Bhp Group Ltd · ASX:BHP
Bhp — BHP Billiton — Brisbane Mining Club (October 2012)
12 slides from Bhp's conference presentation, Oct 17, 2012
Slide 1: Brisbane Mining Club: Diversification and delivery in a cyclical world
BMA, Metallurgical Coal Brisbane Mining Club “Diversification and delivery in a cyclical world” Marius Kloppers Chief Executive Officer 17 October 2012
Slide 2: Disclaimer
Disclaimer Forward looking statements This presentation contains forward looking statements, including statements regarding: trends in commodity prices and currency exchange rates; demand for commodities; plans, strategies and objectives of management; closure or divestment of certain operations or
Slide 3: Urbanisation drives steel consumption intensity
Urbanisation drives steel consumption intensity Urbanisation remains a major driver for demand Steel consumption (billion people) (kg/capita) 9 600 China urban population World urban excluding China urban population 500 China rural population World rural excluding China rural population 6 400 300 3
Slide 4: New production delivered at higher cost
New production delivered at higher cost Iron ore cash cost curves Metallurgical coal cash cost curves (US$/dmt, 62-63% Fe, CIF China equivalent basis) (US$/t CIF Qingdao) 160 250 2001 2002 2012 2012 200 120 150 80 100 40 50 0 0 0 350 700 1,050 1,400 0 100 200 300 400 500 Cumulative capacity Cumulati
Slide 5: Australia’s mining productivity
Australia’s mining productivity Productivity growth Multifactor productivity index (per cent, rolling five year CAGR) (index, 1997 = 100) Source: ABS; CSLS; Minerals Council of Australia. Marius Kloppers, BHP Billiton, 17 October 2012 Slide 5
Slide 6: Resource and Energy Sector project construction wages
Resource and Energy Sector project construction wages* Resource sector vs national average Australia vs competitors (Australian dollar index, Mar 2001 = 100) (Nominal US$ per hour) * Australian and competitor wages are all-in hourly rates. Australian all sector national average is the total hourly r
Slide 7: Australia’s future success
Australia’s future success BMA, Metallurgical Coal • Speed • Stability • Competitiveness Marius Kloppers, BHP Billiton, 17 October 2012 Slide 7
Slide 8: China’s GDP growth
China’s GDP growth Chinese GDP growth (%) 16% 14% • Average GDP growth 10% over the past 12% decade 10% 8% • GDP growth forecast at 7% to 8% this financial year and for the next decade 6% 4% GDP growth Global Insight • Fundamentals for GDP growth remain 2% Consensus IMF - WEO 0% 1980 1985 1990 1995
Slide 9: The power of our diversified model
The power of our diversified model EBIT margin¹ (%) 80 Petroleum 60 Aluminium Base Metals D&SP 40 SSM Iron Ore Manganese Metallurgical Coal 20 Energy Coal Total 0 FY02² FY03 FY04 FY05 FY06 FY07 FY08 FY09² FY10 FY11 FY12² 1. Calculated on the basis of UKGAAP for periods prior to FY05, except for the
Slide 10: Major projects in our core products underpin near term growth and returns
Major projects in our core products underpin near term growth and returns Major projects currently in execution1 Iron Ore Metallurgical Coal D&SP (capital expenditure, US$ billion) Petroleum Energy Coal SSM Base Metals Manganese Aluminium ≤ US$500m US$501m-US$5bn FY12 FY13e FY14e FY15e FY16e Worsley
Slide 11: We are committed to our communities
We are committed to our communities • Supporting local businesses through our Local Buying Program • Isaac Affordable Housing Trust – $3.5 million • Rental subsidies to key community support services across the Bowen Basin – $1 million • Investing in accommodation – 400 additional townhouses and hou
Slide 12: cde
cde bhpobilliton resourcing the future