Articles
BHP Share Price
by Alex Smith Stock Market AnalystBHP Group Limited is an ASX-listed mineral explorer with a
market capitalization of AU$293.95 billion. The company is primarily engaged in
iron ore mining and oil exploration along with the production of other
commodities like copper, uranium, and petroleum.
ASX BHP is also a dual-listed company having two parent
companies, namely- BHP Billiton Limited and BHP Billiton Plc. They employ about
60,000 employees and contractors across several parts of Australia and the
Americas. BHP’s headquarter is located in Melbourne.
The company recently paid a fully franked interim dividend
worth AU$2.08 per share to its eligible shareholders in March 2022.
Recent
developments within BHP:
Divestment of
BHP’s interest in BMC:
On 3 May 2022, BHP announced that it had completed selling
80% interest in BHP Mitsui Coal (BMC) to Stanmore SMC Holdings Pty Ltd.
Stanmore SMC is a 100%-owned entity of Stanmore Resources Limited
(ASX:SMR).
Stanmore paid US$1.1 billion as cash consideration at the
completion of the deal, along with a preliminary completion adjustment of
US$200 million for working capital. Additionally, Stanmore is yet to pay
another US$100 million of cash to BHP within six months, on 3 May 2022.
Furthermore, Stanmore is also payable US$150 million to BHP as a price-linked
earnout in CY2024. As a result, the total cash consideration of the deal is
US$1.35 billion, along with the final completion adjustment amount.
BHP’s
operational updates at the end of 31 March 2022 (Q3 FY22):
On 24 April 2022, BHP shared its operational performance
updates for Q3 FY22 by stating that the company delivered a safe and reliable
production amidst all the COVID-19 related challenges.
As a result, the company decided to keep its production guidance
for FY22 unchanged for iron ore, metallurgical coal and energy coal. However,
BHP has lowered its total full-year production guidance between 1,570 and 1,620
kt due to lowered production guidance as Escondida.
Similarly, the company has also lowered the full-year nickel
production guidance between 80 and 85kt due to labour shortages during the
COVID-19 crisis.
BHP also shared that the company is expecting its merger of
BHP’s oil and gas portfolio with Woodside Petroleum Limited (ASX:WPL) to take place
on 1 June 2022. However, the merger is subjected to the satisfaction of
preceding conditions and approval from Woodside shareholders.
BHP’s financial
performance in H1 FY22:
BHP reported a 32% gain in revenue to US$33,780 million
along with revenue from continued as well as discontinued operations.
Meanwhile, BHP’s net profit after tax also went up by 144% in the given period
to US$9,443 million.
BHP share price
movement:
The shares of BHP Group Limited (ASX:BHP) were spotted
trading 0.611% higher at AU$47.69 per share at 2:24 PM AEST on the ASX today (5
May). Approximately 4.05 million shares of BHP were traded until now during
today’s trading session on the ASX.
The share price of BHP has approximately fallen by 2% on the
ASX over the past 12 months. On the other hand, BHP’s year-to-date share price
gained over 12% at 2:24 PM AEST on the ASX today (5 May).
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About Alex Smith 
Stock Market Analyst
2 connections, 0 recommendations, 11 honor points.Joined APSense since, December 29th, 2021, From Sydney, Australia.
Created on May 17th 2022 02:26. Viewed 176 times.
