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BHP expects Covid-19 to remain a challenge for Chilean mines – Product Commentary

By on July 19, 2021 0

By Rhiannon Hoyle


SYDNEY – BHP Group Ltd. on Tuesday announced an increase in iron ore production for the year, although lower annual production of copper and oil. Here are a few remarks from its Q4 operational report:


On group outing:

“We have achieved production records in our iron ore operations in Western Australia and in the Goonyella Riverside metallurgical coal mine in Queensland. BHP acquired the asset in 2005, and its best gold production to date. “


On the impact of Covid-19 on the copper activity:

“For fiscal 2021, our Chilean assets operated with a substantial reduction in their operational workforce due to the preventive measures we implemented to mitigate the impact of Covid-19. During the June 2021 quarter, escalation of Covid-19 infections in Chile led to increased pressures on the Chilean health system, which resulted in strict quarantine measures and border restrictions. We expect the operating environment for our Chilean assets to remain challenging, with reductions in our on-site workforce expected to continue in fiscal 2022. “


On projects:

“During the year, we successfully completed the first production of four major development projects, all of which were delivered on time or ahead of budget. The South Flank iron ore project in Western Australia and the Ruby oil and gas project in Trinidad and Tobago both reached their first production in May 2021. The Atlantis Phase 3 oil project and the Spence Growth Option copper project reached their first production in the first half of fiscal 2021.


Exploration:

“In exploration, we continued to add to our start-up options in future commodities throughout the year, with the signing of an agreement for an alliance to explore for nickel in Canada and a farm-out agreement for the Elliott copper project in Australia At Oak Dam in South Australia, the next phase of resource definition drilling to inform future design began in May 2021. “


Write to Rhiannon Hoyle at [email protected]

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