Wrap Text
BHP Billiton Operational Review for the Half Year Ended 31 December 2013
BHP Billiton Plc
Registration number 3196209
Registered in England and Wales
Share code: BIL
ISIN: GB0000566504
NEWS RELEASE
Release Time IMMEDIATE
Date 22 January 2014
Number 03/14
BHP BILLITON OPERATIONAL REVIEW
FOR THE HALF YEAR ENDED 31 DECEMBER 2013
- Strong operating performance in the December 2013 half year with production records achieved across
10 operations and three commodities. Full year production guidance maintained for our Petroleum,
Copper, Iron Ore and Coal businesses.
- Western Australia Iron Ore achieved record production of 108 million tonnes (100% basis) for the
December 2013 half year as the operation benefited from the early delivery of first production from the
Jimblebar mine.
- Queensland Coal achieved record production for the December 2013 half year as several productivity
initiatives increased annualised production to 68 million tonnes (100% basis) in the December 2013
quarter.
- Petroleum liquids production increased by 9% to 50 million barrels of oil equivalent in the December
2013 half year, underpinned by a 72% increase at Onshore US.
- Another two major projects delivered first production in the December 2013 quarter and all remaining
projects are on schedule and budget.
- BHP Billiton’s share of capital and exploration expenditure for the 2014 financial year is expected to be
US$16.1 billion (i), as planned.
BHP Billiton Chief Executive Officer, Andrew Mackenzie, said: “Strong operating performance across our diversified
portfolio in the December 2013 half year delivered a 10 per cent (ii) increase in production and volumes are expected
to grow by 16 per cent (ii) over the two years to the end of the 2015 financial year. Iron ore and metallurgical coal
were particularly strong and are very well positioned to achieve guidance, notwithstanding the general uncertainty
that exists as we enter the wet season.
“Our productivity continues to improve and this was most clearly demonstrated by our Queensland Coal business
which ran at an annualised rate of 68 million tonnes in the December 2013 quarter. Our productivity agenda is in
full swing and we expect to carry strong momentum into the second half of the financial year.
“During the period, six of our major projects delivered first production and our 10 remaining projects, which are
largely low risk, brownfield expansions, are tracking to plan. By maintaining strict financial discipline and increasing
internal competition for capital we intend to further differentiate ourselves by achieving a superior rate of return on
incremental investment. We also remain committed to actively managing our portfolio for value. This strategy
leaves us well positioned to deliver a substantial increase in free cash flow and higher returns to shareholders.”
Note: Unless specified otherwise: variance analysis relates to the relative performance of BHP Billiton and/or its operations during the
December 2013 half year compared with the December 2012 half year; production and sales volumes from subsidiaries (which include
Escondida, Jimblebar, BHP Billiton Mitsui Coal and our manganese operations) are reported on a 100 per cent basis; volumes from equity
accounted investments (which include Antamina, Samarco and Cerrejon Coal) and other operations are reported on a proportionate
consolidation basis.
Summary
DEC DEC DEC H13 DEC Q13 DEC Q13
2013 2013 vs vs vs
Production summary HALF QTR DEC H12 DEC Q12 SEP Q13
Total petroleum products (million boe) 120.4 57.7 -1% -4% -8%
Copper ('000 tonnes) 843.2 439.9 6% 6% 9%
Iron ore ('000 tonnes) 97,820 48,867 19% 16% 0%
Metallurgical coal ('000 tonnes) 21,725 11,540 22% 30% 13%
Energy coal ('000 tonnes) 37,406 17,767 -1% -5% -10%
Alumina ('000 tonnes) 2,603 1,352 8% 10% 8%
Aluminium ('000 tonnes) 612 302 8% 2% -3%
Manganese ore ('000 tonnes) 4,246 2,200 0% 4% 8%
Manganese alloy ('000 tonnes) 303 166 7% 8% 21%
Nickel ('000 tonnes) 78.2 37.8 9% 9% -6%
BHP Billiton maintained strong momentum in the December 2013 half year as production increased by
10 per cent (ii). Full year production guidance is retained for our Petroleum, Copper, Iron Ore and Coal businesses.
The Cerrejon P40 (Colombia) and Western Australia Iron Ore (WAIO) Port Blending and Rail Yard Facilities
projects achieved first production during the December 2013 quarter, as planned. These projects will not be
reported in future Operational Reviews. Our 10 remaining major projects are on schedule and budget.
During the December 2013 quarter, BHP Billiton approved an investment of US$301 million (BHP Billiton share) to
replace two shiploaders at WAIO’s Nelson Point operations in Port Hedland. The two new shiploaders will increase
the reliability of our inner harbour port facilities and create additional port capacity that will be utilised as a series of
debottlenecking initiatives increase the capacity of our supply chain to approximately 260 million tonnes per
annum (mtpa) to 270 mtpa (100 per cent basis), at a low capital cost. Commissioning of the two replacement
shiploaders is scheduled for the second half of the 2014 calendar year.
BHP Billiton’s active program of portfolio simplification delivered proceeds of US$2.2 billion in the December 2013
half year following the completion of the Jimblebar (Australia) and Pinto Valley (US) transactions. The sale of the
Navajo mine (US) was also completed during the period.
On 2 January 2014, the Group also announced the redemption of Petrohawk Energy Corporation’s 10.5% Senior
Notes due 2014 and 7.875% Senior Notes due 2015. The total aggregate principal value of the notes to be
redeemed is approximately US$1.4 billion and the redemption will be completed on 3 February 2014.
The new International Financial Reporting Standard (IFRS) 10 came into effect on 1 July 2013. The adoption of this
accounting standard requires the full consolidation of Escondida (Chile), as compared to the proportionate
consolidation of our 57.5 per cent equity interest which was applied in prior periods. This report has been prepared
on the basis of this new accounting standard and includes 100 per cent of Escondida, unless otherwise noted.
In addition, IFRS 11 and International Financial Reporting Interpretations Committee (IFRIC) 20 came into effect on
1 July 2013. The adoption of IFRS 11 requires entities that no longer meet the definition of joint control (such as
Antamina and Cerrejon Coal) or are classified as joint ventures (such as Samarco) to be equity accounted,
whereas they were proportionately consolidated in prior periods. IFRIC 20 affects the accounting treatment for
production stripping.
Although the adoption of IFRS 10, IFRS 11 and IFRIC 20 does not impact the Company’s share of production or
sales volumes, it does impact the Group’s consolidated financial accounts. We have therefore republished
2013 interim and full year financial information to reflect these and other accounting policy changes.
As a consequence of these new accounting standards and interpretations, our taxation expense, including royalty-
related taxation, as a proportion of pre-tax profit is now expected to be in the range of 31 per cent to 34 per cent in
the 2014 financial year. This excludes the influence of exchange rate movements, adjustments to deferred tax
balances associated with the Minerals Resource Rent Tax and the impact of exceptional items.
BHP Billiton operational review for the half year ended 31 December 2013 2
Following the adoption of the new accounting standards, our guidance for capital and exploration expenditure will
now refer to BHP Billiton share. On this basis, the Company’s share of capital and exploration expenditure is
expected to be US$16.1 billion (i) in the 2014 financial year.
