Filed by: BHP Billiton Plc
and BHP Billiton Limited
Pursuant to Rule 425 under the Securities Act of 1933
Subject Company: Rio Tinto plc
Commission File No.: 001-10533
The following are slides comprising a presentation that was given by Marius Kloppers, Chief Executive Officer, BHP Billiton and Alex Vanselow, Chief Financial Officer, BHP Billiton on August 18, 2008.
 18 August 2008 Marius Kloppers Chief Executive Officer Alex Vanselow Chief Financial Officer Preliminary Results – 30 June 2008 |
 Preliminary Results 18 August 2008 Slide 2 Disclaimer By viewing this presentation you agree to be bound by the following conditions. The directors of BHP Billiton Limited and BHP Billiton Plc (“BHP Billiton") accept responsibility for the information contained in this presentation. Having taken all reasonable care to ensure that such is the case, the information contained in this presentation is, to the best of the knowledge and belief of the directors of BHP Billiton, in accordance with the facts and contains no omission likely to affect its import. Subject to the above, neither BHP Billiton nor any of its directors, officers, employees or advisers nor any other person makes any representation or warranty, express or implied, as to, and accordingly no reliance should be placed on, the fairness, accuracy or completeness of the information contained in the presentation or of the views given or implied. To the extent permitted by law, neither BHP Billiton nor any of its directors, officers, employees or advisers nor any other person shall have any liability whatsoever for any errors or omissions or any loss howsoever arising, directly or indirectly, from any use of this information or its contents or otherwise arising in connection therewith. Information about Rio Tinto plc and Rio Tinto Limited ("Rio Tinto") is based on public information which has not been independently verified. This presentation is for information purposes only and does not constitute or form part of any offer for sale or issue of any securities or an offer or invitation to purchase or subscribe for any such securities, nor shall it or any part of it be relied on in connection with, any contract or investment decision, nor does it constitute a proposal to make a takeover bid or the solicitation of any vote or approval in any jurisdiction, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction (or under an exemption from such requirements). No offering of securities shall be made into the United States except pursuant to registration under the US Securities Act of 1933, as amended, or an exemption therefrom. Neither this presentation nor any copy of it may be taken or transmitted or distributed or redistributed (directly or indirectly) in Japan. The distribution of this presentation in other jurisdictions may be restricted by law and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. Certain statements in this presentation are forward-looking statements (including statements regarding contribution synergies, future cost savings, the cost and timing of development projects, future production volumes, increases in production and infrastructure capacity, the identification of additional mineral Reserves and Resources and project lives and, without limitation, other statements typically containing words such as "intends," "expects," "anticipates," "targets," plans," "estimates" and words of similar import.) These statements are based on current expectations and beliefs and numerous assumptions regarding BHP Billiton's present and future business strategies and the environments in which BHP Billiton and Rio Tinto will operate in the future and such assumptions, expectations and beliefs may or may not prove to be correct and by their nature, are subject to a number of known and unknown risks and uncertainties that could cause actual results, performance and achievements to differ materially. |
 Preliminary Results 18 August 2008 Slide 3 Disclaimer continued Factors that could cause actual results or performance to differ materially from those expressed or implied in the forward-looking statements include, but are not limited to, BHP Billiton's ability to successfully combine the businesses of BHP Billiton and Rio Tinto and to realise expected synergies from that combination, the presence of a competitive proposal in relation to Rio Tinto, satisfaction of any conditions to any proposed transaction, including the receipt of required regulatory and anti-trust approvals, Rio Tinto’s willingness to enter into any proposed transaction, the successful completion of any transaction, and the risk factors discussed in BHP Billiton's and Rio Tinto’s filings with the U.S. Securities and Exchange Commission ("SEC") (including in Annual Reports on Form 20-F) which are available at the SEC's website (http://www.sec.gov). Save as required by law or the rules of the UK Listing Authority and the London Stock Exchange, the UK Takeover Panel, or the listing rules of ASX Limited, BHP Billiton undertakes no duty to update any forward-looking statements in this presentation. No statement concerning expected cost savings, revenue benefits (and resulting incremental EBITDA) and EPS accretion in this presentation should be interpreted to mean that the future earnings per share of the enlarged BHP Billiton group for current and future financial years will necessarily match or exceed the historical or published earnings per share of BHP Billiton, and the actual estimated cost savings and revenue benefits (and resulting EBITDA enhancement) may be materially greater or less than estimated. Information Relating to the US Offer for Rio Tinto plc BHP Billiton plans to register the offer and sale of securities it would issue to Rio Tinto plc US shareholders and Rio Tinto plc ADS holders by filing with the SEC a Registration Statement (the “Registration Statement”), which will contain a prospectus (the “Prospectus”), as well as other relevant materials. No such materials have yet been filed. This communication is not a substitute for any Registration Statement or Prospectus that BHP Billiton may file with the SEC. U.S. INVESTORS AND U.S. HOLDERS OF RIO TINTO PLC SECURITIES AND ALL HOLDERS OF RIO TINTO PLC ADSs ARE URGED TO READ ANY REGISTRATION STATEMENT, PROSPECTUS AND ANY OTHER DOCUMENTS MADE AVAILABLE TO THEM AND/OR FILED WITH THE SEC REGARDING THE POTENTIAL TRANSACTION, AS WELL AS ANY AMENDMENTS AND SUPPLEMENTS TO THOSE DOCUMENTS, WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. Investors and security holders will be able to obtain a free copy of the Registration Statement and the Prospectus as well as other relevant documents filed with the SEC at the SEC's website (http://www.sec.gov), once such documents are filed with the SEC. Copies of such documents may also be obtained from BHP Billiton without charge, once they are filed with the SEC. |
 Preliminary Results 18 August 2008 Slide 4 Disclaimer continued Information for US Holders of Rio Tinto Limited Shares BHP Billiton Limited is not required to, and does not plan to, prepare and file with the SEC a registration statement in respect of the Rio Tinto Limited Offer. Accordingly, Rio Tinto Limited shareholders should carefully consider the following: The Rio Tinto Limited Offer will be an exchange offer made for the securities of a foreign company. Such offer is subject to disclosure requirements of a foreign country that are different from those of the United States. Financial statements included in the document will be prepared in accordance with foreign accounting standards that may not be comparable to the financial statements of United States companies. Information Relating to the US Offer for Rio Tinto plc and the Rio Tinto Limited Offer for Rio Tinto shareholders located in the US It may be difficult for you to enforce your rights and any claim you may have arising under the U.S. federal securities laws, since the issuers are located in a foreign country, and some or all of their officers and directors may be residents of foreign countries. You may not be able to sue a foreign company or its officers or directors in a foreign court for violations of the U.S. securities laws. It may be difficult to compel a foreign company and its affiliates to subject themselves to a U.S. court's judgment. You should be aware that BHP Billiton may purchase securities of either Rio Tinto plc or Rio Tinto Limited otherwise than under the exchange offer, such as in open market or privately negotiated purchases. BHP Billiton results are reported under International Financial Reporting Standards (IFRS). References to Underlying EBIT and Underlying EBITDA exclude any exceptional items. A reconciliation to profit from operations is contained within the profit announcement References in this presentation to “$” are to United States dollars unless otherwise specified. |
 Marius Kloppers Chief Executive Officer Preliminary Results – 30 June 2008 |
 Preliminary Results 18 August 2008 Slide 6 Overview – Year ended June 2008 • HSEC • Outstanding operating and financial results – Annual production records set in 7 commodities – Underlying EBITDA up 22% to US$28.0 billion – Underlying EBIT up 21% to US$24.3 billion – Attributable profit of US$15.4 billion, up 12% – Earnings per share of 275 US cents, up 18% • Underlying EBIT margin and ROCE of 48% and 38% respectively • Growth projects proceeding well with significant volume growth achieved in FY2008 and expected in FY2009 • Final dividend rebased to 41 US cents per share, an increase of 52%, consistent with out look and higher earnings and cash f low |
