13th Jun 2006 07:00
BHP Billiton PLC13 June 2006 13 June, 2006 Press release BHP Billiton And MMC Norilsk Nickel Announce An Alliance On Minerals Exploration And Development In Russia BHP Billiton, the world's largest diversified natural resources company, and MMCNorilsk Nickel, Russia's largest mining and metals company, today announced thelaunch of an alliance to explore and develop mineral resources in the RussianFederation. Yesterday the companies' CEOs signed an agreement establishing the formal termsgoverning their cooperation. The agreement provides for joint identification ofattractive mineral exploration and development prospects in Russia, to befollowed by the establishment of joint local companies to pursue and developspecific projects. These exploration and development companies will be owned 50per cent plus one share by MMC Norilsk Nickel and 50 per cent minus one share byBHP Billiton. The companies will jointly pursue a range of commodities in certain targetedareas, initially concentrating on the North West of Russia as well as WesternSiberia. By working together, BHP Billiton and MMC Norilsk Nickel will look to maximisethe benefits of their respective strengths. As Russia's leading mining company,MMC Norilsk Nickel has the in-country knowledge and experience that is essentialfor success in Russia. BHP Billiton will complement this by applying globalexploration and project development expertise and world-class technology. BHP Billiton chief executive, Chip Goodyear, said: "This alliance with NorilskNickel is a win-win and provides significant growth opportunities for bothcompanies. This is an important step for BHP Billiton and represents adiversification of our geographical base. We look forward to working with ournew partner in Russia." MMC Norilsk Nickel chief executive, Mikhail Prokhorov, said: "We believe in thestrong prospects for growth in new resource discovery in the Russian Federationand have taken another step in pursuing this growth. We are excited by theopportunity to work in close partnership with BHP Billiton to accelerate thedevelopment of Russia's mineral resource potential." Background notes to editors BHP Billiton BHP Billiton is the world's largest diversified natural resources company, withsome 37,000 employees across 100 operations in approximately 25 countries. Itsoperations encompass a broad range of commodities including aluminium, energycoal, metallurgical coal, copper, manganese, iron ore, uranium, nickel,diamonds, silver and titanium minerals, oil, gas, and liquefied natural gas. In 2005, BHP Billiton generated turnover of US$31.8 billion, and attributableprofit of US$6.5 billion. The current market capitalization of BHP Billiton isaround US$130 billion. BHP Billiton is dual listed on both the Australian and London stock exchanges,with headquarters in Melbourne, Australia. MMC Norilsk Nickel MMC Norilsk Nickel is Russia's largest mining company, the world's largestproducer of nickel and palladium, and a major producer of platinum, copper andcobalt. In 2005, MMC Norilsk Nickel had sales of US$7.2 billion, earning net profit ofUS$2.4 billion. The company's market capitalization is around US$25 billion. MMC Norilsk Nickel is listed on several Russian exchanges (MICEX, RTS, GMKN),ADRs are traded over the counter in New York (NILSY US), London (MNOD LI) andBerlin (NNIA GR). For further information, please contact: BHP BillitonLONDON AUSTRALIAInvestor and Media Relations Investor RelationsMark Lidiard Jane BelcherOffice: +44 20 7802 4156 Office: +61 3 9609 3952Mobile: +44 7769 934 942 Mobile: +61 417 031 653email: [email protected] email: [email protected] Media Relations Media RelationsIlltud Harri Samantha EvansOffice: +44 20 7802 4195 Office: +61 3 9609 2898Mobile: +44 7920 237 246 Mobile: +61 3 400 693 915email: [email protected] email: [email protected] MOSCOW MOSCOWPresident, BHP Billiton Eurasia Public AffairsGlenn Waller Vera PavlovetsOffice: +7 495 981 8450 Mobile: + 7 495 743 3740email: [email protected] email: [email protected]: www.bhpbilliton.com MMC Norilsk NickelMOSCOWDeputy General Director, Member of Management Board Public RelationsRalph Tavakolian (Tav) Morgan Victor BorodinOffice: +7 495 797 82 63 Office: +7 495 797 82 94Fax: +7 495 785 21 32 email: [email protected]: www.nornik.ru This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
BHP GroupMNOD.L