BHP Billiton’s new boss Andrew Mackenzie has shaken up the global miner’s management team.
Among the raft of changes, the head of BHP’s petroleum division Mike Yeager will leave the company in July and be replaced by Tim Cutt.
“With the company’s focus having shifted to an even greater emphasis on operational excellence, the removal of a layer of management brings the operations closer to the CEO and ensures alignment between strategic and managerial leadership,” Mr Mackenzie said.
BHP also revealed details of Mr Mackenzie’s contract, which becomes effective when he takes over as chief executive on May 10.
His base salary will rise by half a million dollars to $US1.7 million ($A1.64 million) and he will be eligible for short and long-term incentives.
Under the management changes, BHP’s revamped group management committee (GMC) will include 11 executives.
Alberto Calderon, the head of BHP’s aluminium, nickel and corporate development division, will leave the GMC but remain as an adviser to Mr Mackenzie.
Marcus Randolph, who had led the ferrous and coal division, will also leave the GMC.
He remains on sick leave and is not expected to return to work until mid 2013.
Meanwhile, Jimmy Wilson retains his role as head of iron ore and Peter Beavens becomes president of the copper division, including base metals.
The former head of BHP’s energy coal unit Dean Dalla Valle will take on responsibility for the whole of BHP Billiton’s coal asset.
Daniel Malchuk, who headed the minerals exploration unit, also assumes responsibility for the assets that form part of the aluminium, manganese and nickel businesses.
BHP also revealed that while outgoing chief executive Marius Kloppers will step down from his post on May 10, he will remain with the company until October 1.
Mr Kloppers’ base salary is $US2.2 million ($A2.13 million) and he will not be entitled to any severance payouts.
BHP said he would be considered for a short term bonus at the end of the financial year, but a decision on whether one would be paid would be made by the miner’s remuneration committee.
His entitlement to any long-term incentive payouts will also be assessed before he leaves.