Jimblebar iron ore mine

The ramp up of production at Jimblebar has been faster than anticipated and combined production from Wheelarra and Jimblebar is expected to reach full capacity of 70 Mtpa in 2020. This is key to BHP achieving its target production rate of 290 Mtpa. C1 cash costs at Jimblebar fell in 2018 but the fall is due to the inclusion of Wheelarra tonnes to the Jimblebar cost structure. If we exclude the Wheelarra tonnes, costs actually rose marginally due to a rise in mining costs. BHP expect to continue to seek cost savings through the greater use of automation, improved maintenance schedules and standardised processes but we expect inflationary pressures and higher fuel prices to largely offset any productivity gains.