The Rio Tinto Limited (ASX: RIO) share price is on the rise today, currently trading 1.3% higher at $119 a share.
Here are 3 reasons why the Rio Tinto share price could be getting a lift at the moment.
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Rio Tinto dividend is on the way
With the miner's annual results release scheduled for 17 February 2021, eager investors are already anticipating the next Rio Tinto dividend. The dividend record date is 5 March 2021.
With the price of iron ore still on fire, the Australian Financial Review reported that a record dividend payout is expected from Rio Tinto. Consensus forecasts are predicting a $4.20 interim dividend.
UBS has also forecast a record dividend for Fortescue Metals Group Limited (ASX: FMG), predicting a dividend of $1.45 a share.
Eased tensions with traditional landowners
Following a conflict based on the destruction of a 46,000-year-old heritage site, Rio Tinto has managed to break bread with the Puutu Kunti Kurrama and Pinikura people (PKKP).
According to The Australian, the PKKP felt there was a breach of trust following Rio Tinto's recent unveiling of a new executive team. Initially, there were perceptions that this was a move to mislead the PKKP Board and Elders.
While Rio Tinto admits that the company had 'fresh misteps' regarding its communications with the PKKP, it maintains that the focus remains rebuilding a relationship with the PKKP.
The PKKP has since released the following statement:
"The PKKP acknowledges that it was not the intention of the Rio Tinto Chairman Simon Thompson to mislead the PKKP Board and Elders at the joint board meeting."
Rio Tinto share price creeps up as new team takes effect
As mentioned, on 28 January 2021, the company announced the appointment of a new executive team. Since this information was released, the Rio Tinto share price has crept up about 6.5%.
As part of the restructure, the company appointed Jakob Stausholm as permanent chief executive officer of Rio Tinto's iron ore business.
Commenting on his appointment, Mr Stausholm said:
While Rio Tinto continues to deliver strong safety and operational performance, despite the ongoing challenges of COVID-19, there are improvements we can achieve across the business to make Rio Tinto more resilient, and an even stronger performer and employer. I want to re-establish Rio Tinto as a trusted partner for host communities, governments and other stakeholders.
The Rio Tinto share price is up roughly 19% over the past 12 months. The mining giant has a market capitalisation of approximately $43.6 billion and 1.6 billion shares outstanding.
