SYDNEY -- BHP Billiton recorded a net profit of $5.89 billion for the year ended June, the Anglo-Australian miner announced Tuesday, its first black ink in two years thanks to strong demand for raw materials from steel-hungry China.
Chinese steel demand helped BHP rebound from a $6.3 billion loss the year earlier by raising prices for key materials like iron ore, copper and coking coal. BHP sold iron ore at $58 per ton this year compared to $44 the previous year. Production costs for iron ore also fell 3% from the prior year to $14.6 per ton, contributing to profit.
