BHP Billiton reporting its half-year results
Some items of interest ahead of the Australian capex data (due Thursday local time) this week:
- In the 6 months to December BHP Billiton spent $6.4 billion on finding & developing new deposits, and on expanding exisiting ones
- This is down 23% from the same six-month period a year earlier
- BHP has focused its capital expenditure more on improving efficiency and reducing costs at its existing projects
- "For example, in the last six months alone we have cut unit costs at Western Australia iron ore by 29 per cent to nearly $US20 per tonne,"
This sort of action from BHP (and, by extension, other miners) is not surprising given commodity price moves (i.e. down ... big time)
I'll have more on the Australian capex report ahead of the release ... but the data may be on the ugly side.
-
Note ...a Commonwealth Bank of Australia research note says the Australian dollar may end the week below 0.7600 ... citing (in part) 4Q mining capex likely to fall more than expected
Further note ... NAB not so bearish .. National Australia Bank touts AUD/USD to head to 0.8000