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Highlights

  • BHP share price up 0.5% to AU$36.29 after third-quarter production update
  • Copper and iron ore production set new records despite market challenges
  • Met coal production hit by heavy rainfall, down 35% year on year

The BHP Group Ltd (ASX: BHP) share price has risen by 0.5%, reaching AU$36.29, following the release of the mining giant's third-quarter update. This increase in share price comes after the company reported strong production figures for copper and iron ore, although there were some challenges in other areas.

For the three months ending 31 March, BHP reported copper production of 513.2kt, which was flat compared to the previous quarter but marked a 10% increase from the same period last year. As a result, the company’s copper production has reached 1,500.2kt for the financial year to date, a record for BHP. On the iron ore front, production fell by 7% quarter on quarter, but remained steady when compared to the same period last year at 61.8Mt. BHP’s iron ore production has also set a new record for the year-to-date, totaling 192.6Mt.

BHP's CEO, Mike Henry, highlighted the resilience of the business, noting the record copper and iron ore production despite facing challenging market conditions. He emphasized the company's performance at Escondida, where output rose by 20%, and also at Spence and Copper SA. The company’s WA iron ore operations were also praised for their supply chain excellence, particularly in delivering record tonnes from the Central Pilbara hub.

However, BHP’s met coal production was a disappointment, falling 35% year on year to 3.9Mt, largely due to severe rainfall, which Henry described as the highest wet season in over a decade. Despite this setback, BHP remains optimistic about its ability to navigate challenges, including trade tariffs, and is on track to meet its production guidance for FY2025.