wetlands

Shared water challenges

We are working together on water challenges in the regions where we operate.

BHP released our Water Stewardship Position Statement in FY2019, which outlines our vision for a water secure world by 2030, an aim consistent with the United Nations Sustainable Development Goals. 

 

In our Position Statement, we commit to set public, context-based business level targets that aim to improve our management of water and support shared approaches to water management within the regions where we operate. This approach is designed to ensure local water resources are conserved and resilient so they can continue to support healthy ecosystems, maintain cultural and spiritual values and sustain economic activity. 

A key step in this commitment is to complete a Water Resource Situational Analysis (WRSA) in relation to each of our operated assets to understand the water challenges within our regions. These WRSAs, alongside internal catchment risk assessments, inform our context-based water targets (CBWTs). For more information on how BHP has engaged Indigenous peoples regarding Water refer to our Water Resource Situational Analysis webpage.

What is a Water Resource Situational Analysis (WRSA)? 

A Water Resource Situational Analysis is an independent holistic assessment of the water situation where an operated asset operates. The process is designed to describe the water challenges that partners and stakeholders share and the opportunities for collective action to address those challenges. The WRSA is funded by BHP and prepared by a credible third party. It draws on publicly available information and direct partner and stakeholder input.

Read more

Catchment risks

Each of our operated assets has identified and assessed risks (threats and opportunities) within the catchments where we operate.

Water is a ‘blue thread’ connecting our operations to the people and environments around them. We have assessed risks that could arise from our water-related interactions and use this information to improve our management. For example, this information may lead us to improve our understanding of hydrogeology or stakeholder values within a catchment, or to change our water management practices addressing a potential environmental impact. This understanding has also been used to inform the setting of our CBWTs.


For more information on the water-related risks our operated assets manage refer to the Water Webpage. For information on BHP’s Risk Framework refer to the BHP Annual Report 2025 Operating and Financial Review, 7 – How we manage risk.

Water webpage

Context-based water targets

Targets that aim to address the shared challenges and opportunities within the catchments where we operate. 

Context-based water targets aim to help address the water challenges shared by BHP and other stakeholders in the regions where we operate. These targets are based on what we heard from others and our own assessment of water-related threats and opportunities.  

Our targets include actions to address our own operational water performance and actions that are intended for the collective benefit of stakeholders and Indigenous peoples in the region. 

Due to the regional nature of water challenges, our CBWTs recognise that water challenges vary by location due to physical and social differences. For example, in our Chilean assets where our water is now predominately sourced from desalination, marine protection and efficiency of water use are key water challenges. 

We will continue to test the relevance of the CBWTs and milestones as the collective understanding of the catchments where we operate grows. 

While targets are ideally measurable, this is not always practicable owing to the variable nature of these challenges. Sometimes we have to build knowledge and a shared understanding before we can set quantitative targets. This is particularly true when the actions are for the collective benefit of others or for complex water-dependent ecosystems. 

Preferred practice for water targets, and nature targets more broadly, is changing as the global community builds understanding on how to set meaningful and effective corporate targets and the practical steps needed to get there. BHP has moved from a global, singular water target to targets that consider local context and stakeholder priorities. We are proud of the water targets we present here but also expect our methods and metrics will evolve further as the scientific and corporate sustainability global community test and evaluate better ways to set targets that drive performance. 

For more information on our approach to context-based water targets refer to the White Paper we prepared (in FY2022) to share our experience developing the first set of context-based water targets. 

 
Read the white paper

Informed by catchment-scale risk assessments and WRSAs, in FY2023, we released our first suite of asset-level CBWTs. We have developed CBWTs for our operating assets presented below that will apply until FY2030. We have now achieved our commitment to develop CBWTs within our operations but may release further CBWTs when appropriate for the operating, environmental and social context. Progress on the CBWTs and milestones is described below and on our main Water webpage.

  • BMA
  • Escondida and Pampa Norte
  • Western Australia Nickel
  • Copper South Australia 
  • WAIO
  • NSWEC
  • Legacy assets

Context

The Water Resources Situational Analysis (WRSA) for the Central Queensland region describes the hydrological setting for the region and the shared water challenges and opportunities recognised by people of the region. 

Targets

Footnote

1 Some water allocations at BMA are not made available for sale ‘in year’ and are retained for strategic contingency purposes as ‘carry over’. Unutilised ‘carry over’ is subject to ongoing assessment throughout the year as to what can be made available. At 30 June, any unused ‘carry over’ amounts are incorporated into the following financial years ‘in year’ water for the total river scheme’s announced allocations by the Resource Operator. 

