BHP is increasingly shifting from a traditional diversified mining profile toward a portfolio where copper plays a central role in earnings and future growth. The company produced approximately 2 million tonnes of copper for a second consecutive year to June 2026, while its copper business generated around US$18 billion of EBITDA, up about 48% year on year.
Copper accounted for approximately 54% of BHP’s underlying EBITDA, which reached nearly US$33 billion. Group revenue was approximately US$58.8 billion, underlying attributable profit about US$13.2 billion, and net debt declined to roughly US$8.7 billion.
Escondida investment supports copper production
Copper prices around US$14,000 per tonne are improving the economics of existing operations while strengthening the financial case for new developments.
At Escondida in Chile, BHP has approved approximately US$500 million in pre-commitment expenditure for a proposed new concentrator. A full investment decision could follow in 2027–28. The project would build on one of the world’s major copper mines and its existing infrastructure.
BHP is also advancing the Vicuña district in Argentina with Lundin Mining. Early development concepts indicate that a fully developed Vicuña complex could eventually produce close to 500,000 tonnes of copper and 800,000 ounces of gold annually. Environmental and investment-regime approvals for the first stage have improved the project’s development prospects, although significant capital will be required.
Resolution and Jansen broaden the portfolio
BHP retains the Resolution Copper project in Arizona as a longer-term development option. Regulatory complexity continues to constrain the project, while its geological scale gives it strategic importance within the company’s copper portfolio. Beyond copper, Jansen potash in Canada is approaching production, with first output expected in 2027. The project will provide another large-volume earnings platform and further diversify BHP’s commodity exposure.
The portfolio therefore combines iron ore cash generation with copper growth and potash diversification. This structure allows BHP to participate in the copper cycle while maintaining exposure to established operations.
Capital strength becomes a key advantage
The company can use its balance sheet to finance projects requiring substantial investment. Many new copper developments involve US$2 billion–US$8 billion of upfront capital, while permitting and infrastructure can extend development timelines for a decade or more.
BHP’s financial position gives it greater capacity to absorb this capital intensity than smaller developers. The main consideration therefore increasingly concerns capital allocation, including the amount committed to acquisitions and projects whose economics depend on elevated copper prices. With copper already BHP’s largest EBITDA contributor, Escondida, Vicuña and Resolution provide additional growth options, while iron ore and Jansen add diversification to the portfolio.