 Alex Vanselow Chief Financial Officer Preliminary Results – 30 June 2008 |
 Preliminary Results 18 August 2008 Slide 8 2007 2008 Financial highlights % Change Year ended June (US$m) Revenue 59,473 47,473 25.3 Underlying EBITDA 28,031 22,950 22.1 Underlying EBIT 24,282 20,067 21.0 Attributable profit (excluding exceptionals) 15,368 13,675 12.4 Attributable profit 15,390 13,416 14.7 Net operating cash flow 18,159 15,957 13.8 EPS (excluding exceptionals) (US cents) 274.9 233.9 17.5 Dividend per share (US cents) 70.0 47.0 48.9 |
 Preliminary Results 18 August 2008 Slide 9 Diversity = Stability and Strength % EBIT Margin (1) FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 0 10 20 30 40 50 60 70 80 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 Petroleum Aluminium Base Metals D&SP SSM Iron Ore Manganese Met Coal Energy Coal BHP Billiton (1) FY2002 to FY2005 are calculated under UKGAAP. Subsequent periods are calculated under IFRS. All periods exclude third party trading activities. |
 Preliminary Results 18 August 2008 Slide 10 Underlying EBIT by Customer Sector Group Petroleum 5,489 3,014 +82.1 • Record EBIT and production • Operating cash costs held under US$5 per BOE • 3 new major projects commissioned and volume growth expected to continue • Strong operational performance - Stybarrow continued to produce at full capacity and excellent facility uptime in all operations • Continued replenishment of project and exploration pipeline • Greater than 100% reserve replacement for the second consecutive year 2007 2008 % Change Year ended June (US$m) Neptune |
 Preliminary Results 18 August 2008 Slide 11 Underlying EBIT by Customer Sector Group Aluminium 1,465 1,856 -21.1 Base Metals 7,989 6,875 +16.2 2007 2008 % Change Year ended June (US$m) • Record alumina production • South African power situation will continue to impact metal production • Worsley E&G approved • Record copper production despite supply disruptions in South America • Pampa Escondida discovery Worsley Escondida |
 Preliminary Results 18 August 2008 Slide 12 Underlying EBIT by Customer Sector Group Ekati Diamonds & Specialty Products 189 197 -4.1 2007 2008 % Change Year ended June (US$m) • Koala Underground ramping up strongly • Anglo Potash acquisition adding flexibility for future growth Stainless Steel Materials 1,275 3,675 -65.3 • EBIT impacted by lower prices and volume, and higher costs • Ravensthorpe, Yabulu Expansion Project and Cliffs commissioned Ravensthorpe |
 Preliminary Results 18 August 2008 Slide 13 Underlying EBIT by Customer Sector Group Manganese 1,644 253 +549.8 Iron Ore 4,631 2,728 +69.8 2007 2008 % Change Year ended June (US$m) • Record production due to successful project execution • Exceptional local currency cost control at Western Australia Iron Ore • Strong volume growth expected in FY2009 • Growth plan underpinned by extensive exploration and development program • Record production, results and margin • Low cost volume expansions underway Mount Newman GEMCO |
 Preliminary Results 18 August 2008 Slide 14 Underlying EBIT by Customer Sector Group Metallurgical Coal 937 1,247 -24.9 2007 2008 % Change Year ended June (US$m) • Strong recovery from flood impacts in Queensland • Costs impacted by recovery activities • Great outlook for margins • Market remains tight • Growth pipeline being accelerated Energy Coal 1,057 481 +119.8 • Record EBIT • Higher export prices driven by strong demand • Record production at Hunter Valley and Cerrejon • 3 projects sanctioned during the year Illawarra Coal Hunter Valley Coal |
 Preliminary Results 18 August 2008 Slide 15 Cash cost increase mostly recouped in revenue Maintenance US$m People Fuel & Energy Shipping & Freight Raw Materials QCoal Rain Impact CMSA Strike 244 13 204 70 371 50 120 100 (225) + + + - = (1) Excluding non-cash costs of US$216m (mostly depreciation on growth capital). KNS Furnace Rebuild 20 Recouped in Revenue $645m Investment $257m One Offs $190m Other $100m Business Excellence $225m $967m (1) -250 -150 -50 50 150 250 350 450 550 650 |
 Preliminary Results 18 August 2008 Slide 16 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000 22,000 24,000 26,000 28,000 FY2007 EBIT Net Price Variance Price to EBIT FY2008 EBIT High capture of price benefit to EBIT 20,067 US$m 6,559 4,215 64% (1) (1) Net price variance includes the impact of price-linked costs. Price-linked costs is defined as any costs which fluctuate in line with movements in price such as royalties, TC/RC and LME linked costs. 24,282 |
