Collahuasi: Project Update

Anglo American PLC
24 October 2005


News Release


24 October 2005


                       Collahuasi: Project and Exploration Update


Molybdenum Plant

Anglo American is pleased to announce that the Collahuasi molybdenum plant was
commissioned on 27 September 2005, two months ahead of schedule and under
budget.


The molybdenum plant has a design capacity to process 4,300 tonnes of
copper-molybdenum concentrate per day and is initially forecast to produce 4,000
tonnes of molybdenum contained in moly concentrate per year, rising to up to
8,000 tonnes in later years. At present the plant is in start-up mode and first
commercial production is anticipated in November.


Future Developments

Following completion of the $623 million Rosario transition project in 2004,
Collahuasi has identified the possibility of a debottlenecking project that has
the potential to increase the nominal design capacity of the sulphide circuit by
upwards of 20%. A feasibility study will start shortly, the results of which
will be available in early 2006.


Exploration : Rosario Oeste

The first stage of the resource estimate of Collahuasi's Rosario Oeste zone has
been completed. Exploration results indicate that the zone contains an Inferred
Mineral Resource estimated at 248 million tonnes grading 1.54% copper at a 0.4%
copper   cut-off.


This resource estimate comprises only a limited block, located in the central
part of the Rosario Oeste zone, representing approximately 50% of the total
prospective area. The zone is located 300 metres from the edge of the current
Rosario open pit and, as currently defined, remains open to the north, south and
at depth.


For further information:


Anglo American - London

Investor Relations                          Media Relations

Charles Gordon                              Kate Aindow


Tel:  [phone]                      Tel:  [phone]



Anglo American - Johannesburg

Investor Relations                          Media Relations


Anne Dunn                                   Daniel Ngwepe


Tel:  [phone]                       Tel:  [phone]



Notes to Editors:


Collahuasi is a joint venture between Anglo American (44%), Falconbridge (44%)
and a Japanese consortium, lead by Mitsui and Co. Ltd. (12%)


Anglo American plc is one of the world's largest mining and natural resource
groups. With its subsidiaries, joint ventures and associates, it is a global
leader in platinum group metals, gold and diamonds, with significant interests
in coal, base and ferrous metals, industrial minerals and paper and packaging.
The group is geographically diverse, with operations in Africa, Europe, South
and North America, Australia and Asia. (www.angloamerican.co.uk)



                      This information is provided by RNS
            The company news service from the London Stock Exchange