Conf of Prelim Discussions

BHP Billiton Limited
20 August 2004

     BHP Billiton Limited is issuing this announcement to fulfil disclosure
  obligations arising from its secondary listing on the London Stock Exchange.

    The text of this release is identical to that issued by BHP Billiton Plc
                                    earlier.


Date                 20 August 2004
Number               27/04


                    CONFIRMATION OF PRELIMINARY DISCUSSIONS


BHP Billiton confirms that it has held preliminary discussions with
representatives of the state government of Orissa in India about options for its
iron ore business. Those discussions were held jointly with the Korean
steel-maker POSCO.

While the proposal is in the very early stages of development, concepts
presented to the government included the construction of a steel plant and port
facility and the development of an iron ore mine.

While any joint proposal, were it to proceed to the next stage, might involve
all of these components, BHP Billiton's interest would be limited to the supply
of steel-making raw materials and associated materials-handling facilities and
infrastructure to the steel industry in Orissa. BHP Billiton emphasises that the
discussions have been preliminary only. The proposal has received considerable
attention in Orissa because of the impact any development would have on the
local economy.


Further information on BHP Billiton can be found on our Internet site: 
http://www.bhpbilliton.com

Australia                                                     United Kingdom
Jane Belcher, Investor Relations                              Mark Lidiard, Investor & Media Relations
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Tania Price, Media Relations                                  Ariane Gentil, Media Relations
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Francis McAllister, Investor Relations                        Michael Campbell, Investor & Media Relations
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