 Preliminary Results 18 August 2008 Slide 17 0 2 4 6 8 10 12 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 0% 5% 10% 15% 20% 25% 30% 35% 40% Capex (LHS) Capitalised Exploration (LHS) Acquisitions (LHS) ROCE (RHS) Strong Return On Capital Employed despite record capital investments Capital and exploration expenditure (US$bn) ROCE Notes: FY2002 to FY2005 are shown on the basis of UKGAAP. Subsequent periods are calculated under IFRS. |
 Preliminary Results 18 August 2008 Slide 18 Ordinary dividends per share (US cents per share) 0 10 20 30 40 50 60 70 FY2005 FY2006 FY2007 FY2008 H1 H2 0 50 100 150 200 250 300 FY2005 FY2006 FY2007 FY2008 Earnings per share (US cents per share) Note: BHP Billiton’s EPS represents reported underlying EPS for the financial year ending 30 June. Delivering superior returns to shareholders CAGR 36% CAGR 37% |
 Marius Kloppers Chief Executive Officer Preliminary Results – 30 June 2008 |
 Preliminary Results 18 August 2008 Slide 20 Outstanding results driven by strategy and execution 3.1 3.5 5.5 9.9 15.3 20.1 24.3 0 5 10 15 20 25 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 Notes: a) FY2002 to FY2005 calculated on the basis of UKGAAP. Subsequent periods calculated under IFRS. Underlying EBIT (a) (US$bn) H2 H1 9.6 14.7 |
 Preliminary Results 18 August 2008 Slide 21 0 50 100 150 200 A track record of project delivery • Projects successfully delivered: – 44 since the DLC merger – 10 completed in FY2008 • 10% growth estimated in FY2009 • Completed projects ramping up in FY2009 – Atlantis South, Genghis Khan, Samarco, Ravensthorpe/Yabulu Exp., Cliffs, Koala Underground, Spence, Escondida Sulphide Leach and Pinto Valley • First production expected in FY2009 – GEMCO, Neptune, Shenzi, NWS Train 5, NWS Angel and Alumar (Indexed, 100=FY2001) Copper equivalent production growth (a) Notes: a) Production from continuing operations converted to copper equivalent units using FY2008 average realised prices. |
 Preliminary Results 18 August 2008 Slide 22 Our portfolio is diversified and balanced across high margin commodities Underlying EBIT Margin (a) (FY2008) Notes: a) EBIT Margin excludes third party trading activities. 67% 30% 31% 62% 20% 25% 24% 48% 51% 58% Underlying EBIT (FY2008, US$bn) 0 5 10 15 20 25 Energy (27%) Non Ferrous (44%) Steelmaking Materials (29%) Iron Ore Manganese Energy Coal Metallurgical Coal D & SP Base Metals Petroleum Stainless Steel Materials Aluminium Iron Ore Manganese Energy Coal Metallurgical Coal Diamonds and Specialty Products Base Metals Petroleum Stainless Steel Materials Aluminium Group |
 Preliminary Results 18 August 2008 Slide 23 Short-term global challenges exist • Global economic activity is moderating • Financial market instability, housing market decline and inflationary pressures • Emerging economies not immune – Inflationary pressures – Some decline in fixed asset investment growth (isolated to a small number of industries) – Exchange rate appreciation reducing export competitiveness 0% 2% 4% 6% Jun-06 Sep-06 Dec-06 Mar-07 Jun-07 Sep-07 Dec-07 Mar-08 Jun-08 United States annual GDP growth (a) (Annual growth, %) China annual GDP growth (b) (Annual growth, %) 8% 10% 12% 14% Jun-06 Sep-06 Dec-06 Mar-07 Jun-07 Sep-07 Dec-07 Mar-08 Jun-08 Notes: a) Source: US Department of Commerce, Bureau of Economic Analysis. b) Source: CEIC |
 Preliminary Results 18 August 2008 Slide 24 However, long-term fundamentals of emerging/developing economies remain intact Source: World economic outlook database, April 2008. IMF world GDP growth (%) 2.8% 2.3% 1.3% 2.9% 3.5% 6.4% 6.7% 7.0% 9.8% 10.1% 9.4% 10.1% 0% 2% 4% 6% 8% 10% 12% Average historical growth CY1990-CY2000 Average historical growth CY2001-CY2007 Average forecast growth CY2008-CY2009 Average forecast growth CY2010-CY2013 Developed Economies Emerging & Developing Economies China |
 Preliminary Results 18 August 2008 Slide 25 Domestic consumption and investment continues to drive China’s economy Source: CEIC. Source: McKinsey Global Institute, March 2008 – ““Preparing for China’s Urban Billion”. • Chinese economic growth is predominantly domestically driven • Long-term China economic growth is driven by continued urbanisation and industrialisation • Fixed asset investment in 11 economic regions is forecast at ~60% of total urban investment in China by 2025 • Urbanisation and industrialisation is not limited to China 0 5 10 15 20 25 Composition of GDP (RMB Trillions) Net Exports Inventories Investment Consumption |
