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As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 10/05/22 BHP Group Ltd. 6-K 10/05/22 1:8M Donnelley … Solutions/FA |
Document/Exhibit Description Pages Size
1: 6-K Current, Quarterly or Annual Report by a Foreign HTML 42K
Issuer
| Form 6-K |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
BHP GROUP LIMITED
(ABN 49 004 028 077)
(Exact name of Registrant as specified in its charter)
VICTORIA, AUSTRALIA
(Jurisdiction of incorporation or organisation)
171 COLLINS STREET, MELBOURNE, VICTORIA 3000 AUSTRALIA
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F: ☒ Form 20-F ☐ Form 40-F
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934: ☐ Yes ☒ No
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): n/a
NEWS RELEASE
| Release Time | IMMEDIATE | |
| Date | 5 October 2022 | |
| Number | 34/22 | |
Western Australia Iron Ore site tour: Day 3 presentation materials
BHP will be hosting an investor and analyst briefing today to provide an update on our Western Australia Iron Ore Port and Rail operations.
A copy of the presentation is attached.
The presentation slides will be available on BHP’s website at: https://www.bhp.com/investors/presentations-events/presentations-and-briefings
Further information on BHP can be found at: bhp.com
Authorised for lodgement by:
Group Company Secretary
| Media Relations | Investor Relations | |
| Email: media.relations@bhp.com | Email: investor.relations@bhp.com | |
| Australia and Asia | Australia and Asia | |
| Gabrielle Notley Tel: +61 3 9609 3830 Mobile: +61 411 071 715 |
Dinesh Bishop Tel: +61 407 033 909 | |
| Europe, Middle East and Africa | Europe, Middle East and Africa | |
| Neil Burrows Tel: +44 20 7802 7484 Mobile: +44 7786 661 683 |
James Bell Tel: +44 2078 027 144 Mobile: +44 7961 636 432 | |
| Americas | Americas | |
| Renata Fernandez | Monica Nettleton | |
| Tel: +56 9 8229 5357 | Mobile: +1 416 518 6293 | |
| BHP Group Limited ABN 49 004 028 077 LEI WZE1WSENV6JSZFK0JC28 Registered in Australia Registered Office: Level 18, 171 Collins Street Melbourne Victoria 3000 Australia Tel +61 1300 55 4757 Fax +61 3 9609 3015 |
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| BHP Group is headquartered in Australia Follow us on social media |
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Port and Rail Cindy Dunham General Manager Port Warren Wellbeloved General Manager Rail 5 October 2022
Disclaimer Forward-looking statements This presentation contains forward-looking statements, including: statements regarding our strategy, our values and how we define success; our expectations of a competitive advantage for our business or certain products; our commitment to generating social value; our commitments under sustainability frameworks, standards and initiatives; our intention to achieve certain sustainability-related targets, goals, milestones and metrics; statements regarding trends in economic outlook; commodity prices and currency exchange rates; demand for commodities; medium- term guidance; production forecasts; operational performance; expectations, plans, strategies and objectives of management; climate scenarios; assumed long-term scenarios; potential global responses to climate change; the potential effect of possible future events on the value of the BHP portfolio; closure or divestment of certain assets, operations or facilities (including associated costs); anticipated production or construction commencement dates; capital expenditure or costs and scheduling; operating costs, including unit cost guidance, and shortages of materials and skilled employees; anticipated productive lives of projects, mines and facilities; provisions and contingent liabilities; and tax and regulatory developments. Forward-looking statements may be identified by the use of terminology, including, but not limited to, ‘guidance’, ‘outlook’, ‘prospect’, ‘target’, ‘intend’, ‘aim’, ‘ambition’, ‘aspiration’, ‘goal’, ‘project’, ‘anticipate’, ‘estimate’, ‘plan’, ‘believe’, ‘expect’, ‘commit’, ‘may’, ‘should’, ‘must’, ‘will’, ‘would’, ‘continue’, ‘forecast’, ‘trend’, ‘annualised’ or similar words. These statements discuss future expectations concerning the results of assets or financial conditions, or provide other forward-looking information. The forward-looking statements are based on the information available as at the date of this presentation and/or the date of the Group’s planning processes or scenario analysis processes. There are inherent limitations with scenario analysis and it is difficult to predict which, if any, of the scenarios might eventuate. Scenarios do not constitute definitive outcomes for us. Scenario analysis relies on assumptions that may or may not be, or prove to be, correct and may or may not eventuate, and scenarios may be impacted by additional factors to the assumptions disclosed. Additionally, forward-looking statements in this presentation are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results to differ materially from those expressed in the statements contained in this release. BHP cautions against reliance on any forward-looking statements or guidance, particularly in light of the current