BHP (BHP) signs US$2bn WAIO inland power partnership with Global Infrastructure Partners
Rhea-AI Filing Summary
BHP Group has entered into a binding US$2 billion infrastructure agreement with Global Infrastructure Partners, a part of BlackRock, involving Western Australia Iron Ore’s inland power network. A new trust will be created, 51% owned and controlled by BHP, with GIP funding a 49% stake and BHP paying a tariff over 25 years linked to its share of WAIO’s inland power usage. BHP keeps full operational control of WAIO and its inland power infrastructure, and existing joint venture agreements, State agreements and asset ownership are unchanged. WAIO continues to target iron ore production of 305 million tonnes per year, and BHP states that net proceeds will be managed under its capital allocation framework. Completion is expected towards the end of FY2026, subject to regulatory approvals including Foreign Investment Review Board approval.
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Insights
BHP monetises WAIO power assets via US$2 billion partnership while keeping control.
BHP is bringing in Global Infrastructure Partners for US$2 billion of funding tied to Western Australia Iron Ore’s inland power network. Economic interests will sit in a new trust where BHP holds 51% and GIP 49%, while BHP continues to operate the power infrastructure and retains its existing WAIO joint venture and State arrangements.
The structure swaps part of the power network’s economic interest for upfront funding, with BHP agreeing to pay a 25‑year tariff linked to its share of WAIO inland power. This shifts some value into cash while turning future usage into a long‑term payment stream, which the company says fits its capital allocation framework and supports balance sheet flexibility.
The arrangement is framed as supporting WAIO’s long‑term plan to reach 305 million tonnes of annual iron ore production. Actual impact will depend on regulatory approvals, including Foreign Investment Review Board clearance, and on completion towards the end of FY2026.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
9 December 2025
| BHP GROUP LIMITED (ABN 49 004 028 077) (Exact name of Registrant as specified in its charter)
VICTORIA, AUSTRALIA (Jurisdiction of incorporation or organisation)
171 COLLINS STREET, MELBOURNE, VICTORIA 3000 AUSTRALIA (Address of principal executive offices) |
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F: ☒ Form 20-F ☐ Form 40-F
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
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Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934: ☐ Yes ☒ No
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): n/a
Exchange release
9 December 2025
BHP enters into a US$2 billion infrastructure agreement with Global Infrastructure Partners on WAIO inland power
BHP has entered into a binding agreement with Global Infrastructure Partners (GIP), a part of BlackRock, in relation to BHP’s share of Western Australia Iron Ore’s (WAIO) inland power network (the Agreement).
WAIO comprises four main joint ventures in the Pilbara region of Western Australia. BHP holds an 85% interest in WAIO. Under the Agreement, a trust entity will be established that is 51% owned and controlled by BHP and GIP will provide US$2 billion in funding for a 49% stake. BHP will pay the entity a tariff linked to BHP’s share of WAIO’s inland power over a 25-year period.
Under the Agreement, BHP retains full operational control of WAIO including its inland power infrastructure. The Agreement does not affect BHP’s existing joint venture agreements or BHP’s obligations under its agreements with the State of Western Australia or affect ownership of any WAIO assets (including the WAIO inland power infrastructure). WAIO will continue to plan and execute its long-term strategy focused on increasing iron ore production to 305 million tonnes per annum, supported by targeted investments, while retaining optionality for future growth.
Net proceeds will be incorporated into and evaluated in accordance with our capital allocation framework.
Completion is expected towards the end of FY2026, subject to certain regulatory approvals including Foreign Investment Review Board approval.
BHP Chief Executive Officer, Mike Henry
“We are pleased to partner with GIP on this arrangement that enables BHP to access capital and maintain operational and strategic control of a critical part of WAIO’s infrastructure.”
BHP Chief Financial Officer, Vandita Pant
“This arrangement is an example of BHP’s disciplined approach to capital portfolio management. It strengthens our balance sheet flexibility, supports long-term value creation and enhances BHP’s shareholder value.”
About GIP
Global Infrastructure Partners, a part of BlackRock, is an infrastructure investor with approximately US$189 billion in assets under management across the energy, transport, digital infrastructure, and water and waste management sectors. For more information, visit www.global-infra.com
Authorised for release by Stefanie Wilkinson, Group Company Secretary.
BHP Group Limited ABN 49 004 028 077
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BHP Group Limited ABN 49 004 028 077
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BHP Group Limited | ||||||
| Date: 9 December 2025 | By: | /s/ Stefanie Wilkinson | ||||
| Name: | Stefanie Wilkinson | |||||
| Title: | Group General Counsel and Group Company Secretary | |||||
FAQ
What transaction did BHP (BHP) announce regarding its WAIO inland power network?
BHP announced a binding agreement with Global Infrastructure Partners, under which a new trust will be formed for Western Australia Iron Ore’s inland power network. BHP will own and control 51% of the trust, while GIP will provide
Does BHP retain operational control of the WAIO inland power assets in this US$2 billion deal?
Yes. BHP states that it retains full operational control of Western Australia Iron Ore, including the inland power infrastructure. The agreement does not change existing joint venture agreements, State of Western Australia obligations, or ownership of WAIO assets.
How will BHP’s payments work under the WAIO power agreement with GIP?
BHP will pay the new trust a tariff over a
How does BHP plan to use the net proceeds from the US$2 billion infrastructure agreement?
BHP says that net proceeds from the agreement will be incorporated into and evaluated under its capital allocation framework, indicating they will be weighed alongside other capital uses such as investment, returns, or debt management.
When is the BHP–GIP WAIO infrastructure transaction expected to complete?
Completion is expected towards the end of
What are BHP’s long-term production plans for Western Australia Iron Ore (WAIO)?
BHP states that WAIO will continue to pursue a long‑term strategy focused on increasing iron ore production to 305 million tonnes per annum, supported by targeted investments and maintaining optionality for future growth.
Who is Global Infrastructure Partners, BHP’s new partner in the WAIO power transaction?
Global Infrastructure Partners, part of BlackRock, is described as an infrastructure investor with approximately
