.01% 1.07% 0.99% 0.98%
Production ex mill (kt) 181.7 153.2 168.6 68.7 167.0 557.5 670.0
Production
Payable copper (kt) 182.7 147.0 162.6 67.6 162.4 539.6 648.9
Copper cathode (EW) (kt) 85.3 70.5 71.5 27.2 62.8 232.0 330.3
- Oxide leach (kt) 31.3 26.8 24.4 8.9 20.3 80.4 117.8
- Sulphide leach (kt) 54.0 43.7 47.1 18.3 42.5 151.6 212.5
Total copper (kt) 268.0 217.5 234.1 94.8 225.2 771.6 979.2
(troy
Payable gold concentrate oz) 35,894 27,561 37,784 11,572 33,941 110,858 108,996
(troy
Payable silver concentrate koz) 1,874 1,229 1,323 540 1,234 4,326 5,561
Sales
Payable copper (kt) 186.6 134.9 172.7 63.7 163.3 534.6 649.7
Copper cathode (EW) (kt) 83.8 65.6 71.8 39.4 56.0 232.8 329.0
(troy
Payable gold concentrate oz) 35,894 27,561 37,784 11,572 33,941 110,858 108,996
(troy
Payable silver concentrate koz) 1,874 1,229 1,323 540 1,234 4,326 5,561
(1) Shown on a 100% basis. BHP interest in saleable production
is 57.5%.
Pampa Norte, Chile
Cerro Colorado
Material mined (kt) 12,453 13,011 14,286 15,178 15,760 58,235 53,668
Ore milled (kt) 4,375 3,241 3,342 4,179 4,411 15,173 17,946
Average copper grade (%) 0.80% 0.68% 0.65% 0.57% 0.53% 0.60% 0.77%
Production
Copper cathode (EW) (kt) 24.8 17.1 12.1 16.7 18.8 64.7 77.3
Sales
Copper cathode (EW) (kt) 25.2 16.4 13.7 15.6 19.8 65.5 76.5
Spence
Material mined (kt) 21,124 23,638 22,635 22,939 24,230 93,442 88,188
Ore milled (kt) 4,836 4,713 5,187 5,225 4,968 20,093 19,256
Average copper grade (%) 1.22% 1.17% 1.19% 1.09% 1.13% 1.14% 1.33%
Production
Copper cathode (EW) (kt) 41.0 45.0 41.7 49.4 53.5 189.6 174.1
Sales
Copper cathode (EW) (kt) 40.9 41.2 41.5 49.0 55.7 187.4 173.6
18
Production and sales report
Quarter ended Year to date
Jun Sep Dec Mar Jun Jun Jun
2016 2016 2016 2017 2017 2017 2016
Copper (continued)
Metals production is payable metal unless otherwise stated.