economic climate and the significant volatility, uncertainty and disruption arising in connection with the Ukraine conflict and COVID-19. For example, our future revenues from our assets, projects or mines described in this release will be based, in part, upon the market price of the minerals, or metals produced, which may vary significantly from current levels. These variations, if materially adverse, may affect the timing or the feasibility of the development of a particular project, the expansion of certain facilities or mines, or the continuation of existing assets. Other factors that may affect the actual construction or production commencement dates, costs or production output and anticipated lives of assets, mines or facilities include our ability to profitably produce and transport the minerals and/or metals extracted to applicable markets; the impact of foreign currency exchange rates on the market prices of the minerals or metals we produce; activities of government authorities in the countries where we sell our products and in the countries where we are exploring or developing projects, facilities or mines, including increases in taxes; changes in environmental and other regulations; the duration and severity of the Ukraine conflict and the COVID-19 pandemic and their impact on our business; political uncertainty; labour unrest; and other factors identified in the risk factors discussed in section 9.1 of the Operating and Financial Review in the Appendix 4E and BHP’s filings with the U.S. Securities and Exchange Commission (the ‘SEC’) (including in Annual Reports on Form 20-F) which are available on the SEC’s website at www.sec.gov. Except as required by applicable regulations or by law, BHP does not undertake to publicly update or review any forward-looking statements, whether as a result of new information or future events. Past performance cannot be relied on as a guide to future performance. Presentation of data Unless specified otherwise: operations includes operated assets and non-operated assets; total operations refers to the combination of continuing and discontinued operations; continuing operations refers to data presented excluding the impacts of Onshore US from the 2017 financial year onwards and excluding Petroleum from the 2021 financial year onwards; references to Underlying EBITDA margin exclude third party trading activities; data from subsidiaries are shown on a 100 per cent basis and data from equity accounted investments and other operations is presented, with the exception of net operating assets, reflecting BHP’s share; medium term refers to our five year plan. Numbers presented may not add up precisely to the totals provided due to rounding. All footnote content (except in the Annexures) is contained on slide 18. Non-IFRS information We use various Non-IFRS information to reflect our underlying performance. For further information please refer to Non-IFRS financial information set out in section 11 of the Operating and Financial Review in the Appendix 4E for the year ended 30 June 2022. No offer of securities Nothing in this presentation should be construed as either an offer or a solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, in any jurisdiction, or be treated or relied upon as a recommendation or advice by BHP. No offer of securities shall be made in the United States absent registration under the U.S. Securities Act of 1933, as amended, or pursuant to an exemption from, or in a transaction not subject to, such registration requirements. Reliance on third party information The views expressed in this presentation contain information that has been derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the information. This presentation should not be relied upon as a recommendation or forecast by BHP. BHP and its subsidiaries In this release, the terms ‘BHP’, the ‘Company, the ‘Group’, ‘BHP Group’, ‘our business’, ‘organisation’, ‘we’, ‘us’, ‘our’ and ourselves’ refer to BHP Group Limited and, except where the context otherwise requires, our subsidiaries. Refer to note 28 ‘Subsidiaries’ of the Financial Statements in the Appendix 4E for a list of our significant subsidiaries. Those terms do not include non-operated assets. This release covers BHP’s functions and assets (including those under exploration, projects in development or execution phases, sites and closed operations) that 1 have been wholly owned and/or operated by BHP or that have been owned as a joint venture operated by BHP (referred to in this release as ‘operated assets’ or ‘operations’) during the period from 1 July 2021 to 30 June 2022. 1 BHP also holds interests in assets that are owned as a joint venture but not operated by BHP (referred to in this release as ‘non-operated joint ventures’ or ‘non-operated assets’). Notwithstanding that this release may include production, financial and other information from non- operated assets, non-operated assets are not included in the BHP Group and, as a result, statements regarding our operations, assets and values apply only to our operated assets unless stated otherwise. 1. References in this release to a ‘joint venture’ are used for convenience to collectively describe assets that are not wholly owned by BHP. Such references are not intended to characterise the legal relationship between the owners of the asset.. Western Australia Iron Ore site tour 5 October 2022 2