FY14 capital and exploration expenditure guidance US$ billion
Guidance provided on 20 August 2013 (iii) 16.2
Adjustment for: Change in accounting standards (iv) 0.5
16.7
Less: Non-controlling interests (v) (1.5)
Add: BHP Billiton share of equity accounted investments (vi) 0.9
Capital and exploration expenditure (BHP Billiton share) (i) 16.1
The relative change in the price achieved for our major commodities in the December 2013 half year is summarised
in the table below.
Average realised prices (vii) DEC H13 DEC H13 DEC H13
vs vs vs
DEC H12 JUN H13 FY13
Oil (crude and condensate) (US$/bbl) -2% -4% -3%
Natural gas (US$/mscf) 5% -2% 1%
US natural gas (US$/mscf) 15% -5% 5%
LNG (US$/mscf) -2% 0% -1%
Copper (US$/lb) (viii) -6% 4% -1%
Iron ore (US$/wmt) (ix) 10% -4% 2%
Hard coking coal (US$/t) -18% -10% -13%
Thermal coal (US$/t) (x) -11% -6% -9%
Alumina (US$/t) (xi) 0% -7% -4%
Aluminium (US$/t) -8% -7% -7%
Manganese ore (US$/dmtu) (xi) 4% -4% 1%
Manganese alloy (US$/t) -13% -5% -9%
Nickel metal (US$/t) -17% -13% -15%
BHP Billiton operational review for the half year ended 31 December 2013 3
Petroleum and Potash
Production
DEC DEC DEC H13 DEC Q13 DEC Q13
2013 2013 vs vs vs
HALF QTR DEC H12 DEC Q12 SEP Q13
Crude oil, condensate and natural gas liquids (‘000 boe) 50,026 23,973 9% 3% -8%
Natural gas (bcf) 422.31 202.65 -7% -8% -8%
Total petroleum products (million boe) 120.4 57.7 -1% -4% -8%
Total petroleum production – Total petroleum production for the December 2013 half year was 120.4 million
barrels of oil equivalent. Guidance for the 2014 financial year remains unchanged at approximately 250 million
barrels of oil equivalent.
Crude oil, condensate and natural gas liquids – A nine per cent increase in liquids production for the December
2013 half year was underpinned by a 72 per cent increase at Onshore US. This was supported by an 80 per cent
increase at Atlantis (US) as volumes benefited from the start-up of a new production well in the September 2013
quarter. Atlantis production is expected to remain strong in the second half of the 2014 financial year with an
additional well scheduled for completion.
The significant increase in liquids production at Onshore US and Atlantis during the period was partially offset by
expected natural field decline across the broader Conventional business and scheduled downtime at Pyrenees
(Australia). The one month maintenance outage of the floating production storage and off-take (FPSO) facility at
Pyrenees was completed ahead of plan and the field had returned to full production of 34 thousand barrels per day
(100 per cent basis) at the end of the period.
Onshore US liquids production for the December 2013 quarter was constrained by scheduled downtime across the
Eagle Ford. This primarily reflected facility tie-ins in the Black Hawk to support significant growth in liquids
production and the installation of additional production tubing for a number of wells at Hawkville to ensure their
integrity over the long term. Guidance for the 2014 financial year remains unchanged with an anticipated
75 per cent increase in Onshore US liquids production.
Natural gas – Natural gas production declined by seven per cent in the December 2013 half year. The successful
delivery of first gas from the Macedon project partially offset lower seasonal Bass Strait (both Australia) demand, as
well as natural field decline at Haynesville (US), which followed our decision to prioritise Onshore US development
drilling in the liquids rich Black Hawk region of the Eagle Ford.
Projects
Capital Initial
Project and expenditure production
ownership (US$m) target date Capacity Progress
North West Shelf 400 CY16 To maintain LNG plant throughput On schedule and budget. The overall
Greater Western from the North West Shelf operations. project is 68% complete.
Flank-A
(Australia)
16.67% (non-
operator)
Bass Strait Longford 520 CY16 Designed to process approximately On schedule and budget. The overall
Gas Conditioning 400 million cubic feet per day of high project is 25% complete.
Plant CO2 gas.
(Australia)
50% (non-operator)
BHP Billiton operational review for the half year ended 31 December 2013 4
Onshore US drilling and development expenditure totalled US$2.4 billion in the December 2013 half year.
Approximately 75 per cent of drilling activity occurred in the Eagle Ford, with the majority focused on our Black
Hawk acreage. The rate of expenditure is expected to slow in the second half of the 2014 financial year following a
35 per cent reduction in the Company’s active rig count to 26 during the period. Our high return development plans
are underpinned by annual investment of approximately US$4.0 billion, subject to market conditions.
As highlighted at the recent Petroleum briefing, the optimisation of our dry gas program will result in a series of
charges in the 2014 financial year including rig termination costs of approximately US$100 million (with the majority
booked in the first half) and underutilised legacy gas pipeline commitment charges of approximately
US$170 million. Following a successful evaluation program we will also incur approximately US$600 million in
depreciation charges related to Permian production in the 2014 financial year.
Petroleum exploration
Exploration and appraisal wells drilled during the quarter or in the process of drilling as at 31 December 2013.
BHP Billiton Total well
Well Location Target equity Spud date Water depth depth Status
Stybarrow Carnarvon Oil 50% 10 December 675 metres 2,533 metres Plugged and abandoned
East-1 Basin (Operator) 2013 Hydrocarbons encountered
WA-32-L Non-commercial
Stybarrow Carnarvon Oil 50% 26 December 675 metres 2,670 metres Plugged and abandoned
East-2 Basin (Operator) 2013 Dry hole
WA-32-L
Petroleum exploration expenditure for the December 2013 half year was US$285 million, of which US$147 million
was expensed. BHP Billiton also signed a Production Sharing Contract for Block 23b in Trinidad and Tobago,
where the Group now has a 60 per cent interest and is the operator. A US$600 million exploration program, largely
focused on the Gulf of Mexico (US) and Western Australia, is planned for the 2014 financial year.
Potash
Project and Investment
ownership (US$m) Scope Progress
Jansen Potash 2,600 Investment to finish the excavation and lining of the On schedule and budget. The overall
(Canada) production and service shafts, and to continue the project is 16% complete.
100% installation of essential surface infrastructure and
utilities.
Excavation of the production and service shafts paused in the December 2013 quarter to enable a thorough review
of the activities completed to date and to ensure all learnings are captured and adopted in future works. Excavation
is expected to resume in February 2014. The staggered manner in which we are progressing the production and
service shafts allows us to mitigate risk and optimise their development. The project remains on schedule and
budget.
BHP Billiton operational review for the half year ended 31 December 2013 5
Copper
Production
DEC DEC DEC H13 DEC Q13 DEC Q13
2013 2013 vs vs vs
HALF QTR DEC H12 DEC Q12 SEP Q13
Copper (‘000 tonnes) 843.2 439.9 6% 6% 9%
Lead (tonnes) 94,284 47,839 -4% 4% 3%
Zinc (tonnes) 61,410 32,855 18% 25% 15%
Silver (‘000 ounces) 17,538 8,850 -4% 1% 2%
Uranium oxide concentrate (Uranium) (tonnes) 1,978 1,008 -3% 0% 4%
Copper – Total copper production increased by six per cent in the December 2013 half year to 843 thousand
tonnes.
The adoption of IFRS 10 requires the full consolidation of Escondida, as compared to the proportionate
consolidation of our 57.5 per cent equity interest which has been applied in prior periods. This report has been
prepared on the basis of this new accounting standard and includes 100 per cent of Escondida.
