On 31 May 2018, Phi Finney McDonald filed Impiombato v BHP Billiton Limited (Impiombato Proceeding) in the Federal Court of Australia. On 19 July 2019, the Federal Court of Australia consolidated the Impiombato Proceeding with another proceeding. The consolidated proceeding is known as Vince Impiombato and Klemweb Nominees Pty Ltd as trustee for Klemweb Superannuation Fund v BHP Group Ltd (Consolidated Proceeding).

RECORD YOUR INTEREST

The BHP Class Action seeks recovery of investor losses incurred up to 30 November 2015, caused by BHP Billiton Limited’s (BHP) violations of the Corporations Act in relation to the catastrophic collapse of the Fundão dam in Brazil.

The BHP Class Action has been the subject of a Court ordered opt out and registration process. The opt out and claim registration deadline was 4pm (AEST) on 31 May 2024. 

If you registered before the registration deadline passed, there is nothing further you need to do to participate in any settlement of the BHP Class Action.  

If you did not register prior to the registration deadline, we encourage you to still confirm your details and interest in participating in any settlement of the BHP Class Action by completing a registration of interest form. 

Unregistered current and former shareholders who acquired an interest in fully-paid BHP Billiton Limited (BHP Ltd) and/or BHP Billiton Plc (BHP Plc) shares between 8 August 2012 to 9 November 2015 (inclusive), can record their interest in participating in any settlement of the BHP Class Action, at no “out of pocket” cost, by clicking the “Record you interest” button below and providing the information requested.  

Record Your Interest

Please note, the following persons and entities are not eligible to participate in the BHP Class Action:

(a)  a related party, related body corporate, associated entity, or director or officer or close associate of BHP Ltd;

(b)  a Justice, Registrar, District Registrar or Deputy District Registrar of the Federal Court of Australia or the High Court of Australia; or

(c)  an officer or employee of Maurice Blackburn Lawyers or Phi Finney McDonald, or a legal representative engaged by Maurice Blackburn Lawyers or Phi Finney McDonald in this proceeding.

Key Documents

Further information about the BHP Class Action and the Court ordered opt out and registration process is available by clicking on the links below – 

1. Important Notice to Registered Group Members
2. Answers to Frequently Asked Questions for Group Members
3. Opt Out and Registration Notice
4. Orders made on 13 March 2024
5. Third Further Amended Consolidated Statement of Claim dated 25 March 2025
6. BHP’s Amended Defence dated 27 June 2025

Background

On 5 November 2015, the Fundão tailings dam at the Germano mine in Minas Gerais, Brazil collapsed in the largest tailings dam rupture ever recorded. The mudflow killed 19 people and has had a catastrophic and enduring impact on the surrounding communities and the environment.

The mudflow created by the dam rupture ultimately travelled 600 kilometres to the ocean, creating a toxic brown plume visible from space. 700 people lost their homes, 8,500 fishermen lost their livelihoods, and 400,000 people lost access to fresh water. It is the worst environmental disaster in Brazil’s history.

The Germano mine is operated by Samarco Mineração SA, a joint venture of BHP and Vale SA. BHP is an Anglo-Australian owned multinational and the world’s largest diversified mining and mineral resources company.

In the period that followed the dam collapse, BHP’s stock price plunged across all markets, falling 22% in Sydney and 23% in London and Johannesburg between 5 November 2015 and 30 November 2015. The class action will seek to recover losses to BHP Ltd and BHP Plc shareholders throughout this period, during which BHP’s combined market capitalisation fell by more than $25 billion.

Allegations

The BHP Class Action is an open class proceeding and seeks recovery of investor losses incurred up to 30 November 2015 by BHP Ltd and BHP Plc shareholders because of BHP’s alleged failure to disclose material information to the market and its alleged misleading or deceptive conduct.

