The 38-year-old singer reportedly received the staggering sum from Libyan dictator Colonal Gaddafi's son Saif Gaddafi after agreeing to perform at the Nikki Beach Club on the Caribbean island of St Barts.
Mariah, who was at the event with husband of eight months Nick Cannon, shattered all pregnancy rumours as she enjoyed champagne and oysters during the party.
Other performers included hip-hop stars Jay-Z and Timbaland, who performed together on stage, before Jay-Z saw in 2009 together with his wife Beyonce Knowles.
Guests at the star-studded event include James Bond star Daniel Craig, who was with his fiancｅe Satsuki Mitchell, and actor Eddie Murphy.
A source said: "They all had a great time."
Mariah is not the first star to receive 1 million U.S. dollars for a performance - Kylie Minogue received the same amount for a private show in Dubai last year.
The "2 Hearts" star sang at the launch party of the luxury Atlantis, The Palm resort.
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