BHP has achieved new records from its Western Australian Iron Ore (WAIO) and Olympic Dam operations, while also revealing it has identified a new copper porphyry system in the US.
WAIO production reached a new high of 188 million tonnes (212.6 million tonnes on 100 per cent basis) for the nine-month period to March 31, which BHP attributed to strong supply chain performance and reduced COVID-related impacts. This has contributed to a record year of WAIO lump sales so far.
The major miner said South Flank’s production ramp-up remains on track to reach 80 million tonnes per annum (Mtpa) by the end of the 2023-24 financial year (FY24), while the transition to autonomous haul trucks is expected to be completed by the end of 2023.
WAIO production guidance for FY23 remains unchanged at between 246–256Mt (278– 290Mt on a 100 per cent basis).
Copper production increased 12 per cent to 1.24Mt for the nine months to March 31 when compared to the prior corresponding period (pcp) of FY22. This was supported by improved performances from Olympic Dam and Pampa Norte, which made up for a 7 per cent drop in Escondida copper production.
Olympic Dam copper production jumped 88 per cent to 156,000 tonnes for the nine months to March 31, which came as BHP conducted a major smelter maintenance campaign across the December 2021 and March 2022 quarters. This saw Olympic Dam deliver a new record for concentrate smelted across the nine-month period.
BHP said it also achieved record gold production from Olympic Dam in the March quarter following the completion of debottlenecking initiatives.
Pampa Norte, which consists of the Spence and Cerro Colorado mines in Chile, boosted its production by 8 per cent to 220,000 tonnes across the nine months to March 31.
Coinciding with the improved performances of Olympic Dam and Pampa Norte, BHP recently closed its acquisition of OZ Minerals, which will add the Prominent Hill and Carrapateena copper mines to its portfolio.
The major said it has also identified a new copper prospect nearby its Resolution project in the US. Ocelot is a porphyry system that has shown exploration promise since BHP started drilling the area in 2019, with 10 of 12 drill holes intersecting porphyry-style copper mineralisation.
Ocelot is in an early exploration stage, with two more holes to be completed in the current drill program. This is expected to be completed in May.
BHP chief executive officer Mike Henry said the company also aimed to have up to 10 drill rigs turning at its Oak Dam exploration project in South Australia in the next few months.
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