Ann: Quarterly Activities Report, page-11

BHP much hyped Ni production increase fizzled out and it wont get any better & will likely go lower.

Their offtakes signed with Tesla and Ford are dead in the water and unfulfillable on that current production of 80ktpa, Tesla alone was supposed to be an extra 35ktpa but got nowhere near this.
BHP are in breach of several Ni supply contracts looks like with no capacity to complete at all or boost production in years to come.
They cant even keep to the prior production levels ie revised guidance and finished in line with the lower end of original guidance.

And soon BHPs Kambalda mill goes fallow as MCR is in breach of its offtake terms with BHP with low spec ore and AF its new owner likely to pull out and warehouse MCR assets like he did with all the others like Noront.
BHP now reliant on the low grade UG Mt Keith which Black Swan surpasses in grade (0.6 v 0.72%) and surface pit level (250m v 70m) and location (350km to Kalg v 50km to Kalg).

So the Ni guidance & actual production for BHP may get even worse & their Nickel West unit is in serious strife and their much vaunted $1B upgrades of its Kwinana refinery lies unused on current levels.
BHP now started cashburning $2B on OZL nullabor black hole for next 10 years with no Ni production in sight for 6-10 years after blowing $11B on buying black hole OZL.

If BHP cant meet prior targets on Ni production why is it signing offtake supply with car manufacturers if it cant meet any of those supply targets at all.
NUTS.

BHP would love to get their hands on some low impurity quality ore near term produceable.


https://w w w . k i t c o . c o m / n e ws/2023-07-20/Mining-giant-BHP-increases-copper-and-iron-ore-production-in-fiscal-2023-achieves-annual-guidance.html

"The company’s nickel production increased by 4% to 80 kt (from 2022) due to an increased proportion of concentrate and matte products and inventory drawdowns. Nickel production is expected to be between 77 and 87 kt for the 2024 financial year (same as this year). According to a company press release, FY23 production guidance was achieved for copper, iron ore, metallurgical coal and energy coal, while nickel achieved revised guidance and finished in line with the lower end of original guidance.
BHP also reported that its minerals exploration and evaluation expenditure increased by 37% for the year ended 30 June 2023 to US$350 million, of which US$294 million was expensed."