Interim Results

Anglo American PLC
03 August 2007






News Release



03 August 2007

Anglo American announces record underlying earnings of $3.1 billion, up 22%, and
                    an additional $4 billion capital return



•   Operating profit (1) increased to $5.5 billion, up 19%

•   Record underlying earnings (2) of $3.1 billion, up 22%

•   EBITDA(3) of $6.6 billion, up 12%

•   Strong performances from Platinum, Base Metals, Ferrous Metals and
    Industrial Minerals

•   Further $4 billion buyback announced

•   Interim dividend increased from 33 to 38 cents per share, up 15%



•   Substantial $8.2 billion project pipeline:

       o   Acquisition of 49% interest in the MMX Minas-Rio iron ore project 
           in Brazil for $1.15 billion

       o   Winning tender for Michiquillay copper project in Peru for 
           $403 million

       o   Acquisition of a 50% stake in the Pebble copper project in Alaska 
           for $1.4 billion

       o   Major Australian coal projects on track for 2007/08

       o   Sishen Expansion project on track for first commercial output Q4 2007

       o   Snap Lake diamonds to commence production at the end of Q3 2007


•         Good progress in completing our restructuring:

       o  Decision taken to sell Tarmac

       o  Completion of demerger of Mondi

       o  Disposal of holding in Highveld Steel

       o  Unbundling of Hulamin from the Tongaat-Hulett Group


•      Actions taken to improve poor safety performance

       o  Unacceptable safety performance, particularly in Platinum

       o  Immediate measures put in place at Rustenburg section platinum mine
          to address safety concerns

•      Strong management focus on operational improvements



HIGHLIGHTS FOR THE SIX MONTHS ENDED                                 6 months          6 months           %
30 JUNE 2007                                                           ended             ended
                                                                30 June 2007      30 June 2006      change
US$ million (except per share)

Group revenue including associates(4)                                 19,849            18,825        5.4%

Operating profit including associates before special items and         5,452             4,563       19.5%
remeasurements(1)

Profit for the period attributable to equity shareholders              3,379             2,943       14.8%

Underlying earnings for the period(2)                                  3,058             2,502       22.2%

EBITDA(3)                                                              6,554             5,856       11.9%

Net cash inflows from operating activities                             3,678             3,289       11.8%

Earnings per share (5) (US$):

      Basic earnings per share                                          2.41              2.00       20.5%

      Underlying earnings per share                                     2.18              1.70       28.2%

Interim dividend (US cents per share):

Interim dividend                                                          38                33       15.2%



(1) Operating profit includes share of associates' operating profit  and is before special items and
    remeasurements, unless  otherwise stated. See note 3 to the financial information. For definition 
    of  special items and remeasurements see note 6 to the financial information.

(2) See note 9 to the financial information for basis of calculation of underlying earnings.

(3) EBITDA is operating profit before special items and remeasurements, depreciation and amortisation of
    subsidiaries and joint ventures and share of EBITDA of associates. 'Total profit from operations and associates'
    is reconciled to EBITDA in note 13 to the financial information. EBITDA is reconciled to 'Cash inflows from
    operations' in the primary statements.

(4) The Group's share of associates' turnover is $2,903 million (2006: $2,650 million). See note 3 to the
    financial information.

(5) Going forward, the impact on Earnings per share of the demerger with Mondi is explained in note 18 of the
    financial information.



Cynthia Carroll, Chief Executive, said:

"The six months to June mark another record financial performance by Anglo
American. Underlying earnings were up 22% to $3.1 billion, driven by a continued
favourable trading environment and generally strong performances across our
business.

We continued to make good progress in the completion of our restructuring plans,
further simplifying the Group structure and focusing on our core mining
portfolio. The demerger of our paper and packaging division, Mondi, was
concluded at the beginning of July. We have disposed of our 29% stake in
Highveld Steel and the unbundling of Hulett Aluminium (Hulamin) from
Tongaat-Hulett has now been completed.  So far this year, we have announced
three significant acquisitions, further enhancing our strong $8.2 billion
project pipeline - a successful entry into the MMX Minas-Rio iron ore project in
Brazil, the Michiquillay copper project in Peru and a 50% stake in the Pebble
copper project in Alaska. We are today announcing a new $4 billion share buyback
programme, on the back of our continued strong cash flows.

