BHP - BHP Billiton
BHP Billiton is a global natural resource giant located in Melbourne, Australia. BHP is a the market leading or almost the market leading supplier of aluminum, energy and metallurgical coal, copper, manganese, iron ore, uranium, nickel, silver and titanium minerals. They also have interests in oil, gas, natural gas and diamonds. If it comes out of the ground and is useful, BHP probably has a hand in it. We originally bought this stock because there were talks of BHP Billiton acquiring rival Rio Tinto (RTP). BHP is already the largest natural resource company in the world and adding Rio Tinto would’ve given them a near monopoly. Unfortunately, the deal never got off the ground as Rio Tinto never seemed willing to be purchased, however, the stock has done well YTD because China and India are rapidly developing their country and requiring a lot of natural resources to do so. While these two countries are in super growth mode, especially considering their vast populations, there should be a very healthy demand for BHP’s inventory of resources and the stock should steadily climb for the next few years.
