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Cerrejón P40 project, Colombia

26th July 2013

By: Creamer Media Reporter

  

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Name and Location
Cerrejón P40 project, La Guajira state, Colombia.

Client
Carbones del Cerrejón, which is held by BHP Billiton (33.3%), Anglo American (33.3%) and Xstrata Coal (33.3%).

Project Description
The P40 project is a planned expansion of the Cerrejón coal mine, which is the largest mining operation in Colombia and among the largest openpit coal mines in the world.

The mine has a resource base of about five-billion tonnes, of which 2.1-billion tonnes is currently classified as measured and indicated. The mine currently produces 32-million tonnes a year of thermal coal for the export market.

The expansion project will raise the exported volume of coal by eight-million tonnes a year to 40-million tonnes a year, with a planned future upgrade to increase the total output to 60-million tonnes a year.

Value
The expansion will cost $1.3-billion.

Duration
Construction is scheduled to start later this year and be completed by 2013, with production progressively ramped up by 2015.

Latest Developments
The project is 71% complete.

Key Contracts and Suppliers
SNC-Lavalin and Sinclair Knight Merz (SKM) joint venture (contract for Phase 1).

On Budget and on Time?
The project is on time and on budget.

Contact Details for Project Information
BHP Billiton, investor relations, James Agar, tel +61 3 9609 2222 or
email James.Agar@bhpbilliton.com.
Xstrata Coal, James Rickards, tel +61 2 9253 6789 or email jrickards@xstratacoal.com.

Edited by Creamer Media Reporter

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