Operating challenges have persisted, in particular cost pressures at certain
operations. Base Metals and Anglo Platinum experienced labour disruption
associated with difficult wage negotiations. Port and rail logistics in
Australia remain an issue for Anglo Coal and we continue to focus intensively on
cost containment across the Group.

In May, I announced that we were evaluating Tarmac's fit within our portfolio of
assets and, as a result of this review, we have decided that Tarmac is not core
to the future development of Anglo American as a focused mining company and a
sale process will be initiated.

The Group's safety performance for the first half of 2007 has been completely
unacceptable. I have taken immediate action to address the safety situation,
particularly in Anglo Platinum, and initiated a major new drive to improve
safety.

Looking to the future, Anglo American is well placed to strengthen its position
as one of the world's leading mining companies. Metal inventories remain low in
general and continued supply-side pressures are envisaged across the industry.
Against this favourable backdrop, we are confident we can continue to realise
the Group's exciting growth prospects, both organically and through
acquisitions."


Financial results

Anglo American's first half underlying earnings were a record $3.1 billion as
continued strong metal prices reflected the favourable trading environment for
the Group's key commodities. Operating profit of $5.5 billion was 19% higher
than for the corresponding period last year, with EBITDA up 12% at a record $6.6
billion.

Strong contributions came from Base Metals, which achieved its highest ever
operating profit in the period due to increases in nickel, zinc and lead prices,
and Ferrous Metals where higher iron ore prices and sales volumes led to a 12%
increase in operating profit.

Anglo Platinum's record operating profit reflected an increase of 62% compared
with the same period in 2006, boosted by higher platinum group metals (PGM)
prices, but partially offset by higher labour costs and above inflation
increases in operating costs.

Despite Coal's operating profit being higher in its South African and South
American operations, results were lower from Australia, leading to a reduction
in overall operating profit. This was due to ongoing port and rail constraints
and a combination of softening prices for metallurgical coal, a stronger
Australian dollar, and higher inflation relating to mining industry costs. An
improvement in the performance of the Australian coal operations is expected in
the second half.

Operating profit from De Beers was down 9% due to diminishing supplies of rough
diamonds to the Diamond Trading Company (DTC) from Russian diamond producer
Alrosa, as well as price corrections in the gem diamond market in the second six
months of 2006.

Industrial Minerals saw a significant improvement in its operating profit, up
37% compared to the same period in 2006, due in part to disciplined margin
management and favourable demand in certain sectors.

Paper and Packaging substantially improved its performance, with operating
profit up 53%, due in part to a better trading environment. Its results were
fully consolidated by Anglo American in the period and up until 2 July 2007.

Operating profit from AngloGold Ashanti was down 54% to $138 million due to the
Group accounting for AngloGold Ashanti as a subsidiary until 20 April 2006, when
attributable ownership fell from 51% to 42%, resulting in reclassification as an
associate. Performance was impacted by increased costs and a decline in
production.

The Group achieved cost savings of $257 million in synergies, efficiencies and
procurement. Despite the continued cost pressures currently being experienced by
the mining industry, growth in cash costs was limited to 3.3%. Two major
cost-saving exercises are under way. First, shared services will be launched
across common business functions such as Finance, IT and HR, along with a
centralised procurement programme. Secondly, a major initiative to optimise
operational performance has started with Coal and Base Metals and will extend to
Anglo Platinum, Ferrous Metals and Diamonds by year-end.


Production

Production volumes were up for copper, coal, iron ore, industrial minerals and
diamonds. Mined platinum production, in terms of equivalent refined ounces, was
up 1.3%, although total refined output decreased due to a short-term process
pipeline stock increase. The short-term build-up of pipeline stock will be
refined for sale during the second half of the year. Challenging operating
conditions continued to be felt at some of AngloGold Ashanti's operations, where
overall production volumes were down compared with first half 2006.


