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BHP Billiton Limited (BHP)

  • Jul. 30, 2013, 2:26 PM
    • The breakup of the Russian potash marketing cartel may signal the death knell for plans by BHP Billiton (BHP -1.8%) to spend as much as $15B to expand into production of the fertilizer ingredient.
    • While BHP has said it sees potash becoming the fifth pillar of its business in addition to copper, iron ore, coal and oil, it has delayed a final investment decision amid a freeze on new projects amid waning demand for raw materials.
  • Jul. 28, 2013, 2:27 PM
    • BHP Billiton (BHP) is betting strong returns from its copper business, even though copper prices are unlikely to rise in the near term, CEO Andrew Mackenzie says in an interview today.
    • The China shift to a consumer-led economy from a construction-led economy will reduce demand, but it might not be as bad as had been thought. "I don't like to comment on prices, but we have to prepare for a copper outlook around the current price, or perhaps a bit lower, that is around $3 per pound," he says.
    • Copper ETFs: JJC, CPER, CUPM
    • U.S.-traded copper miners: SCCO, FCX, TCK, GMO, SVBL, TLR
  • Jul. 26, 2013, 10:59 AM
    Iron ore miners are among the worst stock sectors YTD on worries about overcapacity and weaker demand from China, but some see the rout as overdone, with share prices of miners falling much more than market prices for iron ore. Miners are producing iron ore at $30-$50/ton, but supplied prices are averaging $90-$120/ton, says BlackRock's Evy Hambro, who has added to positions in diversified miners where iron ore is a key earnings driver.
  • Jul. 22, 2013, 5:30 PM
    South African coal producers including Anglo American (AAUKY.PK, AAUKF.PK) and BHP Billiton (BHP) have offered an "unacceptable" 5.6% wage increase that falls short of worker demands, the Solidarity labor union says. Last week, wage talks between labor and gold producers began with a proposed 4% pay hike rejected by the unions.
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  • Jul. 17, 2013, 3:17 AM
    BHP Billiton's (BHP) iron ore output rose 9% in FY 2013 to a record 187M tons, a figure that should grow this year as the company maintains plans to boost annual capacity to 220M tons by December. The increase in production at BHP, as well as at Rio Tinto (RIO), comes despite the slowdown in growth in China, a major export market. The strategy of the majors is to tighten their grip on the market and maximize economies of scale while other miners struggle. "As long as they keep margins well ahead of a declining iron ore price, they are winning," says analyst Gavin Wendt. (PR)
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  • Jul. 14, 2013, 1:59 AM
    New Australian Prime Minister Kevin Rudd plans to discard the country's carbon tax and introduce a less costly floating price emissions-trading system by July 1, 2014, a year earlier than planned. The scrapping of the tax, which was a flagship policy of ousted PM Julia Gillard, is expected to lower government revenues by several billion dollars, so it will have to cut costs to compensate. Companies that could be affected include Peabody Energy (BTU), BHP (BHP), Rio Tinto (RIO) and Glencore (GLCNF.PK).
  • Jul. 11, 2013, 10:09 AM
    The materials sector is a big early outperformer, showing all-around strength among steelmakers (SLX +3.4%) and gold miners (GDX +5%) after Bernanke indicated the Fed is unlikely to scale back stimulus earlier than expected. GFI +8.4%, ABX +6%, RIO +5.9%, GG +5.2%, SLW +5.1%, BHP +5.1%, MT +5%, HL +4.6%, SLV +4.8%, HL +4.8%, CLF +4.5%, NEM +3.4%, FCX +3.2%, X +2.4%.
  • Jul. 2, 2013, 9:48 AM
    The days of "heady growth" are over for China's steel industry, and iron ore miners face a much more competitive environment as they look to complete expensive expansion programs, the premier of resource-rich Western Australia state warns. He sees BHP Billiton (BHP) continuing to expand beyond the current iron ore upgrade due to come on line next year, "but it is going to be a far more competitive industry."
