Aerial view of the La Isla salt flat, located at 3,950 meters above sea level near the border with Argentina in the Atacama Region, Chile, taken on May 16, 2024.Rodrigo Arangua | Afp | Getty ImagesArgentina's President Javier Milei is scrambling to unlock the South American country's copper potential, seeking to capitalize on surging global demand amid a push toward electrification and renewable energy.Milei, a self-described anarcho capitalist who won a shock election in 2023, has unveiled a series of toug ...

Report Summary 1. Report Industry Investment Rating No relevant content provided. 2. Report's Core View - The total global iron ore shipping volume this period was 3657 (+24) million tons. Specifically, Australia's shipping volume decreased quarter - on - quarter, while Brazil and non - mainstream countries' shipping volume increased quarter - on - quarter. The domestic ore arrival volume was 2526 (+133) million tons, as the ore from the previous shipping peak period arrived successively [2]. 3. Summary According to Relevant Catalog Global Shipping Volume - On August 29, 2025, the global shipping volume was 3556.8 million tons, with a quarter - on - quarter increase of 241 million tons and a year - on - year increase of 107.9 million tons [3]. Shipping Volume by Region - **Australia**: On August 29, 2025, the shipping volume was 1811.5 million tons, with a quarter - on - quarter decrease of 69.5 million tons and a year - on - year decrease of 24.6 million tons. Rio Tinto and non - mainstream mines decreased quarter - on - quarter, FMG's shipping volume slightly decreased, and BHP's shipping volume increased. Overall, Australia's shipping volume decreased [2][3]. - **Brazil**: On August 29, 2025, the shipping volume was 996.6 million tons, with a quarter - on - quarter increase of 184.9 million tons and a year - on - year decrease of 62.4 million tons. Vale's shipping volume increased quarter - on - quarter, while non - mainstream mines decreased [2][3]. - **Non - mainstream countries**: The shipping volume increased quarter - on - quarter [2]. Shipping Volume by Major Mines - **Rio Tinto**: On August 29, 2025, the global shipping volume was 611 million tons, with a quarter - on - quarter decrease of 114.1 million tons and a year - on - year decrease of 4.2 million tons; the shipping volume to China was 472.1 million tons, with a quarter - on - quarter decrease of 124.5 million tons and a year - on - year decrease of 31.8 million tons [3]. - **BHP**: On August 29, 2025, the global shipping volume was 522.7 million tons, with a quarter - on - quarter increase of 61.6 million tons and a year - on - year decrease of 49.5 million tons; the shipping volume to China was 447.4 million tons, with a quarter - on - quarter increase of 62 million tons and a year - on - year decrease of 31.8 million tons [3]. - **FMG**: On August 29, 2025, the global shipping volume was 435 million tons, with a quarter - on - quarter decrease of 0.4 million tons and a year - on - year increase of 60.9 million tons; the shipping volume to China was 388.7 million tons, with a quarter - on - quarter decrease of 28.1 million tons and a year - on - year increase of 70.9 million tons [3]. - **Vale**: On August 29, 2025, the global shipping volume was 803.7 million tons, with a quarter - on - quarter increase of 230.8 million tons and a year - on - year increase of 18.6 million tons [3]. Domestic Ore Arrival Volume - On August 29, 2025, the domestic ore arrival volume was 2526 million tons, with a quarter - on - quarter increase of 132.7 million tons and a year - on - year increase of 316.8 million tons [3]. Shipping Ratio to China from Australia - On August 29, 2025, the ratio of Australia's shipping volume to China was 0.801, with a quarter - on - quarter decrease of 0.081 and a year - on - year increase of 0.01 [3].

一、简评 运筹帷幄决胜千里 投资咨询业务资格：证监许可【2011】1778 号 铁矿石到货、发运周度数据（2025 年第 35 周） 1、国内 47 港到货量为 2645.00 万吨，环比增 182.70 万吨，再度回升；增量主要源于巴西矿，环比增 127.40 万吨，而澳矿、非澳巴矿则是分别增 27.10 万吨、28.20 万吨。 2、海外矿石发运迎来回升，全球 19 港矿石发运总量为 3556.80 万吨，环比增 240.95 万吨，位于年内 高位。增量主要源于巴西矿，环比增 191.90 万吨，而非澳巴矿同样增 99.28 万吨，双双均处于年内高位； 澳巴矿则是有所回落，环比降 50.23 万吨，依旧处于相对高位。 3、按船期推算国内港口澳巴矿到货量将回升，海外矿石供应维持高位。 二、矿石到货与发运数据 | | | | | | 铁矿石周度到货和发运数据 | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | 指标 | 本期值 | 上期值 | 周度变化 | 周度变化 | 上月末值 ...

[Chair's review](index=13&type=section&id=Chair's%20review) The Chair's review highlights BHP's 140-year history, strong FY2025 performance, commitment to shareholder returns, and strategic shift towards future-facing commodities - The Chair's review emphasizes BHP's **140-year history** of stability and resilience amidst global uncertainty, highlighting the company's clear strategy, strong performance in **FY2025**, and commitment to rewarding shareholders through disciplined capital allocation[42](index=42&type=chunk)[44](index=44&type=chunk)[45](index=45&type=chunk) - The review also underscores the strategic portfolio shift towards future-facing commodities like copper and potash, which are essential for global development, decarbonization, and digitalization[42](index=42&type=chunk)[44](index=44&type=chunk)[45](index=45&type=chunk) FY2025 Shareholder Returns | Metric | Value | | :--- | :--- | | **FY2025 Total Dividends** | 110 US cents per share | | **Total Distribution to Shareholders** | US$5.6 billion | | **Total Dividends (Past 5 Years)** | > US$50 billion | - BHP is strategically positioning its portfolio for future growth by increasing exposure to commodities needed for decarbonization and rising living standards, such as copper and potash, while maintaining its lead as the lowest-cost major iron ore producer[49](index=49&type=chunk)[51](index=51&type=chunk)[52](index=52&type=chunk) [Chief Executive Officer's review](index=15&type=section&id=Chief%20Executive%20Officer's%20review) The CEO's review details strong FY2025 operational and financial performance, progress in copper and potash growth, improved safety, and strategic adjustments including an optimized net debt target - The CEO's review highlights a strong year of safe operational and financial performance in **FY2025**, with significant progress in copper and potash growth options[58](index=58&type=chunk)[59](index=59&type=chunk) - Key achievements include improved safety metrics, record production in copper and iron ore, and reaching gender balance goals[58](index=58&type=chunk)[59](index=59&type=chunk) - The review also addresses challenges, such as cost revisions at the Jansen potash project, and outlines strategic adjustments, including an optimized net debt target to support future growth[58](index=58&type=chunk)[59](index=59&type=chunk) FY2025 Operational Highlights | Commodity | Achievement | | :--- | :--- | | **Copper** | Production exceeded **2 million tonnes** for the first time, a **28% increase** since FY2022 | | **Iron Ore (WAIO)** | Achieved record production and maintained its position as the world's lowest-cost major producer for the **sixth consecutive year** | | **Steelmaking Coal** | Increased production at BMA (excluding divested mines) through improved productivity | - BHP has reshaped its portfolio, with copper now contributing **45% of EBITDA in FY2025**, reflecting a strategic focus on future-facing commodities[72](index=72&type=chunk)[74](index=74&type=chunk) - The company has also optimized its net debt target range to **US$10 billion to US$20 billion** to support its growth agenda[72](index=72&type=chunk)[74](index=74&type=chunk) - The Jansen Stage 1 potash project experienced a cost revision due to inflation, design changes, and lower productivity, which the CEO described as disappointing and not representative of BHP's broader project performance[70](index=70&type=chunk) [Operating and Financial Review](index=17&type=section&id=Operating%20and%20Financial%20Review) [Why BHP](index=17&type=section&id=1.%20Why%20BHP) This section outlines BHP's core investment thesis, emphasizing its resilience, clear strategy on essential commodities, and differentiated approach to creating social value - BHP positions itself as the world's largest mining company by market capitalization, producing materials vital for global growth, decarbonization, and digitalization[81](index=81&type=chunk)[85](index=85&type=chunk)[98](index=98&type=chunk) - The company's growth strategy is centered on productivity improvements, expanding existing large-scale assets, and pursuing new opportunities, such as the Vicuña copper joint venture and the Jansen potash project[88](index=88&type=chunk)[89](index=89&type=chunk)[90](index=90&type=chunk) - BHP achieved its gender balance goal in **FY2025**, with female employee representation reaching **41.3%**, up from **17.6% nine years ago**[94](index=94&type=chunk)[95](index=95&type=chunk) - This is presented as a key driver of business value, contributing to a more inclusive culture and better safety and operational performance[94](index=94&type=chunk)[95](index=95&type=chunk) [Our business](index=20&type=section&id=2.