Fourth-quarter copper and iron ore output missed estimates, and BHP said fiscal 2027 copper production will likely fall as grades decline at Escondida in Chile.
BHP Group said it produced a record amount of iron ore in the year ended June 30, while copper output slipped 3% from the previous 12 months to 1.95 million metric tons. In the June quarter, copper production fell to 491.9 thousand metric tons from 516.2 Kt a year earlier and came in slightly below the Visible Alpha estimate of 492.7 Kt, as lower output at Escondida and Pampa Norte weighed on volumes. The miner also said production at Copper South Australia was hit by an unexpected underground conveyor belt failure at Carrapateena, with the recovery expected to result in up to eight weeks of mine production impact. BHP forecast fiscal 2027 copper production of 1,650 Kt to 1,800 Kt, below fiscal 2026 output of 1,952.8 Kt, citing a grade decline at Escondida. Quarterly iron ore production from Western Australia was 74.8 million metric tons on a 100% basis, below the 75.1 Mt Visible Alpha consensus and down from 77.5 Mt a year earlier, while average realised iron ore prices rose 3% to $84.56 per wet metric ton in fiscal 2026. The company also approved $900 million for the Ministers North iron ore project in Pilbara, with first output expected in fiscal 2029.