Why these targets

BMA operates five metallurgical coal mines in the Fitzroy Basin in the Central Queensland region. The Fitzroy Basin is the second largest seaward draining basin in Australia. The river flows through the lands of 17 Indigenous groups, supports major agricultural and mineral activity and flows into the southern Great Barrier Reef lagoon. The Fitzroy Partnership for River Health, which brings together government, industry, and research representatives, provides an important platform for shared understanding (including via an annual ecosystem health report card) and collaboration. 

The WRSA recognised the lack of water for economic and social wellbeing and the need to support ecosystems as a key challenge shared by stakeholders in the region. We will implement initiatives to our water distribution and coal processing facilities so that we can make more use of mine-affected water, reduce our take of regional water supplies, and improve our water efficiency. This will mean we use less water for each tonne of product produced. As our water supply is dependent on rainfall, significantly less rainfall than median conditions may impact our ability to reduce operational water sourced from water allocations. 

The internal improvement measures will allow us to return some of our allocated water each year so that others in the region can use it, supporting our commitment to improve access to water. 

The FY2024 baseline upon which the FY2030 CBWT milestone is based has been reset to remove Blackwater and Daunia. 

Progress on target implementation

BMA’s FY2024 short-term milestone was achieved in FY2024 and again in FY2025. 3.05 GL of water allocations was traded on the temporary water trading market in FY2024, and a further 4 GL traded in FY2025. 

Context

The Water Resource Situational Analyses (WRSAs) for the High Andes of the Tarapaca and Antofagasta region and the coastal zones of Bahia de Mejillones and Bahia San Jorge, all in northern Chile, describe the hydrological setting for these regions, and the shared water challenges and opportunities recognised by people of the region. We added an addendum to our Andean aquifers and San Jorge Bay WRSAs in FY2025 after stakeholder consultations were initially delayed due to social unrest in Chile. This addendum, which reflects the participation of various actors, presents the updated shared challenges and opportunities for collective action for the Altoandina macrozone in the Tarapacá and Antofagasta regions and for San Jorge Bay, all in northern Chile.  

Targets

 

Why these targets

Escondida and Pampa Norte (which includes the Spence and Cerro Colorado mines) have three copper mines in the arid Andes of northern Chile, and ports and desalination facilities in the coastal zone that lies west of the mines. Cerro Colorado entered temporary care and maintenance in December 2023. 

We aim to remove our operational reliance on groundwater from arid areas and support the recovery of wetlands impacted by groundwater withdrawal. Since 2015, we have reduced and ultimately ceased our withdrawal of groundwater for operational use by Escondida1 and it is now supplied by desalinated ocean water that is generated using renewable energy. Spence will replace water supplied from groundwater with water from coastal desalination by FY2028.  

The use of desalinated ocean water is growing in northern Chile and there are now more than 20 major desalination plants along this coastline. Desalination facilities are not known to have broad regional effects but the cumulative effects of this rapid growth on marine ecosystems are not yet clear. Target 2 will minimise BHP’s use of marine water and contribution to the cumulative effects.      

Both WRSAs identified that the environmental threats and resilience of the high Andes and coastal marine regions need to be understood better. We will continue to research the water and ecosystems in these regions and will share our knowledge on these and the effectiveness of management methods where it may contribute to the health of these natural systems. 

Progress on target implementation

Pampa Norte’s FY2024 milestone was achieved in FY2024 and again in FY2025. 

Cerro Colorado ceased extracting water from the Lagunillas borefield for operational use in December 2023. Some extraction was maintained to support replenishment of the Lagunillas wetland, which has continued in FY2025, with approximately 625 ML extracted and reinjected. 

A small amount of terrestrial water (~22 ML during FY2025 or approximately 60 kL per day) has been supplied to the Cerro Colorado site for drinking water, sanitation and hygiene purposes by a local water utility since Cerro Colorado entered temporary care and maintenance in December 2023.  

Footnotes:

1 Small quantities of groundwater are extracted for pit dewatering and to recover seepage from tailings, to enable safe mining and support environmental control. This water is used for operational consumption.

Context

The Northern Goldfields Water Resources Situational Analysis (WRSA) describes the hydrological setting for the region and the shared water challenges and opportunities recognised by people of the region. 

Targets

Why these targets

Western Australia Nickel (WAN) includes two nickel mines in the Northern Goldfields region of Western Australia. The region is semi-arid and characterised by low vegetation and extensive salt lakes. Some 11.5 per cent of the permanent population are Indigenous peoples who maintain strong cultural connections to the waters of their country. Mining is the main industry in this area. 