%20Our%20business) This section overviews BHP's commodity portfolio and global operations, detailing record copper and iron ore performance, steelmaking coal focus, and Jansen potash project updates [Our portfolio](index=20&type=section&id=2.1%20Our%20portfolio) FY2025 Production Highlights | Commodity | FY2025 Production | YoY Change | | :--- | :--- | :--- | | **Copper** | **2.02 Mt** | ▲ **8%** | | **Iron Ore** | **263 Mt** | ▲ **1%** | | **Steelmaking Coal** | **18 Mt** | ▼ **19%** (incl. divestments) | - The Jansen Stage 1 (JS1) potash project's estimated capital expenditure has been increased from **US$5.7 billion** to a range of **US$7.0 billion to US$7.4 billion**, with first production reverting to the original mid-CY2027 schedule[116](index=116&type=chunk)[117](index=117&type=chunk) - The execution of Jansen Stage 2 (JS2) has been extended by **two years**, pushing first production to **FY2031**[116](index=116&type=chunk)[117](index=117&type=chunk) - BHP expanded its copper growth options by forming the Vicuña joint venture with Lundin Mining, which holds the Josemaria and Filo del Sol prospects on the Argentina-Chile border, an emerging copper district with world-class potential[107](index=107&type=chunk) [Where we operate](index=22&type=section&id=2.2%20Where%20we%20operate) - This section consists of a world map illustrating the locations of BHP's global operations and projects across the Americas, Australia, and other regions[120](index=120&type=chunk)[121](index=121&type=chunk) [Our key differentiators](index=23&type=section&id=3.%20Our%20key%20differentiators) This chapter details BHP's competitive advantages, including its people, operating system, social value commitment, and disciplined financial management - The BHP Operating System (BOS) is identified as a unique management system that provides a competitive edge by driving continuous improvement, strengthening culture, and delivering operating excellence[126](index=126&type=chunk)[127](index=127&type=chunk) - BHP has increased its net debt target range to **US$10 billion - US$20 billion** (from US$5 billion - US$15 billion), reflecting improved portfolio fundamentals and a strong balance sheet to fund attractive organic growth projects while delivering shareholder returns[131](index=131&type=chunk)[132](index=132&type=chunk) - The company reports strong and consistent financial performance, with net operating cash flow of **US$18.7 billion in FY2025** and an average EBITDA margin of **55% over the past decade**, approximately **10 percentage points** above its closest major competitor[136](index=136&type=chunk) - A refreshed Technology Strategy was launched in **FY2025** to accelerate the use of data, digital solutions, automation, and AI to improve safety, enhance productivity, and unlock long-term value[138](index=138&type=chunk)[139](index=139&type=chunk)[140](index=140&type=chunk) [Positioning for growth](index=26&type=section&id=4.%20Positioning%20for%20growth) This section outlines BHP's growth strategy, focusing on expanding copper, enhancing iron ore, developing potash, and driving innovation through ventures and exploration - BHP is advancing a strong pipeline of organic copper growth options in Chile and South Australia, with aspirations to produce an average of **~1.4 Mtpa** from Chile and **>500 ktpa** from Copper South Australia during the **2030s**[145](index=145&type=chunk)[146](index=146&type=chunk) - The company has approved a **~US$0.9 billion** investment to commission a sixth car dumper (CD6) at Port Hedland, which will support sustained iron ore production of **>305 Mtpa** (100% basis) from **Q4 FY2028**[150](index=150&type=chunk) - BHP is developing the Jansen potash mine in Canada, which is expected to be a best-in-class asset positioned to make BHP a leader in the global potash industry[152](index=152&type=chunk) FY2025 Exploration Expenditure | Category | Expenditure (US$M) | YoY Change | | :--- | :--- | :--- | | **Total Metals Exploration** | **396** | ▼ **13%** | | Resource Assessment | 250 | ▼ **25%** | | Greenfield | 146 | ▲ **18%** | [Financial review](index=28&type=section&id=5.%20Financial%20review) This chapter reviews BHP's FY2025 financial performance, detailing revenue and EBITDA changes, profit drivers, cash flow, and debt and liquidity positions [Group overview](index=28&type=section&id=5.1%20Group%20overview) Summary of Financial Measures (FY2025 vs FY2024) | Metric | FY2025 (US$M) | FY2024 (US$M) | | :--- | :--- | :--- | | **Revenue** | **51,262** | 55,658 | | **Profit attributable to BHP shareholders** | **9,019** | 7,897 | | **Net operating cash flows** | **18,692** | 20,665 | | **Net debt** | **12,924** | 9,120 | | **Underlying attributable profit** | **10,157** | 13,660 | | **Underlying EBITDA** | **25,978** | 29,016 | [Key performance indicators](index=28&type=section&id=5.2%20Key%20performance%20indicators) Reconciliation to Key Performance Indicators (FY2025) | IFRS Measure | Value (US$M) | Adjustments | KPI | Value (US$M) | | :--- | :--- | :--- | :--- | :--- | | Profit after taxation attributable to BHP shareholders | **9,019** | Exceptional items, NCI | **Underlying attributable profit** | **10,157** | | Profit from operations | **19,464** | Exceptional items, D&A, Impairments | **Underlying EBITDA** | **25,978** | [Financial results](index=30&type=section&id=5.3%20Financial%20results) - Revenue for **FY2025** decreased by **8%** to **US$51.3 billion**, primarily due to lower average realised prices for iron ore and coal, the temporary suspension of Western Australia Nickel (WAN), and the divestment of the Blackwater and Daunia mines[178](index=178&type=chunk) - Profit after taxation attributable to BHP shareholders was **US$9.0 billion**, which included an exceptional loss of **US$1.1 billion** (after tax)[177](index=177&type=chunk) - This compares to **US$7.9 billion in FY2024**, which included a larger exceptional loss of **US$5.8 billion**[177](index=177&type=chunk) Principal Factors Affecting Underlying EBITDA (FY2024 to FY2025) | Factor | Impact (US$M) | | :--- | :--- | | **Underlying EBITDA FY2024** | **29,016** | | Net price impact | (3,705) | | Change in volumes | 2,215 | | Change in controllable cash costs | (953) | | Change in other costs (FX, inflation, etc.) | 356 | | Ceased and sold operations | (722) | | Other | (229) | | **Underlying EBITDA FY2025** | **25,978** | [Debt and sources of liquidity](index=32&type=section&id=5.4%20Debt%20and%20sources%20of%20liquidity) Debt and Gearing Position | Metric | 30 June 2025 | 30 June 2024 | | :--- | :--- | :--- | | **Net Debt** | **US$12.9 billion** | US$9.1 billion | | **Gearing Ratio** | **19.8%** | 15.7% | - During **FY2025**, the Group increased its gross debt by **US$3.8 billion**, reflecting the issuance of **US$3.0 billion** in bonds and a new **US$1.0 billion** three-year term loan[195](index=195&type=chunk)[198](index=198&type=chunk)[199](index=199&type=chunk) - The Group maintains a **US$5.5 billion** committed revolving credit facility, which was undrawn as of **30 June 2025**, supporting its liquidity position[201](index=201&type=chunk) - For **FY2025**, the Board determined total dividends of **US$1.10 per share**, amounting to a total cash distribution of **US$5.6 billion**[205](index=205&type=chunk) [Our assets](index=34&type=section&id=6.%20Our%20assets) This chapter provides a detailed operational review of BHP's asset portfolio by commodity, covering production, outlook, and key developments for Copper, Iron Ore, Coal, Potash, and Nickel [Copper](index=34&type=section&id=6.1%20Copper) - Escondida achieved its highest production in **17 years**, increasing **16% YoY in FY2025**, driven by record concentrator throughput and higher feed grade[211](index=211&type=chunk)[216](index=216&type=chunk) - **FY2026** production is guided to be between **1,150 and 1,250 kt**[211](index=211&type=chunk)[216](index=216&type=chunk) - Spence achieved record production of **268 kt in FY2025**, an increase of **5%**[219](index=219&type=chunk) - **FY2026** production is expected to be between **230 and 250 kt** due to lower feed grades[219](index=219&type=chunk) - Copper South Australia's **FY2025** production was **316 kt**, impacted by a major weather-related power outage[226](index=226&type=chunk)[228](index=228&type=chunk) - The Prominent Hill Operations Expansion (PHOX) project is on track for **H2 FY2027**[226](index=226&type=chunk)[228](index=228&type=chunk) - In **FY2025**, BHP and Lundin Mining formed the Vicuña joint venture to hold the Josemaria and Filo del Sol copper deposits on the Argentina-Chile border, creating a long-term partnership to develop an emerging copper district[245](index=245&type=chunk) [Iron ore](index=38&type=section&id=6.2%20Iron%20ore) - Western Australia Iron Ore (WAIO) delivered a record full-year production of **257 Mt** (**290 Mt** on a 100% basis) in **FY2025**, its third consecutive annual record[253](index=253&type=chunk) - The South Flank mine exceeded its nameplate capacity in its first full year of operation[253](index=253&type=chunk) - BHP approved a **~US$0.9 billion** investment for a sixth car dumper (CD6) at Port Hedland to maintain production capacity of **>305 Mtpa** (100% basis) from **Q4 FY2028** through a period of planned renewals[255](index=255&type=chunk) - Samarco's production increased by **34% to 6.3 Mt** (BHP share) in **FY2025** following the ramp-up