Acknowledgement of Country Kariyarra Country Port Hedland Photo by Matthew Love
Mines, rail and port: a connected system All parts of the value chain must work together Western Australia Iron Ore site tour 5 October 2022 4
WAIO: an integrated supply chain Enabling consistent, reliable supply to market Mines Rail operations Ore from >1,000 km 182 ~10,500 ~35 4 processing of track locos ore cars trains hubs Port operations Direct to ship ore 5 car 162 conveyors 8 stackers ~4 Mt stockpile 5 reclaimers 8 shiploaders 1,500 vessels dumpers and berths loaded p.a. Shipped via stockyards Western Australia Iron Ore site tour 5 October 2022 5
Creating social value Our positive contributions to our people, partners, the economy, the environment and local communities Decarbonisation Healthy Indigenous Safe, inclusive Thriving, Responsible environment partnerships and future ready empowered supply chains workforce communities Reducing carbon Industry leading Working with the Rail Train Driver Providing community Supporting ethical, emissions from rail dust management Kariyarra Traditional Academy opportunities with sustainable and and port Owners Hedland Collective transparent supply chains 1 Renewable PPA in Australia-first wind Contract awards to 200 new train drivers Provides opportunities Working closely with Port Hedland signed to fences Traditional Owner over the next to engage directly with customers, including deliver ~50% reduction businesses three years stakeholders our partnerships on in reported port Comprehensive real Scope 3 emissions emissions from time dust monitoring Kariyarra Aboriginal Of the 60 recent Ensures BHP is aware 2 electricity network Corporation staff graduates, >70% are of emerging issues housing and office female and 20% are and can work Vegetation barriers accommodation Indigenous collaboratively with the Trials for electric trains support community commencing 2024 Western Australia Iron Ore site tour 5 October 2022 6
Highly reliable and stable system enabling growth Disciplined investment to shift the bottleneck to the port over the medium term Rail operations Port operations Direct to ship ore Ore from Track Rakes Car Conveyors Stackers Stockpiles Reclaimers Shiploaders operations dumpers & berths Shipped via stockyards Current (284 Mtpa – FY23 guidance mid-point): Tightly coupled supply chain Mid term (>300 Mtpa): Debottlenecking Port and Rail, enabled by PDP1 and RTP Studies (330 Mtpa): Additional car dumper and routes to shift system bottleneck to outflow (shiploaders) Step in supply chain Investment focused on debottlenecking Desired notional bottleneck Note: PDP – Port Debottlenecking Project; RTP – Rail Technology Project. Western Australia Iron Ore site tour 5 October 2022 7
Port Debottlenecking Project 1 to uplift port capacity Investment to support > 300Mtpa throughput; expected completion in 2024 CD2 and CD3: PDP1: Car dumpers Extension of South Yard and new infrastructure BWR11 (Reclaimer 11): Installation of new Bucket LRP3: Wheel Reclaimer Lump rescreening plant STK6: Stacker 6 upgrades Western Australia Iron Ore site tour 5 October 2022 8
Port Hedland channel capacity supports 330 Mtpa option Port capacity secured to enable growth plans Port Hedland channel capacity • Pilbara Ports Authority (PPA) review enables growth of iron (Port capacity allocation by class, Mtpa) ore exports to 660 Mtpa through Port Hedland – represents a 33% increase to modelled capacity since 660 last port plan review in 2012 – the amended port development plan facilitates increased capacity allocations of ~25% for existing port proponents, 495 300 including BHP – the additional priority capacity allocation provides further certainty for BHP’s 330 Mtpa growth plans through 4 240 BHP A/B unallocated contestable capacity (class D) 3 • Studying options for growth to 330 Mtpa Competitor – studies expected to be completed in FY25 allocation 360 and 255 – will likely require an additional car dumper, routes and unallocated yard expansion 5,6 C/D Class 2012 PPA 2022 PPA revised 7 development plan development plan Western Australia Iron Ore site tour 5 October 2022 9
Improving Port and Rail everyday Enabling uplift in performance through four key areas BHP Operating Technology and MECoE Operations System automation Services Standardising Improved delivery of Enabling increased Maintenance safety, maintenance planning value initiatives capacity mastery and productivity and scheduling RTP moving block technology Reducing TSRs in Major car dumper Port conveyor deployment the system bottleneck maintenance campaign Ship loader automation Note: MECoE – Maintenance Engineering Centre of Excellence, TSR – Track Speed Restrictions, RTP – Rail Technology Project. Western Australia Iron Ore site tour 5 October 2022 10
