Bhp Group Ltd · ASX:BHP
Bhp — BHP Billiton — Citigroup Mining Exploration Day 2016
18 slides from Bhp's conference presentation, Jun 27, 2016
Slide 1: BHP Billiton details value-focused approach to exploration (news release)
NEWS RELEASE Release Time IMMEDIATE For personal use only Date 27 June 2016 Release Number 15/16 BHP BILLITON DETAILS VALUE-FOCUSED APPROACH TO EXPLORATION BHP Billiton today outlined its value-focused approach to exploration which will see the Company target opportunities across copper and oil to e
Slide 2: News release continued: copper exploration program
“We have commenced drilling in Trinidad and Tobago and have secured an additional rig which will soon commence drilling in a prospective block north of our Shenzi operations in the Gulf of Mexico.” BHP Billiton’s Copper exploration program is targeting tier 1 greenfield mineral deposits, with a part
Slide 3: Media and investor relations contacts
Media Relations Investor Relations Australia and Asia Australia and Asia Eleanor Colonico Tara Dines Tel: +61 3 9609 2360 Mobile +61 407 064 748 Tel: +61 3 9609 2222 Mobile: +61 499 249 005 Email: Eleanor.Colonico@bhpbilliton.com Email: Tara.Dines@bhpbilliton.com For personal use only Paul Hitchins
Slide 4: Value creation through exploration
For personal use only Value creation through exploration 27 June 2016 Laura Tyler, Head of Geoscience Deepwater seismic shooting Photo courtesy of PGS
Slide 5: Disclaimer
Disclaimer For personal use only 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
Slide 6: Key themes
Key themes For personal use only • A focused exploration approach – regional exploration teams supported by globally integrated geoscience expertise – exploration investment through the cycle – more targeted analysis has generated high-quality portfolio • Targeting deep water oil in the Gulf of Mexi
Slide 7: A value-focused exploration approach
A value-focused exploration approach For personal use only • Exploration is a key source of value creation A key component of value creation through the cycle (capex, US$ million) (share of total capex, %) – investment through the cycle with US$700-900 million of 2,500 25 annual spend anticipated fr
Slide 8: Targeting tier 1 opportunities in Petroleum
Targeting tier 1 opportunities in Petroleum For personal use only • Our Petroleum exploration program has delivered success A long history of Conventional exploration success (production, kboe/d) – Bass Strait (1960s): Australia’s first world-class hydrocarbon 450 province – Angostura (1990s): disco
Slide 9: A focused oil exploration program
A focused oil exploration program For personal use only • Based on our global endowment study we have built a position Significant exploration potential in the next three years across six plays in the deep water (value1, BHP Billiton share) – Paleogene and Cretaceous in the Gulf of Mexico FY16 – Pha
Slide 10: Gulf of Mexico remains highly prospective
Gulf of Mexico remains highly prospective For personal use only Significant acreage offers tier 1 oil potential • We have a track record of successful exploration and operations in BHP Billiton leases the Gulf of Mexico Mexico Ronda 1 • We continue to build our acreage position in the current low oi
Slide 11: First mover advantage in the Caribbean
First mover advantage in the Caribbean For personal use only Leading ‘first-mover’ acreage position • We have built a dominant ‘first mover’ deepwater acreage position in BHP Billiton acreage Trinidad and Tobago, and Barbados Oil/gas fields Proprietary 3D seismic1 – ~17,500 sq km across two plays Ba
Slide 12: Prospective position in Western Australia
Prospective position in Western Australia For personal use only A dominant position in the Northern Beagle sub-basin • We have accessed a dominant position over largely untested BHP Billiton leases Northern Beagle sub-basin Oil/gas fields – farmed into two blocks totalling ~25,000 sq km – 55-60% wor
Slide 13: A history of successful copper exploration
A history of successful copper exploration For personal use only 1966 Island Copper 1995 Resolution 1981 Escondida 1985 Cerro Colorado 1986 Chimborazo 1991 Escondida Norte 1996 Spence 2002 Pinta Verde 2006 Pampa Escondida 1996 Antamina 2008 Escondida Este 1975 Olympic Dam 2010 Escondida Sur 1985 Wir
Slide 14: Copper exploration remains a strategic priority
Copper exploration remains a strategic priority For personal use only • Safe, focused and disciplined programs Increased drilling activity at prospective projects (number of targets tested) – brownfield exploration has maximised our existing ore bodies 20 – current focus on greenfield copper explora
Slide 15: Targeting large, high-grade, long-life, option-rich deposits
Targeting large, high-grade, long-life, option-rich deposits For personal use only Sediment hosted deposits with >2% grade in northern Canada Porphyry and Skarn deposits with >1% grade in the Americas (Peru, Chile, South West US) IOCG1 deposits with >2.5% copper equivalent grades in the Stuart Shelf
Slide 16: The next generation of copper exploration
The next generation of copper exploration For personal use only • We have a wide range of improvement initiatives Improved mineral characterisation through partnerships and technology (determination of zircon mineralisation, Wollongong University) – partnerships with Bristol and Wollongong Universit
Slide 17: Key themes
Key themes For personal use only • A focused exploration approach – regional exploration teams supported by globally integrated geoscience expertise – exploration investment through the cycle – more targeted analysis has generated high-quality portfolio • Targeting deep water oil in the Gulf of Mexi
Slide 18: For personal use only
\ —= e s) 34 S 3 @ = — bhpbilliton