Oct 25 2004
BHP Billiton today announced the approval of Rapid Growth Project 2 (RGP2), a $US575 million (*BHP Billiton share US$489 million) project which will expand the capacity of its Western Australia iron ore operations from 110 million tonnes per annum (Mtpa) to 118 Mtpa during the second half of calendar year 2006.
RGP2 will include the development of a new brockman resource, Orebody 18, with an initial capacity of 8Mtpa, together with plant modifications at the existing Orebody 25 mine, and additional rail and port capacity.
Group President Carbon Steel Materials, Bob Kirkby, said: “This latest expansion is a key component of BHP Billiton’s plans to incrementally expand iron ore infrastructure and systems capacity in line with market demand. It continues BHP Billiton’s commitment to ensuring that we can supply the significant increase in demand for steelmaking raw materials from our customers.”
“In October last year, we opened the Area C mine and complemented this development with the completion of the port and railroad Products and Capacity Expansion Project in January 2004. By June 2004, a further expansion to increase installed operating capacity to 100Mtpa was completed and commissioning is now underway on the Rapid Growth Project 1 to increase capacity to 110Mtpa,” Mr Kirkby said.
“A feasibility study is also currently underway to determine the optimum iron ore production, railing, processing and shipping infrastructure for tonnages of at least 145Mtpa. This study is due for completion in early 2005.”
Orebody 18 contains total resources of 178Mt; comprising a measured resource of 136Mt, indicated resource of 38Mt and inferred resource of 4Mt.
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