BHP Billiton chairman Jac Nasser has told shareholders the company’s multi-billion dollar plan to demerge some of its assets will benefit them.

The move would benefit its key assets of copper, petroleum, iron ore and metallurgical coal, which its key strategy remained focused on as it offloaded other projects.

China would remain a major driver of global growth and BHP’s resources, but its rate of growth was gradually declining as its economy continued to mature, Mr Nasser told the mining giant’s annual general meeting.

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Mr Nasser said the rationale for the split – which will demerge BHP’s aluminium, manganese, silver and some coal and nickel assets – was that BHP’s portfolio had evolved into what the company saw as two distinct companies.

“Our strategy was to direct capital to projects in businesses that delivered the highest returns. This strategy has served our shareholders well,” Mr Nasser said.

“US$1,000 invested by you in BHP Billiton 10 years ago is worth US$3,600 today.

“We see benefits for both companies and for all shareholders.”

Mr Nasser said BHP can reduce costs and improve the productivity of its largest businesses more quickly if the demerger goes ahead.

“The new company will benefit from its own strategy and systems that will be tailored for a business of its scale,” he said.

Mr Nasser said an extraordinary general meeting was planned for May 2015 so shareholders could vote on the demerger.

Shareholders in March will receive documents with full details of the proposed demerger.

Mr Nasser also talked up BHP’s potential fifth major commodity Potash, as driving food production through its use as a fertiliser.