BHP Billiton’s copper production guidance for the 2014 financial year remains unchanged at 1.7 million tonnes,
although the Group’s equity interest is 1.2 million tonnes. Production in the second half is expected to be weighted
towards the June 2014 quarter.
Escondida copper production increased by seven per cent in the December 2013 half year to 564 thousand tonnes
as ongoing productivity initiatives supported increased mill throughput and recoveries, which more than offset lower
ore grades. Escondida remains on track to produce approximately 1.1 million tonnes of copper in the 2014 financial
year before increasing to approximately 1.3 million tonnes in the 2015 financial year.
Pampa Norte (Chile) copper production increased by 37 per cent from the September 2013 quarter as recoveries
at Spence improved during the period. Spence achieved record mill throughput in the December 2013 half year,
which will underpin a strong increase in production through the second half of the 2014 financial year. Full year
volumes at Spence are expected to be in line with the prior corresponding period.
Antamina (Peru) achieved record copper production for the December 2013 half year. This was underpinned by
record mining and milling throughput, together with higher average ore grades, as mining progressed through a
copper rich ore zone. Full year copper production at Antamina is expected to remain at a similar level to the
2013 financial year given a projected decline in copper ore grades, consistent with the mine plan.
Olympic Dam (Australia) copper production benefited from improved smelter reliability during the December 2013
quarter, although planned maintenance is expected to impact the smelter over a 20 day period in the second half of
the 2014 financial year. The operation achieved record material mined for the December 2013 half year. Copper
production at Olympic Dam for the 2014 financial year is expected to be in line with the prior period.
At 31 December 2013, the Group had 437,749 tonnes of outstanding copper sales that were revalued at a
weighted average price of US$3.33 per pound. The final price of these sales will be determined over the remainder
of the 2014 financial year. In addition, 385,721 tonnes of copper sales from the 2013 financial year were subject to
a finalisation adjustment in the current period. Provisional pricing and finalisation adjustments will increase
earnings before interest and tax by US$196 million in the December 2013 half year (December 2012 half year:
US$67 million increase) (xii).
On 11 October 2013, BHP Billiton completed the sale of its Pinto Valley (US) mining operation and the associated
San Manuel Arizona Railroad Company to Capstone Mining Corp. for US$653 million, after working capital
adjustments.
BHP Billiton operational review for the half year ended 31 December 2013 6
Lead/silver – Lead and silver production increased by three and two per cent, respectively, from the September
2013 quarter. Antamina achieved record silver production for the December 2013 half year. In addition, Cannington
(Australia) delivered record material mined over the same period, however lead and silver production was affected
by lower average ore grades, consistent with the mine plan.
Zinc – Total zinc production increased by 18 per cent in the December 2013 half year, supported by higher
average zinc grades at Cannington.
Uranium – Uranium production decreased by three per cent in the December 2013 half year as a result of planned
maintenance at Olympic Dam.
Projects
Capital Initial
Project and expenditure production
ownership (US$m) target date Capacity Progress
Escondida Oxide 721 H1 CY14 New dynamic leaching pad and On schedule and budget. The overall
Leach Area Project mineral handling system. Maintains project is 86% complete.
(Chile) oxide leaching capacity.
57.5%
Escondida Organic 3,838 H1 CY15 Replaces the Los Colorados On schedule and budget. The overall
Growth Project 1 concentrator with a new project is 61% complete.
(Chile) 152,000 tonnes per day plant.
57.5%
Escondida Water 3,430 CY17 New desalination facility to ensure On schedule and budget. The overall
Supply continued water supply to Escondida. project is 4% complete.
(Chile)
57.5%
BHP Billiton operational review for the half year ended 31 December 2013 7
Iron Ore
Production
DEC DEC DEC H13 DEC Q13 DEC Q13
2013 2013 vs vs vs
HALF QTR DEC H12 DEC Q12 SEP Q13
Iron ore (‘000 tonnes) 97,820 48,867 19% 16% 0%
Iron ore – Iron ore production increased by 19 per cent in the December 2013 half year to a record
98 million tonnes.
WAIO achieved record production of 108 million tonnes (100 per cent basis) for the December 2013 half year,
despite weather related downtime and an increase in planned maintenance during the December 2013 quarter.
This record result reflected strong operating performance, the early delivery of production from Jimblebar and a
series of volume enhancing productivity initiatives, which included increased utilisation rates for several relocatable
crushers installed at our operating mines. While these crushers have increased the capacity of our supply chain at
a low capital cost and contributed to a significant rise in profitability, the previously signalled increase in the strip
ratio at WAIO has more than offset the unit cost savings achieved across the broader supply chain.
Our WAIO business continues to perform strongly, however we have maintained production guidance of 212 million
tonnes (100 per cent basis) for the 2014 financial year given the general uncertainty that exists as we enter the wet
season.
The ramp up of phase one capacity at Jimblebar to 35 mtpa (100 per cent basis) is expected to be completed by
the end of the 2015 financial year. Longer term, a low cost option to expand Jimblebar to 55 mtpa (100 per cent
basis) and the broader debottlenecking of the supply chain are expected to underpin further capital efficient growth
in capacity to approximately 260 mtpa to 270 mtpa (100 per cent basis).
Samarco’s (Brazil) three pellet plants continued to operate at capacity during the period.
Total iron ore production guidance for the 2014 financial year remains unchanged at 192 million tonnes.
Projects
Capital Initial
Project and expenditure production
ownership (US$m) target date Capacity Progress
WAIO Port Blending 1,000 (xiii) H2 CY14 Optimises resource and enhances First ore was handled in Q4 CY13. On
and Rail Yard efficiency across the WAIO supply schedule and budget on the basis of
Facilities chain. the revised scope. The overall project
(Australia) is 98% complete.
85%
Samarco Fourth 1,750 H1 CY14 Increases iron ore pellet production On schedule and budget. The overall
Pellet Plant capacity by 8.3 million tonnes per project is 98% complete.
(Brazil) annum to 30.5 million tonnes per
50% annum.
On 25 November 2013, BHP Billiton approved an investment of US$301 million (BHP Billiton share) to replace two
shiploaders at WAIO’s Nelson Point operations in Port Hedland. The two new shiploaders will increase the
reliability of our inner harbour port facilities and create additional port capacity that will be utilised as a series of
debottlenecking initiatives increase the capacity of our supply chain. Commissioning of the two replacement
shiploaders is scheduled for the second half of the 2014 calendar year.
BHP Billiton operational review for the half year ended 31 December 2013 8
Coal
Production
DEC DEC DEC H13 DEC Q13 DEC Q13
2013 2013 vs vs vs
HALF QTR DEC H12 DEC Q12 SEP Q13
Metallurgical coal (‘000 tonnes) 21,725 11,540 22% 30% 13%
Energy coal (‘000 tonnes) 37,406 17,767 -1% -5% -10%
Metallurgical coal – Metallurgical coal production increased by 22 per cent in the December 2013 half year to a
record 22 million tonnes.
Queensland Coal (Australia) delivered record production and sales volumes for the December 2013 half year,
underpinned by strong performance across all operations. This included record production at South Walker Creek,
Saraji and Poitrel. The business continued to benefit from our productivity initiatives, achieving annualised
production of 68 million tonnes (100 per cent basis) in the December 2013 quarter.
