Tag: BHP

BHP Billiton has confirmed that it plans to ask shareholders at its UK and Australian annual meetings to remove the word “Billiton” from its name, around 17 years after taking over Billiton Plc and becoming the world’s biggest mining company.

BHP has made another attempt to put its foot on one of the most prospective copper-gold deposits in the world unveiling a deal that will see it acquire a 6.1% stake in the SolGold project in Ecuador.

Mixed reviews of BHP’s 2017-18 result. Net earnings were light on compared to forecasts, some provisions were higher, but the final dividend is a record 63 US cents a share.

BHP shares traded at a four-year high on the last day of July, reaching a day’s high of $34.98 before closing at $34.86 – the highest the shares have been since August 2014, just as global oil prices were starting their big slide.

BHP has confirmed that it has sold its troubled US onshore oil and gas interests for nearly $US11 billion (more than $A14 billion), ending a loss riddled few years of wasted capital.

BHP saved the market from a weakish day after surprising with an upbeat set of numbers for its production and sales effort for the June quarter and 2017-18, and a forecast for more of the same in the coming year.

According to weekend media reports BHP is on the verge of getting rid of its costly US shale gas and oil headache with global major, BP emerging as the front runner to buy the unwanted assets in one go.

Brazil’s Vale and Anglo-Australian BHP Billiton, the owners of the Samarco iron ore mine in Brazil, say they have reached a framework agreement with Brazilian federal and state prosecutors to negotiate a settlement of a lawsuit worth billions over the disaster at the mine which resulted in the death of 19 people in 2015 and the polluting more than 400 miles of waterways.

BHP has given the greenlight to the expansion of an existing iron ore mine in the Pilbara – the second project from a big miner in the region in the past month or so.

BHP reckons its still on track to get rid of its unwanted oil and gas onshore shale assets in the US by the end of 2018.

BHP shares leapt more than 2.8% yesterday despite the company trimming its iron ore production forecasts for 2017-18 by around 2 million tonnes due to unplanned maintenance and disruption from a cyclone early in the three months to March.

BHP Billiton, the world’s largest listed mining company, has followed through with its threat to leave the World Coal Association because of a disagreement on climate policy.

BHP shareholders will get their cut from the company’s surge in interim profit with the world’s biggest miner revealing 38% lift in half year payout to 55 cents a US cents a share, from 40 cents a share paid for the same period in 2016-17.

BHP is forecasting stronger operating performance in the second half of 2017-18 after turning in what could be described a solid effort in the three and six months to December, except in its key coking coal business in Queensland where production is down, costs certain to rise which could impact earnings.

BHP’s looming sale of its unwanted US shale oil and gas assets will be made into a market place in 2018 that looks tougher than this year, although prices for oil and gas in America could see small gains.

Several times in the past couple of months we have brought your stories about BHP Billiton’s gathering enthusiasm for copper, and its lack of interest in nickel.

Nickel prices may have rebounded nicely this year, but not to many of the world’s big miners are long term holders – certainly BHP Billiton and its big Brazilian rival, Vale, are trying to reduce to exit their involvement in the metal, whose major source of demand is still for stainless steel.

China’s demand, iron ore prices, copper, energy investment, and climate changes were not the most important outcomes from the Australian shareholders’ annual meeting of BHP yesterday.

Reuters reported last week that Arnoud Balhuizen, chief commercial officer at BHP, has said that while 2017 marks a “tipping point” for electric vehicles (in that they have entered the mainstream of metals demand forecasting), in terms of sales, however, the mass move is further off as hybrids and conventional cars stay on the roads for a transition period.

BHP is on the hunt for its next big copper project as a combination of renewables and electric cars boosts demand for key industrial metals like copper, nickel, and less known metals such as lithium and cobalt. Even zinc and lead are getting a boost from demand for batteries of all types.

Shares in BHP Billiton recovered from an early fall yesterday in the wake of the release of the company’s latest production and sales report which revealed a small fall in iron ore output in the three months to September, but a sharp, 14% jump in copper production.

After spending a lot of effort defending its continuing multi-billion dollar investment in the Canadian potash industry, there was news at the weekend that perhaps BHP Billiton isn’t as wedded to total control as it has been making out.

BHP wants to get rid of its controversial US oil and gas shale assets and will do so in the coming year – mind you the pressure from US vulture fund, Elliott Management had little to do with the decision, did it?

BHP Billiton has boosted payout to shareholders by $US1 billion more than it need under its current policy after boosting net profit to $US5.89 billion in the year to June from a loss of $US6.385 billion the year before.

BHP Billiton has made its third big investment decision to expand and extend the life of a major hard rock mining asset in a month. The company revealed last night that it will spend $US2.46 billion on extending the life of a copper mine in Chile by 50 years.

A week before BHP Billiton releases what is expected to be a big rise in annual profit and a higher dividend, US hedge fund Elliott Management says it has raised its stake in BHP Billiton to 5% – but the reason for the rise is unknown except that it generated some publicity yesterday.

Very quietly, BHP has boosted its spending over the next year on its revamp of its huge Olympic Dam mining operations in South Australia to more than $10 million a week.

BHP is looking for a significant surge in earnings (and dividends) for the June 30 year after turning in a June quarter and full year production report that was surprisingly stronger than expected.

BHP reports its 2016-17 production and sales data in less than two weeks and the full year financial results a month later, but one thing you will hear more of is the looming decision on a new multi-billion dollar iron ore mine in the WA Pilbara region that replace its veteran Yandi operation in around 8 years time.

BHP has chosen former Amcor CEO, Ken MacKenzie to succeed Jac Nasser as Chairman from later this year.

Believe it not BHP is looking to invest more in its underperforming West Australian nickel project at Mount Keith.

This is the story many in the business media and the investment industry won’t tell you – but that attack on BHP from a US hedge fund and private equity group has collapsed as it has been forced to significantly recast its ideas.

As expected (especially after Rio Tinto’s ((RIO)) first quarter production report a week ago), BHP Billiton (BHP) has reported a 20% drop in copper production for the quarter and the nine months to the end of March and cut its full-year production guidance by around 18% due to industrial action at its Escondida mine in northern Chile.

BHP Billiton has again dismissed a wide-ranging proposal by shareholder Elliott Advisors to overhaul its corporate strategy and sell off oil interests, saying the measures would not benefit the firm.

Elliott Advisors is all upset that BHP Billiton (BHP) rejected the plan to end the dual company structure, but keep the separate listings in London and Australia and to spin off and float the company’s petroleum business on the New York Stock Exchange.

BHP Billiton (BHP) shares bolted higher yesterday (taking the wider market up by nearly three quarters of a per cent) after a hedge fund released a letter it had sent to the board urging the company to spin off some of its petroleum business and list it on stockmarket.