BHP Operating System in action Improving Track Speed Restrictions (TSRs) Track speed restrictions applied Track speed reduction • Targeted increase in tamping and grinding improved track surface and reduce the TSR time impact per cycle Introduced routines to investigate defects and +1.2 Mtpa supply chain capacity improvement implement measures to prevent recurrence -50% 60 mins per cycle Enabled team ownership to remove TSRs at the root level 30 mins per cycle Expedited support process for TSR removal by restructuring teams, maintenance activities and overall strategy H1 FY22 April 2022 Western Australia Iron Ore site tour 5 October 2022 11
Moving block technology to increase railway capability Successful delivery of Rail Technology Programme (RTP) will improve communications and signalling BHP's current fixed Block signalling system • Train separation dictated by track sections, which are ~8 km long • Only one train per track section • Train location is unknown within the track section BHP's future moving block signalling system • Movement authorities are dynamic, with separation based on braking curves (plus safety margins) to allow distance between trains to be reduced • Exact location of equipped rail mounted vehicle (RMV) is known based on communication signals Improved safety Increase in rail capability Reduced variability Platform for railway automation Western Australia Iron Ore site tour 5 October 2022 12 FUTURE TODAY
Automated ship loader technology Building autonomy into the way we work 3D laser technology Provides real time collision information and generates a precise 3D ship model June 2022 Testing of 2 new ship loaders 8 automated ship loaders To be implemented by end CY23 A$50m invested $ Targeted investments at our bottlenecks 1 Mt production uplift Enables production increase 3D laser scan Integrated Remote Operations Centre (IROC) Visualisation of cargo distribution Once transitioned to fully automated, they will be operated by the IROC in Perth Safety improvement Removing people from the line of fire Western Australia Iron Ore site tour 5 October 2022 13
MECoE and BOS in action Realising value through the major car dumper maintenance campaign Enabled by: With visible results… Mean Time between Failure (MTBF) Standardised maintenance practices +100% • Improved preventative maintenance strategies • Larger shuts reduce failure modes and unscheduled equipment downtime • Condition monitoring embedded in equipment strategies Ways of working 2019 2020 2021 2022 • Updated maintenance and operating philosophy • BOS routines with a focus on embedding Unscheduled Equipment Downtime improvement -41% Improvement in action: Port car dumper 1 apron feeder • Change from tail to head driven feeder • Improvement embedded during major shut 2019 2020 2021 2022 • 1.6Mt local capacity uplift Western Australia Iron Ore site tour 5 October 2022 14
Operations Services in action Port Hedland conveyor deployment – safe, consistent delivery the key to reliable performance BHP Operations Services (OS) • Production and maintenance workforce • Personnel deployed across minerals Australia • Shift to a more permanent workforce • Deployed across our five mines and port operations • ~1,300 FTEs to be deployed across WAIO Lightweight drop bottom bins Lightweight rollers What do these improvements enable? • Reducing manual handling on conveyor roller change outs by ~25% through continuous improvement 8 • Improving safety performance – recordable injury reduction of 25% • Enabling diversity by making tasks more accessible for all employees and contractors Lightweight chute backing plate Wharf roller trolley Western Australia Iron Ore site tour 5 October 2022 15
What you will be seeing today… An integrated and efficient port and rail system Harbour Car dumper Ship loader Western Australia Iron Ore site tour 5 October 2022 16
Footnotes 1. Slide 6: PPA – Power Purchase Agreement. 2. Slide 6: Based on current forecast and compared with FY20. 3. Slide 9: Regulatory approval to increase capacity to 330 Mtpa is subject to the outcomes of a standard appeals processes. 4. Slide 9: A and B class refers to tidally constrained cape size vessels, with priority sailing rights over other vessels, noting A class has priority over B class. 5. Slide 9: C class means non-tidally constrained vessels for general purpose and public access berths. C class has priority over D at all tides, but lower priority rights than A and B class. 6. Slide 9: D class means vessel used to load any excess iron ore beyond a proponents allocated capacity. These vessels have the lowest priority sailing rights of the four classes, and are accessed on a competitive basis. FY22 update includes future allocation for Stanley Point Berth 3. 7. Slide 9: Development plan allocations based on 25% increase from 2012 development plan as stated by Pilbara Port Authority. 8. Slide 15: Recordable injury rate: Port conveyor maintenance rolling 12-month TRIFR Aug-21 v Aug-22. Western Australia Iron Ore site tour 5 October 2022 18
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BHP Group Limited | ||||||
| Date: October 5, 2022 | By: | |||||
| Name: | Stefanie Wilkinson | |||||
| Title: | Group Company Secretary | |||||
| This ‘6-K’ Filing | Date | Other Filings | ||
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| Filed on / For Period end: | 10/5/22 | None on these Dates | ||
| List all Filings | ||||
