Revenue

12 Months Ended

Jun. 30, 2020

2 Revenue

Revenue by segment and asset


	2020			2019			2018
	US$M			US$M			US$M
Australia Production Unit		361			507			568
Bass Strait		1,102			1,237			1,285
North West Shelf		1,076			1,657			1,400
Atlantis		561			979			833
Shenzi		277			540			576
Mad Dog		216			319			229
Trinidad/Tobago		191			287			161
Algeria		159			258			234
Third party products		39			10			12
Other		88			136			110

Total Petroleum (1)		4,070			5,930			5,408

Escondida		6,719			6,876			8,346
Pampa Norte		1,395			1,502			1,831
Olympic Dam		1,463			1,351			1,255
Third party products		1,089			1,109			1,349

Total Copper (2)		10,666			10,838			12,781

Western Australia Iron Ore		20,663			17,066			14,596
Third party products		15			32			54
Other		119			157			160

Total Iron Ore		20,797			17,255			14,810

Queensland Coal		5,357			7,679			7,388
New South Wales Energy Coal		885			1,421			1,499
Third party products		–			19			2
Other		–			2			–

Total Coal (3)		6,242			9,121			8,889

Group and unallocated items (4)		1,219			1,225			1,329
Inter-segment adjustment		(63	)		(81	)		(88	)

Total revenue		42,931			44,288			43,129

(1)

Total Petroleum revenue includes: crude oil US$2,033 million (2019: US$3,171 million; 2018: US$2,933 million), natural gas US$980 million (2019: US$1,259 million; 2018: US$1,124 million), LNG US$774 million (2019: US$1,179 million; 2018: US$920 million), NGL US$198 million (2019: US$263 million; 2018: US$294 million) and other US$85 million (2019: US$58 million; 2018: US$137 million).

(2)	Total Copper revenue includes: copper US$10,044 million (2019: US$10,215 million; 2018: US$12,059 million) and other US$622 million (2019: US$623 million; 2018: US$722 million). Other consists of silver, zinc, molybdenum, uranium and gold.

(3)	Total Coal revenue includes: metallurgical coal US$5,311 million (2019: US$7,568 million; 2018: US$7,331 million) and energy coal US$931 million (2019: US$1,553 million; 2018: US$1,558 million).

(4)	Group and unallocated items revenue includes: Nickel West US$1,189 million (2019: US$1,193 million; 2018: US$1,297 million) and other revenue US$30 million (2019: US$32 million; 2018: US$32 million).

Revenue consists of revenue from contracts with customers of US$43,087 million (2019: US$44,361 million; 2018: US$42,748 million) and other revenue of US$(156) million (2019: US$(73) million; 2018: US$381 million).

Recognition and measurement

The Group generates revenue from the production and sale of commodities. Revenue is recognised when or as control of the promised goods or services passes to the customer. In most instances, control passes when the goods are delivered to a destination specified by the customer, typically on board the customer’s appointed vessel. Revenue from the provision of services is recognised over time, but does not represent a significant proportion of total revenue and is aggregated with the respective asset and product revenue for disclosure purposes. The amount of revenue recognised reflects the consideration to which the Group expects to be entitled in exchange for the goods or services.

Where the Group’s sales are provisionally priced, the final price depends on future index prices. The amount of revenue initially recognised is based on the relevant forward market price. Adjustments between the provisional and final price are accounted for under IFRS 9/AASB 9 ‘Financial Instruments’ (IFRS 9) and separately recorded as other revenue. The period between provisional pricing and final invoicing is typically between 60 and 120 days.

Revenue from concentrate is net of treatment costs and refining charges.

Revenue from the sale of significant

by-products

is included within revenue. Where a

by-product

is not significant, revenue is credited against costs.

The Group applies the practical expedient to not adjust the expected consideration for the effects of the time value of money if the period between the delivery and when the customer pays for the promised good or service is one year or less.

For commodity sales contracts, each individual metric unit is a separate performance obligation. Where the Group has contracts with unfulfilled performance obligations at period end, it is required to disclose the transaction price allocated to these performance obligations. The Group applies the practical expedient to not disclose this information for contracts with an expected duration of one year or less. The Group has a number of long-term contracts which are primarily priced on variable terms, based on quoted index prices near the time of delivery, and at times include fixed pricing components. Fixed pricing components, such as premiums and other charges, do not represent a significant proportion of the total price. Any estimate of the future transaction price would exclude estimated amounts of variable consideration. The amount of future consideration from fixed pricing components has not been disclosed, as the Group does not consider this relevant or useful information.