The company’s investment represents one third of the $1,311m expansion to be undertaken by Cerrejon Coal, with JV partners Anglo American and Xstrata contributing equal investment in the project.
Construction on the expansion project, known as the P40 Project, will begin later this year with completion expected in 2013.
According to BHP Billiton, the expansion will enable Cerrejon Coal’s saleable thermal coal production capacity to increase by eight million tonnes per annum (mtpa) to about 40mtpa.
Ramp up to expanded capacity of 40mtpa is expected by the end of 2015, the company said.
The scope of the project includes expansion of the mine, coal handling facilities and the port, inclusive of an additional loading berth.
BHP Billiton owns a 33.3% stake in Cerrejon Coal in equal portion with JV partners Anglo American and Xstrata.
