Backing Locals

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BHP’s Local Buying Program is all about providing opportunities for local businesses and supporting local communities.

Established in 2012, the purpose of the Local Buying Program is to encourage better relationships between BHP’s operations and local small businesses, build capability and capacity across the local supply chain, and boost regional economic development in their host communities.

The Program makes it easier for business owners to competitively bid for supply opportunities through a streamlined onboarding, procurement and payment process, which includes 7 day payment terms. BHP has engaged a cost-neutral organisation, C-Res, to directly manage all transactional activities through the Program, while also providing ongoing support, engagement and mentoring of registered local suppliers.

The Program’s continuing success has seen it expand to include all of BHP’s core assets within Minerals Australia. Here in NSW, the Program supports small businesses in Muswellbrook, Singleton and the Upper Hunter in their engagements with BHP Mt Arthur Coal.

Since its inception, $54,285,233 has been spent with 125 suppliers in the region.

Recognising that it can often be challenging for smaller businesses to engage as a supplier of BHP, the Program makes it simpler and easier for these businesses to competitively bid for supply opportunities that are released by Mt Arthur Coal.

To find out firsthand how the program is benefiting local businesses, we spoke to small local indigenous business owner Andrew McManus from AM & JD Contracting.

Andrew’s business provides a range of services to BHP Mt Arthur Coal, such as land care management and handyman services. They’ve been in business for three years and involved with the Program for the last two years. Andrew was quick to share what a great opportunity it has been for his company.

“Being involved in the program has been hugely beneficial to our company and has provided opportunities that have enabled us to continually grow as a business,” said Andrew.

“I can’t say enough about how great this partnership has been for us and the wonderful support we have received from C-Res and Mt Arthur Coal.

“I know that I am not alone in my high opinion of this Program and I highly recommend the Program to other small local businesses. I suspect many businesses don’t know about the range of opportunity available. The Program covers a broad and diverse range of goods and services; it’s not just for businesses that provide mining services. If you are a small local business, I encourage you to learn more about the program and how it might be able to benefit you.”

BHP’s Local Buying Program for July to December 2021 saw an incredible $6,288,563 paid to small local and Traditional Owner and Indigenous Businesses across the region.

– $3,246,251 for Muswellbrook Shire
– $2,614,711 for Singleton Shire
– $252,174 for Upper Hunter Shire
– 327 work opportunities approved
– 1132 payments to local businesses
– 122 approved suppliers

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