 Preliminary Results 18 August 2008 Slide 26 Urbanisation and industrialisation has resulted in a huge call on steelmaking raw materials 0 100 200 300 400 500 600 700 800 900 CY1970 CY1980 CY1990 CY2000 CY2007 CY2015E United States China Source: International Iron & Steel Institute (World Steel in Figures, 2008), US Geological Survey (Iron and Steel Statistics, 3 January 2008) and BHP Billiton estimates. Annual steel consumption (mtpa) Cumulative steel consumption since 1900 (mt) 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 10,000 CY1970 CY1980 CY1990 CY2000 CY2007 CY2015E United States China |
 Preliminary Results 18 August 2008 Slide 27 The impact is also being felt in the energy markets 36% 9% 5% 50% China Other Europe North America Share of world primary energy consumption (mmtoe) Growth in energy consumption CY2000-2007 (mmtoe) 10% 17% 30% 26% 30% 27% 30% 31% 0% 100% CY2000 CY2007 Other Europe North America China Source: BP Statistical Review of World Energy 2008. Notes: Primary energy comprises commercially traded fuels only. Oil consumption measured in million tonnes, other fuels converted to million tonnes of oil equivalent as detailed in the Appendices of the Review. |
 Preliminary Results 18 August 2008 Slide 28 Supply-side constraints are limiting the industry’s response • Equipment stress • Industrial action and wage disputes • Labour shortages • Equipment shortages • Significant cost pressures, including fuel • Energy and power constraints • Declines in ore-grade levels • Rising tariffs • Infrastructure bottlenecks • Developments are increasingly tending to be: – Smaller – Lower grade – Higher risk geographies • Equipment shortages – longer lead times and project delivery dates • Rising capital costs • Resources nationalism Existing Supply Future Supply Growth |
 Preliminary Results 18 August 2008 Slide 29 Existing supply: Equipment shortages are continuing CY2004 CY2005 CY2006 CY2007 CY2008 CY2009 Tyres and Trucks Tyres (2004) • OEM underinvestment • Radial tyre market undersupply >30% Trucks (2007) • Access to castings, forgings • Effect of non-mining “competitors” – Oil sands Draglines & Shovels • Historical cyclicality has contributed to underinvestment • Market limited Supply Base • Availability of raw materials/steel Ammonium Nitrate • Production capacity constraints • Shortage of raw materials • High capital costs • Stringent import regulations Grinding Mills • Access to castings, forgings • Production capacity constraints • Increased steel prices • Skilled labour shortages ? Timing of initial supply constraint manifestation |
 Preliminary Results 18 August 2008 Slide 30 Future industry supply growth: New projects are encountering delays Source: Brook Hunt. Note: “Forecast production as at 2008 Q2” represents the expected future production as at 2008 Q2 from those copper developments classified as highly probable and probable as at 2006 Q1. It excludes new developments classified as highly probable or probable since 2006 Q1. Expected future production from highly probable and probable copper developments (kt) Forecast production as at 2006 Q1 Forecast production as at 2008 Q2 2-3 year delays 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 CY2006 CY2007 CY2008 CY2009 CY2010 CY2011 CY2012 CY2013 CY2014 CY2015 CY2016 CY2017 |
 Preliminary Results 18 August 2008 Slide 31 Resourcing the Future – BHP Billiton’s response • BHP Billiton has not been immune from supply constraint issues • But our scale, global presence and diversification provides significant competitive advantages • We are focused on the disciplined execution of the core strategy • And on pursuing a renewed organisational focus on simplicity, accountability and effectiveness Port Hedland |
 Preliminary Results 18 August 2008 Slide 32 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 CY2007 CY2008 CY2009F CY2010F CY2011F CY2012F Accelerating growth from a diversified portfolio of projects % of growth CY2007-2012 (Estimated & unrisked) Note: Growth in production volumes on a copper equivalent units basis between CY2007 and CY2012 calculated using BHP Billiton estimates for BHP Billiton production. Production volumes exclude BHP Billiton’s Specialty Products operation and all bauxite production. All energy coal businesses are included. Alumina volumes reflect only tonnes available for external sale. Conversion of production forecasts to copper equivalent units completed using long term consensus price forecasts, plus BHP Billiton assumptions for diamonds, domestic coal and manganese. Prices as at July 2008. Production in copper equivalent tonnes (Copper equivalent tonnes '000s) 45% 37% 18% Steelmaking Materials Energy Non-Ferrous |
