Palabora Mining Company

RNS Number : 5769N

Anglo American PLC

05 September 2011

 



5 September 2011
Anglo American to divest minority interest in Palabora Mining Company

Anglo American announces that it will participate in the sale process initiated by Rio Tinto to dispose of both companies' interests in Palabora Mining Company Limited ("Palabora"). Anglo American currently holds a 16.8% effective interest in Palabora.  Rio Tinto holds an effective 57.7% in Palabora.

Palabora's principal asset is a copper mine in South Africa which also produces vermiculite and magnetite and, while studies are under way for a potential extension to the copper mine's life from 2016 to 2030, the operation is no longer of a sufficient scale to suit Anglo American's investment strategy. Palabora owns a magnetite stockpile and the future value creation at Palabora is likely to involve the on-site processing and beneficiation of magnetite, an opportunity that Anglo American believes will be best developed under new ownership.

For further information, please contact:

Media		Investors
UK James Wyatt-Tilby Tel: [phone]		UK Leng Lau Tel: [phone]
Emily Blyth Tel: [phone]		Caroline Metcalfe Tel: [phone]
South Africa Pranill Ramchander Tel: [phone]		Leisha Wemyss Tel: [phone]

Notes to editors:

Anglo American plc is one of the world's largest mining companies, is headquartered in the UK and listed on the London and Johannesburg stock exchanges. Anglo American's portfolio of mining businesses spans precious metals and minerals - in which it is a global leader in both platinum and diamonds; base metals - copper and nickel; and bulk commodities - iron ore, metallurgical coal and thermal coal. Anglo American is committed to the highest standards of safety and responsibility across all its businesses and geographies and to making a sustainable difference in the development of the communities around its operations. The company's mining operations and extensive pipeline of growth projects are located in southern Africa, South America, Australia, North America and Asia. www.angloamerican.com

 

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