LONDON, UK: Rio Tinto, the global mining giant, has announced strong half-year results, with a 5% increase in production volumes and a 2% rise in underlying earnings. The company also declared an interim dividend of 177 US cents per share, in line with its 50% payout policy.

The company said it generated net cash from operating activities of $7.0 billion and net earnings of $5.1 billion, after taking a $0.8 billion impairment charge on its Australian alumina refineries. Its underlying EBITDA was $11.7 billion and its underlying earnings were $5.7 billion, after paying taxes and government royalties of $4.1 billion.

Rio Tinto Chief Executive Jakob Stausholm said the company was making good progress on its strategy to set the business up for long-term success, by improving the performance of its assets, shaping its portfolio for the future and contributing to society’s drive to net zero.

He highlighted the consistent improvement of the Pilbara iron ore business, which achieved five consecutive quarters of year-on-year growth, as well as the first sustainable production from Oyu Tolgoi underground in Mongolia, the acquisition of Turquoise Hill Resources to double its exposure to copper, the agreement to form the Matalco aluminium joint venture to enter the recycling industry in North America and the advancement of the Simandou iron ore project in Guinea.

He said the company’s balance sheet strength enabled it to invest with discipline and pay an attractive dividend of $2.9 billion to its shareholders. He added that the company would continue to invest in the long-term strength of its business and grow its portfolio, while paying attractive dividends.

Rio Tinto invests acquires initial 15% stake in Sovereign Metals Limited