Closure of Rietspruit Coal
BHP Billiton Limited
7 November 2001
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: 7 November 2001
Number: 30/01
CLOSURE OF RIETSPRUIT COAL MINE ANNOUNCED
Ingwe Coal Corporation Limited, a wholly owned subsidiary of BHP Billiton,
together with its Joint Venture partner, Tavistock Collieries (Pty) Limited, a
wholly owned subsidiary of Duiker Mining, today announced that they will be
closing down the Rietspruit energy coal mine.
President of BHP Billiton Energy Coal Mike Oppenheimer said: 'Even though the
reserve base at Rietspruit is essentially depleted, the decision to expedite
the closure is related to the current softness in our main export energy coal
markets. Any future decision on the replacement of volumes produced at
Rietspruit will also depend on market conditions.'
'Rietspruit's volumes will reduce by approximately 40 per cent in December
2001 with the closure of the underground operations and the remaining opencast
production will cease during May 2002'.
Rietspruit currently produces some 4 million tonnes of energy coal per annum
for the export market.
The social and environmental impact of the mine's closure has been a focus
point for the Joint Venture partners, together with the trade unions, with
much effort placed on the development of a world class social plan aimed at
minimising the economic impact on Rietspruit's 728 employees. The social
plan focuses on non-mining related job creation to ensure the sustainability
of the Rietspruit Village and the community.
****
Further news and information can be found on our Internet site:
www.bhpbilliton.com
Australia United Kingdom
Dr. Robert Porter, Investor Relations Ariane Gentil, Manager Communications
Tel: + 61 3 9609 3540 Tel: +44 20 7747 3977
Mobile: +61 419 587 456 Mobile: +44 7881 518 715
email: Robert.Porter@bhpbilliton.com email: Ariane.Gentil@bhpbilliton.com
Mandy Frostick, Media Relations United States
Tel: +61 3 9609 4157 Francis McAllister, Investor
Mobile: +61 419 546 245 Relations
email: Mandy.J.Frostick@bhpbilliton.com Tel: +1 713 961 8625
Mobile:+1 713 480 3699
email:
Francis.R.McAllister@bhpbilliton.com
South Africa
Michael Campbell, Investor & Media Relations
Tel: +27 11 376 3360 Mobile: +27 82 458 2587
email: Michael.J.Campbell@bhpbilliton.com
BACKGROUND
* Rietspruit Coal Mine was established in 1976 and was planned for 20
years at approximately 5 million tons per annum in 100 per cent terms.
Through innovative mining plans the mine's life was extended by a
further five years;
* Rietspruit is a 50 per cent Joint Venture, initially with Shell, now
Duiker;
* Rietspruit's production is all exported to power stations in Europe;
* The mine will scale down from its current 728 employees to 434 in
January 2002; and
* The mine will scale down further in May 2002, whereafter 150 people
will remain to undertake rehabilitation for about five years.
BHP Billiton Limited ABN 49 004 028 077 BHP Billiton Plc Registration number
Registered in Australia 3196209
Registered Office: 600 Bourke Street Registered in England and Wales
Melbourne Victoria 3000 Registered Office: 1-3 Strand London
Telephone +61 3 9609 3333 WC2N 5HA United Kingdom
Facsimile +61 3 9609 3015 Telephone +44 20 7747 3800
Facsimile +44 20 7747 3900
The BHP Billiton Group is headquartered in Australia
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