Bhp Group Ltd · ASX:BHP
Bhp — BHP Billiton — Shareholder Meeting (October 2015)
45 slides from Bhp's shareholder meeting presentation, Oct 23, 2015
Slide 1: BHP Billiton Plc Annual General Meeting 2015
For personal use only BHP Billiton Plc Annual General Meeting 2015
Slide 2: Disclaimer
Disclaimer Forward-looking statements For personal use only This presentation contains forward looking statements, including trends in commodity prices, strategies and objectives of management, future performance and future opportunities. These forward-looking statements are not guarantees or predic
Slide 3: Chairman Jac Nasser
For personal use only Chairman Jac Nasser
Slide 4: Changes to the Board
Changes to the Board For personal use only Anita Frew Shriti Vadera Carlos Cordeiro BHP Billiton Plc Annual General Meeting 22 October 2015 4
Slide 5: Sir John Buchanan
Sir John Buchanan For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 5
Slide 6: Forum on Corporate Responsibility
Forum on Corporate Responsibility For personal use only Greg Bourne1 Mick Dodson Cristina Echavarria Tommy Garnett Simon Longstaff Australia Australia Colombia Sierra Leone Australia Yaa Ntiamoa-Baidu Ray Offenheiser Phil Vernon Changhua Wu Ghana USA United Kingdom China 1. Term concluded 30 June, 2
Slide 7: Our Charter
Our Charter For personal use only Our Values Sustainability Putting health and safety first, being environmentally responsible and supporting our communities. Integrity Respect Performance Simplicity Accountability BHP Billiton Plc Annual General Meeting 22 October 2015 7
Slide 8: The global environment
The global environment For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 8
Slide 9: Commodity prices 2006 - 2015
Commodity prices 2006 - 2015 For personal use only Iron ore, Metallurgical coal, Energy coal, Crude oil (US$/unit) Copper, Gas (US$/unit) Iron ore Metallurgical coal Energy coal Crude oil Copper Gas 300 18 250 15 200 12 150 9 100 6 50 3 0 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 BHP Billi
Slide 10: Our unique portfolio
Our unique portfolio For personal use only Iron Ore Coal Petroleum Copper BHP Billiton Plc Annual General Meeting 22 October 2015 10
Slide 11: Focused on the fundamentals
Focused on the fundamentals For personal use only Over the last 10 years, your company: Achieved cumulative growth in Total Shareholder Returns of about 115% in Sterling Generated operating cash flows of more than US$260 billion1 Sold US$8.5 billion of assets, as well as demerging South32 1. Based o
Slide 12: Global economies are going through a major transition
Global economies are going through a major transition For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 12
Slide 13: Financial performance for FY2015
Financial performance for FY2015 For personal use only Delivered a solid set of operational results Maintained sector leading margins1 Generated US$6.3 billion of free cash flow2 Reduced net debt by 5 per cent to US$24.4 billion Invested in growth 1. Underlying EBITDA margins exclude exceptional ite
Slide 14: Financial performance in FY2015
Financial performance in FY2015 For personal use only Long term credit rating Dividend per ordinary share Standard & Poor’s Moody’s US cents 150 121 124 2015 A+ 2015 A1 116 2014 A+ 2014 A1 100 2013 A+ 2013 A1 50 2012 A+ 2012 A1 2011 A+ 2011 A1 0 FY2013 FY2014 FY2015 BHP Billiton Plc Annual General M
Slide 15: Our economic contribution
Our economic contribution For personal use only BHP Billiton is committed to being a leader in further enhancing disclosure and transparency. BHP Billiton Plc Annual General Meeting 22 October 2015 15
Slide 16: Our broader contribution
Our broader contribution For personal use only Suppliers Employees Shareholders Government Community and investors payments contribution US$16.1 billion US$4.9 billion US$7.2 billion1 US$7.3 billion US$225 million2 Total economic contribution US$35.7 billion3 Community 1. Shareholders and investors
Slide 17: Climate Change: Portfolio Analysis
Climate Change: Portfolio Analysis For personal use only 1. Our perspective on climate change 2. Our action on climate change 3. Our approach to portfolio management 4. Portfolio impacts in a 2°C world BHP Billiton Plc Annual General Meeting 22 October 2015 17
Slide 18: Ongoing energy demand
Ongoing energy demand For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 18
Slide 19: Role of our commodities
Role of our commodities For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 19
Slide 20: The best long life assets in the best locations
The best long life assets in the best locations For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 20
Slide 21: Our people
Our people For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 21
Slide 22: Andrew Mackenzie, Chief Executive Officer
For personal use only Andrew Mackenzie Chief Executive Officer
Slide 23: Health and safety are paramount
