Bhp Riding High On Oil And Steel

Sydney Morning Herald

Tuesday August 30, 1988

By ROFF SMITH, Resources Writer

Significant capacity increases on the Jabiru Venture in the Timor Sea and higher steel exports have boosted BHP Co Ltd's steel and oil production to their highest levels for almost a year.

While the news was positive on a month-to-month basis, overall Australian oil output, at 6.6 million barrels a month, was down sharply from the 7.1 million barrels achieved in July 1987.

In its July production report, BHP announced that all four Jabiru wells in the Timor Sea had produced at near-maximum rates for the month.

At the Jabiru field, in which BHP has a 50 per cent interest, production climbed 42.6 per cent on the previous month to 19,154 barrels per day. June production was down somewhat, with the production vessel Jabiru Venture shut down for refitting.

July's steel exports rose 58.9 per cent on the previous corresponding figure. This was the highest monthly output since September 1987. Total raw steel production of 531,900 tonnes was up 5.2 per cent on June and 2.5 per cent on a year ago.

Port Kembla's target annual raw steel production is to be lifted to a six-year high, according to BHP sources. At a projected 4 million tonnes, raw steel output would be the highest level since the downsizing of the industry in 1982.

The Port Kembla and Newcastle steel works had record continuous caster production for the second successive month.

Port Kembla's raw steel output of 297,278 tonnes was up on the previous month and represented an annual rate so far this year of 3.5 million tonnes.

The company said its 85 per cent share of Mt Newman iron ore production in July was 2.52 million tonnes, up 18 per cent on June.

© 1988 Sydney Morning Herald

Back to News Index | Back to Home