BHP Billiton Remains Committed To Nickel Business - CEO
August 12 2009 - 4:10AM
Dow Jones News
BHP Billiton Ltd. (BHP.AU) Chief Executive Marius Kloppers said
Wednesday the miner remains committed to its nickel business
despite new sources of production potentially capping the upside
for nickel prices.
BHP's closure of its Ravensthorpe nickel laterite operation and
sale of its Yabulu plant have sparked rumors that it could be
looking to sell its Nickel West business as well, but Kloppers said
that the miner is sticking with its nickel assets despite some
changes to the market.
Kloppers said nickel pig iron production in China had changed
the market and meant that there was a large amount of installed
capacity that could kick in when demand picks up, which could cap
the upside for nickel prices.
"I don't think that that changes our commitment to the product
at all and we believe that the portfolio, reconfigured, is one that
we have committed to and in due course we want to grow," he
said.
Asked about any impact on BHP's dealing with China as a result
of the arrest of Rio Tinto Ltd. (RTP) executives, Kloppers said the
miner was operating as normal in China and selling every ton of
iron ore it could produce.
BHP has had contact with the European Union over its planned
iron ore joint venture with Rio Tinto, Kloppers said, but declined
to elaborate.
-By Alex Wilson, Dow Jones Newswires; 61-3-9292-2094;
alex.wilson@dowjones.com