BHP and Queensland reach 'in principle' agreement over $288m coal royalties

Case centres on state's 2015 decision to hit company with bill for unpaid royalties and interest

Mining giant BHP and the Queensland government have reached an "in principle" agreement to settle a long-running $288m coal royalty dispute, the state's supreme court has heard this morning.

The case, which experts said would likely have broad implications about the way mining royalties could be calculated and levied, centres on a 2015 decision by the Queensland Office of State Revenue to hit BHP Billiton with a bill for what it claimed were unpaid royalties and interest.