RICHARD KNIGHTS | LIBERUM
They’ve upgraded their iron ore and coal production targets, which is a slight positive. BHP is doing what most companies are doing in the face of low prices – increasing output to reduce unit costs. I expect the firm will announce an iron ore expansion programme at the end of the year.
ALBERT MINASSIAN | INVESTEC
The update was overall modestly better than our expectations, although the key iron ore division was in line. The company’s commodity mix continues to provide solid support to the stock although the rising oil price has been insufficient to compensate for declining copper, coal and iron ore prices.
ANNA MULHOLLAND | DEUTSCHE BANK
The company reported a one per cent drop in copper production, below our forecast two per cent increase. The key take-away was the guidance for 2014. Iron ore and metallurgical coal have been increased, but oil has dropped due to ramp-up delays in the Eagle Ford.