Finance income and finance costs (Tables)

12 Months Ended

Dec. 31, 2018

Disclosure Of Finance Income Expense Explanatory [Abstract]

Summary of Finance Income and Finance Cost

			2018			2017			2016
	Note	US$m			US$m			US$m
Finance income from equity accounted units (Rio Tinto share)			7			4			6
Other finance income (including bank deposits and other financial assets)			242			137			83
Total finance income			249			141			89

Interest on:
– Financial liabilities at amortised cost and associated derivatives			(775	)		(819	)		(895	)
– Finance leases			(2	)		(3	)		(3	)
Fair value movements:
– Bonds designated as hedged items in fair value hedges			96			28			89
– Derivatives designated as hedging instruments in fair value hedges			(73	)		(22	)		(89	)
Loss on early redemption of bonds ^(a)			(94	)		(256	)		(324	)
Amounts capitalised	14		296			224			111
Total finance costs			(552	)		(848	)		(1,111	)

(a)

In 2018, loss on early redemption of bonds includes a premium charge of US$72 million; unamortised debt issuance costs and fees of US$9 million, the write-off of the fair value hedge adjustment of US$16 million and the reclassification of a gain out of the cost of hedging reserve of US$3 million (see note 30).

In 2017, loss on early redemption of bonds included a premium charge of US$238 million; unamortised debt issuance costs and fees of US$14 million and the write-off of the fair value hedge adjustment of US$4 million (see note 30).

In 2016, loss of early redemption of bonds included a premium charge of US$441 million; unamortised debt issuance costs and fees of US$42 million partially offset by the write-off of fair value hedge adjustments of US$159 million (see note 30).