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Provisions (Tables)
 12 Months Ended
Jun. 30, 2022
Provision for dividends and other liabilities [member]  
Statement [Line Items]  
Summary of Provisions
The disclosure below excludes closure and rehabilitation provisions (refer to note 15 ‘Closure and rehabilitation provisions’), employee benefits, restructuring and post-retirement employee benefits provisions (refer to note 26 ‘Employee benefits, restructuring and post-retirement employee benefits provisions’) and provisions related to the Samarco dam failure (refer to note 4 ‘Significant events – Samarco dam failure’).
 
 
  
2022
 
 
2021
 
 
  
US$M
 
 
US$M
 
Movement in provision for dividends and other liabilities
  
      
 
      
At the beginning of the financial year
   
 
581
 
      1,240  
Dividends determined
   
 
17,720
 
      7,894  
Charge/(credit) for the year:
                  
Underlying
   
 
493
 
      260  
Discounting
   
 
1
 
      2  
Exchange variations
   
 
122
 
      20  
Released during the year
   
 
(48
)
      (43 ) 
Utilisation
   
 
(96
)
 
      (267 ) 
Dividends paid
   
 
(17,851
)
      (7,901 ) 
Divestment and demerger of subsidiaries and operations

   
 
(146
)
      –  
Transfers and other movements
   
 
(102
)
      (624 ) 
    
 
 
     
 
 
  
At the end of the financial year
   
 
674
 
      581  
    
 
 
     
 
 
  
Comprising:
                  
Current
   
 
356
 
      293  
Non-current
   
 
318
 
      288  
    
 
 
     
 
 
  
Samarco dam failure [member]  
Statement [Line Items]  
Summary of Financial Impacts of Samarco Dam Failure
The financial impacts of the Samarco dam failure on the Group’s income statement, balance sheet and cash flow statement for the year ended 30 June 2022 are shown in the tables below and have been treated as an exceptional item.
 
Financial impacts of Samarco dam failure
   
2022
      2021     2020  
    
US$M
      US$M     US$M  
Income statement
                          
Other income
1
   
 
–
 
      34       489  
Expenses excluding net finance costs:
                          
Costs incurred directly by BHP Brasil and other BHP entities in relation to the Samarco dam failure
2
   
 
(66
 )      (46 )      (64 ) 
Loss from equity accounted investments, related impairments and expenses:
     

                  
Samarco impairment expense
3
   
 
–
 
      (111 )      (95 ) 
Samarco Germano dam decommissioning
4
   
 
68
 
      (15 )      46  
Samarco dam failure provision
5
   
 
(663
)
      (1,000 )      (459 ) 
Fair value change on forward exchange derivatives
6
   
 
(81
)
      136       –  
    
 
 
     
 
 
    
 
 
  
Loss from operations
   
 
(742
)
      (1,002 )      (83 ) 
Net finance costs
7
   
 
(290
)
      (85 )      (93 ) 
    
 
 
     
 
 
    
 
 
  
Loss before taxation
   
 
(1,032
)
 
      (1,087 )      (176 ) 
Income tax expense
8
   
 
(31
)
      (71 )      –  
    
 
 
     
 
 
    
 
 
  
Loss after taxation
   
 
(1,063
)
      (1,158 )      (176 ) 
    
 
 
     
 
 
    
 
 
  
Balance sheet movement
                          
Trade and other payables
   
 
(1
)
      (5 )      (5 ) 
Derivatives
   
 
(160
)
      136       –  
Tax liabilities
   
 
(31
)
      (71 )      –  
Provisions
   
 
(629
)
      (741 )      (137 ) 
    
 
 
     
 
 
    
 
 
  
Net liabilities
   
 
(821
)
      (681 )      (142 ) 
    
 
 
     
 
 
    
 
 
  
 

           
2022
            2021           2020  
           
US$M
            US$M           US$M  
Cash flow statement
                                                   
Loss before taxation
   
 
            
