VANCOUVER (miningweekly.com) – US coal- and iron-ore miner Cliffs Natural Resources will increase the quarterly cash dividend on the company's common shares by 60%, it announced on Tuesday.

The quarterly dividend will be increased to $0,14 a share, payable on June 1, 2010, to shareholders of record as of the close of business on May 14, 2010.

“Cliffs' outlook for cash flow generation has improved substantially with the rebounding demand for steelmaking raw materials,” said CFO Laurie Brlas.

“This provides the company increased confidence to increase its cash payouts to Cliffs' shareholders, while at the same time continuing to pursue strategic objectives.'

Cliffs announced in March that its board redeemed the rights that had accompanied its common shares under its shareholder rights plan.

The redemption price of $0,001 a right is being paid as part of the common share dividend on June 1, 2010, so $0,001 of the quarterly dividend of $0,14 a common share will be allocated to pay the redemption price of the rights.

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