 Preliminary Results 18 August 2008 Slide 33 Focused on low risk volume growth from existing assets, high margin CSGs and known regions By project type (b) 87% 13% Brownfield Greenfield By region (c) Existing New By country risk (d) 88% 12% Lower Higher 3% 97% By high margin vs lower margin CSGs (e) 63% 37% > 50% < 50% Projected growth in production in copper equivalent tonnes (a) (CY2007-CY2012) Notes: a) Growth in production volumes on a copper equivalent units basis between CY2007 and CY2012 calculated using BHP Billiton estimates for BHP Billiton production. Production volumes exclude BHP Billiton’s Specialty Products operation and all bauxite production. All energy coal businesses are included. Alumina volumes reflect only tonnes available for external sale. Conversion of production forecasts to copper equivalent units completed using long term consensus price forecasts, plus BHP Billiton assumptions for diamonds, domestic coal and manganese. Prices as at July 2008. b) Brownfield includes growth from existing operations as at 31-Dec-2007, as well as expansions and additional developments of, or around those assets. c) Existing regions represents those countries in which BHP Billiton already has asset operating as at 31-Dec-2007. d) Country risk methodology based on March 2008 Euromoney Magazine poll. Lower risk countries defined as countries with risk scores >75% (except Chile and South Africa). e) High margin CSGs represents those with an average EBIT margin (excluding third party trading activities) of greater than 50% over the past three financial years. |
 Preliminary Results 18 August 2008 Slide 34 And lower risk longer term options By project type (b) Brownfield Greenfield 35% 65% By region (c) 87% 13% Existing New Projects in pre-feasibility or future option stage of development (~US$90bn) (a) Notes: a) Based on current BHP Billiton estimates of future capital expenditure for projects in the pre-feasibility or future option stage as at 14-Aug-2008 as shown on slide 49. b) Brownfield represents expansions or additional developments of, or around those assets in operation as at 31-Dec-2007. c) Existing regions represents those countries in which BHP Billiton already has assets operating as at 31-Dec-2007. |
 Preliminary Results 18 August 2008 Slide 35 Unlocking further value through a combination with Rio Tinto • Optimising mineral basin positions and infrastructure – Lower cost, more efficient production – Unlocking volume through matching reserves with infrastructure • Enhanced platform for future growth – Deployment of scarce resources to highest value opportunities – Greater ability to develop the next generation of large scale projects in new geographies – Better positioned as partner of choice with governments and stakeholders – Efficient exploration and infrastructure development • Unique synergies and combination benefits – Economies of scale – especially procurement – Avoid duplication, reduce corporate and divisional non-operating costs – Accelerate tonnage delivered to market |
 Preliminary Results 18 August 2008 Slide 36 Summary • Excellent operating and financial results • Long-term demand outlook remains strong despite some short-term economic uncertainty • Supply-side constraints are limiting the ability for the industry to respond to demand growth • BHP Billiton’s portfolio of assets focused in stable geographies provides a competitive advantage • Future growth being delivered from lower risk projects Liverpool Bay |
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 Appendix |
 Preliminary Results 18 August 2008 Slide 39 Return on capital and margins (1) FY2005 toFY2008 are shown on the basis of IFRS. Prior periods are calculated under UKGAAP. All periods exclude third party trading. 35% 38% 38% 44% 48% 48% 29% 21% 13% 11% 40% 30% 24% 20% 0% 10% 20% 30% 40% 50% 60% FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 Return on Capital EBIT Margin (1) |
 Preliminary Results 18 August 2008 Slide 40 Rate of cost increase FY2005 is shown on the basis of UKGAAP. Other periods are calculated under IFRS. All periods exclude third party trading and non cash costs. 0% 1% 2% 3% 4% 5% 6% 7% FY2005 FY2006 FY2007 FY2008 Other Costs Raw Materials Fuel & Energy Operating cost increase relative to preceding year 4.9% 6.8% 3.6% 4.3% |
 Preliminary Results 18 August 2008 Slide 41 Underlying EBIT analysis Year ended June 08 vs June 07 0 5,000 10,000 15,000 20,000 25,000 30,000 Jun-07 Net Price Volume Exchange Inflation Cash Costs Non Cash Costs Exploration & Bus Dev Other Jun-08 US$m 20,067 6,559 1,828 (1,133) (532) (967) (216) (404) (920) 24,282 (1) Including $134m of price-linked costs impact. (2) Including $1,619m due to increase in volume from new operations. (1) (2) |
 Preliminary Results 18 August 2008 Slide 42 -400 -200 0 200 400 600 800 1000 1200 1400 Impact of major volume changes Year ended June 08 vs June 07 US$m Total volume variance US$1,828 million Petroleum 894 Met Coal (47) Iron Ore 424 Aluminium/ Alumina 20 D&SP 19 Energy Coal 38 Copper 727 Nickel (313) Other 47 (1) Volume variances calculated using previous year margin and includes new operations Manganese 20 (1) |
