Internal Audit Function

Broken Hill Proprietary Co Ld
23 June 2000


BHP ENTERS GLOBAL ALLIANCE FOR INTERNAL AUDIT FUNCTION

The Broken Hill Proprietary Company Ltd (BHP) today announced it would
outsource its internal audit function by  entering into a global alliance with
leading international internal audit service provider, PricewaterhouseCoopers.

BHP Chief Financial Officer Chip Goodyear said: 'BHP will enter into a
services delivery arrangement with PricewaterhouseCoopers which will enable
the Company to access flexible, world-class internal audit and business
support services for our global operations.  The Company will retain an
internal strategic risk management services capacity and continue its focus on
risked based auditing.'

'We currently have a high quality internal audit function in-house which is
widely regarded as a benchmark for the resources industry. We anticipate that
this agreement will enable the Company to access a broader scope of services
on a global scale and allow BHP to take the next step in  the evolution of
providing value added internal audit services.

'As the extent of company-wide changes continues to evolve, we believe the
development of audit methodologies and processes may be more effectively and
economically provided by a global firm whose core business includes the
provision of internal audit services,' Mr Goodyear said.

BHP's Risk Management and Audit function currently employs approximately 35
people including a number of contractors.  

Mr Goodyear said: 'A key tenet of the arrangement is that audit service
quality and continuity will not compromised during any transition.
Accordingly, a number of audit employees will be retained as part of the
transition process for up to 12 months.  BHP will also seek to maximise
employment opportunities for audit staff impacted by the alliance.' 

Contact:
MEDIA RELATIONS                 INVESTOR RELATIONS
Mandy Frostick                  Dr Robert Porter       
Manager Media Relations         Vice President Investor Relations
Ph:  61 3 9609 4157             Ph:  61 3 9609 3540
Mob: [phone]             Mob: [phone]