Zamzama Approval

Broken Hill Proprietary Co Ld
3 April 2000


GOVERNMENT APPROVAL FOR ZAMZAMA EXTENDED WELL TEST 

The Broken Hill Proprietary Company (BHP) has finalised agreements with the
Government of Pakistan and the Sui Southern Gas Company Limited to supply 70
mmscfd of gas from an extended well test on the Zamzama field in southern
Pakistan.

BHP Petroleum and its partners in the field - LASMO (MP) Limited and Premier
Exploration Pakistan Limited - signed the Gas Pricing Agreement and a separate
Gas Sales and Purchase Agreement in Islamabad earlier today.  An initial
contract period of 21 months has been agreed. 

First gas from the field is expected early next year - less than 30 months
after completion of the discovery well, Zamzama-1.  

Gas will be lifted from the existing Zamzama-1 and Zamzama-2 exploration and
appraisal wells and exported 10km via a minimum processing facility into the
main Sui-Karachi gas pipeline.  

The high productivity of the two wells during earlier tests - together with
their proximity to existing infrastructure - prompted the Company's decision
to realise early production from the field by means of an extended well test. 


The test will be used to provide dynamic reservoir data to assist in further
appraisal and development planning of the field in support of future gas
sales.

Capital expenditure for this phase of the project will be in the order of US$
8 million (net to BHP).  Contracts for the supply of all specialist plant and
equipment, plus construction, fabrication and project management services will
be awarded over the coming weeks.  

In parallel with the extended well test, BHP will continue its discussions
with the Government of Pakistan on longer-term commercial arrangements and
full field development options. 

The Zamzama field lies within the Dadu exploration concession which is located
in the Sindh Province of southern Pakistan, approximately 200km north east of
Karachi. 

The concession was awarded to BHP Petroleum in February 1995.  The Company now
holds a 47.5 per cent interest in the licence with partners LASMO Oil Pakistan
(23.75%), Premier Exploration Pakistan (23.75%) and Pakistan Government
Holdings (5%).  The Government of Pakistan will exercise its option to
increase its working interest to 25 per cent during the test period.   


Contact: 
MEDIA RELATIONS:    Dr Malcolm Garratt
                    Group Manager External Affairs - Melbourne
                    Ph:   [phone]
                    Mob:  [phone]


INVESTOR RELATIONS: Dr Robert Porter
                    Vice President Investor Relations - Melbourne
                    Ph:   [phone]
                    Mob:  [phone]