Bhp Group Ltd · ASX:BHP
Bhp — Haegel Diggers & Dealers 2020
20 slides from Bhp's conference presentation, Oct 13, 2020
Slide 1: Towards a sustainable future
Towards a sustainable future Eddy Haegel, Asset President Nickel West 13 October 2020
Slide 2: Disclaimer
Disclaimer Forw ard-looking statements This presentation contains forward-looking statements, including statements regarding: trends in commodity prices and currency exchange rates; demand for commodities; production forecasts; plans, strategies and objectives of management; closure or divestment of
Slide 3: Nickel West is well placed to maximise long term value
Nickel West is well placed to maximise long term value Supporting global demand for sustainably sourced nickel Significantly increased nickel Ore Reserve estimates Delivered new mines Future Safe & fit Sustainable Value Innovating and transforming technologies for our future and returns High Will be
Slide 4: In a decarbonising world, nickel is attractive
In a decarbonising world, nickel is attractive As decarbonisation accelerates the world will require more copper, nickel, potash and steel 1.5°C Scenario1 Central Energy View Cumulative demand in the next 30 years compared to the last 30 years Lower Carbon View (%) Climate Crisis Planning range5 ~35
Slide 5: The demand for nickel in batteries is growing
The demand for nickel in batteries is growing We can sell both nickel metal and nickel sulphate to car battery manufacturers Nickel in battery demand will surge from the mid-late 2020s Nickel in battery demand growth (kt Ni) 1,600 1,400 1,200 1,000 800 600 400 200 0 2014 2015 2016 2017 2018 2019 202
Slide 6: Among the lowest operational carbon emissions intensities
Among the lowest operational carbon emissions intensities Nickel West is committed to further reducing emissions Renewable power will improve nickel intensity (Tonnes CO2-e per tonne of nickel equivalent6) 180 160 140 120 100 80 60 Nickel West 40 20 0 0% 25% 50% 75% 100% Source: Skarn Associates and
Slide 7: We have significantly increased nickel Ore Reserves…
We have significantly increased nickel Ore Reserves… Creating optionality for future mines Nickel Ore Reserves (estimated contained nickel, kt) (excludes Honeymoon Well acquisition) 2,000 ↑ ~90% to 1,740ktNi 1,000 0 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 Proved Probable Note: Refer to dis
Slide 8: …and increased future options through acquisition
…and increased future options through acquisition Enhances Nickel West’s position in one of the world’s major nickel sulphide provinces Northern Goldfields region of Western Australia • Honeymoon Well8 is a project in a well-developed Wedgetail nickel sulphide province with over 350km of drilling Co
Slide 9: Brownfields exploration at Leinster is delivering results
Brownfields exploration at Leinster is delivering results Exciting drilling results are beginning to confirm our view of our underground assets • Underground drilling from Venus access drives confirms continuity of Perseverance mineralisation within sub-horizontal channel11 • Drilling of Perseveranc
Slide 10: Resource transition progressing well
Resource transition progressing well Supporting low-cost growth option and higher production volumes Mt Keith Satellite mine (Yakabindie) complete Mt Keith Satellite mine is at full production (Mt, Annualised Ore tonnage rates, 3MMA) • Provides 100% feed to Mt Keith concentrator 15 • Best truck hour
Slide 11: Kambalda mill will restart with feed from third parties
Kambalda mill will restart with feed from third parties Nickel mining is expected to restart in the region Restarting the Kambalda Nickel Concentrator Mt Keith Leinster Third Party Third Party • The Kambalda milling circuit was placed into care and Mines Mines Mines Concentrate maintenance in July 2
Slide 12: Innovative smelting technologies are being explored
Innovative smelting technologies are being explored Planned smelter rebuild represents an opportunity to unlock Fe:MgO constraints Furnace rebuild in mid-2020s • Existing smelting operation built in the 1970s to process high grade Kambalda style concentrates, (12+ Fe:MgO) • Increasing Mt Keith type
Slide 13: We will build a cleaner, more sustainable smelter
We will build a cleaner, more sustainable smelter Reduce SO2 to near zero by mid-2020s Gradual upgrades improving outcomes • Kalgoorlie smelter already captures around 90% of all SO2 emissions from our operation • Upgrades have commenced to capture more than 99% of SO2 emissions: - Mist precipitator
Slide 14: Downstream options are high value
Downstream options are high value Commissioning has begun at the Nickel Sulphate Plant Nickel Nickel Sulphate plant at theSulphate KwinanaPlant Nickel Refinery Eddy Haegel, Asset President Nickel West 13 October 2020 14
Slide 15: Growing value and delivering high returns
Growing value and delivering high returns Future Safe & fit Sustainable Value and Mt Keith Operation returns High performing Lean Diksha Karwasra Graduate Process Engineer Kalgoorlie Nickel Smelter Kwinana Nickel Refinery Eddy Haegel, Asset President Nickel West 13 October 2020 15
Slide 16: Slide 16
Slide 17: Footnotes
Footnotes 1. To stay within a carbon budget that keeps global warming to no more than 1.5°C, the 1.5°C scenario requires steep global annual emissions reductions, sustained for decades. This pathway to 2050 represents a major departure from today’s global trajectory 2. Iron ore and metallurgical coa
Slide 18: Competent Person Statement – Exploration Results
Competent Person Statement – Exploration Results Nickel West Exploration Results Competent Person Statement M Menicheli is a current Member of the Australasian Institute of Mining and Metallurgy (MAusIMM) and a f ull-time employee of BHP. M Menicheli has sufficient experience that is relevant to the
Slide 19: Competent Person Statement – Mineral Resource
Competent Person Statement – Mineral Resource Nickel West Mineral Resources Competent Person Statement The inf ormation in this slide relates to Nickel West Mineral Resources as at 30 June 2020 and are inclusiv e of Ore Reserv es and is based on inf ormation prepared by R Finch, Competent Person f o
Slide 20: Competent Person Statement – Ore Reserves
Competent Person Statement – Ore Reserves Nickel West Ore Reserves Competent Person Statement The inf ormation in this slide relates to Nickel West Ore Reserv es estimate as at 30 June 2020 and is based on inf ormation prepared by the Competent Persons f or each deposit. The Competent Persons are C