News: BHP BHP Group Announces Interim Dividend Of 72 US Cents Per Share

Feb 20 (Reuters) - BHP Group Ltd (BHP) :

• ANNOUNCES INTERIM DIVIDEND OF 72 US CENTS PER SHARE
• HY PROFIT AFTER TAX ATTRIBUTABLE $927 MILLION VERSUS $6,457 MILLION REPORTED YEAR AGO
• BHP’S EXTERNAL OPERATING ENVIRONMENT IN CY23 WAS RELATIVELY VOLATILE
• HY UNDERLYING ATTRIBUTABLE PROFIT $6.6 BILLION
• CHINA AND INDIA EXPECTED TO REMAIN RELATIVE SOURCES OF STABILITY FOR COMMODITY DEMAND, AS THEY HAVE BEEN OVER LAST 12 MONTHS
• BHP GROUP SEES CAPITAL AND EXPLORATION EXPENDITURE FOR FY24 AND FY25, $10 BN PER ANNUM
• BHP GROUP SEES CAPITAL AND EXPLORATION EXPENDITURE IN THE MEDIUM TERM, US$11 BN PER ANNUM ON AVERAGE
• HY REVENUE $27,232 MILLION
• IN CANADA, SANCTIONED JANSEN STAGE 2
• NET DEBT INCREASED BY US$1.5 BN TO US$12.6 BN FROM 30 JUNE 2023 IN HY
• ON COST FRONT, EXPECT LAGGED IMPACTS FROM INFLATION PEAK IN FY23, CONTINUED LABOUR MARKET TIGHTNESS, TO IMPACT COST BASE THROUGHOUT REMAINDER FY24
• LONG TERM, MEGA-TRENDS PLAYING OUT IN WORLD CONTINUE TO UNDERLINE OUR CONFIDENCE IN FUTURE DEMAND FOR STEEL
• SEEN VOLATILITY IN GLOBAL COMMODITY PRICES AND DEMAND IN DEVELOPED WORLD HAS BEEN SOFTER THAN EXPECTED
• AT WAIO, FOCUSED ON INCREASING PRODUCTION TO GREATER THAN 305 MTPA OVER MEDIUM TERM
• CHINA DEMAND IS HEALTHY DESPITE WEAKNESS IN HOUSING AND INDIA REMAINS A BRIGHT SPOT
• IN BRAZIL, SAMARCO IS RAMPING UP PRODUCTION AND SUPPORTING THE LOCAL COMMUNITY
• IN AUSTRALIA, MINING INDUSTRY IS FACING NEAR-TERM HEADWINDS IN DEVELOPING RESOURCES
• STUDYING OPTIONS FOR GROWTH OF WAIO BUSINESS UP TO 330 MTPA AND EXPECT TO COMPLETE THESE STUDIES IN CY25
• DEMAND PICTURE MORE BALANCED IN INDIA SUPPORTED BY INCREASING CAPITAL INVESTMENT, & COMMODITY DEMAND HAS BEEN ACCORDINGLY ROBUST
• OVERALL, THE COST OF MINING PRODUCTION CONTINUES TO BE HIGHER THAN IT WAS PRIOR TO THE PANDEMIC
• BHP GROUP SEES FY24 IRON ORE PRODUCTION 254 – 264.5 MT
• ASSESSING OUR PLANS FOR WESTERN AUSTRALIA NICKEL
• CONTINUE TO EXPECT SOME LAGGED EFFECT OF NON-LABOUR INFLATION TO IMPACT THE BUSINESS IN THE BALANCE OF FY24 AND INTO FY25
• LOOKING AT LONGER-TERM FUTURE OF WESTERN AUSTRALIA NICKEL, INCLUDING POTENTIALLY ENTERING A PERIOD OF CARE AND MAINTENANCE AT NICKEL WEST
• ASSESSING PHASING AND CAPITAL SPEND FOR DEVELOPMENT OF WEST MUSGRAVE PROJECT
• LONGER TERM, WE CONTINUE TO BELIEVE NICKEL WILL BE A CORE BENEFICIARY OF ELECTRIFICATION MEGA-TREND
• DIRECT, INDIRECT IMPACT OF CURRENT EVENTS IN RED SEA NOT EXPECTED TO ALTER DOWNWARD TREND IN GLOBAL INFLATION
• NICKEL INDUSTRY IS EXPECTED TO EXPERIENCE A DIFFICULT MULTI-YEAR RUN
• SOUTH FLANK REMAINS ON TRACK TO RAMP UP TO FULL PRODUCTION CAPACITY OF 80 MTPA (100% BASIS) BY END OF FY24
• DEPLOYMENT OF AUTONOMOUS HAULAGE EXPECTED TO BEGIN IN ESCONDIDA NORTE PIT IN H2 FY24
• ESCONDIDA IS ASSESSING MULTIPLE OPTIONS TO OFFSET THE IMPACT OF LOWER CONCENTRATOR FEED GRADE, WHICH IS EXPECTED FROM FY27
• ESCONDIDA EVALUATING TRANSITIONING FLEET OF 160 CONVENTIONAL HAUL TRUCKS TO AUTONOMOUS OPERATIONS OVER NEXT DECADE
• IN PERU, ANTAMINA HAS RECEIVED ENVIRONMENTAL APPROVAL TO EXTEND OPERATIONS FROM 2028 UNTIL 2036
• EXISTING POTASH OPERATIONS IN RUSSIA AND BELARUS ARE NOW BACK TO AROUND FOUR-FIFTHS OF PRE-SHOCK CAPACITY
• JS1 IS NOW 38% COMPLETE AND ON TRACK TO DELIVER FIRST PRODUCTION AT END OF CY26
• CONSTRUCTION OF JS2 IS EXPECTED TO COMMENCE IN Q4 FY24 WITH FIRST PRODUCTION EXPECTED IN FY29
• IN NEAR TERM SEES BROAD-BASED END-USER DEMAND GROWTH IN CHINA OF COPPER TO CONTINUE, AT A SOMEWHAT SLOWER PACE THAN 6% YOY RATE IN CY23