Assurance

An evaluation method that uses a specified set of principles and standards to assess the quality of a Report and the underlying systems, processes and competencies that underpin performance as specified in the Report. Assurance includes the communication of the results of this evaluation to provide credibility to the subject matter for its users.

bcms

billion bank cubic metres

BHP Billiton

The Dual Listed Company comprising BHP Billiton Limited and BHP Billiton Plc and their subsidiary companies.

BHP Billiton Group

The whole BHP Billiton organisation.

Biodiversity

The variability among living organisms from all sources including, inter alia, terrestial, marine and other aquatic ecosystems and the ecological complexes of which they are part; this includes diversity within species, between species and of ecosystems.

Bioindicator

Changes in organisms that can be reliably used to indicate a change in the environment. These changes may be physiological, chemical, or behavioural.

Business Excellence

Business Excellence means achieving predictable continuous improvement across BHP Billiton.

The Company

BHP Billiton

CO₂-e

Carbon dioxide equivalent (CO₂-e) is the basis of comparing the warming effect of greenhouse gases such as carbon dioxide, methane and perfluorocarbons.

Charter

The set of clearly defined Company values applicable to each employee of the BHP Billiton Group.

CIFR

Classified Injury Frequency Rate - the number of classified injuries per million work hours (a classified injury is any workplace injury that has resulted in the person not returning to their unrestricted normal duties after the day on which the injury was received).

Controlled Activities

These are work-related activities where BHP Billiton can set HSEC standards and directly supervise and enforce their application. Incidents arising from controlled activities are reported, investigated and included in HSEC performance measures in accordance with BHP Billiton requirements.

Controlled Site

A site owned and operated wholly by BHP Billiton or managed by BHP Billiton in a joint venture operation.

Contractor

An individual, company or other legal entity that carries out work or performs services pursuant to a contract for service. This includes sub-contractors.

CEMP

Crisis and Emergency Management Program

CSIRO

Australian Commonwealth Scientific and Industrial Research Organisation

Customer Sector Group (CSG)

A primary operating division of the Company that groups together commodities for a common customer sector.

DLC

Dual Listed Companies

DWT

Dead weight tonnage, total tonnage that a ship can carry, including crew, cargo, water and fuel.

Earthmoving equipment (EME)

Excavators, trucks, dozers and support equipment used in our operations to move earth.

Environmental Impact Statement

A report on the anticipated effect of a development on the local environment.

EWRM

Enterprise-Wide Risk Management - a structured and consistent approach that aligns strategy, processes, people, technology and knowledge with the purpose of evaluating and managing the uncertainties the Company faces to create shareholder value.

Extractive Industries Transparency Initiative

A multi-stakeholder initiative launched at the World Summit on Sustainable Development in Johannesburg, September 2002. Its aim is to increase transparency about payments and revenues to governments by companies in the extractive industries.

Fatal Risk Control Protocols

A set of protocols, mandatory at all our operated sites and operations, which prescribe requirements applicable to identified key risk areas with a view to eliminating fatalities from our operations.

FPSO

Floating production, storage and offloading facility

Footprint

The area affected or covered by BHP Billiton operations.

Forum on Corporate Responsibility (FCR)

A forum that brings together representatives of our senior management team, the leaders of several key non-government organisations and community opinion leaders to discuss and debate social and environmental matters relevant to the Company.

Goethite

A red or yellow or brown mineral; an oxide of iron that is a common constituent of rust.

Greenhouse gases (GHG)

Gaseous emissions to the atmosphere that may contribute to global warming.

Global Reporting Initiative (GRI)

A multi-stakeholder process developing and disseminating globally applicable sustainability reporting guidelines for organisations to report on the economic, environmental and social dimensions of their activities, products and services.

Gross Domestic Product (GDP)

Total market value of the goods and services produced by a nation's economy during a specific period of time .

Guide to Business Conduct

The set of guidelines, published in eight languages, that provides all BHP Billiton employees and contractors with direction and advice on carrying out business and interacting with governments, communities and business partners.

