BHP Names Craig as CEO as Mining Giant Sets Sights on Copper

0ro)((43oqo4bs02ffjv4)]2_media_dl_1.png Bloomberg

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(Bloomberg) — BHP Group has appointed Brandon Craig as its new chief executive, as the world’s biggest miner grapples with the ripple effects of a war in the Middle East, a cooling Chinese economy and the wider industry’s shift toward growth, particularly in copper.

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Craig takes over from Canadian-born Mike Henry, who has led BHP for more than six years.

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An engineer who trained in his native South Africa, BHP’s CEO-elect has spent more than a quarter-century at the miner, making him the latest company veteran to take the helm of its sprawling operations — a move read by analysts and investors as a sign of continuity andrestraint. 

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Others in the running for the top job, including Australia boss Geraldine Slattery, were also long-standing employees. BHP has yet to announce other changes to its leadership team, including Craig’s successor.

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Craig, 53, ran the company’s giant iron ore division through the years of pandemic disruption, acquiring a reputation for operational nous, before taking the helm of its Americas operations in 2024. That region is central to the miner’s future, as it seeks to boost its presence in copper and bring on the giant Jansen potash project.

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“He’s a young CEO, but he’s a 25-year-plus veteran at the company and he knows the business very well,” said Glyn Lawcock, head of metals and mining research at Barrenjoey Markets Pty in Sydney. “Henry is one of the first CEOs in decades to have left behind a business with options. Craig now has optionality that he can champion. He’s got an empire to lead.”

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The world’s largest miners have been embarking on a period of muscular expansion, including with large deals, after years of taking a more conservative approach to growth following the splurges of the last cycle. Under Henry, BHP pursued smaller rival Anglo American Plc, but without success — his approaches were rejected and that miner ultimately tied up with Teck Resources Ltd.

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Instead, BHP has doubled down on its existing growth options, including potash, a key fertilizer ingredient, and copper, vital for the energy transition and the AI-driven tech boom. The red metal accounted for more than half of BHP’s profit for the first time in the six months through December. 

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“I won’t sit here and fully discount M&A,” Craig told reporters after his appointment was announced. But any acquisition or combination “would have to be incredibly compelling for it to actually stack up against the balance of options we have in the business,” he said.

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Iron ore, long the company’s mainstay and a hugely profitable business, will be a headache for Craig, however. While it still underpins the group’s earnings, China’s economy has been cooling, and BHP’s relationship with the country’s state-backed buyer has been turbulent over recent months, as the world’s largest consumer asserts its market clout. 

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“I think everybody understands the importance of those negotiations and the value that is connected to them,” Craig said, adding the group would seek to strengthen its relationships. “During these next few weeks, we will definitely be getting across to China to engage.”