Illawarra Coal (Australia) production declined by 13 per cent in the December 2013 half year, due to an extended
outage at Dendrobium and a scheduled longwall move at West Cliff in the September 2013 quarter. Operations are
expected to return to normal production levels by the end of the March 2014 quarter.
Our Queensland Coal business continues to perform strongly, however we have retained total metallurgical coal
production guidance of 41 million tonnes for the 2014 financial year given the general uncertainty that exists as we
enter the wet season.
Energy coal – Energy coal production of 37 million tonnes was in line with the December 2012 half year. Record
production at both New South Wales Energy Coal (Australia) and Cerrejon Coal (Colombia) offset the impact of
industrial action, lower yields and adverse weather conditions at BECSA (South Africa).
Total energy coal production guidance for the 2014 financial year remains unchanged at 73 million tonnes.
BHP Billiton completed the sale of the Navajo mine to the Navajo Transitional Energy Company effective
30 December 2013. As BHP Billiton will remain the mine manager and operator until 2016, production and financial
results for Navajo Mine will continue to be reported by the Group.
Projects
Capital Initial
Project and expenditure production
ownership (US$m) target date Capacity Progress
Cerrejon P40 437 CY13 Increases saleable thermal coal First coal was handled in Q4 CY13.
Project production by 8 million tonnes per Port still to be completed. On
(Colombia) annum to approximately 40 million schedule and budget. The overall
33.3% tonnes per annum. project is 86% complete.
Caval Ridge 1,870 (xiii) CY14 Greenfield mine development to On schedule and budget. The overall
(Australia) produce an initial 5.5 million tonnes project is 96% complete.
50% per annum of export metallurgical
coal.
Hay Point Stage 1,505 (xiii) CY15 Increases port capacity from On revised schedule and budget. The
Three Expansion 44 million tonnes per annum to overall project is 77% complete.
(Australia) 55 million tonnes per annum and
50% reduces storm vulnerability.
Appin Area 9 845 CY16 Maintains Illawarra Coal’s production On schedule and budget. The overall
(Australia) capacity with a replacement mining project is 57% complete.
100% domain and capacity to produce
3.5 million tonnes per annum of
metallurgical coal.
BHP Billiton operational review for the half year ended 31 December 2013 9
Aluminium, Manganese and Nickel
Production
DEC DEC DEC H13 DEC Q13 DEC Q13
2013 2013 vs vs vs
HALF QTR DEC H12 DEC Q12 SEP Q13
Alumina ('000 tonnes) 2,603 1,352 8% 10% 8%
Aluminium ('000 tonnes) 612 302 8% 2% -3%
Manganese ore (‘000 tonnes) 4,246 2,200 0% 4% 8%
Manganese alloy (‘000 tonnes) 303 166 7% 8% 21%
Nickel ('000 tonnes) 78.2 37.8 9% 9% -6%
Alumina – Alumina production increased by eight per cent in the December 2013 half year to a record 2.6 million
tonnes. The Efficiency and Growth project at Worsley (Australia) reached nameplate capacity and the Alumar
refinery (Brazil) achieved record production.
Aluminium – Aluminium production increased by eight per cent in the December 2013 half year to 612 thousand
tonnes. Production benefited from strong operating performance at our Southern African smelters which included a
half year production record at Hillside (South Africa).
Manganese ore – Manganese ore production was in line with the December 2012 half year as improved
performance at Hotazel (South Africa) was offset by lower recoveries at GEMCO (Australia).
Manganese alloy – Manganese alloy volumes increased by seven per cent from the December 2012 half year
which was affected by the temporary suspension of operations at TEMCO (Australia).
Nickel – Nickel production increased by nine per cent from the December 2012 half year which was affected by
planned maintenance at the Nickel West Kalgoorlie smelter and Kwinana refinery (both Australia).
On 31 October 2013, production at Nickel West Leinster Perseverance underground mine was suspended
following a significant seismic event. A subsequent review of the incident determined it was unsafe to resume
operations. Mining at Rocky’s Reward open cut mine, near Leinster, will provide an alternative ore supply to our
integrated business. Total saleable nickel production at Nickel West in the 2014 financial year is expected to be in
line with the prior year, although the impact on production for the 2015 financial year continues to be assessed.
BHP Billiton operational review for the half year ended 31 December 2013 10
Minerals exploration
Greenfield minerals exploration is focused on advancing copper targets within Chile and Peru. Minerals exploration
expenditure in the December 2013 half year was US$219 million, of which US$195 million was expensed.
i Represents the share of capital and exploration expenditure (on an accruals basis) attributable to BHP Billiton shareholders. Includes
BHP Billiton proportionate share of equity accounted investments; excludes non-controlling interests and deferred stripping.
ii Refers to copper equivalent production based on average realised product prices for the 2013 financial year.
iii Excludes deferred stripping.
iv Includes adjustment for IFRS 10 and IFRS 11.
v Primarily includes Escondida, Jimblebar, BHP Billiton Mitsui Coal (BMC) and our manganese operations.
vi Primarily includes Antamina, Samarco and Cerrejon Coal.
vii Excludes third party product.
viii Excludes Antamina.
ix Excludes freight revenue.
x Export sales only, excludes Cerrejon Coal. Includes thermal coal sales from metallurgical coal mines.
xi Excludes internal sales.
xii Includes third party product.
xiii Excludes announced pre-commitment funding.
