SINGAPORE Weeks before
Andrew Mackenzie takes over as chief executive officer of
global miner BHP Billiton Plc, the company has announced a
major senior management reshuffle that brings operations closer
to the top office.
The heads of five
divisionscopper, iron ore, coal, petroleum and potash,
and aluminum, manganese and nickelwill be part of the
group management committee that reports directly to the chief
Head of petroleum J. Michael
Yeager will retire from the company July 1, and Tim Cutt will
take over as president of the companys petroleum and
Alberto Calderon will move out
of his role as group executive and chief executive for
aluminum, nickel and corporate development, but he will remain
as advisor to the chief executive officer. Daniel Malchuk,
currently president of minerals exploration, will assume
responsibility for assets under the aluminum, manganese and
Marcus Randolph, group executive
and chief executive officer for ferrous and coal, will leave
the group management committee May 10. Dean Dalla Valle,
currently president of energy coal, will take charge of
BHPs coal assets with the consolidation of the
metallurgical and energy coal businesses.
Peter Beaven, currently
president of the base metals division, will be president of the
copper business, a role which will include all his current
responsibilities for the assets under the former base metals
Jimmy Wilson will remain in
charge of iron ore.
"The removal of a layer of
management brings the operations closer to the chief executive
officer and ensures alignment between strategic and managerial
leadership," Mackenzie said. The new management will continue
to focus on capital discipline, he added.
Meanwhile, BHP announced that
the new chief executive officers base salary would be
$1.7 million per year, lower than the $2.2-million base salary
of outgoing chief executive officer Marius Klopper. "We believe
that some downward rebasing at this time is appropriate, a view
that is supported by Andrew," chairman Jac Nasser said.
London-based BHP saw its fiscal
first-half profits fall 58 percent, which it attributed to
lower commodity prices and inflation, among other factors (
amm.com, Feb. 20).
A version of this article was first published by AMM sister
publication Metal Bulletin.