We have a simple and diverse portfolio of tier one assets around the world, with low-cost options for future growth and value creation. Our assets are high quality and largely located in low-risk locations, with strong development potential.
In addition to having the right assets in the right commodities, we also create value in the way we operate our assets. Our Operating Model allows us to leverage integrated systems and technology, replicate expertise and apply high standards of governance and transparency.
We are among the world’s top producers of major commodities, including iron ore, metallurgical coal and copper. We also have substantial interests in oil, gas and energy coal.
Our strategy is to have the best capabilities, best commodities and best assets to create long-term value and high returns.
We aspire to have industry-leading capabilities applied to a portfolio of world-class assets in the most attractive commodities. This involves:
- Culture and capabilities that enable the execution of our business strategy
- Highly attractive commodities with high economic rent potential that match our capabilities
- World-class assets that are resilient through the cycle, have embedded growth options and match our capabilities
Our strategy maximises value and returns.
We have a simple and diverse portfolio of tier one assets. They are long life, low cost and expandable. To extract the most value and the highest returns from our assets we apply our values and culture, operate them safely and productively, and deploy technology.
This has worked for shareholders. Since 2016 we have:
- strengthened our balance sheet through a US$17 billion reduction in net debt;
- reinvested US$27 billion in development options;
- importantly, returned more than US$29 billion to shareholders.
To maintain this track record, we must make the most of our portfolio and develop options that secure success. Future success depends not only on our commitment to capital discipline but also social value, which is our contribution to our people, the environment and communities. It informs the way in which we provide resources, achieve commercial success and make our workplace safe.
We have a responsibility to produce strong commercial, sustainable and social outcomes for our shareholders, communities and society. This inspired us to refresh our purpose to acknowledge people as the driving force behind our achievements and reflect our broader contribution.
Our Transformation program will continue to simplify the way we work, increase our workforce capability, establish innovative partnerships and create more stable and predictable operations, with the aim of unlocking more value. The Transformation program includes:
- the BHP Operating System, which will change the way we work;
- World Class Functions, designed to simplify and remove bureaucracy;
- Centres of Excellence that help us be at the forefront of change;
- Value Chain Automation, which will change the way we operate.
- improve operational stability;
- make a quantum shift in safety, performance and value;
- continue to increase productivity;
- establish flexibility to rapidly capture opportunities.
We also have broad development options and exploration licences in many of the world’s premier basins, which could create significant shareholder value over the long term. These options cover a range of risk, return and optionality metrics and are diversified by commodity and geography.
We operate under a Dual Listed Company structure with two parent companies (BHP Group Limited and BHP Group Plc) operated as if we were a single economic entity, which we refer to as BHP. We are run by a unified Board and management.
How our DLC works