Interim dividend

The interim dividend has been set at 38 US cents per share (cps) - 15% higher
than the 33 cps interim dividend declared for the first half of 2006.


Capital structure and increased return to shareholders

Net debt increased by $2.0 billion since 31 December 2006 and at 30 June 2007
amounted to $5.3 billion. The $3 billion share buyback programme announced in
February is 61% complete, with around $1.8 billion of shares having been
repurchased as at 2 August 2007. Given the continued strong cash generation, it
has been decided to increase the buyback by a further $4 billion for this year.


Strategy update

Good progress in advancing the restructuring programme was made, leading to a
continued focus on the Group's core mining portfolio.

In May, it was announced that an evaluation of Tarmac's fit within Anglo
American's portfolio of assets was under way. As a result, it has been decided
that Tarmac is not core to the future development of Anglo American as a focused
mining company and a sale process will be initiated.

Tarmac has a leading position in the UK construction materials industry and some
significant positions in continental Europe and the Middle East. It is a
cash-generative business with strong prospects. Interest in the aggregates
sector is currently high as a result of ongoing industry consolidation and it is
felt that a sale will maximise value for Anglo American shareholders. The
disposal process is expected to be completed in the first half of 2008.

The paper and packaging business, Mondi, was successfully demerged from the
Group on 2 July. Mondi is now a dual-listed company: Mondi plc has its primary
listing in London and secondary listing on the Johannesburg Stock Exchange
(JSE), and holds Mondi's non-African assets; and Mondi Limited is listed on the
JSE and holds the African assets. Following the demerger and a share
consolidation by Anglo American, for every 100 Anglo American shares held before
the demerger, a shareholder received 91 new Anglo American shares, 25 Mondi plc
shares and 10 Mondi Limited shares.

In early May, the disposal of the remaining 29.2% shareholding in Highveld Steel
to Evraz was announced. The sale marks the completion of Anglo American's
disposal of its interest in Highveld, with total proceeds of $678 million
generated, including the initial payment of $412 million, dividends of $28
million and the final payment of $238 million.

In June, the unbundling of Hulamin from the Tongaat-Hulett Group was completed
with the listing of Hulamin on the JSE and simultaneous injection of broad-based
black economic ownership into both Tongaat-Hulett and Hulamin.

Options continue to be examined to effect an orderly exit of the Group's 41.6%
stake in AngloGold Ashanti.



Strong project pipeline driving growth

Anglo American's $8.2 billion portfolio of approved projects is developing well
and has been further strengthened with the addition of Phase I of the MMX
Minas-Rio iron ore project in Brazil (49%). Phase I of the project should
deliver 26.5 million tonnes per annum (Mtpa) of iron ore pellet feed, ramping up
from the fourth quarter of 2009, at a total anticipated cost of $2.35 billion
(100%).

It was announced in April that Anglo American had won the tender for the
Michiquillay copper project in Peru. The $403 million consideration for this
world-class resource will be payable over five years and a Peru-based team is in
the process of being mobilised.

A 50% stake in the Pebble copper project in Alaska was acquired in August for
$1.4 billion. The project's key assets are its near-surface, 4.1 billion tonne,
open-pit Pebble West deposit and the deeper and higher grade 3.4 billion tonne
Pebble East deposit. As one of the world's largest copper-gold-molybdenum
deposits, Pebble has the potential to be a world-class operation.

The implementation of Anglo Platinum's mining and processing projects to
maintain and expand production continues on schedule and within budget. Projects
that continue to increase output include Kroondal, Marikana and the Mototolo
joint venture. The approval this year of the expansion of the base metals
refinery, at an anticipated cost of $279 million, the Lebowa Platinum Mine
Middelpunt Hill project, at an expected cost of $252 million, and the $139
million Townlands ore replacement project further supports growth.

