Mining giant BHP Billiton has “no intention to leave the South African coal market”, BHP Billiton Energy Coal South Africa president and COO Wayne Isaacs said on Tuesday.

Responding to media reports to the contrary, he said that the firm would invest nearly R1-billion in its local operations in the medium term.

“If BHP Billiton plans to stay a coal producer, it would be difficult to stay competitive without our South African operations,” he told a Johannesburg conference.

On the global commodity demand mix, Isaacs echoed recent comments made by BHP Billiton CEO designate Marius Kloppers, who highlighted the growing importance of the Indian market.

India was becoming more important to coal producers, with one in every seven ships leaving South Africa’s Richards Bay Coal Terminal for the subcontinent, Isaacs said.

He said that the country’s growth in importance was unfolding “a lot quicker than some people think”.