Bloomberg Billionaires Index

View profiles for each of the world’s 500 richest people, see the biggest movers, and compare fortunes or track returns.

#82 Gina Rinehart $14.3B

Random fact: Said Australia risks losing investment in new mines to Africa.

Overview

Rinehart is chairman of Hancock Prospecting, a West Perth, Australia-based closely held company that owns stakes in and collects royalties from iron ore mines. She also owns shares in publicly traded Australian television company Ten Network. Her company's biggest asset is the Roy Hill mine, which began production in 2015.

As of July 21, 2017:
Last change -$824k (-0.0%)
YTD change +$1.99B (+16.1%)
Industry Commodities
Biggest asset Hancock Prospecting
Citizenship Australia
Age 63
Wealth Inherited
View net worth over:   Max 1 year 1 quarter 1 month 1 week

Relative Value

Gina Rinehart's net worth of $14.3B can buy ...

0
troy ounces of gold
0
barrels of crude oil

... and is equivalent to ...

0%
of the GDP of the United States
0%
of the total wealth of the 500 richest people in the world
0%
of the top 100 U.S. college endowments
0%
of the top 200 U.S. executives’ total awarded compensation
0%
of U.S. existing home sales
0
times the median U.S. household income

Latest News

Net Worth Summary

Cash
Private asset
Public asset
Misc. liabilities
Confidence rating:

The majority of Rinehart's fortune is derived from her control of Hancock Prospecting. Hancock is the holding vehicle for most of her family's business interests, including royalty rights from her late father, Lang Hancock, which guarantee less than 1.25 percent of the annual revenue generated by some of the Hamersley Iron ore mines operated by publicly traded mining company Rio Tinto.

The closely held company has a 50 percent interest in the Hope Downs mine in a joint venture with Rio Tinto, and undeveloped coal projects in Queensland. The business is valued using its reported financials for the year ended June 30, 2016, and the average price-to-book value multiple of publicly traded peer company Rio Tinto. Hancock's 70 percent stake in the Roy Hill iron ore project was valued separately until April 25, 2017. It was previously valued based on its 2012 transaction value and has been added back because it began operating in 2015. A 10 percent liquidity discount is applied due to uncertainty about future cash flows.

She also holds an 8 percent stake in publicly traded media company Ten Network Holdings and 18 percent of publicly traded miner Lakes Oil.

Mark Bickerton, a spokesman for Hancock, declined to comment on Rinehart's net worth.

Biography

Birthdate: 2/9/1954
Family: Widowed, 4 children
Education: Economics, University of Sydney

Gina Rinehart is chairman of Hancock Prospecting, founded by her father Lang Hancock. In 1952, two years before she was born, Hancock, a pastoral farmer and bush pilot, flew over the outback in a small plane. Dodging a storm, he spotted a deep red color on the walls of a Pilbara river gorge. He suspected the scarlet streams of rock that ran for miles were oxidized iron.

At that time, the government claimed Australia's mineral resources were limited and had banned iron ore exports. Hancock explored and collected ore samples that he later found were superior to that used in U.S. steel mills. He lobbied to lift the ban on exports and staked claims to the richest deposits. Hancock struck a deal with Rio Tinto in the 1960s that enabled him to collect a perpetual royalty stream for some of the iron ore mined in the Pilbara. He also promoted cross-country railways to ship ore and coal, and pushed the development of ports on both sides of the country.

Hancock died in 1992 and Rinehart assumed control of the company. In her early years as chairman, growth opportunities were limited because many of the assets had already been sold or mortgaged. Rinehart raised cash in the 1990s by borrowing money for exploration and later, by selling stakes in some mining projects. She invested in the Hope Downs and Roy Hills mines, attracting corporate partners. In the mid-2000s, China's economy boomed, lifting demand and prices for iron ore. She has also become politically active, protesting against a mining tax and seeking an overhaul of immigration laws to allow for overseas guest workers.

Three of Rinehart's four children sued her in 2011 seeking to oust their mother as guardian of a trust established by Lang Hancock for their benefit. The trust holds 23.5 percent of Hancock Prospecting. The children accused Rinehart of deliberately pushing back the vesting date of the trust from 2011 to 2068 and acting with "gross dishonesty."

Rinehart agreed to allow the trust to vest in 2012 though the children haven't yet taken ownership of the shares. At the time, the billionaire said that when they do, they will face millions of dollars in capital gains taxes. Hancock Prospecting shares can't be sold outside the family.

Daughter Hope Welker subsequently withdrew from the court action to remove Rinehart as trustee. Her withdrawal left John Hancock and Bianca Rinehart to fight the case against their mother. Youngest daughter Ginia Rinehart sided with her mother. The New South Wales Supreme Court appointed Bianca as trustee in May 2015.

Milestones
  • 1952 Father Lang Hancock spots oxidized iron from his plane.
  • 1954 Georgina born in Perth to Hancock and wife Hope Margaret Nicholas.
  • 1973 Gina Hancock marries Greg (Milton) Hayward. They have 2 children.
  • 1982 Gina marries Frank Rinehart. They later have 2 children.
  • 1985 Hancock, then 76, marries his housemaid Rose Lacson, 36.
  • 1992 Rinehart starts legal action vs. ex-stepmom over dad's death, estate.
  • 2014 Resigns from board of the Ten Network.
  • 2015 Sells 15 percent stake in newspaper business Fairfax Media.