BHP Billiton Limited
(ASX:BHP)chief executive officer Andrew Mackenzie has reaffirmed production guidance and told shareholders the miner is set to build on the reduction in cash costs it delivered in fiscal 2013, as well as reducing capex.
Mr Mackenzie told an investor briefing in Houston, in the US, that BHP is planning a 25 per cent reduction in capital and exploration expenditure for this financial year.
He says the level of investment will decline again next year.
Mr Mackenzie says the miner will continue to build on the $US2.7 billion reduction in controllable cash costs delivered in fiscal 2013 by generating more volume from its existing equipment and lowering unit costs.
He says the quality and breadth of the miner's portfolio will allow it to further simplify its business while retaining the benefits of diversification.
BHP generated a net profit of $11.9 billion in fiscal 2013.