BHP Billiton operational review for the half year ended 31 December 2013 11
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BHP Billiton operational review for the half year ended 31 December 2013 12
BHP BILLITON PRODUCTION SUMMARY
QUARTER ENDED YEAR TO DATE % CHANGE
DEC YTD13 DEC Q13 DEC Q13
DEC SEP DEC DEC DEC vs vs vs
2012 2013 2013 2013 2012 DEC YTD12 DEC Q12 SEP Q13
Petroleum
Crude oil & condensate ('000 bbl) 19,228 20,421 19,202 39,623 37,264 6% 0% -6%
Natural gas (bcf) 219.66 219.66 202.65 422.31 452.51 -7% -8% -8%
NGL ('000 boe) 4,064 5,632 4,771 10,403 8,475 23% 17% -15%
Total petroleum products (million boe) 59.9 62.7 57.7 120.4 121.2 -1% -4% -8%
Copper
Copper ('000 tonnes) 414.6 403.3 439.9 843.2 794.0 6% 6% 9%
Lead (tonnes) 46,135 46,445 47,839 94,284 98,318 -4% 4% 3%
Zinc (tonnes) 26,209 28,555 32,855 61,410 52,131 18% 25% 15%
Gold (ounces) 42,574 45,045 45,655 90,700 82,542 10% 7% 1%
Silver ('000 ounces) 8,772 8,688 8,850 17,538 18,218 -4% 1% 2%
Uranium oxide concentrate (tonnes) 1,005 970 1,008 1,978 2,035 -3% 0% 4%
Molybdenum (tonnes) 410 458 379 837 864 -3% -8% -17%
Iron ore
Iron ore ('000 tonnes) 42,190 48,953 48,867 97,820 81,962 19% 16% 0%
Coal
Metallurgical coal ('000 tonnes) 8,888 10,185 11,540 21,725 17,826 22% 30% 13%
Energy coal ('000 tonnes) 18,738 19,639 17,767 37,406 37,882 -1% -5% -10%
Aluminium, Manganese and Nickel
Alumina ('000 tonnes) 1,232 1,251 1,352 2,603 2,402 8% 10% 8%
Aluminium ('000 tonnes) 297 310 302 612 566 8% 2% -3%
Manganese ore ('000 tonnes) 2,117 2,046 2,200 4,246 4,263 0% 4% 8%
Manganese alloy ('000 tonnes) 153 137 166 303 283 7% 8% 21%
Nickel ('000 tonnes) 34.7 40.4 37.8 78.2 71.7 9% 9% -6%
Throughout this report figures in italics indicate that this figure has been adjusted since it was previously reported.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 13
BHP BILLITON ATTRIBUTABLE PRODUCTION
QUARTER ENDED YEAR TO DATE
BHP Billiton DEC MAR JUN SEP DEC DEC DEC
interest 2012 2013 2013 2013 2013 2013 2012
Petroleum
Production
Crude oil and condensate ('000 bbl) 19,228 16,689 18,559 20,421 19,202 39,623 37,264
Natural gas (bcf) 219.66 207.27 214.49 219.66 202.65 422.31 452.51
NGL ('000 boe) (a) 4,064 4,182 4,882 5,632 4,771 10,403 8,475
Total petroleum products (million boe) 59.9 55.4 59.2 62.7 57.7 120.4 121.2
Copper (b)
Copper
Payable metal in concentrate ('000 tonnes)
Escondida (c) 57.5% 209.9 222.6 223.0 205.1 208.0 413.1 385.9
Antamina 33.8% 39.6 25.2 34.7 41.9 42.4 84.3 79.8
Pinto Valley 100% 0.5 5.3 10.8 10.9 1.6 12.5 0.5
Total 250.0 253.1 268.5 257.9 252.0 509.9 466.2
Cathode ('000 tonnes)
Escondida (c) 57.5% 71.0 75.3 79.3 73.2 77.5 150.7 143.3
Pampa Norte (d) 100% 58.8 56.4 64.7 43.5 59.4 102.9 111.5
Pinto Valley 100% 1.2 1.2 1.3 0.8 0.1 0.9 2.4
Olympic Dam 100% 33.6 47.7 47.9 27.9 50.9 78.8 70.6
Total 164.6 180.6 193.2 145.4 187.9 333.3 327.8
Total Copper 414.6 433.7 461.7 403.3 439.9 843.2 794.0
Lead
Payable metal in concentrate (tonnes)
Cannington 100% 45,937 48,899 66,666 46,287 47,259 93,546 97,860
Antamina 33.8% 198 181 368 158 580 738 458
Total 46,135 49,080 67,034 46,445 47,839 94,284 98,318
Zinc
Payable metal in concentrate (tonnes)
Cannington 100% 13,622 11,045 20,206 16,033 16,123 32,156 25,030
Antamina 33.8% 12,587 19,148 25,675 12,522 16,732 29,254 27,101
Total 26,209 30,193 45,881 28,555 32,855 61,410 52,131
Gold
Payable metal in concentrate (ounces)
Escondida (c) 57.5% 18,359 18,626 17,593 17,347 19,384 36,731 35,310
Olympic Dam (refined gold) 100% 24,215 27,531 38,477 27,649 26,271 53,920 47,232
Pinto Valley 100% - - - 49 - 49 -
Total 42,574 46,157 56,070 45,045 45,655 90,700 82,542
Silver
Payable metal in concentrate ('000 ounces)
Escondida (c) 57.5% 696 743 890 891 982 1,873 1,327
Antamina 33.8% 934 802 1,297 1,205 1,350 2,555 1,853
Cannington 100% 6,949 7,323 9,101 6,361 6,306 12,667 14,638
Olympic Dam (refined silver) 100% 193 214 266 190 212 402 400
Pinto Valley 100% - 11 48 41 - 41 -
Total 8,772 9,093 11,602 8,688 8,850 17,538 18,218
Uranium oxide concentrate
Payable metal in concentrate (tonnes)
Olympic Dam 100% 1,005 926 1,105 970 1,008 1,978 2,035
Total 1,005 926 1,105 970 1,008 1,978 2,035
Molybdenum
Payable metal in concentrate (tonnes)
Antamina 33.8% 410 321 376 458 379 837 864
Total 410 321 376 458 379 837 864
Refer footnotes on page 16.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 14
BHP BILLITON ATTRIBUTABLE PRODUCTION
QUARTER ENDED YEAR TO DATE
BHP Billiton DEC MAR JUN SEP DEC DEC DEC
interest 2012 2013 2013 2013 2013 2013 2012
Iron Ore
Production ('000 tonnes) (e)
Newman (f) 85% 12,809 13,028 15,408 15,362 14,186 29,548 24,561
Goldsworthy Joint Venture 85% 378 296 - 202 428 630 810
Area C Joint Venture 85% 10,245 10,983 12,552 11,814 11,383 23,197 21,182
Yandi Joint Venture 85% 15,954 13,302 17,027 18,146 17,135 35,281 29,725
Jimblebar (g) 85% - - - 700 2,894 3,594 -
Samarco 50% 2,804 2,596 2,702 2,729 2,841 5,570 5,684
Total 42,190 40,205 47,689 48,953 48,867 97,820 81,962
Coal
Metallurgical coal
Production ('000 tonnes) (h)
BMA 50% 5,440 5,327 6,696 6,705 7,494 14,199 10,622
BHP Mitsui Coal (i) 80% 1,589 1,862 1,846 2,057 2,114 4,171 3,355
Illawarra 100% 1,859 1,777 2,316 1,423 1,932 3,355 3,849
Total 8,888 8,966 10,858 10,185 11,540 21,725 17,826
Energy coal
Production ('000 tonnes)
South Africa (j) 90% 7,969 7,302 7,902 7,937 7,036 14,973 16,423
USA 100% 3,280 3,351 2,752 3,145 2,896 6,041 6,688
Australia 100% 4,827 3,837 4,893 5,372 4,544 9,916 9,280
Colombia 33.3% 2,662 1,512 3,014 3,185 3,291 6,476 5,491
Total 18,738 16,002 18,561 19,639 17,767 37,406 37,882
Aluminium, Manganese and Nickel
Alumina
Saleable production ('000 tonnes)
Worsley 86% 944 911 961 946 1,024 1,970 1,803
Alumar 36% 288 302 304 305 328 633 599
Total 1,232 1,213 1,265 1,251 1,352 2,603 2,402
Aluminium
Production ('000 tonnes)
Hillside 100% 167 178 181 184 183 367 306
Bayside 100% 24 24 24 24 24 48 48
Alumar 40% 39 37 39 35 28 63 78
Mozal 47.1% 67 64 66 67 67 134 134
Total 297 303 310 310 302 612 566
Manganese ores
Saleable production ('000 tonnes)
South Africa (k) 44.4% 834 859 939 864 944 1,808 1,692
Australia (k) 60% 1,283 1,149 1,307 1,182 1,256 2,438 2,571
Total 2,117 2,008 2,246 2,046 2,200 4,246 4,263
Manganese alloys
Saleable production ('000 tonnes)
South Africa (k) (l) 60% 91 86 104 86 94 180 184
Australia (k) 60% 62 57 78 51 72 123 99
Total 153 143 182 137 166 303 283
Nickel
Saleable production ('000 tonnes)
Cerro Matoso 99.9% 12.4 12.3 12.8 12.0 12.3 24.3 25.7
Nickel West 100% 22.3 29.8 27.5 28.4 25.5 53.9 46.0
Total 34.7 42.1 40.3 40.4 37.8 78.2 71.7
Refer footnotes on page 16.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 15
BHP BILLITON ATTRIBUTABLE PRODUCTION
(a) LPG and ethane are reported as Natural Gas Liquid (NGL). Product-specific conversions are made and NGL is reported in barrels
of oil equivalent (boe).
