SHAREHOLDER CLASS ACTION
BHP BILLITON
(ASX: BHP | LSE: BLT | JSE: BIL)

"It does not seem credible, neither technically nor morally

that the value of the human, cultural and physical environment in Brazil

should be worth less than in other countries."

— Federal Prosecutors, Quoted on ft.com

// Register //

If you acquired shares in BHP Group (formerly known as BHP Billiton), on any of the ASX, LSE or JSE during the period between 8 August 2012 to 9 November 2015 you are a group member in the class action, known as Vince Impiombato, and Klemweb Nominees Pty Ltd as trustee for Klemweb Superannuation Fund v BHP Group Ltd (Consolidated Proceeding).

The Consolidated Proceeding is an open class proceeding and seeks recovery of investor losses incurred up to 30 November 2015.

The Consolidated Proceeding is funded by G&E KTMC Funding LLC.

You do not need to take any action at this time in order to participate in the Consolidated Proceeding. However, if you wish to be kept informed and receive ongoing legal advice at no additional cost, you may register by clicking the ‘register’ button and following the instructions to complete your registration.

REGISTER

// 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.

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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 shareholders throughout this period, during which BHP’s combined market capitalisation fell by more than $25 billion.

// Allegations //

The class action seeks to recover some of the loss in share value suffered by investors because of BHP’s alleged failure to disclose material information to the market and its alleged misleading or deceptive conduct.

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The claim alleges that:

  • BHP breached its obligations of continuous disclosure of material information to the ASX, by failing to inform of the market of the material risk of the failure of the Fundão dam and its knowledge of the likely catastrophic human, environmental and financial consequences of the dam’s failure;
  • BHP engaged in misleading and deceptive conduct in its representations to the market that it put safety first and held itself to the highest standards of environmental safety in its projects across the globe, despite its failure to ensure that basic safety precautions were in place; and
  • Shareholders suffered loss or damage as a result of BHP’s conduct.

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 shares on the ASX, LSE or JSE may also participate in this class action.

// Funding and Costs //

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. The funding terms are extremely competitive in the context of Australian shareholder class actions. In accordance with these funding terms, and subject to court approval, in exchange for funding the consolidated open class proceeding, G&E KTMC will be entitled to receive from any settlement or judgment reimbursement of the funding expenses incurred, as well as a funding commission of not more than 18% of net proceeds of any settlement or judgment. In accordance with paragraph 15.4 of the Federal Court of Australia’s Practice Notice GPN-CA dated 20 December 2019, if the proceeding is successful, the Funder will support the Joint Representative Applicants to apply to the Court for an appropriately framed order to distribute equitably and fairly the burden of the reasonable legal costs, fees and other expenses, including reasonable litigation funding charges or commission, amongst all persons who have benefited from the consolidated proceeding.

If you purchased shares of BHP on the ASX, LSE, or JSE between 8 August 2012 to 9 November 2015, you do not need to take any further action at this time to participate. However, if you wish to receive ongoing information and legal advice in this matter, click the ‘register’ button and follow the instructions to complete the registration process. Registering requires no commitment and no cost.

REGISTER