(Reuters) - Materials stocks drove Australian shares lower on Tuesday, with BHP leading declines after inking a deal with Brazilian authorities that settles a lawsuit over a 2015 dam disaster.
The S&P/ASX 200 index <.AXJO> fell 0.2 percent or 12.80 points to 6,197.60 at the close of trade. The benchmark declined 0.2 percent on Monday.
Samarco [SAMNE.UL] and parent companies Vale SA <VALE5.SA> and BHP <BHP.AX> have signed a deal with Brazilian authorities that settles a 20 billion reais ($5.30 billion) lawsuit related to a 2015 dam burst that killed 19 people, BHP said on Monday.
Shares of the world's biggest miner slipped 1 percent, dragging the benchmark.
The wider metals and mining index <.AXMM> also traded lower, underpinned by a fall in iron ore and copper prices.
Global miner Rio Tinto Ltd <RIO.AX> dipped about 1.8 percent to a near seven-week low, while BlueScope Steel Ltd <BSL.AX> declined 3.1 percent to its lowest since June 1.
Health care stocks were also in the red, with index heavyweight CSL Ltd <CSL.AX> dropping 0.7 percent, while Ramsay Health Care Ltd <RHC.AX> slid 2 percent to its lowest in more than three-and-a-half years.
Meanwhile, New Zealand's benchmark S&P/NZX 50 index <.NZ50> slipped 0.1 percent or 6.44 points to finish the session at 8,989.80.
Industrials were the top losers on the main index, with Auckland International Airport Ltd <AIA.NZ> falling 1.2 percent.
(Reporting by Aditya Soni in Bengaluru; Editing by Simon Cameron-Moore)