 
   
 
(1,032
)
 
              (1,087 )              (176 ) 
Adjustments for:
                                                   
Samarco impairment expense
3
   
 
–
 
               111               95          
Samarco Germano dam decommissioning
4
   
 
(68
)
 
               15               (46 )         
Samarco dam failure provision
5
   
 
663
 
               1,000               459          
Fair value change on forward exchange derivatives
6
   
 
81
 
               (136 )              –          
Proceeds
 
of cash management related instruments
   
 
79
 
               –               –          
Net finance costs
7
   
 
290
 
               85               93          
Changes in assets and liabilities:
                                                   
Trade and other payables
   
 
1
 
               5               5          
             
 
 
             
 
 
            
 
 
  
Net operating cash flows
            
 
14
 
              (7 )              430  
             
 
 
             
 
 
            
 
 
  
Net investment and funding of equity accounted investments
9
            
 
(256
 )              (470 )              (464 ) 
             
 
 
             
 
 
            
 
 
  
Net investing cash flows
            
 
(256
 )              (470 )              (464 ) 
             
 
 
             
 
 
            
 
 
  
Net decrease in cash and cash equivalents
            
 
(242
 )              (477 )              (34 ) 
             
 
 
             
 
 
            
 
 
  
 
1
Proceeds from insurance settlements.
 
2
Includes legal and advisor costs incurred.
 
3 
Impairment expense from working capital funding provided during the period.
 
4 
US$(56) million (2021: US$(6) million; 2020: US$37 million) change in estimate and US$(12) million (2021: US$21 million; 2020: US$(83) million) exchange translation.
 
5 
US$747 million (2021: US$842 million; 2020: US$916 million) change in estimate and US$(84) million (2021: US$158 million; 2020: US$(457) million) exchange translation.
 
6 
During the period the Group entered into forward exchange contracts to limit the Brazilian reais exposure on the dam failure provisions. While not applying hedge accounting, the fair value changes in the forward exchange instruments are recorded within Loss from equity accounted investments, related impairments and expenses in the Income Statement.
 
7 
Amortisation of discounting of provision.
 
8 
Includes tax on forward exchange derivatives and other taxes incurred during the period.
 
9
 
Includes US
$
 
nil (2021: US$(111) million; 2020: US$(95) million) funding provided during the period, US$(256)
 
million (2021: US$(351) million; 2020: US$(365) million) utilisation of the Samarco dam failure provision, and US
$
 
nil (2021: US$(8) million; 2020: US$(4) million) utilisation of the Samarco Germano decommissi
o
ning provision.
Summary of Provisions
Provisions related to the Samarco dam failure
 
 
  
 
 
 
2022
 
  
 
 
 
2021
 
 
  
 
 
 
US$M
 
  
 
 
 
US$M
 
At the beginning of the financial year
   
 
            
 
   
 
2,792
 
              2,051  
Movement in provisions
              
629

                741  
Comprising:
                                   
Utilised
     
 
(256
)
               (359 )         
Adjustments charged to the income statement:
     
 
                            
Change in estimate - Samarco dam failure provision
     
 
747
                 842          
Change in estimate - Samarco Germano dam decommissioning
     
 
(56
)
 

               (6 )         
Amortisation of discounting impacting net finance costs
   
 
290
 
               85          
Exchange translation
     
(96
)

               179          
             
 
 
             
 
 
  
At the end of the financial year
            
 
3,421
 
              2,792  
             
 
 
             
 
 
  
Comprising:
                                   
Current
            
 
1,815
 
              1,206  
Non-current
            
 
1,606
 
              1,586  
             
 
 
             
 
 
  
At the end of the financial year
            
 
3,421
 
              2,792  
             
 
 
             
 
 
  
Comprising:
                                   
Samarco dam failure provision
            
 
3,237
 
              2,560  
Samarco Germano dam decommissioning provision
            
 
184
 
              232