Sydney

TOP global miner BHP Billiton slashed its interim dividend by 75 per cent on Tuesday, abandoning a long-held policy of steady or higher payouts as it braces for a longer-than-expected commodities downturn.

The end to BHP's so-called progressive dividend policy came as the world's biggest diversified miner slumped to a net loss of US$5.67 billion for the six months to Dec 31, 2015, its first loss in more than 16 years. "We need to recognise we are in a new era, a new world and we need a different dividend policy to handle that," chief executive Andrew Mackenzie said on a media call, warning of a prolonged period of weaker prices and higher volatility.