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  • Jul. 1, 2013, 3:25 PM
    The cash squeeze in China was instigated in Beijing by a central bank grasping for some way to slow out-of-control credit growth, reports the WSJ, citing internal bank documents. With the panic subsided (for the moment), the finger-pointing begins, taking away from the question of what to do about what even Beijing leadership sees is a massive credit bubble. FXI continues near a 52-week low, and so do assets like the Aussie dollar (FXA), and miners VALE, RIO, and BHP Billiton (BHP, BBL).
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  • Jun. 25, 2013, 12:51 PM
    Iron miners move higher even after Credit Suisse cuts its price outlook for iron ore to $103 for H2 2013 and $95 for 2014, adding that the risks to its forecasts are "predominantly to the downside." Rio Tinto (RIO +1.9%), BHP Billiton (BHP +0.8%) and Vale (VALE +2.4%) are a big part of the problem, CS says, as they are expected to produce ~75% of the world's iron ore until 2016. (also)
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  • Jun. 25, 2013, 8:11 AM
    Australia's Linc Energy (LNCGY.PK) is in early-stage talks to acquire the Gregory Crinum coking coal complex in Queensland state jointly owned by BHP Billiton (BHP) and Mitsubishi, WSJ reports. The mine was shut last year, citing falling coal prices, high mining costs and a strong Australian dollar that combined to make it unprofitable.
  • Jun. 24, 2013, 2:45 PM
    The ugliness could just be getting started in the big mining names, Chess n Wine says in studying Freeport McMoRan's (FCX -3.8%) chart, where "unless bulls immediately improve the stock, [there's] room to drop below major, multi-year support with not much below until the 2008 crash lows." Charts for BHP (BHP -1.3%), Caterpillar (CAT -1.3%) and Rio Tinto (RIO -1.9%) all face similar setups, the blog says.
  • Jun. 24, 2013, 8:06 AM
    Miners are mashed premarket as Goldman Sachs cuts its forecasts for gold and silver (I, II) and Chinese stocks melt down on increasing fears of a liquidity crunch there: GOLD -4.8%, AUMN -3%, MT -2.9%, RIO -2.7%, BHP -2.4%, FCX -2.3%, AU -2.2%, GDX -2%, GG -2%, SLW -1.9%, AUY -1.8%, ABX -1.6%, NEM -1%.
  • Jun. 20, 2013, 5:42 PM
    Japanese trading houses Itochu and Mitsui say they will invest a combined $1.5B in BHP Billiton's (BHP) new Jimblebar iron ore mining hub in Australia, representing respective 8% and 7% interests in the resource. Jimblebar will have initial production capacity of 35M metric tons/year and could expand.
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  • Jun. 20, 2013, 10:40 AM
    On a disastrous day for mining stocks, Newmont Mining (NEM -4.2%) also is downgraded to Market Perform at Cowen. It's not a stinging rebuke, as the firm sees shares as fully valued while remaining positive on NEM's prospects and ability to pay dividends. But it's enough to send NEM to fresh 52-week lows, along with: AUY -7.1%, ABX -6.5%, ANV -6.3%, GG -5.6%, SLW -5.5%, GOLD -5.1%, EGO -5%, VALE -4.7%, RIO -4.6%, BHP -3.6%, AU -3.3%, GFI -3.3%, PAAS -2.5%, HMY -1.9%, BVN -1.8%.
  • Jun. 20, 2013, 7:45 AM
    Miners gapping down premarket (GDX -4.5%; SIL -3.3%) after weak factory data from China and Fed-induced downbeat sentiment: AG -8.2%, AUY -7.2%, GFI -6.5%, SLW -6.3%, GG -6.1%, MUX -5.9%, SSRI -5.9%, AU -5.7%, KGC -5.6%, RIO -5.3%, GOLD -4.9%, PAAS -4.9%, ABX -4.7%, IAG -4.5%, NEM -3.8%, BHP -3.5%, MT -2.7%, EGO -2.3%, VALE -2%. (earlier)
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Company Description
BHP Billiton Ltd is a natural resources company. The Company is engaged in the producing commodities, including iron ore, metallurgical and energy coal, conventional and unconventional oil and gas, copper, aluminium, manganese, uranium, nickel and silver.