(b) Metal production is reported on the basis of payable metal.
(c) Shown on 100% basis following the application of the new IFRS 10 which came into effect from 1 July 2013. BHP Billiton interest in
saleable production is 57.5%.
(d) Includes Cerro Colorado and Spence.
(e) Iron ore production is reported on a wet tonnes basis.
(f) Newman includes Mt Newman Joint Venture and Wheelarra.
(g) Shown on 100% basis. BHP Billiton interest in saleable production is 85%.
(h) Metallurgical coal production is reported on the basis of saleable product. Production figures include some thermal coal.
(i) Shown on 100% basis. BHP Billiton interest in saleable production is 80%.
(j) Shown on 100% basis. BHP Billiton interest in saleable production is 90%.
(k) Shown on 100% basis. BHP Billiton interest in saleable production is 60%, except Hotazel Manganese Mines which is 44.4%.
(l) Production includes Medium Carbon Ferro Manganese.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 16
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Petroleum
BHP Billiton attributable production unless otherwise stated.
Crude oil and condensate ('000 barrels)
Bass Strait 2,081 1,934 2,229 2,247 1,958 4,205 4,650
North West Shelf 1,829 1,526 1,646 1,865 1,497 3,362 3,696
Stybarrow 464 323 401 348 317 665 998
Pyrenees 2,379 1,659 1,817 1,707 1,295 3,002 4,984
Other Australia (a) 15 15 12 14 12 26 32
Atlantis (b) 2,376 1,471 2,594 2,953 3,988 6,941 3,930
Mad Dog (b) 906 791 649 732 496 1,228 1,275
Shenzi (b) 4,008 3,580 3,378 3,467 3,201 6,668 7,791
Onshore US (c) 2,658 3,071 3,614 5,044 4,238 9,282 5,016
Trinidad/Tobago 362 331 259 320 314 634 738
Other Americas (b) (d) 410 384 403 378 373 751 777
UK (e) 355 326 282 142 305 447 615
Algeria 1,316 1,207 1,210 1,142 1,156 2,298 2,625
Pakistan 69 71 65 62 52 114 137
Total 19,228 16,689 18,559 20,421 19,202 39,623 37,264
Natural gas (billion cubic feet)
Bass Strait 26.67 23.38 33.63 34.20 22.73 56.93 66.73
North West Shelf 34.09 31.29 30.29 34.18 30.35 64.53 69.42
Other Australia (a) 5.48 5.17 4.54 9.32 15.12 24.44 11.68
Atlantis (b) 0.89 0.54 0.83 1.26 1.85 3.11 1.48
Mad Dog (b) 0.18 0.15 0.05 0.11 0.07 0.18 0.24
Shenzi (b) 0.94 0.81 0.78 0.80 0.76 1.56 3.05
Onshore US (c) 123.03 115.69 118.08 114.89 105.29 220.18 245.62
Trinidad/Tobago 9.15 8.84 9.07 9.90 9.66 19.56 18.36
Other Americas (b) (d) 0.48 0.59 0.29 0.27 0.29 0.56 0.83
UK (e) 5.26 6.44 4.09 3.47 6.25 9.72 8.55
Pakistan 13.49 14.37 12.84 11.26 10.28 21.54 26.55
Total 219.66 207.27 214.49 219.66 202.65 422.31 452.51
NGL ('000 barrels of oil equivalent)
Bass Strait 1,342 1,405 1,753 2,001 1,603 3,604 3,395
North West Shelf 354 323 312 399 234 633 739
Atlantis (b) 209 96 200 255 348 603 263
Mad Dog (b) 72 55 - 38 24 62 88
Shenzi (b) 324 269 224 266 252 518 694
Onshore US (c) 1,736 2,004 2,375 2,656 2,295 4,951 3,252
Other Americas (b) (d) 16 13 9 11 10 21 33
UK (e) 11 17 9 6 5 11 11
Total 4,064 4,182 4,882 5,632 4,771 10,403 8,475
Total Petroleum Products 59.9 55.4 59.2 62.7 57.7 120.4 121.2
(million barrels of oil equivalent) (f)
(a) Other Australia includes Minerva and Macedon. Macedon achieved first production in August 2013.
(b) Gulf of Mexico volumes are net of royalties.
(c) Onshore US volumes are net of mineral holder royalties.
(d) Other Americas includes Neptune, Genesis and Overriding Royalty Interest.
(e) An agreement to sell Liverpool Bay was reached in October 2013 and the transaction is expected to close before the end of the 2014
financial year.
(f) Total barrels of oil equivalent (boe) conversions are based on 6,000 scf of natural gas equals 1 boe.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 17
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Copper
BHP Billiton attributable production and sales unless otherwise stated. Metals production is payable metal unless otherwise stated.
Escondida, Chile (a)
Material mined ('000 tonnes) 96,938 94,567 98,665 93,744 93,814 187,558 199,437
Sulphide ore milled ('000 tonnes) 18,796 18,964 19,295 18,276 19,584 37,860 35,646
Average copper grade (%) 1.39% 1.44% 1.42% 1.37% 1.30% 1.33% 1.37%
Production ex mill ('000 tonnes) 216.6 229.3 231.9 210.6 214.4 425.0 401.8
Production
Payable copper ('000 tonnes) 209.9 222.6 223.0 205.1 208.0 413.1 385.9
Payable gold concentrate (fine ounces) 18,359 18,626 17,593 17,347 19,384 36,731 35,310
Copper cathode (EW) ('000 tonnes) 71.0 75.3 79.3 73.2 77.5 150.7 143.3
Payable silver concentrate ('000 ounces) 696 743 890 891 982 1,873 1,327
Sales
Payable copper ('000 tonnes) 226.6 215.8 228.2 192.3 228.1 420.4 392.2
Payable gold concentrate (fine ounces) 19,235 18,325 15,831 12,490 18,602 31,092 34,885
Copper cathode (EW) ('000 tonnes) 81.4 59.1 95.0 63.0 86.7 149.7 148.9
Payable silver concentrate ('000 ounces) 772 720 908 836 1,076 1,912 1,335
(a) Shown on 100% basis following the application of the new IFRS 10 which came into effect from 1 July 2013. BHP Billiton interest in
saleable production is 57.5%.
