Our ambition

We acknowledge that the nature of our mining operations across their life cycle can have direct impacts on biodiversity (e.g., clearing of native vegetation), but also dependencies for safe and reliable operations on the services provided by healthy and functioning ecosystems (e.g., stable water supply and climate regulation).  

Our 2030 Healthy environment goal is designed to drive BHP’s contribution to national and global efforts to halt and reverse biodiversity loss, by seeking to create nature-positive² outcomes by having at least 30 per cent of the land and water we steward³ under conservation, restoration or regenerative practices by the end of FY2023. 

As at 30 June 2023, BHP owned, leased or managed an area of just under 6.5 million hectares⁴ with just over 2 per cent disturbed (physical or chemical alteration that substantially disrupts the pre-existing habitats and land cover) for mining operation purposes. We expect this percentage to increase in FY2024 reporting, once OZ Minerals is included. The other 98 per cent of areas under our stewardship provides a significant opportunity to take actions that contribute to nature-positive outcomes.

_{¹UN Report: Nature's Dangerous Decline 'Unprecedented'; Species Extinction Rates 'Accelerating' - United Nations Sustainable Development.} 

<sub>²Nature positive is defined by the World Business Council for Sustainable Development (WBCSD)/TNFD as ‘A high-level goal and concept describing a future state of nature (e.g. biodiversity, ecosystem services and natural capital) which is greater than the current state.’ It includes land and water management practices that halt and reverse nature loss – that is, supporting healthy, functioning ecosystems. 
 
³Excluding greenfield exploration licences (or equivalent tenements), which are located outside the area of influence of our existing mine operations. 30 per cent will be calculated based on the areas of land and water that we steward at the end of FY2030. For more information refer to the BHP ESG Standards and Databook 2023.   

⁴This figure excludes areas we hold under greenfield exploration licenses (or equivalent tenements) and does not include the areas that we now steward following the acquisition of OZ Minerals. The OZ Minerals areas will be included in our land, water and biodiversity data from FY2024. The area we own, lease or manage has decreased by less than 1 per cent from FY2022.</sub> 

Our approach and position

Biological diversity in all its forms, from genes to species and ecosystems, is essential to maintain the services we all depend on for the clean air, water and food needed to survive, and the habitats we depend on to regulate our climate. Rapid declines in biodiversity represent an existential threat to humanity. BHP recognises our role both in the approach we take to activities across our operational and non-operational footprint on the land and water we steward, and our contribution to global goals at landscape scales to help enable nature’s realms (land, oceans, fresh water and atmosphere) to sustain the ecosystem services on which the world relies to provide future value, optionality and continued prosperity. 

BHP has developed a Group-level biodiversity strategy to align action across our business and help deliver our 2030 Healthy environment goal. A Group-level strategy enables us to clearly articulate our strategic priorities for work, which can be used to inform important decision-making processes across the full life cycle of our mining operations and other activities. Our purpose statement for our approach biodiversity will be used to engage and inspire our workforce: ‘By 2030, biodiversity is understood, valued and re-balanced to create ‘nature-positive’ outcomes (through our Healthy environment goal)’. Actions that we believe are needed to deliver on our purpose have commenced under our three strategic priority areas (described further in the Performance section):

• Valuing natural capital – to ensure biodiversity is ascribed value in BHP’s investment and operational decisions through the integration of ‘natural capital’ into strategy, planning, risk management and evaluation frameworks
• Innovation and collaboration – partner and work with others externally to address technical biodiversity knowledge gaps, regional biodiversity policy and governance, and shared biodiversity challenges in the areas where BHP operates and in our value chain; and
• Nature-related disclosures – disclose biodiversity-related impacts and dependencies, risk management and performance. BHP was selected to join the Taskforce on Nature-related Financial Disclosures (TNFD) Forum, which has the goal to ‘support a shift in global financial flows away from nature-negative outcomes and toward nature-positive outcomes’ via the development of a reporting framework to manage and disclose nature-related risks. 

Risk

Our operated assets are required to identify and map key features and define the area of influence for important biodiversity and/or ecosystems. In accordance with our Group-wide Risk Framework, we then undertake a risk assessment for the defined area of influence, taking into consideration relevant impacts, including any actual or reasonably foreseeable operational impacts (whether direct, indirect or cumulative), and apply the mitigation hierarchy to manage threats and opportunities to achieve our environmental objectives. For adverse residual impacts to important biodiversity and/or ecosystems (which cannot be avoided, minimised or rehabilitated), we identify compensatory actions, such as the use of carbon credits, to achieve outcomes that align with BHP’s risk appetite. 

Impacts and dependencies 

We have a range of potential direct, indirect or cumulative impacts on the environment, including: 

• Removal of habitat – in preparation for resource extraction activities or infrastructure installation, which could completely remove a species or community if it is endangered or has a geographically restricted area of distribution
• Changes to water availability or water quality – groundwater or marine water abstraction, re-injection of surplus water, surface water discharge or diversion, port facilities, disposal of dredge spoil or discharges into the marine environment could remove or alter habitat for a number of species or communities that rely on it for some or all of their life cycle
• Use of infrastructure corridors – which may reduce a species’ ability to move or migrate, or increase the risk of death through vehicle or boat strikes
• Introduction or spread of non-native species – competition, predation or infection arising from the introduction or increased spread of a non-native species may result in local extinctions of native species or reduced ecosystem function
• Inappropriate disposal of waste – which could lead to death of animals, such as through entrapment, or illness due to consumption
• Noise or light pollution – which could alter an animal’s behaviour (e.g., it may not be able to see or hear prey or predators, may avoid areas, or become disorientated)
• Reduction in air quality – increased dust or air pollution may alter vegetation structure or animal behaviour

In addition, we also depend on the services provided by healthy and functioning ecosystems for safe and reliable operations, including:

• Stable water supply – Water is integral to our business and vital to the longevity of BHP. We cannot operate without it.  Refer to the Water stewardship webpage for more information on our approach to water management. 
• Climate regulation – Limiting the frequency and/or extremity of weather events, such as storms or flooding may damage critical infrastructure. For example, rail lines and ports are examples of a nature-related dependency that can have material effects on operations. 
• Resistance to fire regimes – In some areas, such as in Australia, vegetation is adapted to some level of fire, however, increased frequency and intensity of fires can alter vegetation structure and may result in damage to key operational infrastructure.

Case studies