3 Canadian Mining Stocks With the Highest Dividend Yields Right Now

Most Canadian mining stocks pay a thin dividend, if they pay one at all. Explorers reinvest every dollar into the ground, while even large producers often prioritize growth over cash returns. We previously looked at undervalued Canadian mining stocks trading below analyst targets. This time, the focus is on which names actually pay investors to wait and what supports those payouts.

Figures are based on TMX Money data as of the market close at 4:00 p.m. ET on July 27, 2026. Yields reflect forward or trailing annual dividend yield, depending on availability.

Overview: Lundin Gold is a Vancouver based miner focused on its Fruta del Norte gold operation in Ecuador, one of the highest-grade underground gold mines currently in production.

Operations: Fruta del Norte generates effectively all of the company's revenue, and Lundin Gold's dividend has grown at an average of roughly 68% a year over the past four years as that cash flow has scaled.

Investor Takeaway: Lundin Gold pairs a top-tier yield with a payout that isn't stretched relative to its earnings, a different risk profile than a small-cap paying a high yield off a thin cushion. The tradeoff is concentration: Fruta del Norte is currently its only producing mine, so the dividend's durability rests on that single Ecuador operation continuing to perform.

Overview: Labrador Iron Ore Royalty is a Canadian investment company that holds a royalty interest in Iron Ore Company of Canada (IOC), rather than operating a mine directly, through its roughly 15.10% equity interest held via subsidiary Hollinger-Hanna.

Operations: The royalty structure gives the company a leaner cost base than a producer, but ties its payout closely to IOC's output and prevailing iron ore prices. Its payout ratio has recently run above 100% of earnings, a sign the current dividend level depends on iron ore prices holding up.

Investor Takeaway: The royalty model means less operational risk than a traditional producer carries, since Labrador Iron Ore Royalty doesn't run mine budgets or absorb cost overruns itself. What it does carry is direct exposure to the iron ore price, so the current yield should be read as a snapshot of today's commodity economics rather than a fixed income stream.

Overview: B2Gold is an international, low-cost senior gold producer headquartered in Vancouver, with three operating open-pit mines in Mali, Namibia and the Philippines.

Operations: That three-mine footprint gives B2Gold more geographic diversification than a single-asset producer, though the spread also brings jurisdictional risk into the mix. Its payout ratio is a modest 19% to 24% of earnings, leaving meaningful room before the dividend would be under pressure.

Investor Takeaway: The low payout ratio backs B2Gold's dividend with a much smaller slice of earnings, so a soft quarter is less likely to force a cut than at a company paying out most of what it earns. The tradeoff is jurisdictional: operating in Mali carries political and security risk a single-country producer in a more stable region wouldn't have.

What mining stocks pay dividends in Canada?

A number of TSX-listed producers and royalty companies pay dividends, though yields vary widely across the sector. Larger, cash-generative gold producers and royalty companies with steady underlying royalty income tend to be the most consistent payers, while junior and exploration-stage miners typically pay none at all.

Are Mining Dividend Yields Reliable?

Not always. Royalty company dividends can fluctuate with commodity prices and production volumes, while a single-asset producer’s payout depends heavily on one mine’s output and costs. A high recent yield is not necessarily sustainable, so payout ratios and cash flow coverage matter more than yield alone.

Which mining stocks should I look at for dividend income?

Investors focused on dividend income generally look at metrics beyond yield alone, including payout ratio relative to cash flow, dividend history and consistency, and how concentrated the company's production is in a single mine or jurisdiction.