of its second concentrator[261](index=261&type=chunk) - **FY2026** production is expected to increase to between **7.0 and 7.5 Mt**[261](index=261&type=chunk) [Coal](index=40&type=section&id=6.3%20Coal) - BHP Mitsubishi Alliance (BMA) production increased by **5% in FY2025** (excluding the divested Blackwater and Daunia mines), driven by improved truck productivity[269](index=269&type=chunk)[271](index=271&type=chunk) - **FY2026** production is guided to be between **18 and 20 Mt** (**36-40 Mt** on a 100% basis)[269](index=269&type=chunk)[271](index=271&type=chunk) - New South Wales Energy Coal (NSWEC) received government approval to extend mining at Mt Arthur Coal until **June 2030**, aligning with its planned closure[276](index=276&type=chunk)[277](index=277&type=chunk) - **FY2025** production was **15.04 Mt**, exceeding guidance[276](index=276&type=chunk)[277](index=277&type=chunk) [Potash](index=42&type=section&id=6.4%20Potash) Jansen Potash Project Update (as of June 30, 2025) | Project | Completion | Estimated Capex (US$) | First Production Schedule | | :--- | :--- | :--- | :--- | | **Jansen Stage 1 (JS1)** | **68%** | **$7.0bn - $7.4bn** | Reverted to mid-CY2027 | | **Jansen Stage 2 (JS2)** | **11%** | Under review | Extended by **2 years** to FY2031 | - The estimated cost increase for Jansen Stage 1 is attributed to inflationary pressures, design and scope changes, and lower-than-expected construction productivity[286](index=286&type=chunk) [Nickel](index=43&type=section&id=6.5%20Nickel) - Western Australia Nickel (Nickel West and West Musgrave project) was transitioned into temporary suspension at the end of **H1 FY2025** due to oversupply in the global nickel market[290](index=290&type=chunk) - BHP intends to review the decision to suspend Western Australia Nickel by **February 2027** and is assessing a potential divestment of the assets as one of the options[293](index=293&type=chunk) - On **July 18, 2025**, after the financial year end, BHP exited its **17% interest** in the Kabanga nickel project in Tanzania[294](index=294&type=chunk) [Commercial](index=43&type=section&id=6.6%20Commercial) - BHP's Commercial function is structured around key value chain activities to maximize value and minimize costs[294](index=294&type=chunk)[295](index=295&type=chunk)[297](index=297&type=chunk)[298](index=298&type=chunk)[299](index=299&type=chunk)[300](index=300&type=chunk)[301](index=301&type=chunk) - Its sub-functions include Sales and Marketing, Maritime and Supply Chain Excellence, Procurement, Market Analysis and Economics, Risk Governance and Analytics, and Global Business Services[294](index=294&type=chunk)[295](index=295&type=chunk)[297](index=297&type=chunk)[298](index=298&type=chunk)[299](index=299&type=chunk)[300](index=300&type=chunk)[301](index=301&type=chunk) [How we manage risk](index=45&type=section&id=7.%20How%20we%20manage%20risk) This section details BHP's comprehensive Risk Framework, built on strategy, governance, process, and intelligence, with Board oversight and a 'three lines model' for accountability - BHP's Risk Framework is founded on four pillars: risk strategy, risk governance, risk process, and risk intelligence[302](index=302&type=chunk) - The company uses a 'three lines model' for risk governance: the first line consists of frontline staff and operational management, the second line is the Risk team providing expertise and oversight, and the third line is the Internal Audit team providing independent assurance[310](index=310&type=chunk)[311](index=311&type=chunk)[313](index=313&type=chunk) - Risks are categorized as 'current' (operational or strategic risks impacting the near future) or 'emerging' (newly developing, highly uncertain risks)[318](index=318&type=chunk)[321](index=321&type=chunk)[323](index=323&type=chunk) - A 'watch list' is maintained to monitor emerging themes and signals[318](index=318&type=chunk)[321](index=321&type=chunk)[323](index=323&type=chunk) [Safety](index=48&type=section&id=8.%20Safety) This chapter emphasizes safety as BHP's core value, detailing strong FY2025 performance with no fatalities and improved injury rates, alongside key elimination and leadership programs FY2025 Safety Performance | Metric | FY2025 | FY2024 | YoY Change | | :--- | :--- | :--- | :--- | | **Fatalities** | **0** | - | - | | **High Potential Injury Frequency (HPIF)** | **0.09** | 0.11 | ▼ **18%** | | **Total Recordable Injury Frequency (TRIF)** | **4.5** | 4.8 | ▼ **7%** | - The Fatality Elimination Program (FEL), a five-year initiative, has concluded its globally-led phase and transitioned to an asset-led model for managing fatal risk controls, embedding its requirements into Global Standards[334](index=334&type=chunk)[335](index=335&type=chunk) - The Global Field Leadership Program is a key driver of safety culture, focusing on leader engagement with frontline teams through Layered Audits, Critical Control Observations, and other structured interactions to verify controls and foster continuous improvement[336](index=336&type=chunk)[338](index=338&type=chunk) [Sustainability](index=52&type=section&id=9.%20Sustainability) This extensive chapter details BHP's comprehensive sustainability approach, governed by Global Standards and the 2030 social value scorecard, covering governance, human rights, people, climate, and community [Our sustainability approach](index=52&type=section&id=9.1%20Our%20sustainability%20approach) - BHP's sustainability approach is defined by its Purpose and Values, governed through Global Standards, and aims to generate both social and shareholder value[355](index=355&type=chunk)[356](index=356&type=chunk)[357](index=357&type=chunk) - The company's disclosures align with multiple global frameworks, including GRI, SASB, and TCFD[355](index=355&type=chunk)[356](index=356&type=chunk)[357](index=357&type=chunk) [Sustainability governance](index=53&type=section&id=9.2%20Sustainability%20governance) - The BHP Board has ultimate responsibility for overseeing sustainability, including safety, health, community, environment, and climate change[365](index=365&type=chunk) - All four standing Board Committees support this oversight[365](index=365&type=chunk) - Management, led by the CEO and Executive Leadership Team (ELT), is accountable for executing sustainability strategy and achieving targets[367](index=367&type=chunk)[370](index=370&type=chunk) - The Operating Committee (OpCo) assists in delivering operational commitments and fostering a culture of safety and performance[367](index=367&type=chunk)[370](index=370&type=chunk) [Material sustainability topics (including human rights)](index=54&type=section&id=9.3%20Material%20sustainability%20topics%20(including%20human%20rights)) - BHP conducts an annual impact materiality assessment to identify key sustainability topics for reporting[369](index=369&type=chunk) - In **FY2025**, 'value chain sustainability' and 'tailings storage facilities' were added to the list of material topics[369](index=369&type=chunk) - In **FY2025**, BHP strengthened its human rights approach by consolidating relevant personnel into a new Ethics, Compliance and Human Rights team and establishing a cross-functional Human Rights Working Group[373](index=373&type=chunk) [2030 goals and social value scorecard](index=56&type=section&id=9.4%202030%20goals%20and%20social%20value%20scorecard) - BHP tracks its progress against six **2030 goals** through an annual social value scorecard[375](index=375&type=chunk) - The pillars are: Decarbonisation, Healthy environment, Indigenous partnerships, Safe inclusive and future-ready workforce, Thriving empowered communities, and Responsible supply chains[375](index=375&type=chunk) FY2025 Social Investment | Category | Amount (US$M) | | :--- | :--- | | **Total Voluntary Social Investment** | **127.8** | | Direct Funding | 92.5 | | Non-operated JV Programs | 19.7 | | BHP Matched Giving Program | 1.3 | | Administrative Costs | 8.6 | | BHP Foundation Operations | 5.7 | [People](index=59&type=section&id=9.5%20People) - In **April 2025**, BHP achieved its aspirational goal of gender balance, with women representing **41.3%** of the employee workforce, more than double the **17.6% in 2016**[392](index=392&type=chunk)[394](index=394&type=chunk) - BHP is on track to meet its Indigenous employment targets in Canada (by **FY2026**) and Australia (by **FY2027**), having already achieved its target in Chile[399](index=399&type=chunk) - Following the transition of Western Australia Nickel (WAN) into temporary suspension, around **1,400 employees** were offered redeployment across BHP, with the majority moving to WAIO[388](index=388&type=chunk) - A payroll review identified issues with leave deductions and allowances for some Australian employees[415](index=415&type=chunk)[418](index=418&type=chunk)[423](index=423&type=chunk) - A remediation program is underway, with payments made to over **14,000 affected former employees** for the leave issue[415](index=415&type=chunk)[418](index=418&type=chunk)[423](index=423&type=chunk) - The total remediation cost remains in line with the previously recognized **US$280 million** pre-tax provision[415](index=415&type=chunk)[418](index=418&type=chunk)[423](index=423&type=chunk) [Health](index=63&type=section&id=9.6%20Health) - In **FY2025**, there was an overall **13% decrease** in the number of employees and contractors potentially exposed to Diesel Particulate Matter (DPM) and Respirable Crystalline Silica (RCS) compared to **FY2024**[429](index=429&type=chunk) - Musculoskeletal illness was the most common occupational illness in **FY2025**, representing **64%** of workforce cases[439](index=439&type=chunk)[443](index=443&type=chunk) - **21 cases** of coal mine dust lung disease (CMDLD) were reported to regulatory services[439](index=439&type=chunk)[443](index=443&type=chunk) - Reports of sexual harassment increased by **3% to 429 in FY2025**, while reports of racial harassment decreased by **6% to 103**[457](index=457&type=chunk)[458](index=458&type=chunk) - Following investigations, **102 cases** of sexual harassment and **24 cases** of racial harassment were established, leading to the termination or removal from site of **100 and 20 individuals**, respectively[457](index=457&type=chunk)[458](index=458&type=chunk) [Ethics and business conduct](index=67&type=section&id=9.7%20Ethics%20and%20business%20conduct) - A simplified and streamlined version of 'Our Code of Conduct' was relaunched in **March 2025** to support clearer, values-driven decision-making[462](index=462&type=chunk) - In **FY2025**, **3,515 reports** were received through BHP's misconduct reporting channels[468](index=468&type=chunk)[469](index=469&type=chunk) - Of the cases closed during the year, **33%** contained one or more established allegations[468](index=468&type=chunk)[469](index=469&type=chunk) - Reports of harassment and bullying decreased by **35% from FY2024**[468](index=468&type=chunk)[469](index=469&type=chunk) - The Compliance function provided input into **21 anti-corruption risk assessments in FY2025**, and **1,675 employees and contractors** undertook additional risk-based anti-corruption training[477](index=477&type=chunk)[478](index=478&type=chunk) [Climate Change](index=69&type=section&id=9.8%20Climate%20Change) - BHP remains on track to meet its medium-term target of at least a **30% reduction** in operational GHG emissions by **FY2030** from an **FY2020** baseline[486](index=486&type=chunk)[497](index=497&type=chunk) - The company's strategy is detailed in its Climate Transition Action Plan (CTAP 2024)[486](index=486&type=chunk)[497](index=497&type=chunk) - Due to a slower pace of development for diesel displacement technology, the estimated operational decarbonization expenditure for the decade to **FY2030** has been revised to **US$0.5 billion**[496](index=496&type=chunk)[497](index=497&type=chunk) - However, BHP anticipates spending at least **US$4 billion** in the **2030s** as technology matures[496](index=496&type=chunk)[497](index=497&type=chunk) - Portfolio resilience was tested against a **1.5°C scenario**, which BHP believes is unlikely to eventuate[516](index=516&type=chunk)[518](index=518&type=chunk) - The assessment indicated the portfolio would be resilient, with increased value in copper, potash, and nickel offsetting some downside risk to steelmaking coal[516](index=516&type=chunk)[518](index=518&type=chunk) - BHP is conducting studies to assess physical climate-related risks (acute and chronic) across its operations using IPCC scenarios with global temperature increases of **1.8°C, 2.7°C, and 4.4°C by CY2100**[529](index=529&type=chunk)[530](index=530&type=chunk)[535](index=535&type=chunk) [Nature and environmental performance](index=84&type=section&id=9.9%20Nature%20and%20environmental%20performance) - BHP's **2030** Healthy environment goal is to create nature-positive outcomes by having at least **30%** of the land and water it stewards under conservation, restoration, or regenerative practices[552](index=552&type=chunk) - In **FY2025**, freshwater withdrawals increased by **46% to 162,740 ML**, primarily due to increased rainfall and runoff at BMA, while water withdrawals in water-stressed areas decreased[561](index=561&type=chunk) - As of **June 30, 2025**, BHP owned, leased, or managed approximately **7.9 million hectares** of land[573](index=573&type=chunk) - About **2%** of this area is disturbed for mining, and of that disturbed land, approximately **14%** is currently rehabilitated[573](index=573&type=chunk) - In **FY2025**, BHP was issued and paid seven fines totaling **US$8,065,961** related to environmental laws and regulations, including a **US$8 million** fine related to water extraction from the Monturaqui aquifer at Escondida[579](index=579&type=chunk)[582](index=582&type=chunk)[584](index=584&type=chunk) [Tailings storage facilities](index=91&type=section&id=9.10%20Tailings%20storage%20facilities) - BHP is committed to aligning all its operated Tailings Storage Facilities (TSFs) with the Global Industry Standard on Tailings Management (GISTM)[590](index=590&type=chunk) - As of **August 2025**, **61 of BHP's 70 TSFs** are aligned with GISTM[591](index=591&type=chunk) - Of the nine partially aligned TSFs, one is classified as 'extreme consequence'[591](index=591&type=chunk) - Third-party validation has been received for **22 TSFs**, representing **92%** of the very high and extreme consequence facilities[591](index=591&type=chunk) [Community](index=92&type=section&id=9.11%20Community) - In **FY2025**, **109 community concerns and complaints**, and one grievance were received through operational grievance mechanisms[597](index=597&type=chunk) - The most frequent theme was conduct and behaviour[597](index=597&type=chunk) - BHP is shifting the focus of its 'Thriving, empowered communities' social value pillar from **FY2026** to measure the outcomes of community programs, while continuing to use co-creation and co-design methodologies where appropriate[602](index=602&type=chunk) [Indigenous peoples](index=95&type=section&id=9.12%20Indigenous%20peoples) - BHP's policy is to respect the rights of Indigenous peoples and seek 'free, prior and informed consent' (FPIC) for new operations and projects that may impact them[614](index=614&type=chunk) - The company is piloting an Indigenous Peoples Risk Assessment (IPRA) process to support this commitment[614](index=614&type=chunk) FY2025 Global Indigenous Procurement Spend | Region | Spend (US$M) | | :--- | :--- | | **Global Total** | **853** | | Australia | 505 | | Canada | 323 | | Chile | 24 | - In Australia, BHP is undertaking a native title agreement-making program with **19 Traditional Owner groups**[623](index=623&type=chunk) - In **FY2025**, new agreements were completed with the Kokatha people for the Oak Dam project and with the Barada Barna people for BMA operations[623](index=623&type=chunk) [Value chain sustainability](index=98&type=section&id=9.13%20Value%20chain%20sustainability) - BHP's **2030** goal for responsible supply chains is to create sustainable, ethical, and transparent supply chains with its partners[638](index=638&type=chunk)[640](index=640&type=chunk) - This is supported by a strategy focused on five key performance standards, including the ICMM Mining Principles and The Copper Mark[638](index=638&type=chunk)[640](index=640&type=chunk) - In **FY2025**, BHP's Chilean operations, Escondida and Spence, were reaccredited against The Copper Mark, recognizing their responsible production practices[642](index=642&type=chunk) - The Responsible Minerals Program (RMP) is BHP's risk-based due diligence framework for minerals sourced from third parties, aligned with OECD guidance[647](index=647&type=chunk)[648](index=648&type=chunk) - In **FY2025**, environmental risks were prioritized for enhanced due diligence within the RMP[647](index=647&type=chunk)[648](index=648&type=chunk) [Samarco](index=100&type=section&id=10.%20Samarco) This chapter details the resolution efforts for the 2015 Fundão dam failure, including a R$170 billion (US$31.7 billion) Settlement Agreement with Brazilian authorities - A definitive Settlement Agreement was reached on **October 25, 2024**, with Brazilian authorities to resolve claims from the **2015 Samarco dam failure**[654](index=654&type=chunk)[655](index=655&type=chunk) - The agreement has a financial value of **R$170 billion** (approx. **US$31.7 billion**) on a 100% basis[654](index=654&type=chunk)[655](index=655&type=chunk) Settlement Agreement Financial Breakdown (100% Basis) | Component | Value (R$ billion) | Value (US$ billion, approx.) | | :--- | :--- | :--- | | **Amounts already spent (to Sep 2024)** | **38** | **7.9** | | **Future payments over 20 years** | **100** | **18.0** | | **Performance obligations** | **32** | **5.8** | | **Total Financial Value** | **170** | **31.7** | - As of **June 30, 2025**, approximately **R$23.3 billion** (**US$4.6 billion**) has been paid in compensation and financial assistance to about **466,000 people**[657](index=657&type=chunk)[663](index=663&type=chunk) - Approximately **98%** of resettlement cases have been completed through construction or cash payments[657](index=657&type=chunk)[663](index=663&type=chunk) - Under the agreement, Samarco is the primary obligor, with BHP Brasil and Vale acting as secondary obligors for **50%** each of any obligation Samarco cannot fund[656](index=656&type=chunk) [Risk factors](index=103&type=section&id=11.