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BHP Group Ltd ( (AU:BHP) ) has shared an update.
BHP has entered into a long-term silver streaming agreement with Wheaton Precious Metals tied to BHP’s 33.75% share of silver output from the Antamina copper and zinc mine in Peru. The deal, supported by strong silver market conditions, is described as the most valuable streaming transaction to date by upfront consideration.
Under the agreement, BHP will receive an upfront US$4.3 billion payment and ongoing payments equal to 20% of the spot silver price on delivery. In return, it will transfer metals credits equivalent initially to 33.75% of Antamina’s silver production, later stepping down to 22.5% after 100 million ounces are delivered over the mine’s life.
BHP emphasised that its rights and obligations as an Antamina shareholder remain unchanged and that existing customer agreements are unaffected by the transaction. The company will retain full exposure to copper, zinc and lead from Antamina while monetising silver, which it views as a non-core by-product.
Management framed the transaction as part of an active capital management strategy that reallocates capital from non-core commodities into higher-return growth projects and shareholder returns. Together with a recent separate infrastructure deal, BHP expects to unlock more than US$6 billion of cash to strengthen balance sheet flexibility and support long-term value creation.
The silver stream carries an effective date of 1 April 2026, with completion expected on or around that date, subject only to customary corporate closing conditions and with no regulatory approvals required. BHP also noted that the structure of the transaction is not expected to increase its reported debt levels, limiting balance sheet impact while enhancing liquidity.
More about BHP Group Ltd
BHP Group Limited is a global diversified mining and resources company headquartered in Australia. It produces and markets commodities including iron ore, copper, coal and other base metals, with a focus on large-scale, long-life assets that support industrial growth and energy transition demand worldwide.
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