BHP Submits Environmental Study For US$3.2B Escondida Project

MELBOURNE, Oct 06, 2008 (Dow Jones Commodities News Select via Comtex) -- BHP said Tuesday it has submitted an environmental impact study for a planned US$3.25 billion expansion of its Escondida copper joint venture in Chile. BHP plans to build an extra concentrator plant at the mine to increase mineral sulfide processing capacity by about 175,000 metric tons a year, a BHP spokesman said, with the aim of maintaining metal output as the ore grade at the mine decreases. Once necessary approvals have been received the miner hopes to approve the expansion by the end of 2009 and start operations in the second half of 2012. BHP has a 57.5% stake in the Escondida, which is the world's biggest copper mine, alongside partners Rio Tinto Ltd. (RTP) with 30%, Mitsubishi Corp. (8058.TO) with 10% and the International Finance Corp., a unit of the World Bank, with 2.5%. -By Dow Jones Newswires