Acquisition

Anglo American PLC
31 May 2000

                     Anglo American plc to buy Shell Coal

The  Shell  Petroleum Company Limited ('Shell') and Anglo  American  plc  ('AA
plc') announced today the signing of the agreement for the sale by Shell to AA
plc of Shell Coal Holdings Limited ('Shell Coal') for a cash consideration  of
between  US$850  million and US$900 million (A$1.5 billion -  A$1.6  billion),
depending  on  balance  sheet adjustments at completion.  The  transaction  is
expected  to be completed by 30 June, subject to obtaining various  regulatory
approvals.  The  purchase will be financed from international debt  facilities
and is expected to be earnings enhancing for AA plc from 2002.

The sale follows the announcement in August 1999 by Shell of its intention  to
invite tenders for its coal business and to select a buyer by mid-year 2000.

Commenting on the transaction, James Campbell, chairman of Anglo Coal  and  an
executive  director of AA plc said 'For some time now, the strategy  of  Anglo
Coal  has been to expand both its existing position as a coal supplier to  the
Mediterranean/Atlantic basin from South Africa and Colombia and to supply  the
growing  Indo-Pacific  coal  market from  South  Africa  and  Australia.   The
acquisition  of  Shell  Coal is a major strategic  step  in  this  regard  and
represents a springboard for Anglo Coal into Australia. This is an opportunity
for  Anglo  Coal to invest further in some very long life mines in  a  similar
manner  to  what  has  been achieved in South Africa and  is  currently  being
planned  for  Colombia, and especially in the production of hard  coking  coal
which is no longer available in meaningful quantities in South Africa.'

Shell  group managing director Phil Watts said 'This transaction  is  in  line
with  Shell's  strategic thrust to focus its portfolio on  the  oil,  gas  and
power,  petrochemicals  and  renewables businesses.   Shell  Coal  is  one  of
Australia's  leading coal companies and we are very pleased that it  is  being
sold  as  a going concern to Anglo American, a world-class mining and  natural
resource group.'

AA plc is one of the world's largest mining and natural resource groups.  With
its subsidiaries, joint ventures and associates, it is a world leader in gold,
platinum  group metals, diamonds, and has significant interests in coal,  base
and  ferrous  metals,  industrial minerals and forest products.   Through  its
wholly  owned Anglo Coal division, AA plc is one of the largest private sector
coal  producers in the world. The majority of its coal assets are  located  in
South  Africa where Anglo Coal has five dedicated power generation  collieries
and  six trade collieries, producing over 60 million tonnes of coal per annum.
It  also  operates  and currently has a 50% interest in a  coal  operation  in
Colombia.   Together with Glencore, AA plc is currently in  negotiations  with
Billiton plc regarding the sale of a one third interest in this operation.

Shell  Coal's  Australian  assets consist of  significant  interests  in  four
underground  and  three opencut mines at five locations. The mines  produce  a
combination  of  high  quality  coking coal,  export  thermal  coal,  domestic
industrial coal and power station coal. Attributable sales tonnage from  mines
in  1999  amounted  to  17.3  million tonnes.  Shell  Coal's  portion  of  the
recoverable  reserves at the producing mines totals some 600  million  tonnes.
Shell  Coal  has access to resources in excess of 5 billion tonnes to  support
potential future expansion.

One  of  the current key growth areas in Shell Coal is the new Moranbah  North
mine,  a  modern, longwall operation which completed its first  full  year  of
production  in  calendar year 1999.  Saleable mine production of  3.3  million
tonnes in 1999 is expected to increase significantly, with operating costs  in
the  lowest quartile of coking coal operations world-wide.  In addition to the
Moranbah North mine, Shell Coal has access to and control of significant other
coal reserves that could lead to further development of new thermal and coking
coal  projects.  Shell Coal also has a minority interest in an open  cut  mine
and project in Venezuela.

The  current  sales tonnages for the year ended December 1999 from  the  Shell
Coal operations are detailed below:

               Product            Sales      Shell       Attrib.
                                  Tonnes     Ownership % Tonnage (million)
                                  (million)
Australia
Moranbah North Export Coking          3.3         88.00               2.9
German Creek   Export Coking          5.0         46.75               2.3
Callide        Domestic Thermal       7.2         66.67               4.8
Drayton        Export and             5.1         74.75               3.8
               Domestic Thermal
Dartbrook*     Export Thermal         3.0         75.00               2.2
Venezuela
Paso Diablo*   Export                 1.3         24.50               1.3
               PCI/Thermal
Total                                24.9                            17.3

* The acquisition of Dartbrook, and Paso Diablo is subject to finalisation of
negotiations with joint venture parties.

Shell Coal employs a total of approximately 1,600 people, mainly in Australia,
at  its operations, Brisbane Corporate Office and the Sydney Marketing Office.
It  is  Anglo  Coal's  intention to continue to  manage  its  Australian  coal
business through Brisbane.

Shell  Coal's  earnings  before interest, tax, depreciation  and  amortisation
amounted to US$104.2 million for the 12-month period to December 1999. Its net
earnings for the period were US$44.7 million.  Net assets at December 31, 1999
were US$494 million.

Enquiries

Anglo American                     Shell
James Campbell                     Kate Hill
[phone]                [phone]

Nick von Schirnding                Tom Kearney
[phone]               [phone]

Anne Dunn                          Shell Coal
[phone]
                                   David Groves
Marion Dixon                       [phone]
[phone]
                                   Peter Hall
                                   [phone]
                                   
                                   Bob Scharp
                                   [phone]                        
   
                              
Note

There will be a teleconference call at 9.00am UK time.  If you would like to
join in the teleconference call please telephone:

     [phone] - (UK/Europe number)
or   1 800 500 931 - (Australia number)
or   0800 991 103 - (South Africa)

Please quote 'Anglo American James Campbell'.  There will be an opportunity to
ask questions.

If you are unable to participate in the teleconference call there will be a
replay service for the following 24 hours.  Please call:

     [phone]
or   [phone]

And quote access code '647 292'

If  you  require any further information, please contact Pamela  Bell  on  +44
(0)20 7698 8568