BHP Billiton and University College London announced an agreement to establish an Institute for Sustainable Resources in London, UK and an International Energy Policy Institute in Adelaide, Australia.

The two new institutes will drive research into the complex economic, legal, environmental, technological and cultural issues faced by the resources sector and provide a framework within which expertise from the northern and southern hemispheres can be shared and innovative responses developed.

Under the terms of the agreement, BHP Billiton Sustainable Communities, a charity established by BHP Billiton as part of its community investment program will provide UCL with USD 10 million over a five year period to establish the institutes and fund academic research, fellowships and scholarships, as well as the appointment of a new Chair in Sustainable Global Resources and a Chair in International Energy Policy.

Prof Malcolm Grant President and Provost of UCL commented "I am delighted by BHP Billiton's generous support for this exciting initiative, and look forward to a highly productive partnership."

Dr Andrew Mackenzie BHP Billiton Group Executive and Chief Executive of Non-Ferrous said the funding agreement reflected the Company commitment to supporting education wherever it operates and added.

He said that "The two new institutes will spur new thinking into the complex issues created by the growing demand for commodities and provide a new forum in which industry and the research community can collaborate. I'm delighted we can work with UCL and some of the brightest talents with a passion for the sector."

UCL Vice-Provosts Prof Michael Worton, Professor David Price and Professor Stephen Caddick acknowledged the importance of the initiative "Our relationship with BHP Billiton will bring our students and researchers closer to the trends that are transforming energy and global natural resources management. With BHP Billiton's support, the creation of an Institute of Sustainable Resources at UCL will create a focused research and training environment that will enable UCL experts to deliver the solutions needed to sustain future generations."