MELBOURNE, Sept. 18 (Xinhua) -- Australian mining giant BHP has announced it will cut around 750 local jobs and shut a mine in the state of Queensland, blaming high taxes on coal sales.

As reported by the Australian Broadcasting Corporation (ABC) on Thursday, BHP Mitsubishi Alliance (BMA), a joint venture between BHP and Mitsubishi that operates five coal mines in central Queensland, will cut approximately 750 jobs and halt operations at the South Saraji mine, 700 km northwest of Brisbane, from November.

Announcing the cuts on Wednesday, BMA asset president Adam Lancey said that it was a necessary decision due to the combined impact of market conditions and the Queensland state government's "unsustainable" coal royalties.

"The simple fact is the Queensland coal industry is approaching a crisis point," Lancey said.

"The uncertainty this creates for our people and our communities is not taken lightly, and we will do everything we can to support them," he added.

Under Queensland's mineral royalty scheme, which was introduced in 2022, miners operating in the state must pay a variable tax based on commodity prices.

For coal, the royalty is set at 20 percent when the average price per tonne sold, disposed of or used exceeds 175 Australian dollars (116.1 U.S. dollars), rising to 30 percent at 225 AUD (149.3 USD) per tonne and 40 percent when prices exceed 300 AUD (199.1 USD) per tonne.

Lancey said on Wednesday that BMA had an effective tax and royalty rate of 67 percent in the 2024-25 financial year under the regime and paid approximately eight times more in royalties than it made in profit.

Responding to the announcement, Queensland Deputy Premier Jarrod Bleijie said the cuts were "unAustralian" and ruled out any changes to the royalty scheme.

BHP, which has its global headquarters in Melbourne, in August posted an underlying attributable profit of 10.2 billion U.S. dollars for the 2024-25 financial year, marking a fall of 26 percent from 2023-24. ■