Global Ethics Panel

A panel of internal representatives from BHP Billiton Corporate functions and businesses and external representatives that reviews all business conduct cases raised throughout the Company.

Hierarchy of control

A series of hazard controls that should be applied in the following order (a number of these options may be considered and applied individually or in combination):

• Eliminate: completely eliminating the hazard
• Substitute: replacing the material or process with a less hazardous one
• Redesign: redesigning the equipment or work processes
• Separate: isolating the hazard by guarding or enclosing it
• Administrative: providing controls such as training, procedures, etc.
• Personal protective equipment (PPE)/pollution control: using properly fitted PPE and/or pollution control equipment where other controls are not practical. PPE and pollution control devices include impact minimisation equipment such as spill clean up material or dust suppression measures.

HIV/AIDS

AIDS is a disease, caused by the human immunodeficiency virus (HIV), that destroys the body's white cells, causing illness and, ultimately, death.

HSE Committee

Health, Safety and Environment Committee - a subcommittee of the Board and the Company's peak HSE governance body.

HSEC

Health, Safety, Environment and Community

HSEC Management Standards

A set of 15 management standards, mandatory at all our operated sites and operations, that form the basis for the development and application of HSEC management systems at all levels of the Company.

HSEC targets

A set of goals and requirements which have been specified for our sites and operations to achieve and which cover management systems, health, safety, environment and community performance measures. A scorecard on performance against the targets is included in our Sustainability Report.

Human rights

Basic standards of treatment to which all people are entitled, regardless of nationality, gender, race, economic status or religion.

ICAM

The Incident Cause Analysis Methodology (ICAM) is a tool used for incident investigation. Organisational factors that lead to incidents and near misses are identified, and the lessons learned assist in developing prevention strategies and improving our safety systems.

Indigenous peoples

Those people who are the descendants of the original inhabitants of a country or a region, with a distinct social or cultural identity that may be vulnerable or disadvantaged in the current social and economic context.

ISO 9000

International standard for quality management. It is intended to help an organisation to enhance customer satisfaction by meeting customer and applicable regulatory requirements and to improve its performance in this regard.

ISO 14001

International standard for environmental management. It is intended to help an organisation to minimise harmful effects on the environment caused by its activities and to improve its environmental performance.

IUCN protected area categories

The World Conservation Union (IUCN) defines a protected area as 'an area of land and/or sea especially dedicated to the protection and maintenance of biological diversity, and of natural and associated cultural resources, and managed through legal or other effective means'. IUCN categorises protected areas by management objective and has identified six distinct categories of protected areas (see www.iucn.org).

Kilolitre (kL)

One kilolitre is equal to one thousand litres.

KPI

Key performance indicator

Licence to operate

Securing and maintaining the trust and confidence of a community and regulators in order to set up and conduct business.

Life cycle Assessment/Analysis

A detailed examination of the full life cycle of a product, process, system or function.

Megalitre (ML)

One megalitre is equal to one million litres.

Monitored activities

These are activities where BHP Billiton can influence but cannot set HSEC standards and cannot directly supervise and enforce their application. Monitored activities include all situations where BHP Billiton is involved, excluding controlled activities. Incidents arising from monitored activities are, where possible, reported and investigated in accordance with Company requirements but are not included in BHP Billiton HSEC performance measures.

MMSD

Mining, Minerals and Sustainable Development study (1998) of the global mining industry's current and potential contribution to sustainable development.

MSDS

Material safety data sheet - prepared for each of our products and which identifies potential health, safety and environmental aspects associated with their use.

NHMRC

The National Health and Medical Research Council (NHMRC) is responsible for raising the standard of individual and public health. It does this by fostering health and medical research and training and by monitoring ethical issues relating to health throughout Australia.

NGO

Non-government organisation

OHSAS 18001

An international occupational health and safety management system specification. It is intended to help an organisation to control occupational health and safety risks.

Operating Discipline

Effective and consistent implementation of our HSEC Management Standards and associated systems across the Company.

