BHP Organic Copper Growth Flag, Allure As, is silent for a large purchase
The largest mining company in the world, BHP BHP, hears a solid copper potential and marks the United States investment appeal on Monday, but is silent about the prospects of large purchases, when the peak executives provide direction to shareholders.
CEO Mike Henry and Chief Financial Officer Vandita Pant answered the selected question in the first great opportunity to talk to investors since the blockbuster binder last week from the target of Anglo American AAL and Teck Resources Teck.
Their answers focused on the growth potential of Argentina BHP copper assets, United States investment allure, and production delays in the Jansen Potash Project BHP in Canada.
It is not clear whether all questions raised by the shareholders are asked. BHP did not immediately reply to requests for comments about how he chose questions to be answered.
“The story of copper growth for BHP is one of the big stories,” Henry said. “We have made so much progress … We now have four large copper growth basins above the 28% copper growth that we have seen in recent years.”
The basins include the Vicuna 50-50 joint venture with Lundin Mining Lun in Argentina, a US resolution binder with Rio Tinto Rio, Escondida in Chile and South Australian copper operation BHP.
Henry avoided the question whether the miners were interested in buying NGEX Minerals Ngex listed in Toronto which was also active in the Vicuna Argentina District. NGEX did not respond to requests for comments outside of office hours.
Questions about the merger and acquisition of large tickets are not handled. The Ango-Teck $ 53 billion which was announced last week is widely expected to spur more M&A actions, in a breakthrough after years of failed consolidation efforts in the mining sector.
The agreement came more than a year after BHP canceled the offer of $ 49 billion for Anglo who in one acquisition would increase the ownership of Australian miners in copper, considered important for energy transitions.
Investors and bankers told Reuters last week that they did not expect BHP to gather agreement at this time, because it focused on expanding the assets of copper itself during the leadership reform period.
Henry also said the United States, with half of the cost of Australian electricity, was focused on drawing in mining investment, because Australia reviewed productivity.
He also acknowledged that the level of internal return that was anticipated by BHP from Jansen’s investment would be under pressure after increasing the estimated capital expenditure in July and encouraging the first production.
Source: Reuters
