BHP to spend $900m on exploration in FY 2017Staff writer ▼ | June 27, 2016
BHP Billiton outlined its value-focused approach to exploration which will see the company target opportunities across copper and oil to enhance its long-life, tier 1 portfolio.
Oil production BHP is focused on three conventional deepwater basins
Ms Tyler said exploration is seen as a key source of value creation for BHP Billiton.
“We are investing at a time when most in our sector continue to reduce discretionary spend,” she said.
“Next financial year, we intend to invest approximately US$900 million dollars in exploration, which represents 18 percent of our overall capital budget.
“We are also challenging existing paradigms with a scientific based and disciplined approach to exploration. We have reduced exploration operating costs by 70 percent since 2013, and this year we have increased the targets tested by 44 percent.”
BHP Billiton’s Petroleum exploration program is focused on three conventional deepwater basins the Gulf of Mexico, the Caribbean (in Trinidad & Tobago and Barbados), and the Northern Beagle sub-basin off the coast of Western Australia.
The Company’s regionally based exploration teams are supported by a globally integrated geoscience team to facilitate a faster adoption of best practice and new technology.
“Internal collaboration is very important and we are leveraging our Petroleum business geoscience to identify prospective sediment hosted copper deposit basins,” Tyler said.
“Similarly, we are adopting technology from Petroleum and applying directional drilling techniques to copper exploration.” ■