BHP Billiton

Mike WeillPresident of Petroleum Operations & Technology-Americas/AustraliaSeptember 17, 2003

The largest company in a consolidating sector

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n) Market value of minerals industry US$306 bnValue of Top Five US$141 bnValue of BHP Billiton US$ 42 bn

Source: Datastream

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Oil ServiceDiversifiedElectricityElec. & GasGasOil & Gas

10th in terms of Market Cap

10th in terms of Market Cap

Market Capitalization of the Top 50 Energy Companies (PFC Energy 50)March 2003 (US$ Billion)

Source: The Petroleum Finance Company

BHP Billiton – a small to medium player in a huge energy industry

A global footprint

Energy CoalDiamonds & Spec Prod

Aluminium

Carbon Steel Materials

Base Metals

Petroleum

Stainless Steel Materials

Petroleum – A Key Value Driver For BHP Billiton

• Top quartile Net Income/boe• Top quartile Return on Capital• Second quartile Finding Costs• Second quartile Finding & Development Costs

Outstanding Assets

Inventory of Projects

Customer-centric

MarketingPortfolio

Effect Innovation

Bass StraitNorth West Shelf

GoM DeepwaterContract Creativity

LNGLPG

Domestic GasOil/Condensate

Mad Dog/AtlantisAngosturaZamzama

Ohanet/ROD

Geographical spread

Portfolio spread

(1) (2) (3) (4) (5) (6)Value Drivers

Petroleum:

Efficiency:

Outstanding Assets

Outstanding Assets InnovationInnovation Customer-centric

MarketingCustomer-centric

MarketingInventory of

ProjectsInventory of

Projects PortfolioPortfolio

PetroleumPetroleum Employees

(7)

Attributable production 333,000 boe/day(Crude oil and condensate, natural gas, LPG, Ethane)

Turnover $3 264 millionEBITDA $1 727 millionEBIT $1 178 millionNet operating assets $3 293 million

CapEx $909 million

Petroleum – Facts & Figures (FY03)

Petroleum Growth Strategies Overview

GlobalPortfolio

High Margin Oil Exploration& Production

DiscoveredResources

Gas Commercialization

Cash Generation

• High-margin returns but greater subsurface & technological risk

• Price upside

• Positioning in resource-rich countries

• Low risk resources but higher political risk

• Maximize returns• Limited growth or capability

contribution

• High-growth• Environmentally

and greenhouse friendly

• North West Shelf– Train 4 progress – China SPA & Equity

Agreements

• Other LNG– Korea potential– Taiwan potential

• Pakistan – Zamzama

• Eastern Gas– Bass Strait– Minerva

Gas Commercialization Overview

• North Africa– Algeria: Ohanet wet gas

development – Algeria: ROD oil fields

• Middle East– Evaluation of opportunities

Discovered Resources Overview

• Gulf of Mexico

• Trinidad

• Australia, Africa, Brazil

• Other opportunities – access, position long term– deepwater and others

High Margin Oil Exploration and Production Overview

01.01.01Page 11

Ho us t o n

G alv e st on Ba y

G alv e st o n

B a yt ow n

G alv es t on

Ho um a

S t . J am es

B ea u m on t

Lake Char les

Laf ayett e

Ne w O r le an s

Br et onSound

Mississippi

River

LakePont char t rain

Exploration: Focus in Play Fairways

Perdido FoldbeltPerdido Foldbelt

Walker RidgeWalker Ridge

Deep Shelf GasDeep Shelf Gas

Green CanyonGreen CanyonMini BasinMini Basin

MississippiMississippiCanyonCanyon

EasternEasternAFB GasAFB GasAtwater FoldAtwater Fold

Belt (AFB)Belt (AFB)

BHP Billiton in the Gulf of Mexico

Green Canyon

Typhoon

Mississippi Canyon

Eastern Atwater Foldbelt

Walker Ridge

U S A

0 50km

Ewing Bank

Atwater

Genesis

NeptuneAtlantis

Mad Dog

Cascade

Boris

GC 18

West Cameron

Typhoon - Boris

GC 18/60

Genesis

West Cameron

LicenceProducing

Deepwater production systemsProgression 1989 - 2003

Platform CompliantTower

Mini-TLP FPS SPAR TLP

Bullwinkle1353 ft -1991

Baldpate1700 ftPetronius *1750 ft - 1998

Typhoon2100 ft - 2001Matterhorn2850 ftAllegheney *3300 ft - 1999

P-40*3353 ft - 2001Thunder Horse6050 ftAtlantis *7040 ft - 2006

Genesis2600 ftMad Dog4500 ft – 2004Diana 4800 ftDevil’s Tower *5610 ft - 2003

Jolliet1760 ftMars3000 ftUrsa 3900 ft - 1999Marlin3250 ftMagnolia *4700 ft - 2004

SUBSEA

0

1000

2000

3000(~1000 m)

4000

5000

7000

6000(~2000 m)

8000

WaterDepth

(ft)

9000(~3000 m)

FPSO

* Record Holder

Boris 2200 ft – 2003Mars Subsea3000 ftMensa5300 ft - 1997Canyon Express (gas)*7209 ft – 2002King (oil)*5334 ft - 2002

Griffin426 ftLaminaria1263 ftSeillean6080 ft - 1998

Source: Offshore Magazine 2003

Capability Development• People• Technology• Funding

Griffin FPSO

Knowledge Sharing Programs

Boris Project Team

West Cam Operations Crew

3-D Visualization

What’s aheadGulf of Mexico Production by Company

0 100000 200000 300000 400000 500000 600000

NexenOffshore Energy

DominionForest

ConocoPhillipsAgip

StoneNoble

NewfieldAmerada Hess

AnadarkoMarathon

Kerr McGeeApache

Devon/OceanUnocal

El PasoExxonMobil

BPChevronTexaco

ShellBOE per day

Deepwater >1,500’Shallow < 1,500’

12 month average to 9/01

BHP Billiton(current)

Mad

Dog

&At

lant

is

Conclusion

• Petroleum is a value driver for BHP Billiton• Petroleum is a differentiating factor for BHP Billiton• BHP Billiton Petroleum is a well established oil and gas

business with: – solid performance– strong producing assets– value adding growth opportunities– consistent strategic direction.

• We’re delivering on our four-part strategy for growth