The latest shareholder bonus follows the record $13.5 billion dividend paid out to shareholders in 2018 (WILLIAM WEST)

Sydney (AFP) – Anglo-Australian mining giant Rio Tinto on Wednesday said shareholders will receive a $3.5 billion dividend after the mining giant recorded a strong first half profit on soaring commodity prices.

The firm posted a $4.1 billion net profit in the six months to June, down six percent on the same period for the previous year, along with a 12 percent jump in underlying profit — the company’s preferred measure — to $4.9 billion.

“Our world-class portfolio and strong balance sheet serve us well in all market conditions,” said chief executive Jean-Sebastien Jacques.

Rio announced an interim dividend of $1.51 per share, totalling $2.5 billion, along with an additional $1.0 billion special dividend at 61 cents per share.

Rio has enjoyed soaring iron ore prices this year after a tropical cyclone in northwestern Australia forced a production cut.

Jacques said the company was working to “optimise performance” across its iron ore operations after the incident.

The company is forecasting shipments at the upper end of its guidance range of 320 to 330 million tonnes for 2019.

It also recorded a $800 million impairment against its Oyu Tolgoi copper mine in Mongolia, which has been beset by delays and corruption allegations.

The latest shareholder bonus follows the record $13.5 billion dividend paid out to shareholders in 2018.

Shares in Rio closed 1.1 percent down to Aus$97.81 (US$67.00) in Sydney ahead of the result announcement.

Disclaimer: Validity of the above story is for 7 Days from original date of publishing. Source: AFP.