BHP Expects Annual Copper Output in Upper Half of Guidance, Finishes China Iron-Ore Negotiations

By Rhiannon Hoyle

BHP Group said Wednesday that it expects annual copper production to be in the upper half of its guidance range, and that output costs at the giant Escondida mine in Chile are likely to be lower than previously anticipated.

The Australia-based miner reduced unit cost guidance at Escondida to between $1.00 and $1.20 a pound, from $1.20 to $1.50 a pound previously. That reflects the increased contribution of by-product credits and a strong operational performance, it said.

Group copper production guidance for the year through June is between 1.9 million and 2.0 million metric tons.

BHP also said that it has concluded iron-ore sales contract negotiations with the China Mineral Resources Group, without elaborating.

The world's biggest miner by market value made the remarks its third-quarter production result, in which it reported a 7% drop in copper output year over year and a 2% rise in iron-ore production.

Chief Executive Mike Henry sought to reassure investors that the company was well positioned to handle cost pressures being driven by conflict in the Middle East.

"Our centralized procurement capability and our low-cost operations have positioned us advantageously in the face of industry wide pressure on the cost of energy and consumables as a result of the conflict in the Middle East," he said.

Write to Rhiannon Hoyle at rhiannon.hoyle@wsj.com

(END) Dow Jones Newswires

April 21, 2026 19:27 ET (23:27 GMT)