Mining giant BHP Group (BHP) delivered a robust performance in the first half of its 2026 fiscal year (July 1, 2025, to June 30, 2026), achieving record highs in mineral operations and raising its annual production guidance for copper.
Simultaneously, the company continued to optimize its asset portfolio and reaffirmed progress on long-term growth initiatives, particularly in copper and potash.
Upward Revision of Annual Copper Guidance
On Tuesday (January 20), BHP Group (BHP) released key production figures for its second fiscal quarter (the three months ended December 31). During this period, copper production reached 490,500 tonnes, a 4% year-on-year (YoY) decrease. Iron ore production hit 69.7 million tonnes, up 5% YoY; metallurgical coal production was 4.3 million tonnes, down 3% YoY; and thermal coal production saw a significant jump of 25%, reaching 4.6 million tonnes.
Despite the quarterly dip in copper output, the metal remains a central pillar of BHP’s strategy. Driven by long-term demand from electrification, the energy transition, and power grid expansions, the company is investing heavily in copper projects. Its goal is to achieve an attributable copper production of approximately 2 million tonnes by the 2030s. Amid a favorable price environment and operational improvements, copper is increasingly viewed as a primary driver of future growth.
Accordingly, BHP announced an upward revision of its FY2026 copper production guidance. The group raised its overall production targets, along with specific guidance for its Escondida and Antamina mines. The total annual copper production is now expected to be between 1.9 million and 2.0 million tonnes, up from the previous forecast of 1.8 million to 2.0 million tonnes.
However, some analysts warned that expectations of increased supply could exacerbate a market surplus, potentially exerting downward pressure on copper spot prices. Without a corresponding increase in demand to offset global supply, prices may face headwinds.
Record Performance in Iron Ore and Coal
BHP’s iron ore business also achieved record-breaking results. Western Australia Iron Ore (WAIO) saw both production and shipments hit all-time highs for the first fiscal half. Additionally, iron ore production from Samarco, BHP’s Brazilian subsidiary, also increased.
The miner maintained its full-year iron ore production forecast at 284 million to 296 million tonnes, noting that the strong performance in the first half provides a solid foundation heading into the third fiscal quarter.
In the coal sector, metallurgical coal production rose due to the highest mining efficiency at its BMA subsidiary in five years. Energy coal production grew by 10% YoY, further diversifying the group’s earnings base.
Growth Project Updates
Regarding growth initiatives, BHP confirmed that its Jansen potash project in Canada remains on track for first production in mid-2027. The company reiterated that Jansen is expected to be a long-term, low-cost, and scalable asset that provides security for future commodities, aligning with global food security trends.