In a major development on Tuesday, taking a step toward low-emission future, the BHP Group is looking to move out of coal operations under Mike Herny, new CEO of the company. In an attempt to reshape the conglomerate and its portfolio, it is reviewing chances to shed gas and ageing oil assets.
The miner is looking forward to selling out 80 per cent of its share or at least spin them off in the joint venture of BHP Mitsui coal. That is the owner of thermal coal mines, coking coal operations in Australia and gas and oil operations.
Interestingly, the company announced a profit of $9.1billion, resulted due to surging prices of iron ore. Henry, who took over the reins as the chief executive January this year has shifted all his concerns to supply the best quality coking coal and iron ore to get hold of China’s shift which is prioritising raw materials to meet needs of its steel sector.
Besides, he’s making efforts to lay profitable grounds favouring the growth of nickel and copper that will serve the spiking demand of renewable source and help the transport electrification.