MELBOURNE (dpa-AFX) - BHP's (BHP.AX, BLT.L, BBL, BHP) Chief Executive Officer, Andrew Mackenzie, said that the company continues to target a further US$2 billion in productivity gains by the end of the 2019 financial year, on top of the more than US$12 billion achieved since 2012.
Speaking at the Bank of America Merrill Lynch Global Metals, Mining & Steel Conference in Florida, Mackenzie said, 'We have maximised operating cash flow as we have lowered costs through productivity; we have been disciplined and transparent in capital allocation; and we have identified new options to increase value and returns..... we have reduced net debt by over US$10 billion, returned US$8 billion to shareholders and, crucially, replenished our pipeline with new opportunities.'
Mackenzie said, 'Our path is deliberate, and we remain firm in our resolve to increase value and returns.'
BHP would continue to push its ongoing exploration program, focused on copper and petroleum, in line with favourable outlooks for these commodities.
BHP is making good progress with the exit from its Onshore US business, with the quality of acreage, higher oil prices, a lower US corporate tax rate and positive results from recent well trials all contributing to encouraging interest from potential bidders.
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