BHP, Rio Tinto up as analyst foresees Escondida production boost

|About: BHP Billiton Limited (BHP)|By:, SA News Editor

BHP Billiton (NYSE:BHP) and Rio Tinto (NYSE:RIO) look to open higher after Deutsche Bank analysts say an upside production surprise is in store at the Escondida copper mine in Chile, in which BHP has a 57.5% stake and Rio a 30% stake.

A strategy to run three plants at the mine may be adopted by the companies in 2015, which could increase earnings at BHP and Rio Tinto by 2%-3% in the next couple of years, Deutsche Bank says.

BHP +1.2%, RIO +1% premarket.