Antamina, Peru
Material mined (100%) (kt) 62,793 65,111 61,355 55,771 62,254 244,491 226,899
Sulphide ore milled
(100%) (kt) 14,711 13,522 13,399 11,955 13,229 52,105 55,609
Average head grades
- Copper (%) 0.90% 0.84% 0.84% 0.88% 1.00% 0.89% 0.93%
- Zinc (%) 0.33% 0.60% 0.83% 0.84% 0.95% 0.80% 0.55%
Production
Payable copper (kt) 38.7 34.1 32.0 29.2 38.5 133.8 146.4
Payable zinc (t) 6,474 15,367 22,406 20,653 29,076 87,502 55,438
(troy
Payable silver koz) 1,558 1,345 1,446 1,301 1,691 5,783 6,711
Payable lead (t) 645 1,146 1,220 1,308 1,799 5,473 3,719
Payable molybdenum (t) 562 561 225 30 328 1,144 1,113
Sales
Payable copper (kt) 42.4 32.8 33.0 30.2 36.9 132.9 145.4
Payable zinc (t) 3,035 16,043 22,334 23,669 27,936 89,982 54,302
(troy
Payable silver koz) 2,055 1,277 1,388 1,304 1,513 5,482 6,956
Payable lead (t) 1,108 767 1,100 1,475 1,493 4,835 3,503
Payable molybdenum (t) 331 648 476 - - 1,124 803
Olympic Dam, Australia
Material mined (1) (kt) 1,993 2,204 1,887 1,943 1,974 8,008 8,932
Ore milled (kt) 2,031 2,279 2,116 2,112 2,097 8,604 9,699
Average copper grade (%) 2.20% 1.97% 2.00% 2.07% 2.30% 2.08% 2.01%
Average uranium grade (kg/t) 0.59 0.60 0.68 0.61 0.58 0.62 0.61
Production
Copper cathode (ER and
EW) (kt) 40.7 40.9 37.2 36.8 51.4 166.3 202.8
Uranium oxide
concentrate (t) 876 916 1,060 948 737 3,661 4,363
(troy
Refined gold oz) 20,010 24,366 29,651 21,941 28,188 104,146 117,686
(troy
Refined silver koz) 232 163 188 174 243 768 917
Sales
Copper cathode (ER and
EW) (kt) 43.9 37.5 41.2 33.5 51.5 163.7 203.1
Uranium oxide
concentrate (t) 778 1,085 883 839 1,298 4,105 3,729
(troy
Refined gold oz) 22,134 21,901 28,234 22,333 24,726 97,194 118,952
(troy
Refined silver koz) 201 184 203 108 251 746 877
(1) Material mined refers to run of mine ore mined and hoisted.
19
Production and sales report
Quarter ended Year to date
Jun Sep Dec Mar Jun Jun Jun
2016 2016 2016 2017 2017 2017 2016
Iron Ore
Iron ore production and sales are reported on a wet tonnes basis.
Pilbara, Australia
Production
Newman (kt) 15,115 18,008 17,751 16,283 16,241 68,283 65,941
Area C Joint Venture (kt) 11,911 12,384 12,179 11,165 13,016 48,744 46,799
Yandi Joint Venture (kt) 18,325 15,729 17,555 14,656 17,415 65,355 67,375
Jimblebar (1) (kt) 5,304 6,057 5,178 4,824 5,891 21,950 18,890
Wheelarra (kt) 4,971 5,409 7,386 6,647 7,578 27,020 22,549
Total production (kt) 55,626 57,587 60,049 53,575 60,141 231,352 221,554
Total production
(100%) (kt) 64,508 66,681 69,730 62,177 69,714 268,302 257,320
Sales
Lump (kt) 13,054 14,156 14,127 12,804 15,104 56,191 54,323
Fines (kt) 42,673 42,278 45,447 41,043 46,249 175,017 167,255
Total (kt) 55,727 56,434 59,574 53,847 61,353 231,208 221,578
Total sales (100%) (kt) 64,617 65,368 69,196 62,513 71,149 268,226 257,346
(1) Shown on a 100% basis. BHP interest in saleable production
is 85%.
Samarco, Brazil
(1)
Production (kt) - - - - - - 5,404
Sales (kt) 94 12 - 35 - 47 6,274
(1) Mining and processing operations remain suspended following the failure of the Fundão tailings dam and Santarém water dam on 5 November 2015.
20
Production and sales report
Quarter ended Year to date
Jun Sep Dec Mar Jun Jun Jun
2016 2016 2016 2017 2017 2017 2016
Coal
Coal production is reported on the basis of saleable product.