Health and safety are paramount For personal use only Total Recordable Injury Frequency (TRIF)1 6 Our overriding commitment is to 4 ensuring the safety of our people, and respecting our 2 environment and the communities in which we work. 0 FY2011 FY2012 FY2013 FY2014 FY2015 1. Number of recordable i
Slide 24: Health and safety are paramount
Health and safety are paramount For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 24
Slide 25: Operational review
Operational review For personal use only Iron Ore Coal Petroleum Copper BHP Billiton Plc Annual General Meeting 22 October 2015 25
Slide 26: Operational review
Operational review For personal use only Iron Ore Coal Petroleum Copper BHP Billiton Plc Annual General Meeting 22 October 2015 26
Slide 27: Operational review
Operational review For personal use only Iron Ore Coal Petroleum Copper BHP Billiton Plc Annual General Meeting 22 October 2015 27
Slide 28: Operational review
Operational review For personal use only Iron Ore Coal Petroleum Copper BHP Billiton Plc Annual General Meeting 22 October 2015 28
Slide 29: Operational review
Operational review For personal use only Iron Ore Coal Petroleum Copper BHP Billiton Plc Annual General Meeting 22 October 2015 29
Slide 30: Financial performance
Financial performance For personal use only US$4.1 billion 1 US$10 billion sustainable productivity gains in FY2015 annualised productivity gains since FY20121 2 34 per cent 30 per cent increased production since FY20123 reduction in average unit costs from their peak in 20114 US$11 billion 5 US$8.5
Slide 31: Over the past decade we have…
Over the past decade we have… For personal use only Generated more than US$260 billion1 of operating cash flows Created US$100 billion of value Increased underlying EBITDA margin to 50 per cent2 Delivered 6.5 per cent annual volume growth3 1. Based on total operations 2. Continuing operations 3. Usi
Slide 32: BHP Billiton core portfolio
BHP Billiton core portfolio* For personal use only WA Iron Ore Samarco Queensland Coal NSW Energy Coal Cerrejón Olympic Dam Escondida Australia Brazil Australia Australia Colombia Australia Chile Pampa Norte Antamina Onshore US Shenzi Angostura Pyrenees Macedon Chile Peru United States United States
Slide 33: Ongoing productivity focus
Ongoing productivity focus For personal use only Iron Ore Coal Petroleum Copper Reduce costs to Reduce costs to Improve recoveries Reduce costs by US$15 per tonne US$61 per tonne 15 per cent Lower drilling costs Increase volumes by 7 per cent BHP Billiton Plc Annual General Meeting 22 October 2015 3
Slide 34: Disciplined capital management
Disciplined capital management For personal use only Capital and exploration expenditure (US$ billion)1 25 20 15 10 5 0 FY2013 FY2014 FY2015 FY2016e FY2017e 1. BHP Billiton share, continuing operations BHP Billiton Plc Annual General Meeting 22 October 2015 34
Slide 35: Unlocking additional production
Unlocking additional production For personal use only Permian - Petroleum Ongoing resource development Caval Ridge Iron Ore - Coal Productivity Expand improvements production Escondida - Copper Olympic Dam - Copper Los Colorados extension Higher grade output BHP Billiton Plc Annual General Meeting 2
Slide 36: High value growth options
High value growth options For personal use only Mad Dog - Petroleum Phase 2 expansion Olympic Dam - Copper Spence - Copper Underground expansion Addition of concentrator for processing BHP Billiton Plc Annual General Meeting 22 October 2015 36
Slide 37: Longer term opportunities
Longer term opportunities For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 37
Slide 38: Effective response to climate change
Effective response to climate change For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 38
Slide 39: Greenhouse gas reduction
Greenhouse gas reduction For personal use only Greenhouse gas emissions (MtCO2-e) 60 FY2006 emissions baseline 40 South32 adjustment Scope 2 20 Scope 1 0 FY2011 FY2012 FY2013 FY2014 FY2015 Note: In order to provide year-on-year comparison, we have shown outcomes with South32 assets included for the
Slide 40: Collaborating to achieve global reductions
Collaborating to achieve global reductions For personal use only SaskPower Carbon Capture Test Facility, Canada Image supplied by SaskPower BHP Billiton Plc Annual General Meeting 22 October 2015 40
Slide 41: Commitment to biodiversity and conservation
Commitment to biodiversity and conservation For personal use only Five Rivers, Tasmania Valdivia, Chile BHP Billiton Plc Annual General Meeting 22 October 2015 41
Slide 42: Our broader contribution
Our broader contribution For personal use only Liang Karo, Kalimantan, Indonesia BHP Billiton Plc Annual General Meeting 22 October 2015 42
Slide 43: Delivering sector leading productivity
Delivering sector leading productivity For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 43
Slide 44: Our people are our greatest resource
Our people are our greatest resource For personal use only BHP Billiton Plc Annual General Meeting 22 October 2015 44
Slide 45: BHP Billiton Plc Annual General Meeting 2015
For personal use only BHP Billiton Plc Annual General Meeting 2015