The business hub will be a co-working and education centre aimed at supporting METS providers in the region for both BHP's own operations and the broader mining industry there.

BHP will collaborate with the Core Innovation Hub to build the centre and provide seed funding for an initial 12-month period.

The Newman hub will focus on future skills development and bolstering the mining supply chain by fast-tracking procurement for local businesses wanting to work with BHP.

BHP general manager of Newman operations Marie Bourgoin said the company's funding had made the Newman METS hub a reality.

"The hub will provide a space for the local METS sector to meet and collaborate and create opportunities to advance our partnerships across the sector," she said.

The facility will engage local businesses, government, and academia via workshops in late May.

Core Innovation project lead Renee Hakendorf said the Newman hub would be the first regional centre of its kind in Australia.

"Newman and the surrounding Pilbara region employs more than 63,000 people and has approximately 2085 small to medium local businesses that stand to benefit from this initiative," Hakendorf said.

"It is an investment in the future of Newman."

BHP's funding comes about one year after its partnered with Austmine to launch the Supplier Innovation Program.

The SIP gives Australian METS providers streamlined access to partner with BHP, without having to go through traditional tender processes.