BHP Group - $US0.9 billion investment (100% basis) into the future of Western Australia iron ore, approving execution of the Ministers North Project

BHP Group has announced a $US0.9 billion investment into its Western Australia Iron Ore operations, approving the Ministers North Project. This initiative is part of the company’s ongoing strategy to enhance production capacity and meet long-term customer demand. The project will focus on expanding the company’s iron ore output, building on previous investments such as the Rapid Growth Project 5 (RGP5), which added 50 million tonnes of capacity at a cost of $4.8 billion (BHP share).

The investment aligns with BHP’s broader financial priorities, which include supporting a progressive dividend policy, and returning surplus cash to shareholders. The company has also recently entered into a $2 billion agreement to sell a 49% stake in its Western Australia inland power infrastructure to BlackRock’s Global Infrastructure Partners, a move aimed at optimizing capital allocation while retaining strategic control.

The Ministers North Project is expected to contribute to BHP’s long-term growth objectives, reinforcing its position as a key supplier of high-quality iron ore to Asian markets. The project is part of a broader portfolio of initiatives that reflect confidence in long-term demand, despite near-term economic uncertainties.