BHP Warns Queensland’s ’67 Percent’ Coal Tax Making New Investment Unfeasible
In September 2025, BHP blamed the royalty regime for a decision to cut 750 jobs across its Queensland coal operations.
TL;DR
- BHP's CEO says Queensland's royalty regime makes new investments unfeasible.
- BHP paid $1.8 billion in state royalties on its five coking coalmines in central Queensland.
- Queensland's sliding-scale royalty regime, introduced in 2022, results in a 67 percent tax rate when coking coal prices are high.
- This regime makes new investment in the state unsustainable, according to BHP's CEO.