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BIL
BIBLT
BHP Billiton Plc - BHP Billiton Sale of Tintaya
BHP Billiton Plc
ISIN: GB0000566504
Share Code: BIL
NEWS RELEASE
Date 16 May 2006
Number 16/06
BHP BILLITON SALE OF TINTAYA
BHP Billiton today announced that it has reached agreement to sell its Peruvian
Tintaya mine to Xstrata plc ("Xstrata"). The sale also includes the nearby
undeveloped deposits of Antapaccay and Corrocohuayco.
Total consideration for the sale is US$750 million; this number comprises US$634
million for the shares plus the assumption of US$116 million of debt. In
addition to this upfront payment, the sale includes a deferred payment component
which will be determined shortly after completion and based on current price
levels is expected to be in the order of US$60 million. The transaction is
expected to be completed within two months with an effective date of 1 June
2006. Additional payments will be made by Xstrata to BHP Billiton in specified
circumstances if the future LME copper price reaches certain levels between July
2008 and June 2009, or the development of Antapaccay or Corrocohuayco proceeds
prior to 2020.
Mike Anglin, Chief Operating Officer Americas, BHP Billiton Base Metals said "In
February 2006 we embarked on a process to realise value for Tintaya. We are
pleased to announce today an agreement to sell Tintaya to Xstrata. We look
forward to transitioning Tintaya, and our relationships at Tintaya, to Xstrata
over the next two months."
BHP Billiton will continue to maintain an active presence in Peru through its
exploration activities and its 33.8% interest in Antamina.
Further information on BHP Billiton can be found on our Internet site:
www.bhpbilliton.com
Australia United Kingdom
Samantha Evans, Media Relations Mark Lidiard, Investor & Media
Tel: +61 3 9609 2898 Mobile: Relations
+61 400 693 915 Tel: +44 20 7802 4156 Mobile:
email: +44 7769 934 942
Samantha.Evans@bhpbilliton.com email:
Mark.Lidiard@bhpbilliton.com
Jane Belcher, Investor Relations Illtud Harri, Media Relations
Tel: +61 3 9609 3952 Mobile: Tel: +44 20 7802 4195 Mobile:
+61 417 031 653 +44 7920 237 246
email: email:
Jane.H.Belcher@bhpbilliton.com Illtud.Harri@bhpbilliton.com
United States South Africa
Tracey Whitehead, Investor & Alison Gilbert, Investor
Media Relations Relations
Tel: US +1 713 599 6100 or UK Tel: SA +27 11 376 2121 or UK
+44 20 7802 4031 Mobile: +44 +44 20 7802 4183
7917 648 093 email:
email: Alison.Gilbert@bhpbilliton.com
Tracey.Whitehead@bhpbilliton.com
Date: 16/05/2006 07:11:26 AM Produced by the JSE SENS Department
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