BRISBANE, Australia -- 8 June 2001 -- Billiton's Queensland operation, QNI, has successfully implemented a 450-handset Voice over Internet Protocol (VoIP) network at Yabulu, Queensland, using call management and wireless technology from internetworking leader Cisco Systems.

The Network, based on Cisco's Architecture for Voice, Video and Integrated Data (AVVID) will enable QNI to take advantage of the significant cost efficiencies, flexibility and scalability afforded by employing a single communications network based on Internet Protocol.

QNI is a wholly owned subsidiary of Billiton plc, one of the world's leading metals and mining companies. The Yabulu site is 25 kilometres north of Townsville, producing 28,500 tonnes of nickel and 1,800 tonnes of cobalt per annum.

"Voice over IP technology is around in the corporate environment but we're actually using it in an operating industrial campus environment," said Mr Ross Thorne, IT infrastructure manager for QNI. "The reason we went for Cisco's AVVID network architecture, including VoIP and wireless, was lower total cost of ownership and flexibility in enabling value-adding business tools."

QNI decided to implement the new fully switched 10/100 megabits per second network, rather than upgrade its existing PABX and copper line network at the site. This solution also addressed QNI's voicemail requirements through implementing Cisco's ActiveVoice voicemail messaging product. The solution was supplied by NewBase Computer Services, a leading Queensland-owned systems integrator and Cisco Premier Partner.

"When it came time to replace QNI's aging PABX, QNI and their technology partners, NewBase, were faced with a contemporary problem.," said Mr Peter Ellwood, NewBase managing director. "Just install another old world PABX or consider Voice over IP."

As the IP telephony technology works on QNI's existing data network, it is estimated that the reduction in phone call costs to QNI will be more than $90,000 per annum by allowing calls to bypass the national phone network when making calls between Yabulu, QNI's headquarters in Brisbane and other offices.

QNI expects to save another $15,000 in reduced network administration costs by running a single, IP-based network for all voice and data communications. The harsh conditions of the environment had damaged the PABX copper wiring to a level that would have required complete replacement. By utilizing the existing data network instead of having to replace the old copper wiring, QNI were able to make significant savings during the installation.

"Set up and expansion costs are low," said Mr Thorne. "Since the IP phones are plugged into the existing data network, handsets can be rapidly deployed or moved, without the need for outside contractors. Wireless connections can also be used to support new areas that would traditionally need fibre-optic or copper cabling."

Cisco Queensland Manager, John Winters said "with only one network to be installed and maintained, the AVVID solution becomes a wonderful way of piggybacking video and data applications onto a company's existing telephony investment. The additional benefit is that the architecture enables a host of converged applications such as unified communications, toll bypassing, IP contact centre, ICM and CallManager solutions."

AVVID at QNI

Cisco's AVVID technology provides an intelligent network infrastructure for Internet business solutions. As the industry's only enterprise-wide, standards-based network architecture, it provides the roadmap for combining business and technology strategies into one cohesive model.

Voice and video solutions based on AVVID are comprised of scalable call processing, IP-based business applications, video-conferencing, directory services, network management, service and support, and client devices such as IP phones. The specific Cisco equipment installed by QNI includes: Cisco Catalyst LAN Switch 6500 and 3500 products, Cisco VoIP/Data Router 3600 products, Cisco IPTEL Call Manager, Cisco 7960 and 7910 IP phones.

About QNI

QNI is the Queensland nickel business of leading international mining and metals group, Billiton plc. It is a major producer of nickel and cobalt to international markets.

About Cisco Systems

Cisco Systems, Inc. (NASDAQ: CSCO) is the worldwide leader in networking for the Internet. Cisco news and information are available at www.cisco.com.

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