 Preliminary Results 18 August 2008 Slide 43 Impact of major commodity price Year ended June 08 vs June 07 -1500 -1000 -500 0 500 1000 1500 2000 2500 Total price variance US$6,559 million (1) US$m Petroleum 1,684 Copper 946 Manganese 1,465 Iron Ore 2,134 Energy Coal 1,062 Nickel (1,066) Diamonds 80 Aluminium (51) Met Coal 151 (1) Net of $134m of price-linked costs impact. Other 154 |
       Preliminary Results 18 August 2008 Slide 44 Cash flow Operating cash flow and dividends 25,541 22,012 Net interest paid (630) (494) Tax paid (1) (6,752) (5,561) Net operating cash flow 18,159 15,957 Capital expenditure (7,558) (7,129) Exploration expenditure (1,350) (805) Purchases of investments (336) (757) Proceeds from sale of fixed assets & investments 180 378 Net cash flow before dividends and funding 9,095 7,644 Dividends paid (2) (3,250) (2,339) Net cash flow before funding & buy-backs 5,845 5,305 2008 2007 Year ended June (US$m) (1) Includes royalty related taxes paid (2) Includes dividends paid to minority interests |
    Preliminary Results 18 August 2008 Slide 45 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 FY02 H1 03 H2 03 H1 04 H2 04 H1 05 H2 05 H1 06 H2 06 H1 07 H2 07 H1 08 H2 08 Petroleum Aluminium Base Metals Iron Ore Met Coal Manganese Energy Coal SSM Other Europe Japan Other Asia Nth America China ROW Australia Diversification remains for sales into China • 20% of total company revenues in FY2008 US$m 431 785 1,075 1,357 371 1,588 2,407 2,946 3,611 3,999 5,293 5,013 6,657 FY2008 revenue by location of customer |
 Preliminary Results 18 August 2008 Slide 46 Strong cash flow - delivering value to shareholders 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 H1 H2 0 1500 3000 4500 6000 7500 9000 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 Available Cash Flow Available Cash Flow Organic Growth 1 Return to Shareholders 2 (1) Includes capital and exploration expenditures (exclude acquisitions). (2) Includes dividends paid and share buy-backs. (3) FY2005 to FY2008 have been calculated on the basis of the IFRS. Prior periods have been calculated on the basis of UKGAAP. (4) FY2007 and FY2008 cashflow reflects proportional consolidation of joint ventures. 0 1500 3000 4500 6000 7500 9000 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 US$m US$m US$m |
 Preliminary Results 18 August 2008 Slide 47 0.0 3.0 6.0 9.0 12.0 15.0 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 Exploration Sustaining Capex Growth Expenditure Capital & exploration expenditure US$bn (1) FY2009 includes US$700m for Petroleum F FY2002 to FY2005 are shown on the basis of UKGAAP. Subsequent periods are calculated under IFRS. US$ billion FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009F Growth 1.9 2.0 1.7 2.6 4.0 5.5 6.1 9.9 Sustaining & Other 0.8 0.7 0.9 1.3 2.1 1.6 1.8 2.1 Exploration 0.4 0.3 0.5 0.5 0.8 0.8 1.4 1.5 Total 3.1 3.0 3.1 4.4 6.9 7.9 9.3 13.5 |
       Preliminary Results 18 August 2008 Slide 48 Key net profit sensitivities US$1/t on iron ore price 80 US$1/bbl on oil price 35 US$1/t on metallurgical coal price 25 USc1/lb on aluminium price 25 USc1/lb on copper price 20 US$1/t on energy coal price 20 USc1/lb on nickel price 2 AUD (USc1/A$) Operations (2) 80 RAND (0.2 Rand/US$) Operations (2) 20 (US$m) Approximate impact (1) on FY 2009 net profit after tax of changes of: (1) Assumes total volumes exposed to price (2) Impact based on average exchange rate for the period |
    Preliminary Results 18 August 2008 Slide 49 Maintenance of a deep diversified inventory of growth options Boffa/Santou Refinery As at 14 August 2008 Proposed capital expenditure $500m $501m-$2bn $2bn+ SSM Energy Coal D&SP Iron Ore Base Metals Petroleum Met Coal CSG Manganese Aluminium 2009 Execution Pyrenees Alumar Atlantis North 2013 Feasibility Bakhuis Worsley E&G Douglas- Middelburg Future Options Newcastle Third Port WA Iron Ore Quantum 2 Potash - Jansen WA Iron Ore Quantum 1 Nimba Angola & DRC WA Iron Ore RGP 5 CW Africa Exploration Turrum NWS CWLH DRC Smelter NWS T5 NWS Nth Rankin B WA Iron Ore RGP 4 Kipper Olympic Dam Expansion 2 Browse LNG Olympic Dam Expansion 1 CMSA Heap Leach 2 Shenzi Nth Klipspruit NWS Angel Shenzi GEMCO Potash Olympic Dam Expansion 3 Thebe CMSA Pyro Expansion Wards Well Scarborough Caroona WA Iron Ore RGP 6 Eastern Indonesian Facility Escondida 3rd Conc RBM Puma Blackwater UG NWS WFGH MKO Talc Cannington Life Ext Corridor Sands Kennedy Gabon Saraji Exp Red Hill UG Resolution Neptune Nth GEMCO Exp Ekati Guinea Alumina Angostura Gas HPX3 Maruwai Stage 1 Knotty Head Samarco 4 Peak Downs Exp (Caval Ridge) Macedon CMSA Heap Leach 1 Antamina Exp Newcastle Third Port Exp Mad Dog West Mt Arthur Coal UG Cerrejon Opt Exp Daunia Maruwai Stage 2 Navajo Sth Perseverance Deeps Mt Arthur Coal OC (MAC20) Mt Arthur Coal (MACX) New Saraji Goonyella Expansions Escondida Moly |
