BHP has reported a 5 per cent lift in production across its steelmaking coal sites in the Bowen Basin in FY25, despite geotechnical challenges at Broadmeadow and heavy wet weather.
That figure – contained in BHP’s operational review for the year ended June 30 – takes the divested Blackwater and Daunia assets out of the equation, with the operations remaining under the BHP Mitsubishi Alliance (BMA) producing about 36Mt of coal for the year.
The company said its raw coal inventory levels increased 12 per cent.
Main image: BMA Saraji coal mine
The strong performance was underpinned by improved truck productivity, with increased production across all open cut mines, BHP said.
BHP Mitsubishi Alliance-owned mines include Goonyella Riverside, Broadmeadow, Peak Downs, Saraji and Caval Ridge.
‘Our focus on rebuilding raw coal inventory enabled us to stabilise operating performance across the asset and increase production despite the geotechnical challenges at Broadmeadow and a 36 per cent year-on-year increase in rainfall,’ the report stated.
‘Production guidance for FY26 is expected to increase to between 18 and 20 Mt (36 and 40 Mt on a 100 per cent basis), weighted to the second half. We expect the inventory rebuild to continue into CY27.’
On the downside, the average realised price for the group’s steelmaking coal dropped 27 per cent, from $US266.06/t in the previous year to $US193.82/t in FY25.
It came as the BHP’s WA iron ore operations set multiple records, including for full-year production. BHP also produced a record 2 million tonnes of copper across the group for the year ended June 30.
“In Chile, Escondida achieved its highest production in 17 years, and Spence delivered record production,” BHP chief executive officer Mike Henry said.
“In Australia, Copper SA finished the year strongly with copper production records in June and for the final three months of the year.”
Mr Henry said BHP’s bumper iron ore and copper production demonstrated the strength and resilience of the business and underpinned its ability to deliver growth and returns to shareholders amid global volatility and uncertainty.