%20Risk%20factors) This section identifies principal risks to BHP's business, including operational events, market access, growth portfolio optimization, ethical misconduct, and climate transition - BHP identifies several key risk factors that could materially impact its business, including: * **Operational events**: Failures of facilities like tailings dams, geotechnical instability, and transportation incidents[677](index=677&type=chunk)[680](index=680&type=chunk)[683](index=683&type=chunk) * **Accessing key markets**: Disruptions from geopolitical tensions, trade restrictions, and regulatory changes[677](index=677&type=chunk)[680](index=680&type=chunk)[683](index=683&type=chunk) * **Optimising growth and portfolio returns**: Commodity price volatility and failure to execute on strategic acquisitions or divestments[677](index=677&type=chunk)[680](index=680&type=chunk)[683](index=683&type=chunk) * **Ethical misconduct**: Risks from fraud, corruption, or breaches of law and regulations[677](index=677&type=chunk)[680](index=680&type=chunk)[683](index=683&type=chunk) * **Significant social or environmental impacts**: Adverse impacts on communities, nature, human rights, or cultural heritage[677](index=677&type=chunk)[680](index=680&type=chunk)[683](index=683&type=chunk) * **Adopting technologies and maintaining digital security**: Cybersecurity threats and failure to implement new technologies effectively[677](index=677&type=chunk)[680](index=680&type=chunk)[683](index=683&type=chunk) * **Low-carbon transition**: Risks from policy, technology, and market shifts related to climate change[677](index=677&type=chunk)[680](index=680&type=chunk)[683](index=683&type=chunk) * **Inadequate business resilience**: Failure to prepare for and respond to unforeseeable adverse events[677](index=677&type=chunk)[680](index=680&type=chunk)[683](index=683&type=chunk) [Performance by commodity](index=114&type=section&id=12.%20Performance%20by%20commodity) This chapter provides a detailed financial and operational breakdown for each commodity segment in FY2025, including market analysis, production, financial results, and outlook [Copper](index=114&type=section&id=12.1%20Copper) Copper Segment Performance (FY2025 vs FY2024) | Metric | FY2025 | FY2024 | | :--- | :--- | :--- | | **Revenue** | **US$22,530 M** | US$18,566 M | | **Underlying EBITDA** | **US$12,326 M** | US$8,564 M | | **Total Production** | **2,017 kt** | 1,865 kt | | **Average Realised Price** | **US$4.25/lb** | US$3.98/lb | - Copper's strong financial results were driven by higher average realised prices and an **8% increase** in production volumes, led by record performance at Escondida[756](index=756&type=chunk)[760](index=760&type=chunk) - **FY2026** copper production is expected to be between **1,800 and 2,000 kt**, reflecting planned lower grades in Chile[762](index=762&type=chunk) [Iron Ore](index=116&type=section&id=12.2%20Iron%20Ore) Iron Ore Segment Performance (FY2025 vs FY2024) | Metric | FY2025 | FY2024 | | :--- | :--- | :--- | | **Revenue** | **US$22,919 M** | US$27,952 M | | **Underlying EBITDA** | **US$14,396 M** | US$18,913 M | | **Total Production** | **263 Mt** | 260 Mt | | **Average Realised Price** | **US$82.13/wmt** | US$101.04/wmt | - The decrease in Iron Ore revenue and Underlying EBITDA was primarily due to lower average realised prices, which had a negative impact of **US$4.3 billion** on EBITDA[778](index=778&type=chunk) - WAIO production for **FY2026** is expected to be between **251 and 262 Mt** (**284-296 Mt** on a 100% basis), incorporating a planned car dumper rebuild[780](index=780&type=chunk) [Coal](index=117&type=section&id=12.3%20Coal) Coal Segment Performance (FY2025 vs FY2024) | Metric | FY2025 | FY2024 | | :--- | :--- | :--- | | **Revenue** | **US$5,046 M** | US$7,666 M | | **Underlying EBITDA** | **US$573 M** | US$2,290 M | | **Steelmaking Coal Production** | **18 Mt** | 22 Mt | | **Energy Coal Production** | **15 Mt** | 15 Mt | | **Avg. Realised Steelmaking Coal Price** | **US$193.82/t** | US$266.06/t | - The significant decrease in Coal revenue and Underlying EBITDA was driven by lower average realised prices and the divestment of the Blackwater and Daunia mines in **FY2024**[791](index=791&type=chunk) - BMA production for **FY2026** is expected to be between **18 and 20 Mt** (**36-40 Mt** on a 100% basis)[793](index=793&type=chunk) [Other assets](index=118&type=section&id=12.4%20Other%20assets) - Western Australia Nickel (WAN) production decreased by **63% to 30 kt** as operations transitioned into temporary suspension in **December 2024**[799](index=799&type=chunk)[800](index=800&type=chunk) - WAN recorded an Underlying EBITDA loss of **US$0.6 billion in FY2025**[799](index=799&type=chunk)[800](index=800&type=chunk) - The Potash segment recorded an Underlying EBITDA loss of **US$284 million in FY2025**[802](index=802&type=chunk)[803](index=803&type=chunk) - The Jansen Stage 1 project is **68% complete**, with first production expected around mid-CY2027[802](index=802&type=chunk)[803](index=803&type=chunk) [Impact of changes to commodity prices](index=119&type=section&id=12.5%20Impact%20of%20changes%20to%20commodity%20prices) FY2025 Commodity Price Sensitivity Analysis | Price Change | Impact on Profit After Tax (US$M) | Impact on Underlying EBITDA (US$M) | | :--- | :--- | :--- | | **US¢1/lb on copper** | **29** | **42** | | **US$1/t on iron ore** | **162** | **232** | | **US$1/t on steelmaking coal** | **8** | **11** | | **US$1/t on energy coal** | **9** | **14** | [Non-IFRS financial information](index=120&type=section&id=13.%20Non-IFRS%20financial%20information) This chapter explains the use of non-IFRS financial measures like Underlying Attributable Profit and EBITDA, providing definitions and reconciliations for clearer performance insights - BHP uses non-IFRS financial information to reflect underlying financial performance, excluding the impact of exceptional items to improve comparability between periods[811](index=811&type=chunk)[813](index=813&type=chunk) Reconciliation of Attributable Profit to Underlying Attributable Profit | Year ended 30 June | 2025 (US$M) | 2024 (US$M) | 2023 (US$M) | | :--- | :--- | :--- | :--- | | **Profit after taxation attributable to BHP shareholders** | **9,019** | 7,897 | 12,921 | | Total exceptional items attributable to BHP shareholders | 1,138 | 5,763 | 499 | | **Underlying attributable profit** | **10,157** | **13,660** | **13,420** | Reconciliation of Profit from Operations to Underlying EBITDA | Year ended 30 June | 2025 (US$M) | 2024 (US$M) | 2023 (US$M) | | :--- | :--- | :--- | :--- | | **Profit from operations** | **19,464** | 17,537 | 22,932 | | Exceptional items in profit from operations | 776 | 6,094 | (112) | | **Underlying EBIT** | **20,240** | **23,631** | **22,820** | | Depreciation and amortisation expense | 5,540 | 5,295 | 5,061 | | Impairments (non-exceptional) | 108 | 3,890 | 75 | | Exceptional items in D&A | 90 | (3,800) | – | | **Underlying EBITDA** | **25,978** | **29,016** | **27,956** | [Corporate Governance Statement](index=133&type=section&id=Corporate%20Governance%20Statement) [Corporate governance at BHP](index=134&type=section&id=1.%20Corporate%20governance%20at%20BHP) This section affirms BHP's commitment to good corporate governance, confirming full compliance with ASX recommendations and adherence to LSE and NYSE requirements - BHP confirms full compliance with the ASX Corporate Governance Council's **4th Edition** recommendations for **FY2025**[863](index=863&type=chunk) [FY2025 corporate governance highlights](index=135&type=section&id=2.%20FY2025%20corporate%20governance%20highlights) This section highlights key FY2025 governance activities, including a refreshed Code of Conduct, successful Board Chair succession, and achievement of gender balance goals - A refreshed 'Our Code of Conduct' was approved and published in **FY2025**, with a greater focus on values-driven decision-making[866](index=866&type=chunk) - A key activity was the Chair succession, with Ken MacKenzie retiring on **March 31, 2025**, and Ross McEwan succeeding him[866](index=866&type=chunk) - BHP achieved its aspirational gender balance goal in **April 2025**, with women comprising **41.3%** of the global employee workforce[866](index=866&type=chunk) [BHP's governance structure](index=136&type=section&id=3.%20BHP's%20governance%20structure) This section outlines BHP's governance hierarchy, detailing the Board's ultimate responsibility, matters reserved for it, and support from four standing Committees - The Board has ultimate responsibility for governance, with its role defined in the Board Governance Document[868](index=868&type=chunk)[870](index=870&type=chunk) - Matters reserved for the Board include CEO appointment, strategy and budget approval, dividend policy, and oversight of risk management[868](index=868&type=chunk)[870](index=870&type=chunk) - The Board is assisted by four standing committees: Nomination and Governance, Risk and Audit, Sustainability, and People and Remuneration[872](index=872&type=chunk) [Board composition and succession](index=138&type=section&id=4.