Acquisition

Rio Tinto PLC
1 August 2001


                  Rio Tinto to acquire Australian talc mine                   

 
Rio Tinto has reached agreement to purchase the Three Springs talc mine and
processing plant in Western Australia from WMC for US$27.8 million cash. The
sale is expected to be finalised before the end of the year and is subject to
government approvals.
 
The mine, 330 km north of Perth, is capable of producing up to 200,000 tonnes
of talc annually and the associated mill has an annual capacity of 40,000
tonnes. Rio Tinto's wholly owned subsidiary, Luzenac, will manage the assets
 
Mr Tom Albanese, Chief Executive of Rio Tinto's Industrial Minerals Product
Group, said, 'Rio Tinto's broad international experience in the talc industry
will bring significant new development and growth opportunities to this
Australian business.'
 
'The acquisition will broaden Luzenac's product range and allow it to provide
a locally-sourced high quality talc to the Asia Pacific region. We will
continue to produce higher-value talc products at Three Springs, with a
strong focus on developing fine talcs for the paper and paint industry.'
 
Output from the Three Springs mine is sold to customers in Australia, Japan,
Korea, Europe, America and New Zealand. Talc is used in the paper, plastics,
paint and technical ceramics industries and is sold as a lump or finely
ground product.
 
The purchase complements Rio Tinto's existing talc mines, which include the
world's largest talc mine in France as well as operations in Austria,
Belgium, UK, Italy, Spain, Canada, Mexico and the USA. These mines have an
annual production of about 1.3 million tonnes.
 
 
For further information, please contact:
                                                           
                LONDON                  AUSTRALIA                
                Media Relations         Media Relations          
                John Hughes             Ian Head                 
                + 44 (0) 20 7753 2331   [phone]      
                Investor Relations      Investor Relations       
                Peter Cunningham        Dave Skinner             
                + 44 (0) 20 7753 2401   [phone]      
                Jonathan Murrin         Daphne Morros            
                + 44 (0) 20 7753 2326   [phone]      

Website: www.riotinto.com