The BHP Class Action alleges that BHP Group Ltd:

(a)  contravened its continuous disclosure obligations between 8 August 2012 and 9 November 2015 (inclusive) (Claim Period) by failing to properly inform the Australian Securities Exchange (ASX) of BHP’s knowledge of the Fundão dam (located in the Germano mine in Minas Gerais, Brazil, operated by Samarco Mineração SA, a non-operated joint venture between BHP Billiton Brasil Ltda and Vale SA in Brazil) being at risk of failure, and knowledge that if the dam failed serious adverse human, environmental, and financial consequences would likely result;

(b) engaged in misleading or deceptive conduct by representing to the ASX (by publishing in its annual reports between FY11 – FY15) that:

(i) the primary consideration in every aspect of BHP’s business was the safety of its people and the safety and sustainability of the environment and the communities in which it, and its subsidiaries, carried on business; and

(ii)  BHP had effective systems and processes in place to identify and effectively manage risks to the safety of its people and the safety and sustainability of the environment and the communities in which it, and its subsidiaries, carried on business, including the Samarco mining operation.

The BHP Class Action alleges that investors who acquired BHP Ltd or BHP Plc shares in the Claim Period are entitled to compensation for loss and damage as they paid more for those shares than they would have paid as a consequence of BHP’s conduct. The BHP class action also alleges that some Group Members would not have purchased BHP Ltd or BHP Plc shares if BHP had complied with its obligations.

A class action against BHP in the United States on behalf of investors that acquired New York Stock Exchange (NYSE) listed American Depository Shares settled on 9 August 2018. The US proceeding did not (and cannot) recover losses suffered in respect of shares traded on the ASX, LSE or JSE. Investors that participated in the US proceeding, who also acquired BHP Ltd and/or BHP Plc shares may also participate in this class action.

Funding and Costs

The BHP Class Action is partially funded by G&E KTMC Funding LLC.

G&E KTMC Funding LLC is backed by Grant & Eisenhofer and Kessler Topaz Meltzer & Check, two of the United States’ most successful and respected shareholder litigation firms.

Pursuant to the financial terms and funding terms for the BHP Class Action, G&E KTMC is exclusively responsible for adverse costs orders and security for costs and has agreed to pay:

(a)   all disbursements incurred in the BHP Class Action;

(b)   Phi Finney McDonald under its current terms of engagement for performing the legal work;

(c)   premiums associated with after-the-event insurance arrangements procured for the BHP Class Action

(together G&E KTMC’s Expenses).

Maurice Blackburn is performing its legal work on a No Win, No Fee basis, charging a 6.25% uplift in the event the class action is successful.

In the event of a successful outcome or judgment in favour of the Joint Applicants, the Joint Applicants intend to apply to the Court for an order that both Funded and Unfunded Group Members to the Consolidated Proceeding contribute a pro-rata amount to the costs incurred in conducting the consolidated proceeding and to pay G&E KTMC a percentage of any compensation to which the Funded and Unfunded Group Members become entitled as commission for funding the BHP Class Action. These orders are called “common fund orders” (CFOs).

The Joint Applicants intend to seek common fund orders for:

(a)   reimbursement of legal costs inclusive of uplift, disbursements and other litigation expenses incurred by the Joint Applicants in the BHP Class Action;

(b)   reasonable settlement administration costs;

(c)   reimbursement of costs and premiums paid or payable under the after-the-event insurance arrangements procured for the BHP Class Action; and

(d)   a percentage commission to G&E KTMC calculated on the basis of the total settlement or judgment sum minus G&E KTMC’s Expenses (net recovery) as follows:

(i)    27.5% of any net recovery up to $200 million;

(ii)   25% of the net recovery of the next $100 million;

(iii)  5% of the net recovery of the next $100 million;

(iv)  20% of the net recovery of the next $100 million; and

(v)   15% of any net recovery over $500 million.

If there is a successful outcome, the amounts payable to G&E KTMC by Group Members will be deducted from the settlement or judgment sum (in addition to the reimbursement of reasonable costs incurred including recovery of premiums associated with after-the-event insurance arrangements procured for the BHP Class Action) before the balance is distributed to Group Members.

The total amounts deducted for legal costs and G&E KTMC’s commission from compensation payable to Group Members by way of a CFO will never exceed the amount a Group Member receives in the event of a successful outcome.