Project Update

Anglo American PLC
25 March 2003


News Release


25 March 2003



                             Mondi to proceed with
           R2 billion (US$220 million) expansion at Richards Bay mill


Anglo American plc announces that its wholly owned Forest Products subsidiary,
Mondi South Africa, is to proceed with a R2 billion (US$220 million) expansion
and modernisation of its Richards Bay mill in KwaZulu-Natal in South Africa,
increasing capacity for bleached eucalyptus pulp production by some 40%.

The mill's total capacity, which includes both eucalyptus pulp and whitetop
kraftliner, will increase from the current 575,000 tonnes to 720,000 tonnes and
the additional production will be available from early in 2005. Incremental
revenues from the expansion are projected at some R500 million per year in
today's terms, with the additional pulp planned mostly for export to Europe,
including to Mondi Europe's Neusiedler paper mill.

Before proceeding with construction, approval is required from the
KwaZulu-Natal department of Agriculture and Environment Affairs, following the
formal environmental impact assessment (EIA). It is expected that this approval
will be received during April.


Contact details:

London
Media Relations:
Kate Aindow
[phone]


Johannesburg
Investor Relations:
Anne Dunn
[phone]



Media Relations:
Marion Dixon
[phone]



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 gold, platinum group metals and diamonds, with significant interests
in coal, base and ferrous metals, industrial minerals and forest products. The
group is geographically diverse, with operations in Africa, Europe, South and
North America and Australia. (www.angloamerican.co.uk)


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