“The world’s population is expected to rise by as much as a third by 2050 to more than nine-billion. And only if we deliver steady, sustainable growth in commodities – from steelmaking, through to metals, energy and energy transfer, to food – can we be sure that by 2030, the global middle class could grow to five-billion, up from two-billion today.

“My other reason for optimism is on the supply side. But there is a contradiction here. Investors are concerned about oversupply, yet customers, policymakers, and nongovernmental agency’s fear scarcity.

“And yes, we face declining grades, longer haul distances and rising strip ratios; and, therefore, must target deeper deposits. But history shows we will overcome those challenges, just as we have in the past.''

Our industry will only invest where we are welcome, and where we can generate the most value without adverse social and environmental impact

He added that while larger, higher-grade deposits held obvious appeal, it could likely be that smaller, lower-grade resources would be developed first, as geology was not the only consideration when making an investment decision.

“The supply to meet demand will come from those jurisdictions that do not have supply cartels nor political arrangements which fail to direct the bulk of the benefits of mineral wealth to their people. The nations that will successfully attract investment are those in which governments offer political and fiscal stability, and where policymakers want to work with us to create conditions for industry to prosper.”

“We have the longest investment cycles in the world and we cannot move our orebodies en masse to other countries. So, when we invest, it is for the very long term,”

http://www.miningweekly.com/article/new-bhp-ceo-optimistic-about-future-of-mining-2013-06-07