The WRSA identified water resource sustainability and the appropriate use of the variable water qualities in the Northern Goldfields as key shared challenges. The WRSA also recognised that a framework for Indigenous people, industry, government and other stakeholders to co-manage water resources was a key step to address the future challenges. This framing informed the selection of the original target and milestones associated with the ‘action for collective benefit’, with BHP working with regional stakeholders to build the knowledge base of water resources.  

Since the release of the WAN CBWT and associated milestones, the Tjiwarl Aboriginal Corporation (AC) has established a Northern Goldfields catchment regional water working group. The Tijwarl AC has also entered into an Indigenous Land Use Agreement with the Western Australian Government, which includes the establishment of the Tjiwarl Water Study and Tjiwarl Water Plan. WAN transitioned into temporary suspension in December 2024. We intend to review our FY2030 context-based water target following the outcome of the review of the decision to temporarily suspend WAN, which is expected by February 2027. 

Progress on target implementation

The intent of WAN’s FY2024 short-term milestone was achieved in FY2025. BHP WAN representatives participated in, rather than facilitated the establishment of, the Northern Goldfields catchment regional water working group, which was established by the Tijwarl Aboriginal Corporation (AC). The first meeting that BHP participated in was held in February 2025. Following the changes in internal and external context outlined above, and to continue to meet the intent of the FY2024 milestone, WAN intends to contribute data to the Tjiwarl AC to inform the Tjiwarl Water Study.  

Context

The Water Resources Situational Analysis (WRSA) for the Central and Northern Arid Lands of South Australia describes the hydrological setting for the region and the shared water challenges and opportunities recognised by people of the region. 

Targets

Why these targets

Copper South Australia operates Olympic Dam, a copper mine and processing facility in the Arid Lands region of South Australia. The only permanent waters in the Arid Lands are groundwater from the Great Artesian Basin aquifer (GAB) and the mound springs (named for mineral deposits around their mounts) formed by seeping groundwater. Broad lakes also form temporarily after occasional large rainfall events. Several Indigenous groups maintain their enduring connection to the lands and waters of the region. Pastoralism, mining and petroleum extraction are the main industries. 

The WRSA found that a key shared challenge was impacts to the ecosystems and cultural values of the mound springs caused by extraction from the GAB. The achievement of Target 1 will reduce the draw of water from the borefield (Wellfield A), which has the most effect on the flow from the mound springs, while we partner with the South Australian Government on the Northern Water Supply Project to cease drawing from Wellfield A altogether. 

Target 2 states that we will contribute to the understanding and direct protection of the mound spring ecosystems in our own landholdings and more broadly. Helping others with these key activities is an important opportunity for collective action recognised in the WRSA. 

In FY2025, BHP reviewed the suitability of the existing Olympic Dam WRSA and CBWTs for their applicability to the broader Copper South Australia asset. The incorporation of Carrapatena and Prominent Hill has not introduced new material water-related risks into our Copper South Australia asset. Therefore, it has been determined that the focus of this asset’s CBWTs will remain on the Great Artesian Basin and the existing Olympic Dam WRSA and CBWT are appropriate to apply to the broader Copper South Australia asset. 

Progress on target implementation

Copper South Australia’s FY2024 short-term milestone was achieved in FY2024 and again in FY2025. Daily abstraction from Wellfield A remained below 5 ML/d throughout FY2024 and FY2025. 

Copper South Australia’s FY2025 milestone was also achieved. Protection on BHP pastoral lease includes stock-proof fencing, feral animal and weed inspections and control programs. Fencing activities included completion of fencing at the Gosse and Emerald Significant Environment Benefit areas, and the active spring within Jacob Springs group. 

BHP contributed A$300,000 to the off-lease Lake Eyre Basin Riparian Vegetation and Springs Project, a partnership with the South Australian Arid Lands Landscape Board. 

Context

The Pilbara Water Resources Situational Analysis (WRSA) describes the hydrological setting for the Pilbara region and the shared water challenges and opportunities recognised by people of the region. 

Targets

Why these targets

Western Australia Iron Ore (WAIO) is an integrated system of four processing hubs and five mining hubs, connected by a rail system and port facilities in the Pilbara region of Western Australia. Wherever WAIO operates in the Pilbara, it does so on the traditional lands and waters of Indigenous peoples. The Pilbara has seen considerable growth in resource development activity, which includes a large increase in groundwater abstraction for mine dewatering – a key challenge identified by the Pilbara WRSA. BHP will aim to minimise our effect on the groundwater resource by prioritising at least half of WAIO surplus water to be used beneficially, for example, by returning it to nearby groundwater aquifers. This will involve the building and operation of large water distribution networks and Managed Aquifer Recharge borefields, subject to required external approvals. 

