Initial Work Approved For Port Hedland
02 February 2012, 11:00 AM
BHP Billiton today announced approval of US$917 million (BHP Billiton share US$779
million)1 in pre-commitment funding for the construction of a 100 million tonne per year outer
harbour facility associated with its Western Australia Iron Ore operations.
The project, which is expected to be reviewed for full approval in the fourth quarter of
calendar year 2012, has an embedded option to expand by a further 100 million tonnes per
The funds approved today will enable the Company to progress feasibility studies and the
procurement of long lead time items. It will also allow for dredging to begin, subject to the
necessary regulatory approvals. In parallel with this work, engineering studies are underway
to match mine and rail expansions to the expanded port capacity.
The first phase of the Outer Harbour Development would include the proposed construction
of a four kilometre jetty, a four-berth wharf, 32 kilometres of dredged departure channel and
landside infrastructure, including stockyards and a rail spur. Start-up would be in the first half
of calendar year 2016.
BHP Billiton President Iron Ore, Ian Ashby, said: “This investment is an important first step in
providing the infrastructure to allow us to fully develop our world class resource base in the
Pilbara. The development of the outer harbour is pivotal for our longer term growth objectives
and this initial funding is rapidly turning those plans into a reality.”
1 BHP Billiton’s partners in its Pilbara iron ore operations are: Itochu Minerals & Energy of Australia Pty Ltd, Mitsui-
Itochu Iron Pty Ltd and Mitsui Iron Ore Corporation Pty Ltd.
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