It is understood that Mrs Rinehart, who is Ten's second biggest shareholder, is pulling back her non-mining investments as she focuses her energies on completing the construction of her $US10 billion ($11.43 billion) Roy Hill iron ore project.

The mine in Western Australia's iron-rich Pilbara region is scheduled to start  exporting in September 2015.

Mrs Rinehart's partners and colleagues insist that the project is profitable despite the iron ore price tumbling 40 per cent to $US80.82 a tonne since the start of this year.

Fairfax Media understands that Mrs Rinehart is still interested in her Ten investment and that her intention to stand down from the board is merely a practicality.

Mrs Rinehart has relied on alternates –John Klepec and fellow Ten director Jack Cowin - to attend all 11 board meetings for the broadcaster in the financial year just ended.

It is believed that Mrs Rinehart will nominate Mr Klepec, who is Hancock prospecting's chief development officer, to be her permanent representative on Ten's board at the network's upcoming annual meeting.

Fairfax Media understands that she has been talking with Ten's board members since June this year about stepping down.

But such a move will be subject to approval of Ten shareholders.

The network's shares have dived more than 83 per cent to 21 cents since Mrs Rinehart acquired her stake in November 2010.

The broadcaster posted a full-year $168 million loss last week, citing tough conditions in the advertising market.

The result was a 40 per cent improvement on the previous financial year in which the network reported a $284 million loss.

Mrs Rinehart also has a major shareholding in Fairfax Media, publisher of Business Day.

Ten has flagged a desire to "bulk up" as the government considers relaxing restrictions around media ownership laws. Ten chief executive Hamish McLennan said the broadcaster was looking to boost its revenue streams beyond metropolitan TV.

"In what form that manifests itself, I don't know. But I believe Ten needs to bulk up." He said he had a "completely open mind" on how to do so.

It comes amid news reports that Ten has been talking with Fairfax Media, owner of The Age, The Sydney Morning Herald and The Australian Financial Review, about a possible merger.

Under current legislation, Fairfax would have to sell its profitable radio stations if it were to merge with a television station. The company has resumed radio merger discussions with Macquarie Radio, owner of Sydney talkback station 2GB.