BHP ready to seize virus-driven opportunities [IMG] Angela...

BHP ready to seize virus-driven opportunities

Angela Macdonald-SmithSenior Resources Writer
Mar 10, 2020 — 12.20pm
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BHP chairman Ken MacKenzie says the mining major is ready to pounce on acquisition opportunities that may arise from the turmoil in world markets because of coronavirus and the plunge in oil prices.
Mr MacKenzie signalled that the work by BHP to strengthen its balance sheet over the last three years means the group has the financial firepower to go after acquisitions if they emerge in a prolonged downturn.
"We have engineered the business so that if the bottom of the cycle goes on for multiple years that we still have a business not only capable of surviving but actually of thriving actively," Mr MacKenzie told The Australian Financial Review Business Summit in Sydney.
"I'm not sure if there will be any opportunities that come from this, but if there are we're actually in a position to act."

BHP chairman Ken MacKenzie says COVID-19 may throw up acquisition opportunities. Peter Braig
Mr MacKenzie said that while BHP hadn't forecast a global health pandemic, "what we do know in the company is that value is created at the bottom of the cycle", particularly in the resources sector that has a track record of investing in line with cycles.