Diversified miner BHP CEO Mike Henry has warned that Australia risks being “flat-footed” in the global race for mining investment as competing nations accelerate reforms to attract capital and critical minerals projects.

Speaking at BHP’s AGM on Thursday, Henry said that while Australia had shown “encouraging signs” in discussions around productivity and investment attraction, other countries were moving faster.

“The pace of reform is moving faster in other countries. Australia can’t afford to be flat footed in the race for global investment,” he said.

“Every aspect of Australia’s competitiveness – from labour productivity to the time and cost of construction to royalties and taxes – must be examined against competing investment destinations.”

Henry pointed to Argentina’s RIGI investment scheme and fast-tracked permitting processes in the US and Canada as examples of how other jurisdictions were sharpening their policy settings.

He said energy policy must also be a focus, noting that electricity costs in Australia were "two or more times higher" than in Canada, Indonesia and other nations, and 50% to 100% higher than in the US.

“A clear-eyed view of how Australia wants to compete in this shifting global landscape is the starting point for being in the contest at all,” Henry said.

Chairperson Ross McEwan told shareholders that competitiveness was key to both corporate and national success, urging governments to work alongside industry to unlock approvals and support investment.

“Increasingly, nations around the world are competing for global resource investment,” McEwan said. “This is about economic benefits, but it is also about national security and resilient supply chains.”

He said governments that delivered stable fiscal settings, abundant and reliable energy and a globally competitive workforce would be best placed to attract investment and raise living standards.

“Being globally competitive on these measures is clearly critical to attract investment from companies like BHP,” McEwan said.