Pampa Norte, Chile
Cerro Colorado
Material mined ('000 tonnes) 15,722 14,964 16,303 15,771 17,487 33,258 31,789
Ore milled ('000 tonnes) 4,206 4,350 4,351 4,161 4,501 8,662 8,711
Average copper grade (%) 0.66% 0.65% 0.82% 0.78% 0.76% 0.77% 0.60%
Production
Copper cathode (EW) ('000 tonnes) 17.9 14.6 21.2 17.6 19.4 37.0 35.7
Sales
Copper cathode (EW) ('000 tonnes) 18.8 13.7 21.7 17.3 17.6 34.9 34.9
Spence
Material mined ('000 tonnes) 25,999 28,861 28,646 24,331 27,911 52,242 53,540
Ore milled ('000 tonnes) 4,161 4,041 4,146 4,860 4,788 9,648 7,913
Average copper grade (%) 1.29% 1.38% 1.16% 1.11% 1.25% 1.18% 1.23%
Production
Copper cathode (EW) ('000 tonnes) 40.9 41.8 43.5 25.9 40.0 65.9 75.8
Sales
Copper cathode (EW) ('000 tonnes) 42.6 29.8 57.9 25.9 35.9 61.8 73.7
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 18
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Copper
BHP Billiton attributable production and sales unless otherwise stated. Metals production is payable metal unless otherwise stated.
Antamina, Peru
Material mined (100%) ('000 tonnes) 49,246 48,032 56,254 56,428 50,872 107,300 103,728
Sulphide ore milled (100%) ('000 tonnes) 11,752 10,330 12,424 11,765 12,521 24,286 24,026
Average head grades
- Copper (%) 1.16% 0.88% 1.03% 1.21% 1.15% 1.18% 1.15%
- Zinc (%) 0.64% 0.93% 1.02% 0.56% 0.72% 0.64% 0.65%
Production
Payable copper ('000 tonnes) 39.6 25.2 34.7 41.9 42.4 84.3 79.8
Payable zinc (tonnes) 12,587 19,148 25,675 12,522 16,732 29,254 27,101
Payable silver ('000 ounces) 934 802 1,297 1,205 1,350 2,555 1,853
Payable lead (tonnes) 198 181 368 158 580 738 458
Payable molybdenum (tonnes) 410 321 376 458 379 837 864
Sales
Payable copper ('000 tonnes) 42.7 24.1 31.9 41.3 44.5 85.8 82.4
Payable zinc (tonnes) 17,874 16,062 22,560 16,123 18,397 34,520 33,393
Payable silver ('000 ounces) 1,101 772 1,165 1,503 1,367 2,870 1,950
Payable lead (tonnes) 276 115 262 297 368 665 606
Payable molybdenum (tonnes) 381 371 283 411 442 853 917
Cannington, Australia
Material mined ('000 tonnes) 817 810 802 893 974 1,867 1,534
Ore milled ('000 tonnes) 793 713 866 750 852 1,602 1,566
Average head grades
- Silver (g/t) 317 364 401 315 274 293 336
- Lead (%) 7.0% 7.7% 9.1% 7.4% 6.7% 7.0% 7.3%
- Zinc (%) 2.9% 2.7% 3.8% 3.2% 3.1% 3.1% 2.7%
Production
Payable silver ('000 ounces) 6,949 7,323 9,101 6,361 6,306 12,667 14,638
Payable lead (tonnes) 45,937 48,899 66,666 46,287 47,259 93,546 97,860
Payable zinc (tonnes) 13,622 11,045 20,206 16,033 16,123 32,156 25,030
Sales
Payable silver ('000 ounces) 6,694 7,265 7,793 7,844 6,548 14,392 15,200
Payable lead (tonnes) 46,319 48,661 64,633 56,500 47,185 103,685 105,361
Payable zinc (tonnes) 16,321 9,439 21,056 17,286 18,241 35,527 26,700
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 19
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Copper
BHP Billiton attributable production and sales unless otherwise stated. Metals production is payable metal unless otherwise stated.
Olympic Dam, Australia
Material mined (a) ('000 tonnes) 2,123 2,448 2,750 2,897 2,717 5,614 4,349
Ore milled ('000 tonnes) 2,435 2,353 2,641 2,404 2,641 5,045 4,906
Average copper grade (%) 1.71% 1.73% 1.86% 1.85% 1.86% 1.86% 1.81%
Average uranium grade (kg/t) 0.51 0.50 0.56 0.53 0.52 0.52 0.53
Production
Copper cathode (ER) ('000 tonnes) 30.4 44.7 45.1 25.9 47.6 73.5 64.4
Copper cathode (EW) ('000 tonnes) 3.2 3.0 2.8 2.0 3.3 5.3 6.2
Uranium oxide concentrate (tonnes) 1,005 926 1,105 970 1,008 1,978 2,035
Refined gold (fine ounces) 24,215 27,531 38,477 27,649 26,271 53,920 47,232
Refined silver ('000 ounces) 193 214 266 190 212 402 400
Sales
Copper cathode (ER) ('000 tonnes) 33.2 40.1 46.4 26.8 43.3 70.1 68.3
Copper cathode (EW) ('000 tonnes) 2.7 3.1 3.5 2.1 2.8 4.9 6.1
Uranium oxide concentrate (tonnes) 1,343 816 1,374 930 1,037 1,967 1,958
Refined gold (fine ounces) 25,227 24,678 38,394 21,675 32,226 53,901 46,176
Refined silver ('000 ounces) 169 211 275 176 177 353 434
(a) Material mined refers to run of mine ore mined and hoisted.
Pinto Valley, US (a)
Production
Payable copper ('000 tonnes) 0.5 5.3 10.8 10.9 1.6 12.5 0.5
Copper cathode (EW) ('000 tonnes) 1.2 1.2 1.3 0.8 0.1 0.9 2.4
Payable silver ('000 ounces) - 11 48 41 - 41 -
Payable gold (ounces) - - - 49 - 49 -
Sales
Payable copper ('000 tonnes) - 2.6 9.9 7.3 - 7.3 -
Copper cathode (EW) ('000 tonnes) 1.2 1.1 1.4 1.1 - 1.1 2.4
Payable silver ('000 ounces) - 11 48 41 - 41 -
Payable gold (ounces) - - - 49 - 49 -
(a) On 11 October 2013 BHP Billiton completed the sale of its Pinto Valley operations.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 20
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Iron Ore
BHP Billiton attributable production and sales unless otherwise stated.
('000 tonnes)
Iron ore
Pilbara, Australia
Production (a)
Newman (b) 12,809 13,028 15,408 15,362 14,186 29,548 24,561
Goldsworthy Joint Venture 378 296 - 202 428 630 810
Area C Joint Venture 10,245 10,983 12,552 11,814 11,383 23,197 21,182
Yandi Joint Venture 15,954 13,302 17,027 18,146 17,135 35,281 29,725
Jimblebar (c) - - - 700 2,894 3,594 -
Total 39,386 37,609 44,987 46,224 46,026 92,250 76,278
Total production (100%) 46,337 44,245 52,926 54,258 53,638 107,896 89,740
Sales
Lump 9,806 9,339 11,284 10,292 9,996 20,288 18,144
Fines 30,479 28,370 34,621 35,235 35,756 70,991 59,197
Total 40,285 37,709 45,905 45,527 45,752 91,279 77,341
Total sales (100%) 47,393 44,363 54,006 53,561 53,808 107,369 90,988
(a) Iron ore production and sales are reported on a wet tonnes basis.
(b) Newman includes Mt Newman Joint Venture and Wheelarra.
(c) Shown on 100% basis. BHP Billiton interest in saleable production is 85%.
Samarco, Brazil
Production (a) 2,804 2,596 2,702 2,729 2,841 5,570 5,684
Sales 3,227 2,515 2,651 2,676 3,025 5,701 5,849
(a) Iron ore production and sales are reported on a wet tonnes basis.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 21
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Coal
BHP Billiton attributable production and sales unless otherwise stated.
