October 11, 2008

BHPB Mitsubishi alliance declares force majeure on coal shipments

BHP Billiton announced that the recent extreme weather across the central Queensland coalfields has impacted production from BHP Billiton Mitsubishi Alliance operations.

It said that “While we are continuing to assess the full impact of the weather and achieve a safe resumption of operations, coal processing and the loading of vessels will be delayed.”

It announced that “As a result, BMA has advised customers that we have declared force majeure.”

BHPB added that “We will continue to work with our customers and inform them of our return to full operations and production and the lifting of force majeure.”

BMA, a 50:50 JV between BHP and the trading arm of Japan's Mitsubishi Corp is Australia's largest coal exporter and the world's largest supplier to the seaborne coking coal market. It owns and manages nine coal mines in Central Queensland, which produced 58 million tonnes of coking coal in 2007.