According to a newspaper report, BHPB had sought a 7.6c a litre rebate through action in the Federal Court on the thousands of litres of diesel it uses at the operations. BHPB was challenging a finding by the Administrative Appeals Tribunal that BHPB should not get the rebate.

BHPB's lawyers argued that the company was entitled to the rebate for fuel used by supply vessels travelling between onshore and offshore facilities and by work boats towing mobile drill rigs from one mining area to another.

However, Justices Murray Wilcox, Harvey Cooper and James Allsop dismissed the appeal.

At press time the company had not yet commented on the decision.