('000 tonnes)
Metallurgical coal
Queensland, Australia
Production (a)
BMA
Blackwater 1,588 1,157 1,539 1,691 1,655 3,346 2,736
Goonyella 1,392 1,478 1,816 1,737 1,999 3,736 2,927
Peak Downs 1,151 1,225 1,140 1,112 1,201 2,313 2,180
Saraji 994 711 971 1,197 1,195 2,392 1,767
Gregory Joint Venture (b) 315 657 854 464 850 1,314 1,012
Daunia - 99 376 504 594 1,098 -
BMA total 5,440 5,327 6,696 6,705 7,494 14,199 10,622
BHP Mitsui Coal (c)
South Walker Creek 864 1,188 1,215 1,298 1,313 2,611 1,948
Poitrel 725 674 631 759 801 1,560 1,407
BHP Mitsui Coal total 1,589 1,862 1,846 2,057 2,114 4,171 3,355
Queensland total 7,029 7,189 8,542 8,762 9,608 18,370 13,977
Sales
Coking coal 5,561 4,933 6,316 6,123 6,517 12,640 9,619
Weak coking coal 1,820 2,029 2,417 2,397 2,505 4,902 3,365
Thermal coal 237 75 30 160 271 431 476
Total 7,618 7,037 8,763 8,680 9,293 17,973 13,460
(a) Metallurgical coal production is reported on the basis of saleable product. Production figures include some thermal coal.
(b) Gregory open-cut ceased production on 10 October 2012.
(c) Shown on 100% basis. BHP Billiton interest in saleable production is 80%.
Illawarra, Australia
Production (a) 1,859 1,777 2,316 1,423 1,932 3,355 3,849
Sales
Coking coal 1,785 1,595 1,877 1,084 1,495 2,579 3,560
Thermal coal 327 145 436 359 318 677 829
Total 2,112 1,740 2,313 1,443 1,813 3,256 4,389
(a) Metallurgical coal production is reported on the basis of saleable product. Production figures include some thermal coal.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 22
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Coal
BHP Billiton attributable production and sales unless otherwise stated.
('000 tonnes)
Energy coal
South Africa (a)
Production 7,969 7,302 7,902 7,937 7,036 14,973 16,423
Sales
Export 3,583 3,604 3,363 2,504 4,087 6,591 6,968
Local utility 4,615 4,171 4,353 4,543 3,811 8,354 9,484
Inland 28 32 24 - - - 66
Total 8,226 7,807 7,740 7,047 7,898 14,945 16,518
(a) Shown on 100% basis. BHP Billiton interest in saleable production is 90%.
New Mexico, US
Production
Navajo Coal (a) 2,012 1,944 1,569 1,670 1,400 3,070 3,955
San Juan Coal 1,268 1,407 1,183 1,475 1,496 2,971 2,733
Total 3,280 3,351 2,752 3,145 2,896 6,041 6,688
Sales - local utility 3,265 3,275 2,815 3,129 2,950 6,079 6,685
(a) BHP Billiton completed the sale of Navajo Mine on 30 December 2013. BHP Billiton will remain the mine manager and operator until
2016 and therefore production will continue to be reported by the Group.
NSW Energy Coal, Australia
Production 4,827 3,837 4,893 5,372 4,544 9,916 9,280
Sales
Export 4,187 4,505 4,289 4,037 4,887 8,924 8,675
Inland 265 174 478 446 332 778 515
Total 4,452 4,679 4,767 4,483 5,219 9,702 9,190
Cerrejon Coal, Colombia
Production 2,662 1,512 3,014 3,185 3,291 6,476 5,491
Sales - export 2,702 1,774 3,157 3,155 3,067 6,222 5,332
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 23
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Aluminium, Manganese and Nickel
BHP Billiton attributable production and sales unless otherwise stated.
('000 tonnes)
Alumina
Saleable production
Worsley, Australia 944 911 961 946 1,024 1,970 1,803
Alumar, Brazil 288 302 304 305 328 633 599
Total 1,232 1,213 1,265 1,251 1,352 2,603 2,402
Sales
Worsley, Australia 916 910 1,031 897 961 1,858 1,736
Alumar, Brazil 298 296 329 278 320 598 650
Total 1,214 1,206 1,360 1,175 1,281 2,456 2,386
Aluminium
Production
Hillside, South Africa 167 178 181 184 183 367 306
Bayside, South Africa 24 24 24 24 24 48 48
Alumar, Brazil 39 37 39 35 28 63 78
Mozal, Mozambique 67 64 66 67 67 134 134
Total 297 303 310 310 302 612 566
Sales
Hillside, South Africa 171 166 191 180 173 353 310
Bayside, South Africa 26 27 26 24 24 48 52
Alumar, Brazil 41 39 38 34 28 62 87
Mozal, Mozambique 65 76 65 68 74 142 123
Total 303 308 320 306 299 605 572
Manganese ore
Saleable production
South Africa (a) 834 859 939 864 944 1,808 1,692
Australia (a) 1,283 1,149 1,307 1,182 1,256 2,438 2,571
Total 2,117 2,008 2,246 2,046 2,200 4,246 4,263
Sales
South Africa (a) 808 835 970 920 714 1,634 1,686
Australia (a) 979 1,326 1,102 1,078 1,445 2,523 2,150
Total 1,787 2,161 2,072 1,998 2,159 4,157 3,836
Manganese alloy
Saleable production
South Africa (a) (b) 91 86 104 86 94 180 184
Australia (a) 62 57 78 51 72 123 99
Total 153 143 182 137 166 303 283
Sales
South Africa (a) (b) 112 89 110 88 87 175 186
Australia (a) 52 68 61 54 63 117 98
Total 164 157 171 142 150 292 284
(a) Shown on 100% basis. BHP Billiton interest in saleable production is 60%, except Hotazel Manganese Mines which is 44.4%.
(b) Production includes Medium Carbon Ferro Manganese.
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 24
PRODUCTION AND SALES REPORT
QUARTER ENDED YEAR TO DATE
DEC MAR JUN SEP DEC DEC DEC
2012 2013 2013 2013 2013 2013 2012
Aluminium, Manganese and Nickel
BHP Billiton attributable production and sales unless otherwise stated.
('000 tonnes)
Nickel
Cerro Matoso, Colombia
Production 12.4 12.3 12.8 12.0 12.3 24.3 25.7
Sales 13.7 13.0 13.1 12.6 12.3 24.9 26.0
Nickel West, Australia
Saleable production
Nickel contained in concentrate 4.1 3.1 3.0 3.4 2.4 5.8 5.4
Nickel contained in finished matte 7.6 9.7 8.6 8.8 6.1 14.9 13.4
Nickel metal 10.6 17.0 15.9 16.2 17.0 33.2 27.2
Nickel production 22.3 29.8 27.5 28.4 25.5 53.9 46.0
Sales
Nickel contained in concentrate 2.9 3.1 3.0 2.7 2.8 5.5 4.5
Nickel contained in finished matte 7.0 9.0 9.7 7.8 7.4 15.2 13.7
Nickel metal 12.8 19.5 17.7 15.3 17.2 32.5 27.0
Nickel sales 22.7 31.6 30.4 25.8 27.4 53.2 45.2
___________________________________________________________________________________________________________
BHP Billiton operational review for the half year ended 31 December 2013 25
Date: 22/01/2014 07:05:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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