 Preliminary Results 18 August 2008 Slide 50 Sanctioned development projects (US$12.4bn) On schedule and budget 1-2 million tpa Mid CY09 100 Met Coal Maruwai Stage 1/Haju (Indonesia) – 100% On schedule and budget Third coal berth capable of handling an estimated 30 million tpa End CY10 390 Energy Coal Newcastle Third Port (Australia) – 35.5% On schedule and budget 10 million tpa export thermal coal and 8.5 million tpa domestic thermal coal (sustains current output) Mid CY10 975 Energy Coal Douglas – Middelburg Optimisation (South Africa) – 100% On schedule and budget 1.1 million tpa H1 CY11 1,900 Alumina Worsley Efficiency and Growth (Australia) – 86% On schedule and budget Incremental 1.8 million tpa export coal Incremental 2.1 million tpa domestic H2 CY09 450 Energy Coal Klipspruit (South Africa) – 100% On schedule and budget Additional 1 million tpa manganese concentrate H1 CY09 110 Mn Ore GEMCO (Australia) – 60 % On schedule and budget Increase system capacity to 155 million tpa H1 CY10 1,850 Iron Ore Western Australia Iron Ore RGP 4 (Australia) – 86.2% Schedule and budget under review 2 million tpa Q2 CY09 725 Alumina Alumar Refinery Expansion (Brazil) – 36% Production Capacity (100%) Progress Initial Production Target Date Share of Approved Capex US$m Commodity Minerals Projects |
 Preliminary Results 18 August 2008 Slide 51 Sanctioned development projects (US$12.4bn) cont. On schedule and budget 2,500 million cubic feet gas per day CY12 850 LNG NWS North Rankin B (Australia) – 16.67% On schedule and budget 11,000 bpd condensate and processing capacity of 200 million cubic feet gas per day CY11 625 Oil/Gas Turrrum (Australia) – 50% On schedule and budget 96,000 barrels of oil and 60 million cubic feet gas per day H1 CY10 1,200 Oil/Gas Pyrenees (Australia) – 71.43% On schedule and budget Tie-back to Atlantis South H2 CY09 185 Oil/Gas Atlantis North (US) – 44% On schedule and budget 100,000 barrels and 50 million cubic feet gas per day Mid CY09 1,940 Oil/gas Shenzi (US) – 44% On schedule and budget 800 million cubic feet gas per day and 50,000 bpd condensate End CY08 200 Oil/Gas North West Shelf Angel (Australia) – 16.67% On schedule and budget 10,000 bpd condensate and processing capacity of 80 million cubic feet gas per day CY11 500 Oil/Gas Kipper (Australia) – 32.5%-50% On schedule and budget LNG processing capacity 4.2 million tpa Late CY08 350 LNG North West Shelf 5th Train (Australia) – 16.67% Production Capacity (100%) Progress Initial Production Target Date Share of Approved Capex US$m Commodity Petroleum Projects |
 Preliminary Results 18 August 2008 Slide 52 Note: All projects in feasibility remain under review until they are approved to move to execution. During the feasibility phase project schedules and capex are indicative only. However, from time to time estimates may be periodically reviewed as project milestones are achieved. (1) Project parameters are currently under review (2) Project now sequenced to follow Mount Arthur Coal OC (MAC20) Development projects in feasibility (US$12.4bn) Maintain Nickel West system capacity H2 CY13 500 Nickel Perseverance Deeps (Australia) – 100% 5.7 million tpa saleable coal CY 2013 850 Energy Coal Navajo South Mine Extension (USA) – 100% (1) 5 million tpa saleable coal CY 2011 700 Energy Coal Mt Arthur Coal UG (Australia) – 100% (2) 8 million tpa H2 CY11 300 Energy Coal Cerrejon (Colombia) – 33.3% Increase system capacity to 200 million tpa H2 CY11 6,110 Iron Ore Western Australia Iron Ore RGP 5 (Australia) – 86.2% (1) 3.7 million tpa export coal H2 CY10 300 Energy Coal Mt Arthur Coal OC MAC20 (Australia) – 100% 3-5 million tpa clean coal CY 2012 500 Met Coal Maruwai Stage 2/Lampunut (Indonesia) – 100% (1) 3 million tpa CY 2010 250 Met Coal Daunia (Australia) – 50% 3.3 million tpa H2 CY11 1,700 Alumina Guinea Alumina Project (Guinea) – 33.3% 6.9 million tpa bauxite H1 CY10 727 Bauxite Bakhuis 100% (Suriname/ Paranam – 45%) Project Capacity (100%)* Forecast Initial Production* Estimated Share of Capex* US$m Commodity Minerals Projects (US$4.7bn) |
 Preliminary Results 18 August 2008 Slide 53 Development projects in feasibility (US$12.4bn) * Indicative only 280 million cubic feet gas per day H1 CY11 220 Gas Angostura Gas (Trinidad & Tobago) – 45% 60,000 barrels of oil and 90 million cubic feet gas per day H2 CY10 250 Oil/Gas NWS CWLH (Australia) – 16.67% Project Capacity (100%)* Forecast Initial Production* Estimated Share of Capex* US$m Commodity Petroleum Projects (US$600m) |