BHP in 'great shape' after record production at some mines

BHP said it was in "great shape" after the miner achieved record production at iron ore, coal, and copper and gold assets during the last financial year.

The FTSE 100 company achieved its guidance for copper, iron ore, metallurgical coal and nickel and revised guidance for energy coal in the year to the end of June. Petroleum guidance was slightly above guidance, BHP said in an update.

BHP said it achieved record production at Western Australia Iron Ore (WAIO) and of metallurgical coal at the Goonyella facility. BHP's Olympic Dam mine had the highest copper production since it was acquired in 2005 and record gold production.

The Escondida copper mine's production dropped 10% as record concentrator throughput was more than offset by the impact of expected lower concentrator feed grade and lower cathode production.

Mike Henry, BHP's chief executive, said: "BHP safely delivered another year of excellent operational performance and its second consecutive financial year with zero fatalities at our operated assets. BHP is in great shape. Our operations are performing well, we continue our track record of disciplined capital allocation, and our portfolio is positively leveraged to the megatrends of decarbonisation, electrification and population growth."

BHP achieved cost guidance at WAIO, Escondida and Queensland Coal. Petroleum unit costs are expected to be slightly better than guidance and costs at New South Wales Energy Coal are likely to be marginally more than expected.