Mining giant Xstrata reports 86% jump in profits

London-listed mining giant Xstrata today said its full-year profit jumped 86%, slightly beating expectations, on stronger prices for most of its commodities.

Attributable profit surged to $5.15 billion, from $2.77 billion last year, beating the $5.05 billion consensus of 18 analysts provided by the company.

Xstrata, one of the most heavily traded companies in London, said it plans to pay a final dividend of 20 cents a share, reflecting a return to pre-crisis levels.

The Anglo-Swiss miner said last week that its 2010 production of thermal coal had been affected by severe weather, but that it was still assessing the damage caused by flooding and cyclones this year in Queensland where it has coal, copper and zinc operations.

Xstrata was the first major diversified miner to post earnings this season. BHP Billiton and Rio Tinto will report their results on February 16 and February 10 respectively.