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[February 21, 2006]

DJ BHP Won't Change Charter Due To Iraq Kickback Allegations

(Comtex Finance Via Thomson Dialog NewsEdge)SYDNEY, Feb 21, 2006 (Dow Jones Commodities News via Comtex) --BHP Billiton (BHP) said Tuesday it has no intention of reviewing its corporate charter in light of a scandal surrounding a multi-million-dollar loan the global miner allegedly made to Iraq in 1996 to gain access to the country's oil.


"The corporate charter that we have is very strong," Chairman Don Argus told reporters on the sidelines of a corporate governance presentation in Sydney.

BHP has been drawn into an Australian government investigation into alleged corruption under the now discredited U.N. oil-for-food program in Iraq after evidence emerged the world's largest miner may have been involved in paying kickbacks to gain access to Iraqi oil.

Argus, who joined the BHP board in late 1996, said he had no prior knowledge of the alleged US$8 million kickback but declined comment on individual responsibilities until the investigation delivers its findings.

"I think the public can judge us on our actions after the Cole inquiry."

Shareholders should rest easy in the knowledge "the management and board have changed so the company is nowhere near the company it was back in 1995 - (there's a) whole raft of new people," he said.

Argus said it was too early to tell if the scandal had impacted on Australia's corporate reputation overseas.

In a presentation to the Australian Institute of Company Directors, he favored a principles-based approach to corporate governance as adopted by Australia and the U.K over the U.S. prescriptive approach which promotes minimum standards.

The Cole inquiry is also looking into the actions of AWB Ltd. (AWB.AU).

-By James Attwood, Dow Jones Newswires; 612-8235-2957;
james.attwood@dowjones.com
-Edited by Paul Dekkers
(END) Dow Jones Newswires

02-21-06 0017ET

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