In Australia, the $835 million Dawson coal expansion project is on track to
reach full production later this year. The increase in production will be 5.7
Mtpa. Work on the Lake Lindsay greenfield project at German Creek is proceeding
as planned, with first coal scheduled for 2008 and incremental production of 4
Mtpa. In Colombia, the expansion of Cerrejon from 28 to 32 Mtpa is under way and
on track to reach full production in 2008. In South Africa, the development of
Mafube is progressing well, with plant commissioning expected to commence in
November 2007.

The feasibility study regarding a potential expansion of the Los Bronces copper
mine in Chile has been completed and is due for approval in the fourth quarter
of 2007. Also in Chile, a two-stage debottlenecking project at Collahuasi is
being studied. The revised feasibility study for the Peruvian copper mine at
Quellaveco will be completed during the first half of 2008. The $1.2 billion
Barro Alto nickel project in Brazil continues towards first production,
scheduled for early 2010.

The Sishen Expansion iron ore project in Ferrous Metals is on track to deliver
its first commercial output in the fourth quarter of 2007 with a ramp up to full
production of 13 Mtpa by 2009.

De Beers' Snap Lake project in Canada is on track to commence production at the
end of the third quarter of 2007, producing 24.6 million carats over the life of
the project. During June, the MV Peace in Africa, De Beers' newest marine
diamond mining vessel, commenced operations off the west coast of South Africa.
The vessel is expected to yield approximately 4.5 million carats over its
estimated operating life of 30 years.



Safety and sustainable development

Safety is being given renewed impetus, particularly in the light of a very
disappointing first half, during which there were 29 fatalities. In June, 130 of
the Group's most senior managers gathered at a safety summit in Johannesburg
where it was made clear that a step-change in safety performance was needed to
achieve the goal of zero harm. This is based upon rigorous adherence to Group
standards, effective learning from previous incidents, and a firm commitment
from leadership to facilitate zero harm and increase capacity to manage safety
risks at all levels.

The significant deterioration in safety performance in the first half of 2007 at
Rustenburg section platinum mine resulted in the suspension of production at all
shafts on a staggered basis, with the aim of ensuring that every employee fully
understands the principles and accountability underlying all current safety
standards, initiatives and programmes.

Important progress was made during the period in developing a new framework of
occupational health policies called the Anglo Occupational Health Way. Following
the success of the Anglo Socio-Economic Assessment Toolbox (SEAT) process over
the past three years, a new version of the toolbox will be rolled out across the
Group, including De Beers, during the second half of the year.



Outlook

The outlook for the majority of the Group's metals and minerals remains positive
as demand growth continues to be vigorous. Slower US economic growth has been
offset by strength across the rest of the globe, most notably in the Asian
economies, where both China and India continue to grow strongly.

Looking to the future, Anglo American is well placed to strengthen its position
as one of the world's leading mining companies. Metal inventories remain low in
general and ongoing supply-side pressures are envisaged across the industry.
Against this favourable backdrop, the Group will continue to realise its
exciting growth prospects, both organically and through acquisitions.



For further information:


Investor and Media Relations


Charles Gordon
Tel: [phone]


Anna Poulter
Tel: [phone]


Daniel Ngwepe
Tel: [phone]



Webcast of presentation:

A live webcast of the annual results presentation starting at 10.00am UK time on
3 August can be accessed through the Anglo American website at
www.angloamerican.co.uk.



Pictures:

High resolution images can be downloaded by the media at www.vismedia.co.uk



Notes to Editors:

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, gold and diamonds, with significant interests in coal, base
and ferrous metals and industrial minerals. The Group is geographically diverse,
with operations in Africa, Europe, South and North America, Australia and Asia.

Note: Throughout this press release '$' denotes United States dollars and '
cents' refers to United States cents; operating profit includes associates'
operating profit and is before special items and remeasurements unless otherwise
stated; special items and remeasurements are defined in note 6 and underlying
earnings are calculated as set out in note 9 to the financial information.
EBITDA is operating profit before special items and remeasurements, depreciation
and amortisation of subsidiaries and joint ventures and share of EBITDA of
associates. 'Total profit from operations and associates' is reconciled to
EBITDA in note 13 to the financial information. EBITDA is reconciled to 'Cash
inflows from operations' in the primary statements.

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