BHP Billiton More into the ground

What should BHP Billiton do with its prodigious $8.7bn of annual cash flow – give it to shareholders or add to production capacity? It’s a tricky choice. If the London-listed miner invests too much in expansion, it runs the risk of buying at the top of the commodities cycle. But if chief executive Chip Goodyear hands back too much of the cash to shareholders and commodity prices stay high, he won’t make the most of the company’s scale and expertise. BHP Billiton certainly has operating experti...