BHP Group said it will pay out a record US$16.3bn in dividends as the world’s biggest miner posted its highest ever full-year profit on the back of record commodity prices.
The group was also bullish on a recovery in China and said it will push ahead with growth options on a stronger demand outlook for one of its biggest customers.
BHP will also study plans to expand its top-earning iron ore unit to 330mln tonnes of production a year and is continuing to assess options to lift volumes in copper and nickel.
A giant new potash mine in Canada remains on track to begin in 2026.
Chief executive Mike Henry said China’s emergence from the Covid-19 lockdowns would provide a “tailwind” to the global economy, in a counterpoint to jittery sentiment on China following a swath of surprisingly weak data.
“We think that over the next 6-12 months, China, if anything, is going to provide some stability to global growth and will help offset some of the slowing that we see elsewhere,” Henry said.
China typically accounts for more than 60% of BHP’s revenue.
Underlying EBITDA rose 16% to $40,4bn in the year to end-June 2022 with underlying earnings per share up 25% to 421.2c.
Revenues rose by 14% to US$65.1bn.