BHP leads Britain's FTSE lower after dam burst

* FTSE 100 down 0.1 pct

* BHP falls after Brazilian dam bursts, flooding village

* IAG, Inmarsat (Other OTC: IMASY - news) rise after results

* Burberry hit by Richemont read-across

By Alistair Smout

LONDON, Nov 6 (Reuters) - Britain's top share index was steady on Friday, with gains by IAG and Inmarsat on well-received results offset by a fall in BHP Billiton (NYSE: BBL - news) after a dam burst at one of its Brazilian mines.

A dam holding back waste water from an iron ore mine in Brazil that is owned by Vale and BHP Billiton burst on Thursday, devastating a nearby town with mudslides and reportedly leaving scores dead or missing.

BHP Billiton shares fell 5 percent, trimming 4.2 points off the FTSE 100 and accounting for more than half of the index's fall.

"After commodity stocks had been battered, there had been a small resurgence in the sector. BHP had seen a bit of a recovery, but this news is not helpful," said Mike McCudden, head of retail derivatives at Interactive Investor.

The blue chip FTSE 100 was down 7.61 points, or 0.1 percent, at 6,357.29 points by 0904 GMT.

Several earnings reports supported the British market. British Airways owner IAG rose 2.5 percent after lifting its long-term guidance, while Inmarsat rose 1.5 percent after its results.

But Burberry was hit by weak earnings from Switzerland, where Richemont fell 7.1 percent after poorly received results which knocked back the luxury sector. Burberry fell 1.9 percent.

The top individual riser was CRH (EUREX: 558474.EX - news) , up 3.3 percent after UBS (NYSEArca: FBGX - news) upgraded the construction sector to "overweight", naming CRH as a preferred pick.

Investors were looking towards U.S (Other OTC: UBGXF - news) . jobs data later in the session to provide further direction.

Nonfarm payrolls growth likely accelerated in October after two straight months of tepid gains, with wages also picking up in a show of domestic strength that would bolster prospects for a December interest rate hike from the Federal Reserve.

Outside the blue chips, Tullet Prebon fell 11.8 percent after saying profit for the year would fall.

(Reporting by Alistair Smout; editing by John Stonestreet)