BHP coal operations in central Queensland. Picture: BHP
BHP coal operations in central Queensland. Picture: BHP

BHP accused of $300m royalty rip-off

MINING company BHP has been accused of ripping off taxpayers by as much as $300 million in royalties.

According to 6PR, Western Australia Premier Mark McGowan is going after the world's largest mining company for iron ore royalties that it believes were deliberately underpaid.

The Western Australian Government reportedly believes BHP has been understating its prices and paying lower taxes for at least 12 years.

It believes BHP owes the state between $200 million and $300 million.

It's been claimed BHP used a wholly-owned Singapore marketing hub subsidiary to understate the price of iron sold Japan and China buyers.

The claim has been the subject of a massive legal dispute that is just being revealed.

Last year BHP paid $530 million to the Australian Tax Office to settle a dispute that may be related to the Western Australia claim.


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