BHP Group Ltd (LSE:BHP, ASX:BHP) reported record copper and iron ore production for the year to June, and said it was on track to achieve unit cost guidance at its major mines.
Group copper output rose 8% year-on-year to more than 2 million tonnes (Mt). Iron ore production from Western Australia reached 290Mt on a 100% basis.
For the coming year to June 2026, copper production guidance is for 1.8-2 million tonnes, in other words, flat at best.
Chief executive officer Mike Henry said: "BHP delivered record iron ore and copper production, which demonstrates the strength and resilience of our business and underpins our ability to deliver growth and returns to shareholders amid global volatility and uncertainty."
Over the past 12 months, copper production at Chile's Escondida increased 16%, marking its highest level in 17 years, while elsewhere in the country, Spence delivered record output and South Australia reported production records in June and the fourth quarter.
Steelmaking coal production increased 5% as improved truck productivity offset adverse weather and geotechnical issues at Broadmeadow.
Group capital expenditure guidance remains around US$11 billion for 2026 and 2027.
Capital expenditure for Stage 1 of the Jansen potash project was hiked to a range of US$7 billion to US$7.4 billion, from the $5.7 billion earlier estimate, with first production expected mid-calendar year 2027, back from the previous end-2026 target.
BHP said the estimated cost increase is driven by inflationary and real cost escalation pressures, design and scope changes, and a lower assessment of productivity.