Queensland Coal
Production (1)
BMA
Blackwater (kt) 2,206 1,981 1,855 1,694 1,766 7,296 7,626
Goonyella (kt) 2,709 2,123 2,204 1,871 1,157 7,355 8,996
Peak Downs (kt) 1,385 1,520 1,715 1,582 1,238 6,055 5,031
Saraji (kt) 1,123 1,238 1,307 1,276 913 4,734 4,206
Gregory Joint Venture
(2) (kt) - - - - - - 1,329
Daunia (kt) 684 646 680 674 560 2,560 2,624
Caval Ridge (kt) 1,118 876 923 899 760 3,458 3,601
Total BMA (kt) 9,225 8,384 8,684 7,996 6,394 31,458 33,413
BHP Mitsui Coal (3)
South Walker Creek (kt) 1,382 1,341 1,080 1,354 1,348 5,123 5,436
Poitrel (kt) 963 804 849 784 752 3,189 3,462
Total BHP Mitsui Coal (kt) 2,345 2,145 1,929 2,138 2,100 8,312 8,898
Total Queensland Coal (kt) 11,570 10,529 10,613 10,134 8,494 39,770 42,311
Sales
Coking coal (kt) 8,059 7,240 7,658 7,133 5,496 27,527 30,064
Weak coking coal (kt) 3,196 2,799 2,659 2,761 2,502 10,721 11,818
Thermal coal (kt) 310 206 154 96 142 598 927
Total (kt) 11,565 10,245 10,471 9,990 8,140 38,846 42,809
(1) Production figures include some thermal coal.
(2) Longwall mining at Crinum completed during the December 2015 quarter.
(3) Shown on a 100% basis. BHP interest in saleable production is 80%.
Haju, Indonesia (1)
Production (kt) 260 102 27 --129 529
Sales - export (kt) 239 117 - --117 239
(1) Shown on 100% basis. BHP interest in saleable production is 75%. BHP completed the sale of IndoMet Coal on 14 October 2016.
21
New Mexico, USA
Production
Navajo Coal (1) (kt) 632 451 - - - 451 3,999
San Juan Coal (2) (kt) - - - - - - 3,053
Total (kt) 632 451 - - - 451 7,052
Sales thermal coal -
local utility 613 105 - - - 105 7,051
(1) The divestment of Navajo Coal was completed on 29 July 2016, with no further production reported by BHP. Management of Navajo Coal was transferred to Navajo Transitional Energy Company on 31 December 2016.
(2) BHP completed the sale of San Juan Mine on 31 January 2016.
NSW Energy Coal, Australia
Production (kt) 3,991 3,952 3,851 4,662 5,711 18,176 17,101
Sales
Export thermal coal (kt) 3,993 3,640 3,539 4,407 4,913 16,499 16,614
Inland thermal coal (kt) 440 331 311 431 327 1,400 1,156
Total (kt) 4,433 3,971 3,850 4,838 5,240 17,899 17,770
Cerrejón, Colombia
Production (kt) 2,329 2,928 2,800 2,756 2,475 10,959 10,094
Sales thermal coal -
export (kt) 2,844 2,905 2,722 2,613 2,803 11,043 10,601
Production and sales report
Quarter ended Year to date
Jun Sep Dec Mar Jun Jun Jun
2016 2016 2016 2017 2017 2017 2016
Other
Nickel production is reported
on the basis of saleable product
Nickel West, Australia
Production
Nickel contained in concentrate (kt) 0.3 0.3 0.2 0.2 - 0.7 1.5
Nickel contained in finished
matte (kt) 5.8 1.8 4.1 2.3 5.3 13.5 16.2
Nickel metal (kt) 17.3 16.7 17.8 16.5 19.9 70.9 63.0
Total nickel production (kt) 23.4 18.8 22.1 19.0 25.2 85.1 80.7
Sales
Nickel contained in concentrate (kt) 0.3 0.3 0.2 0.2 - 0.7 1.5
Nickel contained in finished
matte (kt) 5.9 1.8 4.1 2.2 4.9 13.0 16.5
Nickel metal (kt) 17.4 16.5 17.6 17.1 18.1 69.3 62.9
Total nickel sales (kt) 23.6 18.6 21.9 19.5 23.0 83.0 80.9
22
This information is provided by RNS
The company news service from the London Stock Exchange
END
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July 19, 2017 02:00 ET (06:00 GMT)
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