BHP (ASX: BHP) has shrugged off a tough operating environment to post record nine-month production of both copper and iron ore, proving once again why it’s considered a heavyweight in global mining.
For the nine months to 31 March 2025, copper output hit a record 1.5 million tonnes—up 10% on last year—driven by a standout 20% lift at Escondida in Chile and solid results from its South Australian and Spence assets. Iron ore also set a new nine-month record at 193 million tonnes, up 1%, as the WA operations continued to fire on all cylinders despite weather disruptions.
CEO Mike Henry called out the company’s resilience, saying the business is “poised to benefit from a flight to quality” amid global volatility, thanks to its tier-one assets and strong margins.
Highlights from the quarter
- Copper strength: Escondida led the charge with a 20% boost in output, driven by higher grades and throughput. BHP now expects production there to hit the upper half of FY25 guidance (1,180–1,300 kt).
- WA Iron Ore keeps delivering: WAIO operations continued to outperform, with record shipments from the Central Pilbara hub despite impacts from Tropical Cyclone Zelia and Storm Sean.
- Steelmaking coal recovers: Even with Queensland’s wettest season in over a decade, BHP’s BMA coal operations grew 5% over the nine months. However, full-year output won’t hit the upper guidance range due to weather and geotechnical issues.
- Potash and copper growth pipeline: Development at the Jansen potash project in Canada is advancing, with Stage 1 now 66% complete. The company also flagged growth opportunities across its copper assets, including a medium-term bump of 400kt expected from Escondida expansions.
Guidance and challenges
BHP remains on track to hit or exceed guidance across most key commodities—copper, iron ore, and energy coal—with the exception of steelmaking coal, where costs are also expected to rise. Nickel is the notable outlier, with production down 49% year-on-year and no guidance provided after operations entered temporary suspension earlier this year.
The miner also continues to push its ESG agenda, achieving 40% female representation globally and maintaining momentum on its decarbonisation targets, although it acknowledged some delays in technology for diesel displacement.
Bottom line: Despite macro headwinds and some weather curveballs, BHP’s operational strength continues to shine. With production humming along at key assets and major growth projects well underway, the mining giant is in a strong position heading into the final stretch of FY25.
