BHP invests in increasing ore transshipment capacity in Port Hedland

Australian mining company BHP has approved the modernization of infrastructure in Port Hedland, Western Australia, according to Mining Magazine.

The investment amounts to A$1.4 billion (approximately $924 million). The upgrade aims to meet medium-term iron ore production targets and improve operational reliability.

Plans focus on the construction of a sixth car dumper (CD6) and additional conveyors to increase ore unloading capacity and reduce downtime during scheduled equipment upgrades, starting in fiscal year 2028/2029.

The modernization aims to increase equipment availability from the current 60% to over 90% for car dumpers.

The project also aims to improve ore mixing and screening capabilities, which will contribute to more stable operations. Construction is expected to begin in December 2025, with the first raw materials processed by CD6 by the end of 2028.

According to the company, the investment will help support the company’s annual production target of 305 million tons.

Port Hedland is a critical export hub for iron ore from the Pilbara region.

As a reminder, BHP Group increased its iron ore production by 1% year-on-year to 263 million tonnes in the 2024/2025 financial year (ended June 30).

BHP expected production to be at the lower end of its forecast range for the financial year (255-265 million tons) due to disruptions caused by cyclones in Western Australia in February. However, the final volumes were at the upper end of the forecast.