BHP Billiton said progress has been made in its negotiations with Brazilian authorities on a settlement for the Samarco tailings mine dam burst.
BHP Billiton made a larger-than-expected cut to its dividend, lowering the payout for the first time in 15 years, as the world’s biggest mining company seeks to protect its balance sheet and credit ratings amid a price collapse that saw first-half profits tumble 92%.
BHP Billiton said it expects to be hit with an impairment charge of $4.9billion post-tax against the carrying value of its onshore US assets. The company said the charge will be recognised as an exceptional item in the financial results for the half year ended December 31, 2015.
BHP Billiton Ltd. is snapping up oil- exploration prospects from the US to Australia and flagged this week that it’s seeking to make more similar investments. There’s speculation it’ll also target deals for operating wells and mines. With signs the commodity rout may be bottoming, conventional petroleum and copper assets are probably of most interest to the world’s biggest miner, according to Sanford C. Bernstein & Co. and Fat Prophets. BHP Chief Executive Officer Andrew Mackenzie said in August the company would look at the possibility of acquisitions, though wouldn’t overpay and would only consider the best assets. Mining companies with strong balance sheets, including BHP, which sold about $6.5 billion of hybrid securities last week, should scrap their dividend policies to help seize on cheap high-quality assets, according to Jefferies Group LLC analysts. The average premium on pending and completed deals worth at least $500 million in the mining and oil and gas sectors has fallen to 30 percent this year from 47 percent in 2013, according to data compiled by Bloomberg.
A new initiative to develop an orderly shift to a low carbon economy - backed by energy giants including Shell and BHP Billiton - was officially launched today.
Integrity technologies specialist Applus RTD has been awarded a one-year frame agreement with BHP Billiton in Australia.