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BHP blowout at Ravensthorpe

BHP Billiton Ltd last week announced that its Ravensthorpe nickel project budget had blown out to $2.8 billion, more than double the original $1.35 billion approved in March 2004, and the third budget revision for the project. The resources giant blamed lower than expected labour productivity and late delivery of some materials and equipment for the budget increase. On top of the cost rise, the company also revised its target production date to the first quarter of the 2008 calendar year.

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