AUS
NZ
UK
CA
USA
IND
Highlights
- Shares of BHP Group Limited were spotted trading in the green zone today (1 November 2022).
- BHP has reported having mixed production results during the September Q22 quarter.
- The company has kept its FY23 guidance unchanged.
Shares of the Australian materials giant BHP Group Limited (ASX:BHP) fared well today (1 November 2022) on the ASX despite the company not reporting any major developments. At the time of writing (3:03 PM AEDT), BHP shares were trading 2.154% higher, at AU$38.165 apiece.
Although there appears to be no specific cause driving up BHP's stock price, the positive sectoral performance could be one of the reasons impacting the shares of the iron ore miner.
The broader market index S&P/ASX 200 Materials sector has reported a gain of 250.7 points, totalling 15,481.3. Meanwhile, the INDEXASX:XMM was also in the green zone, 1.687% higher, at 5,154.9 points at 3:03 PM AEDT.
A glance at BHP's recent developments
Yesterday (31 October 2022), BHP Group Limited announced that John Mogford, a non-executive director, had retired from his position after serving the company for about four years. Mogford is an oil and gas expert and has confirmed his decision to retire after the completion of the sale of BHP's oil and gas businesses through the merger with Woodside.
Additionally, on 19 October, the Australian iron ore miner published the results of its quarterly activities for the quarter that ended on 30 September 2022. As per the report, BHP’s copper production was 410.1 kt during the quarter, 9% higher than last year’s production. The company managed to keep its FY23 guidance for copper unchanged at 1635–1825 kt.
BHP’s primary income source, iron ore production, was 65.1 mt during the September Q22 quarter, 1% higher than the production in the previous quarter and 3% higher than the production last year. The major chunk (63.9 mt) of iron ore was produced from the company’s WAIO site.
Apart from copper and iron ore, BHP produced 6.7 mt metallurgical coal, 2.6 mt energy coal, and 20.7 kt nickel during the quarter.
How will BHP fulfil its decarbonisation targets?
In addition to reducing Green House Gases (GHG) emissions, in the September 2022 quarter the BHP Group advanced on its decarbonisation goals, as per company's announcement. BHP collaborated with Alinta Energy to build a 45 MW renewable energy plant named Shay Gap Wind Farm. Apart from this, BHP signed a memorandum of understanding (MoU) with Tata Steel to develop iron and steelmaking technologies with lower carbon emissions.
Finally, the iron ore miner announced a collaboration with Pan Pacific Copper (PPC) to cut GHG emissions that are generated during shipping between its mines in Chile and PPC's smelters in Japan.
Management commentary
Commenting on the September Q22 report, Mike Henry, CEO, BHP, said:
Image Source: © 2022 Kalkine Media®
Data Source: Company announcement dated 19 October
