News: BHP BHP Group Posts FY Underlying Attributable Profit From Continuing Operations $21,319...

Aug 16 (Reuters) - BHP Group Ltd (BHP) :

• FY UNDERLYING ATTRIBUTABLE PROFIT FROM CONTINUING OPERATIONS $21,319 MILLION VERSUS $16,985 MILLION
• POPULATION GROWTH, INFRASTRUCTURE REQUIRED FOR DECARBONISATION AND RISING LIVING STANDARDS ARE ALL EXPECTED TO DRIVE DEMAND FOR STEEL
• FY ATTRIBUTABLE PROFIT $30,900 MILLION VERSUS $11,304 MILLION REPORTED LAST YEAR
• IN NEAR TERM, BHP'S OPERATING ENVIRONMENT IS EXPECTED TO REMAIN VOLATILE
• ANNOUNCES FINAL DIVIDEND OF $1.75 PER SHARE
• LAG EFFECT OF INFLATION, AS WELL AS LABOUR MARKET TIGHTNESS IS EXPECTED TO IMPACT OUR COST BASE THROUGHOUT 2023 FINANCIAL YEAR
• MARGINAL COST OF PRODUCTION IS NOW ESTIMATED TO BE MARKEDLY HIGHER THAN IT WAS PRIOR TO COVID-19 PANDEMIC
• RAMP-UP OF SOUTH FLANK IS AHEAD OF SCHEDULE AND WE HAVE REVISED OUR MEDIUM-TERM PRODUCTION GUIDANCE TO MORE THAN 300 MTPA
• NEAR-TERM FOCUS ON SUSTAINABLE ACHIEVEMENT OF 290 MTPA OF IRON ORE, AND CURRENT MEDIUM-TERM PLAN IS TO CREEP PRODUCTION TO GREATER THAN 300 MTPA
• PRONOUNCED US DOLLAR STRENGTH PROVIDING A PARTIAL OFFSET FOR LOCAL CURRENCY COST INFLATION IN OUR MAJOR OPERATING JURISDICTIONS
• IN 2023 FINANCIAL YEAR, ASSESSING EXPANSION ALTERNATIVES TO TAKE US TOWARD 330 MTPA OF PRODUCTION AT SOUTH FLANK
• WILL NO LONGER PROVIDE PRODUCTION GUIDANCE FOR CERREJÓN REFLECTING THE ANNOUNCED DIVESTMENT OF INTEREST IN JUNE 2021
• EXPECT CHINA TO EMERGE AS A SOURCE OF STABILITY FOR COMMODITY DEMAND IN YEAR AHEAD
• EXPECT TO SEE SLOWDOWN IN ADVANCED ECONOMIES AS MONETARY POLICY TIGHTENS, AS WELL AS ONGOING GEOPOLITICAL UNCERTAINTY AND INFLATIONARY PRESSURES
• DIRECT AND INDIRECT IMPACTS OF EUROPE'S ENERGY CRISIS ARE A PARTICULAR POINT OF CONCERN.
• FIRST PRODUCTION FROM MAD DOG PHASE 2 IS EXPECTED IN THE MIDDLE OF THE 2022 CALENDAR YEAR
• JANSEN POTASH (CANADA) PROJECT EXPECTED TO BE FINALISED IN CY22
• CAPITAL AND EXPLORATION EXPENDITURE OF US$7.6 BILLION AND US$9.0 BILLION ARE EXPECTED FOR 2023 AND 2024 FINANCIAL YEARS
• IN MEDIUM TERM, CAPITAL AND EXPLORATION EXPENDITURE OF US$10 BILLION PER ANNUM ON AVERAGE IS EXPECTED
• AT END OF 2022 FINANCIAL YEAR, JANSEN STAGE 1 PROJECT IS TRACKING TO PLAN
• WORKING TO BRING FORWARD JANSEN STAGE 1 FIRST PRODUCTION INTO 2026 AND ASSESSING OPTIONS TO ACCELERATE JANSEN STAGE 2
• FOR 2023 FINANCIAL YEAR, APPROXIMATELY US$740 MILLION IN CAPITAL EXPENDITURE IS PLANNED FOR WORK AT JANSEN STAGE 1
• ROW STEEL MARKETS ARE EXPECTED TO REMAIN UNDER PRESSURE IN 2023 FINANCIAL YEAR AS MACROECONOMIC CLIMATE SOFTENS
• IN LIGHT OF QUEENSLAND ROYALTY ANNOUNCEMENT, BMA IS REASSESSING FUTURE INVESTMENT DECISIONS
• CAPITAL EXPENDITURE ON OPERATIONAL DECARBONISATION IS EXPECTED TO BE AROUND US$4 BILLION IN AGGREGATE UNTIL 2030 FINANCIAL YEAR
• WESTERN AUSTRALIA IRON ORE EXPECTED TO SUSTAINABLY ACHIEVE SUPPLY CHAIN CAPACITY OF 290 MTPA OVER THE MEDIUM-TERM
• AT WAIO WE HAVE REVISED MEDIUM-TERM PRODUCTION GUIDANCE TO GREATER THAN 300 MTPA AND WE ARE ASSESSING 330 MTPA EXPANSION ALTERNATIVES
• IN EXPLORATION, CONTINUE TO ADVANCE COPPER TARGETS IN NUMBER OF COUNTRIES AS WELL AS OUR NICKEL EXPLORATION PROGRAMS IN CANADA &AUSTRALIA
• IN MEDIUM TERM, CHINA’S DEMAND FOR IRON ORE EXPECTED TO BE LOWER THAN IT IS TODAY AS CRUDE STEEL PRODUCTION PLATEAUS
• UNIT COSTS IN THE 2023 FINANCIAL YEAR ARE EXPECTED TO BE BETWEEN US$90 AND US$100 PER TONNE FOR COAL
• AT FY-END, NET DEBT AT US$0.3 BILLION
• IN LONG TERM, IRON ORE PRICES ARE EXPECTED TO BE DETERMINED BY HIGH-COST PRODUCTION, ON VALUE-IN-USE ADJUSTED BASIS, FROM AUSTRALIA OR BRAZIL
• LONGER TERM, TOTAL PRIMARY ENERGY DERIVED FROM COAL (POWER AND NON-POWER) EXPECTED TO BE CHALLENGED
• WILL BE REVIEWING NET DEBT TARGET
• CONTINUE TO ASSESS AND ADD TO OUR OPTIONS IN COPPER AND NICKEL
• LONGER TERM, TRADITIONAL END-USE COPPER DEMAND IS EXPECTED TO BE SOLID, WHILE ELECTRIFICATION MEGA-TREND OFFERS ATTRACTIVE UPSIDE
• BELIEVE NICKEL WILL BE CORE BENEFICIARY OF ELECTRIFICATION MEGA-TREND AND THAT NICKEL SULPHIDES WILL BE PARTICULARLY ATTRACTIVE
• LOOKING AHEAD, KEY NEAR-TERM UNCERTAINTIES ARE PACE OF STEEL END-USE DEMAND RECOVERY IN CHINA
• LONGER TERM, POTASH STANDS TO BENEFIT FROM INTERSECTION OF NUMEROUS GLOBAL MEGATRENDS SUCH AS RISING POPULATION, CHANGING DIETS