27th Apr 2007 11:53
BHP Billiton PLC27 April 2007 NEWS RELEASE Release Time IMMEDIATE Date 27 April 2007 Number 14/07 BHP BILLITON SECURES INTEREST IN GUINEAN BAUXITE PROJECT BHP Billiton today announced the acquisition of a 33.3 per cent interest inGlobal Alumina's Sangaredi Refinery Project in Guinea, West Africa, for aconsideration of US$140 million. The project comprises the design, construction and operation of a 3Mtpa aluminarefinery, 9Mtpa bauxite mine, and associated infrastructure. A miningconcession covering 690km(2) has been secured and a mineral resource of 233million tonnes bauxite (@ 39% Available Alumina and 1% Reactive Silica) has beenreported. This is considered sufficient to support the development, but furtherexploration work is underway to increase the resource size. The proposed refinery site is approximately 100km inland from Kamsar and has thebenefit of access to existing rail infrastructure linking it to the Port ofKamsar, where dedicated facilities are already under construction. "This project provides the Joint Venture partners with access to a long life,low cost, world class resource base and represents an excellent opportunity forBHP Billiton to continue to grow its business in a value accretive manner"commented Graeme Hunt, President Aluminium for BHP Billiton. "In view of BHP Billiton's other exploration interests in Guinea, this projectalso offers us valuable experience of operating in this first tier mineralsprovince," he added. As part of the agreement, BHP Billiton will appoint the Chief Executive Officerand Chief Financial Officer of the Joint Venture Company (JVC) and will enterinto a services agreement with the JVC for the development, construction andoperation of the project, which will be operated in accordance with BHP Billitonstandards. Global Alumina will now hold a 33.3 per cent equity interest in the SangarediRefinery Project, Dubai Aluminium Company Limited a 25 per cent interest andMubadala Development Company PJSC 8.3 per cent. I, Dominique Louis Butty, a director of Butty Herinckx & Partners geological andmining consultants, am a member of the European Federation of Geologists andhave sufficient experience which is relevant to the Sangaredi Refinery Projectstyle of mineralisation and type of deposit and to the estimation of MineralResources and Ore Reserves to qualify as a Competent Person as defined in the2004 Edition of the 'Australasian Code for Reporting of Exploration Results,Mineral Resources and Ore Reserves'. I, Dominique Louis Butty consent to theinclusion of the Sangaredi Refinery Project Mineral Resources in the BHPBilliton Global Alumina press release, in the form and context in which itappears. Further information on BHP Billiton can be found on our Internet site:www.bhpbilliton.com Australia United KingdomSamantha Evans, Media Relations Mark Lidiard, Investor & Media RelationsTel: +61 3 9609 2898 Tel: +44 20 7802 4156 Mobile: +61 400 693 915 Mobile: +44 7769 934 942email:[email protected] email: [email protected] Jane Belcher, Investor Relations Illtud Harri, Media RelationsTel: +61 3 9609 3952 Tel: +44 20 7802 4195 Mobile: +61 417 031 653 Mobile: +44 7920 237 246email: email:[email protected] [email protected] United States South AfricaTracey Whitehead, Investor &Media Relations Alison Gilbert, Investor RelationsTel: US +1 713 599 6100 or UK+44 20 7802 4031 Tel: SA +27 11 376 2121 or Mobile: +44 7917 648 093 UK +44 20 7802 4183 Mobile: +44 7769 936 227email:[email protected] Email: [email protected] This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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