Perfluorocarbons

Group of chemicals composed of carbon and fluorine produced by process disturbances during the aluminium smelting process.

Petajoule (PJ)

One petajoule is equal to 1015 joules.

PIP

Performance improvement plans

PPE

Personal protective equipment

Precautionary approach

The p recautionary approach emerged from Article 15 of the Rio Principles, which states, 'In order to protect the environment, the precautionary approach shall be widely applied by States according to their capabilities. Where there are threats of serious or irreversible damage, lack of full scientific certainty shall not be used as a reason for postponing cost-effective measures to prevent environmental degradation'. (See www.unep.org/unep/rio.htm)

R&D

Research and development

REACH

New EU regulatory framework on chemicals - Registration, Evaluation and Authorisation of Chemicals.

Risk

Exposure to the consequences of uncertainty. It has two dimensions, the likelihood of something happening and the consequences if it were to happen.

SA8000

A system of international labor standards and mechanisms for compliance and certification overseen by the nonprofit Social Accountability International with participation by corporations, unions, and NGOs.

Sievert (Sv)

The Sievert (Sv) is the Standards Internationale unit for radiation dose and is a measure of the risk from radiation taking into account all pathways. The mSv is one thousandth of a Sv and is more commonly used for low exposures. The mSv/y is the dose that an employee may receive in a year.

Significant incident

An environmental incident classified as level 3 or above, or a safety incident classified as 4 or above in the BHP Billiton Consequence Severity Table.

Sites

The site of an individual operating asset of BHP Billiton. An asset may operate from a number of sites.

Sphere of Influence

The term used to describe the role BHP Billiton can take to manage human rights across its various relationships. In broad terms there are two levels of influence as they apply to BHP Billiton sites:

• Direct control and responsibility for human rights, such as for employees and contractors
• Influencing and contributing to the realisation of human rights in conjunction with others, such as suppliers.

SRI

Socially responsible iInvestment - a sector of the financial community that takes an organisation's environmental and social performance into account when judging its investment rating.

Stakeholders

Any person, group or interested party that may be affected by the financial or safety, health, environment and community performance of BHP Billiton or its operations.

Stewardship

A life cycle approach to identify, manage and reduce HSEC impacts relating to BHP Billiton resources, processes, materials and products, including the involvement and sharing of responsibility with suppliers and customers where appropriate.

Sustainable development

Development that meets the needs of the present without compromising the ability of future generations to meet their own needs - as defined by the World Commission on Environment and Development (Bruntland Commission) 1987.

Sustainable Development Policy

The Company's primary statement of principles applicable to health, safety, environment and community matters. The Policy is implemented via the HSEC Management Standards and Protocols.

Toxicant

Any substance that is potentially toxic.

TRIFR

Total Recordable Injury Frequency Rate - the total number of fatalities and injuries resulting in lost time, restricted work duties or medical treatment.

Tollgate

A review system or procedure that must be satisfied before proceeding to the next stage of a project or process.

UN

United Nations

UNDHR

The General Assembly of the United Nations adopted and proclaimed the Universal Declaration of Human Rights (UNDHR) on 10 December 1948, as a common standard of achievement for all peoples and all nations, to the end that every individual and every organ of society, keeping this Declaration constantly in mind, shall strive by teaching and education to promote respect for these rights and freedoms and by progressive measures, national and international, to secure their universal and effective recognition and observance, both among the peoples of Member States themselves and among the peoples of territories under their jurisdiction.

UNEP

United Nations Environment Programme aims to provide leadership and encourage partnership in caring for the environment by inspiring, informing, and enabling nations and peoples to improve their quality of life without compromising that of future generations (see http://www.unep.org).

Value Add

As defined by GRI Mining and Metals Sector Supplement: total revenues less total cost of procurement.

Zero Harm

Our aspirational goal, expressed in our Sustainable Development Policy, that reflects our continual drive to minimise harm to people, our host communitieis and the environment from our activities.