%20Board%20composition%20and%20succession) This chapter details BHP's nine-member Board composition, director independence, succession processes, and commitment to diversity, including achieving gender balance - The Board consists of **nine members**, and all current Non-executive Directors, including the Chair, are considered independent[879](index=879&type=chunk)[918](index=918&type=chunk) - A formal succession process led to Ross McEwan being appointed Chair on **March 31, 2025**, succeeding the retiring Ken MacKenzie[926](index=926&type=chunk)[927](index=927&type=chunk) - As of **June 30, 2025**, **44% of Directors** are female, satisfying both ASX and UK Listing Rule gender diversity targets for the Board[947](index=947&type=chunk) - An internal Board performance evaluation was conducted in **FY2025** with the assistance of an external service provider, which supported the re-election of all nominated directors[952](index=952&type=chunk)[955](index=955&type=chunk) [Board Committees](index=148&type=section&id=5.%20Board%20Committees) This section describes the roles of BHP's four standing Board Committees, each assisting in oversight of governance, financial reporting, sustainability, and people/remuneration - The Board has four standing committees: Nomination and Governance, Risk and Audit, Sustainability, and People and Remuneration[958](index=958&type=chunk) - The Risk and Audit Committee is chaired by Michelle Hinchliffe, who is deemed a financial expert under SEC rules, and the committee meets NYSE and Exchange Act independence criteria[966](index=966&type=chunk)[967](index=967&type=chunk) - The committees provide integrated oversight on key issues[964](index=964&type=chunk) - For example, climate change is overseen by the Board with support from all four committees, each addressing different facets like policy, risk, performance, and remuneration linkage[964](index=964&type=chunk) [Management](index=150&type=section&id=6.%20Management) This chapter introduces the Executive Leadership Team (ELT), responsible for key management decisions, and covers processes for senior management succession and performance evaluation - Key management decisions below the Board are made by the CEO and the Executive Leadership Team (ELT)[974](index=974&type=chunk) - The Board conducts a talent deep dive at least annually to evaluate the succession pipeline for critical senior management roles[978](index=978&type=chunk) - A performance evaluation was conducted for all members of the ELT during **FY2025**, with the CEO's evaluation led by the Chair on behalf of the Non-executive Directors[981](index=981&type=chunk) [Shareholders and reporting](index=152&type=section&id=7.%20Shareholders%20and%20reporting) This section details BHP's commitment to effective communication with shareholders and stakeholders through investor relations, site visits, and a robust market disclosure policy - BHP maintains a regular investor relations program to facilitate two-way communication, including direct engagement with institutional and retail shareholders, roadshows, and webcasts[982](index=982&type=chunk)[984](index=984&type=chunk) - Directors conduct site visits to engage directly with the workforce, community members, Indigenous representatives, and other stakeholders to deepen their understanding of operations and material risks[987](index=987&type=chunk) - The company's Market Disclosure and Communications Policy governs the process for timely and balanced disclosure of market-sensitive information to ensure compliance with regulatory obligations[993](index=993&type=chunk) [Culture and conduct](index=155&type=section&id=8.%20Culture%20and%20conduct) This chapter focuses on BHP's commitment to ethical standards, underpinned by its simplified Code of Conduct, and describes confidential reporting channels for misconduct concerns - BHP's Code of Conduct, based on its values (Do what's right, Seek better ways, Make a difference), was reviewed, simplified, and approved by the Board in **FY2025**[999](index=999&type=chunk) - Confidential reporting channels, including an online portal and a 24-hour call service, are available for all stakeholders to raise concerns about misconduct[1001](index=1001&type=chunk) - All significant matters are reported to the Risk and Audit Committee[1001](index=1001&type=chunk) [Risk management and assurance](index=156&type=section&id=9.%20Risk%20management%20and%20assurance) This section details the governance for risk management and assurance, with the Risk and Audit Committee overseeing principal risks and Internal Audit providing independent assurance - The Risk and Audit Committee (RAC) oversees risk management on behalf of the Board, reviewing principal risks and the effectiveness of the Group's risk management and internal control systems at least annually[1003](index=1003&type=chunk) - The CEO and CFO provided a declaration for **FY2025** confirming that financial records were properly maintained and that the opinion was based on a sound and effective system of risk management and internal control[1012](index=1012&type=chunk) - Management concluded that internal control over financial reporting was effective as at **June 30, 2025**, based on the COSO framework, with no material weaknesses identified[1025](index=1025&type=chunk) - Fees paid to the External Auditor, Ernst & Young, in **FY2025** totaled **US$14.753 million**, with **74%** for audit services[1022](index=1022&type=chunk) - The RAC has a policy to safeguard auditor independence regarding non-audit services[1022](index=1022&type=chunk) [US requirements](index=159&type=section&id=10.%20US%20requirements) This section confirms BHP's compliance with NYSE governance requirements for foreign private issuers, disclosing differences regarding auditor appointment and equity-compensation plan approvals - BHP is a foreign private issuer listed on the NYSE and complies with applicable SEC and NYSE governance requirements[1031](index=1031&type=chunk) - Two significant differences from NYSE corporate governance standards are disclosed: 1) Shareholders, not the audit committee, are ultimately responsible for appointing the External Auditor[1032](index=1032&type=chunk)[1033](index=1033&type=chunk) - 2) Shareholder approval is not required for all equity-compensation plans, only for certain awards to the CEO[1032](index=1032&type=chunk)[1033](index=1033&type=chunk) [Directors' Report](index=160&type=section&id=Directors'%20Report) [Review of operations, principal activities and state of affairs](index=160&type=section&id=1.%20Review%20of%20operations,%20principal%20activities%20and%20state%20of%20affairs) This section formally incorporates the detailed review of operations and financial position from the OFR, confirming no significant changes in principal activities during FY2025 - A review of BHP's operations, results, and financial position for **FY2025** is detailed in the Operating and Financial Review (OFR)[1037](index=1037&type=chunk)[1038](index=1038&type=chunk) - There were no significant changes to principal activities or the state of affairs during the fiscal year[1037](index=1037&type=chunk)[1038](index=1038&type=chunk) [Directors](index=160&type=section&id=2.%20Directors) This section lists directors who served in FY2025 and provides a table detailing their attendance at Board and Committee meetings, confirming 14 Board meetings - The Board of Directors met **14 times during FY2025**[1041](index=1041&type=chunk)[1044](index=1044&type=chunk) - A table details the attendance of each director at Board and relevant Committee meetings[1041](index=1041&type=chunk)[1044](index=1044&type=chunk) [Share interests](index=161&type=section&id=3.%20Share%20interests) This section discloses shareholdings of Directors and Executive KMP as of August 19, 2025, confirming all Non-executive Directors met minimum shareholding requirements - Non-executive Directors are required to apply at least **25%** of their remuneration to purchase BHP shares until reaching a minimum holding equivalent to one year's fees[1047](index=1047&type=chunk) - All directors have met this requirement as of **June 30, 2025**[1047](index=1047&type=chunk) Director Shareholdings (as at 19 August 2025) | Director | Number of Shares Held | | :--- | :--- | | Ross McEwan (Chair) | **45,000** | | Mike Henry (CEO) | **478,035** | | Xiaoqun Clever-Steg | **10,000** | | Gary Goldberg | **24,000** | | Michelle Hinchliffe | **12,330** | | Don Lindsay | **10,000** | | Christine O'Reilly | **10,620** | | Catherine Tanna | **10,400** | | Dion Weisler | **11,494** | [Share capital and buy-back programs](index=162&type=section&id=4.%20Share%20capital%20and%20buy-back%20programs) This section states BHP conducted no share buy-backs in FY2025 and details the issuance of 4,461,418 ordinary shares to satisfy employee equity awards - BHP did not conduct any share buy-back programs during **FY2025**[1053](index=1053&type=chunk) - During or since the end of **FY2025**, **4,461,418 fully paid ordinary shares** were issued to satisfy employee equity awards[1055](index=1055&type=chunk) [Group Company Secretary](index=162&type=section&id=5.