Rio Tinto has committed to increase its investment to sustain growth after reporting earlier in the day a record net profit in the first half, thanks to buoyant sales of iron ore in China.
The second largest producer of iron ore, a key component in steelmaking, will increase its investments by 50% in 2011, including Mongolia, to reach nine billion dollars (6.8 billion euros).
The group has drastically reduced its debt by $ 39 billion to 12 billion dollars over the last 12 months and is now estimated to have a strong balance sheet can withstand any new global economic shock.
"The growth is the priority for our cash (…), "Said Chief Executive Tom Albanese said in a statement.
With its rivals BHP Billiton and Xstrata, the group succeeded in July to convince the Australian government to ease new tax on mining, which was seen as a major threat by the group and the entire industry.
The group is now awaiting the necessary agreement to set up a joint venture of Australian iron ore from BHP Billiton, a deal that could generate more than $ 10 billion in savings.
Current profit mining giant in the first six months of the year amounted to 5.8 billion dollars against 2.6 billion a year earlier and 5.5 billion expected by analysts, according to a consensus reached by the company.
Rio Tinto has reached its half profits highest since at least 10 years.Its competitors, the Brazilian Vale and Anglo American have also reported strong results, after facing a drop in demand last year.
The profit generated by the flagship activity of Rio Tinto's iron ore operations, has more than doubled to four billion dollars, beating the consensus.
The aluminum industry has returned to profitability, with net profit of 313 million dollars.
The group reaffirmed its commitment to pay $ 1.75 billion in dividends this year as in 2008, and will spend six billion dollars of investment this year, against $ 5 billion originally planned.
At the London Stock Exchange, under the Rio Tinto advanced 1.27% to 34.55 pounds, while the index grouping the European mining stocks gained 0.25%.