Closure of Tower Colliery

BHP Billiton Limited
15 February 2002

     BHP Billiton Limited is issuing this announcement to fulfil disclosure
  obligations arising from its secondary listing on the London Stock Exchange.

    The text of this release is identical to that issued by BHP Billiton Plc
                                    earlier.



Date: 15th February 2002

Number: 11/02





                      BHP BILLITON TO CLOSE TOWER COLLIERY





BHP Billiton today announced it would close the Tower Colliery, located in New
South Wales Australia, by December 2002.



President BHP Billiton Illawarra Coal Wayne Isaacs said a concerted effort had
been made to reduce operating costs. However this was impacted by several
factors including limited coal recovery capacity and significant geological
problems.



Underground development work will cease in April 2002, at which time 60
employees will become redundant. Tower Colliery currently produces about 1.4
million tonnes per annum of metallurgical coal, predominantly for the Port
Kembla Steelworks. Following closure, this production will be sourced from BHP
Billiton's other collieries in the Illawarra region.



'The social and environmental impact of the colliery's closure has been a focus
point for BHP Billiton, with much effort placed on minimizing the impact on
Tower's employees,'      Mr Isaacs said.



'It is a difficult time, but we will ensure all employee entitlements will be
paid in full, and all suppliers', contractors, and creditors' invoices will be
honored. Transitional counseling and financial planning seminars will also be
available for displaced employees.'



Production work will continue at Longwall 20 with a reduced workforce of 75
until the completion of coal extraction in December 2002. At this stage, gas
drainage will cease, longwall equipment will be stood down and ventilation
roadways transferred to Appin Colliery. Remaining employees from the operation
will receive redundancy arrangements at this time.



BHP Billiton is progressively rationalizing its Illawarra coal operations into
increasingly more productive and cost effective operations. As such, the Group
will concentrate on expanding the West Cliff and Appin mines in the No.1 Seam
deposit to achieve maximum synergies and contain costs.



In addition the Dendrobium mine, currently under development, is scheduled to
commence commissioning in 2005. No.3 Seam operations will continue at Eloura
Colliery until reserves are depleted in late 2004.



The strategy is designed to further move Illawarra Coal's operations into the
lower cost quartile while being able to continue the supply of premium coking
coal to customers.



'While the coking coal market is relatively strong at present, we must make the
tough decisions now to ensure Illawarra coal's long term future,' Mr Isaacs
said.



                                    * * * *

Further information can be found on our Internet site: http://www.bhpbilliton.com

Australia
Dr. Robert Porter, Investor Relations                     United Kingdom/South Africa
Tel: + 61 3 9609 3540     Mobile: [phone]         Michael Campbell, Investor & Media Relations
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Mandy Frostick, Media Relations
Tel: [phone]     Mobile: [phone]          Ariane Gentil, Manager Communications
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                                                          email: [e-mail]

United States
Francis McAllister, Investor Relations
Tel: [phone]     Mobile: [phone]
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