%20Group%20Company%20Secretary) This section identifies Stefanie Wilkinson as the Group Company Secretary and refers to the Corporate Governance Statement for her qualifications and experience - Stefanie Wilkinson is the Group Company Secretary[1057](index=1057&type=chunk) [Indemnities and insurance](index=163&type=section&id=6.%20Indemnities%20and%20insurance) This section details indemnities for Directors and Officers, discloses US$12,447,150 in D&O insurance premiums for FY2025, and confirms no indemnities were called upon - BHP provides indemnities to its Directors and Officers as permitted by law and its Constitution[1058](index=1058&type=chunk) - The premium paid for Directors' and Officers' insurance during **FY2025** was **US$12,447,150**[1063](index=1063&type=chunk) [Dividends](index=163&type=section&id=7.%20Dividends) This section confirms a final dividend of 60 US cents per share, bringing the total dividends for FY2025 to 110 US cents per share - A final dividend of **60 US cents per share** was determined, bringing the total dividend for **FY2025 to 110 US cents per share**[1065](index=1065&type=chunk) [Non-audit services](index=163&type=section&id=9.%20Non-audit%20services) This section states Directors concluded that non-audit services by the External Auditor did not compromise independence, supported by the Risk and Audit Committee's advice - The Directors have concluded that the provision of non-audit services by the External Auditor did not compromise auditor independence, based on advice from the Risk and Audit Committee[1067](index=1067&type=chunk) [Performance in relation to environmental regulation](index=164&type=section&id=13.%20Performance%20in%20relation%20to%20environmental%20regulation) This section discloses BHP was levied and paid seven fines totaling US$8,065,962 in FY2025 for environmental law and regulation breaches at its operated assets - In **FY2025**, BHP was levied and paid seven fines totaling **US$8,065,962** in relation to environmental laws and regulations at its operated assets[1073](index=1073&type=chunk) [Remuneration Report](index=165&type=section&id=Remuneration%20Report) [Letter from the People and Remuneration Committee Chair](index=165&type=section&id=Letter%20from%20the%20People%20and%20Remuneration%20Committee%20Chair) The Chair reviews BHP's FY2025 performance and its link to executive remuneration, confirming the framework's effectiveness and detailing CDP and LTIP outcomes - The CEO's **FY2025** Cash and Deferred Plan (CDP) outcome was **110% of target**, reflecting strong safety and sustainability performance (**34% vs 25% target**) and financial results (**53% vs 50% target**)[1081](index=1081&type=chunk)[1082](index=1082&type=chunk)[1083](index=1083&type=chunk) - The outcome for Group and personal measures was **23%** (vs **25% target**), which included consideration of the disappointing cost and schedule update for the Jansen Stage 1 project[1081](index=1081&type=chunk)[1082](index=1082&type=chunk)[1083](index=1083&type=chunk) - The **2020** Long Term Incentive Plan (LTIP) award, which concluded its five-year performance period on **June 30, 2025**, vested at **33%**[1085](index=1085&type=chunk) - This was based on BHP's total shareholder return (TSR) performance of **85%** over the period[1085](index=1085&type=chunk) - For **FY2026**, the CEO's base salary will increase by **4%**, effective **September 1, 2025**[1088](index=1088&type=chunk) - This is aligned with the average salary increase for the wider BHP workforce[1088](index=1088&type=chunk) [Our Key Management Personnel](index=169&type=section&id=Our%20Key%20Management%20Personnel) This section identifies BHP's Key Management Personnel (KMP) for the reporting period, listing current and former Non-executive Directors and Executive Leadership Team members - BHP's Key Management Personnel (KMP) are defined as Directors and certain members of the Executive Leadership Team (ELT) with authority for planning, directing, and controlling the company's activities[1097](index=1097&type=chunk) [Remuneration Governance](index=169&type=section&id=Remuneration%20Governance) This section outlines BHP's remuneration governance structure, involving the Board, People and Remuneration Committee, management, and external advisors for strategic alignment - BHP's remuneration governance structure involves the Board, the People and Remuneration Committee, management, and independent external advisors to ensure alignment with strategy and shareholder interests[1098](index=1098&type=chunk) [Paying competitively](index=170&type=section&id=Paying%20competitively) This section explains BHP's data-driven approach to setting competitive executive remuneration, benchmarking against global companies in the resources sector to attract talent - BHP benchmarks its Executive KMP remuneration against comparable positions in global companies of similar scale and complexity to attract and retain top talent[1104](index=1104&type=chunk) [Key terms of our variable remuneration framework and equity plans](index=171&type=section&id=Key%20terms%20of%20our%20variable%20remuneration%20framework%20and%20equity%20plans) This section details the key terms of BHP's Cash and Deferred Plan (CDP) and Long Term Incentive Plan (LTIP), outlining their structure, vesting conditions, and performance reviews - The Cash and Deferred Plan (CDP) is an annual award based on a scorecard (**25% Safety & Sustainability, 50% Financial, 25% Group & Personal**)[1110](index=1110&type=chunk) - One-third is paid in cash, and two-thirds are deferred into equity vesting over **two and five years**[1110](index=1110&type=chunk) - The Long Term Incentive Plan (LTIP) has a **five-year performance period**[1110](index=1110&type=chunk) - Vesting is based on relative Total Shareholder Return (TSR) against two comparator groups: the MSCI World Metals and Mining Index (**67% weighting**) and the MSCI World Index (**33% weighting**)[1110](index=1110&type=chunk) - Vesting of both the **5-year CDP award** and the LTIP award is subject to a holistic review of performance over the five-year period, covering safety, sustainability, financial performance, governance, and conduct[1111](index=1111&type=chunk) [Remuneration mix](index=173&type=section&id=Remuneration%20mix) This section illustrates the potential total remuneration mix for the CEO and other Executive KMP, comprising fixed pay, CDP, and LTIP, emphasizing performance-based outcomes - The remuneration for Executive KMP is structured with a mix of fixed pay, a short-term cash incentive (CDP), and medium to long-term equity incentives (CDP Deferred Rights and LTIP Performance Rights) to align with both annual and long-term performance[1117](index=1117&type=chunk)[1119](index=1119&type=chunk) [Remuneration for Executive KMP](index=173&type=section&id=Remuneration%20for%20Executive%20KMP) This section provides detailed FY2025 remuneration outcomes for Executive KMP, including the CEO's above-target CDP award and the 33% vesting of the 2020 LTIP CEO FY2025 CDP Scorecard Outcome | Category | Target Weighting | Actual Outcome | | :--- | :--- | :--- | | **Safety and sustainability** | **25%** | **34%** | | **Financial (ROCE)** | **50%** | **53%** | | **Group and personal** | **25%** | **23%** | | **Total** | **100%** | **110%** | - The **2020 LTIP award**, covering the performance period from **July 1, 2020, to June 30, 2025**, vested at **33%**[1150](index=1150&type=chunk)[1152](index=1152&type=chunk) - This was based on BHP's TSR of **85%**, which was above the **50th percentile** but below the **80th percentile** of both its sector and global comparator groups[1150](index=1150&type=chunk)[1152](index=1152&type=chunk) CEO Remuneration Received (Non-Statutory) | Component | FY2025 (US$'000) | FY2024 (US$'000) | | :--- | :--- | :--- | | Base salary | **1,881** | 1,808 | | Benefits | **54** | 35 | | Pension | **188** | 181 | | CDP (Cash & Deferred) | **4,965** | 3,113 | | LTIP (Vested) | **1,884** | 3,329 | | **Total** | **8,972** | **8,466** | [Remuneration for Non-executive Directors](index=178&type=section&id=Remuneration%20for%20Non-executive%20Directors) This section details Non-executive Director remuneration, consisting of fixed fees without performance-based or equity components, confirming no fee increases for FY2026 - Non-executive Directors receive fixed fees and do not participate in any performance-based incentive plans or receive equity awards[1164](index=1164&type=chunk) Non-executive Director Fees (FY2025 & FY2026) | Role | Annual Fee (US$) | | :--- | :--- | | **Group Chair** | **962,000** | | **Base Annual Fee (Director)** | **175,000** | | **Senior Independent Director (additional)** | **53,000** | | **Risk and Audit Committee Chair (additional)** | **66,000** | - There will be no increase in the fees for the Group Chair or Non-executive Directors for **FY2026**[1172](index=1172&type=chunk) [Financial Statements](index=184&type=section&id=Financial%20Statements) [Consolidated Income Statement](index=280&type=section&id=1.1%20Consolidated%20Income%20Statement) The Consolidated Income Statement for FY2025 shows decreased revenue to US$51.3 billion but increased profit attributable to shareholders to US$9.0 billion Consolidated Income Statement Highlights (Year ended 30 June) | Metric (US$M) | 2025 | 2024 | 2023 | | :--- | :--- | :--- | :--- | | **Revenue** | **51,262** | 55,658 | 53,817 | | **Profit from operations** | **19,464** | 17,537 | 22,932 | | **Profit after taxation** | **11,143** | 9,601 | 14,324 | | **Attributable to BHP shareholders** | **9,019** | 7,897 | 12,921 | | **Basic earnings per share (cents)** | **177.8** | 155.8 | 255.2 | [Consolidated Balance Sheet](index=283&type=section&id=1.3%20Consolidated%20Balance%20Sheet) The Consolidated Balance Sheet as of June 30, 2025, shows increased total assets to US$108.8 billion and total liabilities to US$56.6 billion, resulting in higher net assets Consolidated Balance Sheet Highlights (as at 30 June) | Metric (US$M) | 2025 | 2024 | | :--- | :--- | :--- | | **Total assets** | **108,790** | 102,362 | | **Total liabilities** | **56,572** | 53,242 | | **Net assets** | **52,218** | 49,120 | | **Total equity** | **52,218** | 49,120 | [Consolidated Cash Flow Statement](index=284&type=section&id=1.4%20Consolidated%20Cash%20Flow%20Statement) The Consolidated Cash Flow Statement for FY2025 reports decreased net operating cash flows to US$18.7 billion and increased net investing cash outflows to US$13.4 billion Consolidated Cash Flow Statement Highlights (Year ended 30 June) | Metric (US$M) | 2025 | 2024 | 2023 | | :--- | :--- | :--- | :--- | | **Net operating cash flows** | **18,692** | 20,665 | 18,701 | | **Net investing cash flows** | **(13,350)** | (8,762) | (13,065) | | **Net financing cash flows** | **(5,971)** | (11,669) | (10,315) | | **Net (decrease)/increase in cash** | **(629)** | 234 | (4,679) | [Additional information](index=185&type=section&id=Additional%20information) [Information on mining operations](index=185&type=section&id=1.%20Information%20on%20mining%20operations) This section provides detailed tabular information for BHP's mining operations across Minerals Australia and Minerals Americas, including location, ownership, and facilities - Detailed operational information is provided for key assets including WAIO (Iron Ore), BMA (Coal), NSWEC (Coal), Nickel West, Copper South Australia, Escondida (Copper), Pampa Norte (Copper), Antamina (Copper), Resolution (Copper), Vicuña (Copper), Samarco (Iron Ore), and Jansen (Potash)[1195](index=1195&type=chunk)[1202](index=1202&type=chunk)[1208](index=1208&type=chunk) [Financial information summary](index=208&type=section&id=2.%20Financial%20information%20summary) This section presents a five-year summary of key financial data from audited statements, including IFRS and non-IFRS measures, offering a historical performance perspective Five-Year Financial Summary (US$M, unless otherwise stated) | Metric | 2025 | 2024 | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | :--- | :--- | | **Revenue** | **51,262** | 55,658 | 53,817 | 65,098 | 56,921 | | **Attributable profit** | **9,019** | 7,897 | 12,921 | 30,900 | 11,304 | | **Net operating cash flows** | **18,692** | 20,665 | 18,701 | 32,174 | 27,234 | | **Net debt** | **12,924** | 9,120 | 11,166 | 333 | 4,121 | | **Underlying EBITDA** | **25,978** | 29,016 | 27,956 | 40,634 | 35,073 | | **Dividends per share (US cents)** | **110.0** | 146.0 | 170.0 | 325.0 | 301.0 | [Financial information by commodity](index=209&type=section&id=3.%20Financial%20information%20by%20commodity) This section provides a detailed financial breakdown by commodity for FY2025 and prior years, including revenue, EBITDA, and capital expenditure for each segment FY2025 Financials by Commodity (US$M) | Segment | Revenue | Underlying EBITDA | Capital Expenditure | | :--- | :--- | :--- | :--- | | **Copper** | **22,530** | **12,326** | **4,392** | | **Iron Ore** | **22,919** | **14,396** | **2,617** | | **Coal** | **5,046** | **573** | **525** | | **Group and unallocated** | **767** | **(1,317)** | **1,864** | | **Total Group** | **51,262** | **25,978** | **9,398** | [Production](index=212&type=section&id=4.%20Production) This section presents a detailed three-year production table for all BHP operat

Core Insights - BHP reported a decline in annual profits to the lowest level in five years due to falling iron ore and coal prices, indicating a mixed global economic outlook [1] - For the fiscal year ending June 2025, total revenue decreased by 8% to $51.3 billion, while profit fell by 26% to $10.2 billion [1] - Increased copper production helped offset weakness in other commodities, contributing 45% to the company's underlying earnings, with copper output growing by 28% over the past three years [1] - The company noted record iron ore and copper production for the fiscal year, with demand from major Asian export markets helping to mitigate the impact of an unstable overall trade environment [1]

So joining me now in an exclusive interview is Mike Henry, BHP's CEO. Mike, it's great to have you back on the show. Welcome.Great to be here. So let's start right there because you did just put out your fiscal 2025 results. Profit came in a little softer than expected by the street.Um but you did pay a bigger than expected dividend and you did say that global demand for commodities remains resilient. Uh why is that the case. Where are you seeing it.Look, so so we're seeing pretty strong growth in China. Th ...

Core Insights - BHP Group Limited reported a 26% year-over-year decrease in underlying attributable profit from continuing operations at $10.2 billion for fiscal 2025, primarily due to declining iron ore and coal prices, although record production volumes in copper and iron ore partially offset this decline [1][10]. Financial Performance - Underlying earnings per share were $2.00, down from $2.70 in fiscal 2024, while earnings per American Depositary Share (ADS) were $4.00, lower than $5.40 in the previous year, but exceeded the Zacks Consensus Estimate of $3.87 [2]. - Revenues for fiscal 2025 totaled $51.3 billion, missing the Zacks Consensus Estimate of $52.1 billion and representing an 8% decrease from the prior fiscal year [3]. - The Iron ore segment's revenues fell 18% year over year to approximately $23 billion, while revenues in the Copper segment increased 21.4% to $22.5 billion, and the Coal segment's revenues plunged 34.2% to $5 billion [3][10]. - Underlying EBITDA decreased 10.6% from the prior year to $26 billion, with an EBITDA margin of 53%, down from 54% [7]. Production Highlights - Total iron ore production for fiscal 2025 reached a record 263 million tons (Mt), up 1% year over year, aligning with the company's guidance [4]. - Copper production rose 8% year over year to a record 2,017 kilotons (kt), while nickel output was 30.2 kt, which was 63% lower year over year [6]. Operational Efficiency - Profit from operations increased 11% year over year to $19.4 billion, and attributable profit for total operations increased 14% year over year to $9 billion [8]. - Net operating cash flow for fiscal 2025 was $18.7 billion, down from $20.7 billion in fiscal 2024, attributed to lower realized prices [9]. Investment and Capital Expenditure - The company invested $2.1 billion to acquire a 50% interest in the Vicuña joint venture, with total capital and exploration expenditure amounting to $9.8 billion, up 6% from the prior fiscal year [11]. Future Guidance - BHP Group's iron ore production guidance for fiscal 2026 is set at 258-269 Mt, with copper production expected to be between 1,800-2,000 kt [12].

Core Viewpoint - Morgan Stanley maintains an "overweight" rating on BHP with a target price of 44 AUD, despite the stock rising 18% since June, outperforming the ASX200 index which increased by 5% [1] Group 1: Financial Performance - For the fiscal year 2025, BHP's EBITDA is projected to be 26 billion USD and net profit at 10.2 billion USD, aligning with Morgan Stanley's and consensus expectations [1] - The final dividend per share is set at 0.60 AUD, exceeding Morgan Stanley's forecast of 0.49 AUD and consensus estimate of 0.51 AUD, with a payout ratio of 60% [1] Group 2: Cost Guidance - The new cost guidance for Western Australia Iron Ore (WAIO) for fiscal year 2026 is approximately 19 USD per ton, lower than Morgan Stanley's expectations and closer to consensus [1] - Cost guidance for copper and coking coal remains largely in line with Morgan Stanley's expectations [1] Group 3: Capital Expenditure and Debt - Mid-term capital expenditure has been reduced from 11 billion USD to 10 billion USD due to project rescheduling and a decrease in low-carbon spending [1] - BHP has adjusted its net debt target range from 5 billion to 15 billion USD to 10 billion to 20 billion USD, leading to a 4% increase in earnings expectations for 2026 due to lower costs [1]

智通财经APP获悉，全球两大矿业巨头的首席执行官会见了美国总统特朗普并讨论了一个铜矿项目，该 项目有望在未来几十年为美国提供相当于其需求四分之一的铜供应。力拓(RIO.US)首席执行官Jakob Stausholm发布的一则帖子透露，他与即将接任的Simon Trott，以及必和必拓(BHP.US)首席执行官Mike Henry共同会见了特朗普，讨论位于亚利桑那州的Resolution项目。 特朗普政府将恢复美国金属和矿产生产作为一项关键优先事项，其中就包括铜——一种对能源转型和传 统用途至关重要的大宗商品。特朗普政府在此前宣布对一系列铜制品征收关税，尽管精炼铜并未被涵盖 在铜关税内。数据显示，基准伦敦铜期货今年以来已上涨了约11%，目前接近每吨9700美元。 Jakob Stausholm在帖子中表示："今天，我与Simon Trott一同前往白宫，会见了美国总统特朗普、内政 部长Doug Burgum以及其他官员，讨论力拓在为美国提供铜和其他关键矿产方面的重要作用。"他补充 称，双方讨论了Resolution项目及其在提供美国国内供应方面的潜力。 力拓在一份声明中表示，谈话的核心是"行业在提供长期国内铜和 ...

Group 1 - Citigroup has downgraded BHP Group's rating from Buy to Neutral [1]