The Pilbara WRSA also revealed that stakeholders recognise shared access to the data held across many water-involved organisations in the Pilbara is a vital step for sustainable water resource management. We will work with interested groups to develop a data sharing platform that supports broader collaboration for developing a shared understanding of current and emerging water catchment challenges and solutions. 

Progress on target implementation

WAIO’s FY2024 short-term milestone was achieved, following the initiation of a collaborative scoping study for a regional water data sharing solution. BHP funding has been committed to support shared environmental analytics incorporating a catchment scale integrated groundwater database in the Pilbara and the associated FY2026 ‘Action for collective benefit’ target and milestone are on track. 

WAIO's short-term milestones tied to the ‘Action to improve BHP's water performance’ target are tracking behind schedule due to delays experienced in preparing for and submitting external approvals. Nonetheless, achieving the FY2030 target remains on track, mostly due to optimisation of the current surplus water schemes and actual dewatering volumes being below those estimated based on predicted modelling that was reasonably conservative at the time the targets were set.  

Context

The Hunter Region Water Resource Situational Analysis (WRSA) describes the hydrological setting for the Hunter River catchment and the shared water challenges and opportunities recognised by people of the region. 

Targets

Why these targets

New South Wales Energy Coal (NSWEC) operates the Mt Arthur coal mine in the Hunter Valley of New South Wales, Australia. The mine is nearing the end of its life and BHP has announced it will close in 2030.   

The Hunter River catchment is the largest in New South Wales and includes a complex network of rivers, streams, wetlands and extensive groundwater systems. Flows in the catchment have been highly modified by human activity, including several dams installed for water supply, flood mitigation and power generation. The catchment supports important ecological features and processes, including the Ramsar-listed Hunter Estuary Wetland at the mouth of the Hunter River (120 kilometres downstream of Mt Arthur). 

The CBWT for NSWEC is informed by the state of mining and by a key finding of the Hunter River WRSA that the poor condition of riverbed, riverbank and riparian vegetation along the Hunter River is seen by stakeholders as a critical water-related challenge. We will determine priority areas along a 10 kilometre stretch of the Hunter River and complete targeted restoration to help improve ecosystem connectivity and stabilise creek banks and riparian zones along the river. 

Context

The Cobre Valley Watershed Action Plan describes the hydrological setting for the Cobre Valley catchment and the shared water challenges and opportunities recognised by people of the region. This report was not financially supported by BHP but had similar objectives to the WRSAs supported by BHP in other areas. 

Targets

Why these targets

Legacy assets manages 21 non-operating sites across four states in the United States and four provinces in Canada. These sites were acquired through mergers and acquisitions and mostly focused on the production of copper, zinc, uranium, tin and gold. Most of these sites finished production decades ago.

This CBWT focuses on the Globe-Miami area of Arizona where there is a long history of mining, beginning in the 19th century and continuing to this day. Legacy assets manages four closed sites in this area: Miami Unit, Copper Cities, Old Dominion and Solitude. A key management activity is the ongoing diversion, storage, movement and treatment of water to maintain the quality and quantity of regional water resources. 

The CBWT was informed by stakeholder priorities identified in the Cobre Valley Watershed Action Plan, a 2022 report by the Cobre Valley Watershed Partnership which was not financially supported by BHP but had similar objectives to the WRSAs supported by BHP in other areas. 

Legacy assets will increase the amount of water diverted around disturbed areas and improve design of water storage/management infrastructure, allowing it to flow directly to creeks and washes downstream of the sites. This water would otherwise be captured for treatment and some would be lost to evaporation or seepage. The progressive reduction of the mining footprint, in this case through its effects on water, helps closed sites to become more stable. 

Footnotes for all tabs: 

All targets and milestones refer to the end of the quoted year.  

FY refers to the Australian financial year, which runs from 1 July to 30 June.  

All baselines are subject to adjustment for any material acquisitions and divestments, and to reflect progressive refinement of relevant methodologies, for example in water reporting.  

Surplus water is groundwater abstraction to allow mining below the water table that is surplus to operational water use requirements.  

Beneficial use is water used in ways that contribute to environmental resilience, social benefit or economic growth. For example, water returned to aquifers to reduce pressure on regional groundwater resources; or transfer of surplus water to another operational use to avoid or reduce the need for additional natural water resources.  

Threatened ecological communities are those nationally listed threatened ecological communities determined by the process under the Australian Commonwealth Environment Protection and Biodiversity Conservation Act 1999.  

Sustainability case studies, organisational boundary, definitions and disclaimers, and downloads

Prior year versions of some of the listed documents are available on the Past reports page.