Interim Results

Antofagasta PLC
4 September 2001


                               ANTOFAGASTA PLC


4 September 2001


                         Interim Results Announcement

                    For The Six Months Ended 30 June 2001



HIGHLIGHTS

Revenues of US$342.6 million (2000 - US$316.2 million).

Operating cash flow of US$129.7 million (2000 - US$91.4 million).

Profit before tax of US$50.6 million (2000 - US$100.0 million).*

Earnings per share of 14.4 cents (2000 - 36.4 cents).*

Interim dividend of 7.25 cents per share (5.0170 pence) (2000 - 4.92 cents per
share (3.25 pence)).

  *2000 half year included a dividend of US$31.3 million received from Quinenco
   S.A., which contributed 15.9 cents to earnings per share.  No dividend income
   from Quinenco was received in 2001.


The Group increased copper production by 16 per cent from 167,700 tonnes in
the first half of 2000 to 193,900 tonnes in this period, boosted by increased
output from Los Pelambres.  Group weighted average cash costs remained low at
41.0 cents per pound (2000 first half - 39.2 cents), while results were
affected by lower copper prices in the period and their effect on
provisionally-priced sales of concentrates.  The average LME copper price in
the period was 77.6 cents per pound (2000 first half - 80.2 cents).  No
dividend income was received from Quinenco S.A. (2000 half year - US$31.3
million).

Construction at El Tesoro is now complete, with 9,000 tonnes of cathodes
produced to June.  El Tesoro is expected to produce 41,300 tonnes of cathodes
this year rising to 85,000 tonnes in 2002.

Mr. Jean-Paul Luksic, CEO of the mining division, commented, 'Costs remain
among the lowest in the industry and cash flow remains strong. Group copper
production this year will exceed  400,000 tonnes, with higher output from Los
Pelambres and El Tesoro now in production.'


Antofagasta is a Chilean-based mining Group listed in the United Kingdom.  In
addition to copper mining, its interests include rail and road transport
operations and a 33.6% interest in Quinenco S.A. (LQ - NYSE).


Enquiries - London                        Enquiries - Santiago

Antofagasta plc                           Antofagasta Minerals S.A.
Tel: [phone]                     Tel [phone]
                                          Alejandro Rivera

Philip Adeane                             Chief Financial Officer
Managing Director                         Email: [e-mail]
Email: [e-mail]

                                          Issued by Bankside Consultants Ltd
Hussein Barma                             Keith Irons
Chief Financial Officer                   Email: [e-mail]
Email: [e-mail]           Tel:  [phone]



DIRECTORS' COMMENTS for the half year to 30 June 2001

The Group increased copper production by 16 per cent from 167,700 tonnes in
the first half of 2000 to 193,900 tonnes  in this period, boosted by increased
output from Los Pelambres.  Group weighted average cash costs were 41.0 cents
(2000 half year - 39.2 cents) while the LME copper price averaged 77.6 cents
compared with 80.2 cents in the first six months of last year.  The El Tesoro
mine, which was being developed in the first half of this year, produced 9,000
tonnes of cathodes to 30 June during its commissioning period and is now
built.  Group profit before tax was US$50.6 million compared with US$100.0
million in the same period last year, when a substantial dividend of US$31.3
million was received from the Group's investment in Quinenco.  Earnings per
share were 14.4 cents compared with 36.4 cents (20.5 cents excluding the
Quinenco dividend) in the first half of 2000.


Interim Review of Operations

Los Pelambres

Following optimisation of production at Los Pelambres in the second half of
2000, processing levels at the 60 per cent-owned mine increased by 15 per cent
to an average of 100,500 tonnes per day ('tpd') in the first six months of
this year compared to 87,400 tpd in the same period last year.  These higher
processing levels combined with improved ore grades increased production to
170,000 tonnes of payable copper in concentrates compared with 141,200 tonnes
to 30 June 2000, while cash costs averaged 37.0 cents per pound compared to
35.4 cents to 30 June last year.  The cash costs reflected higher treatment
and refining charges (TC/RCs) and a higher stripping ratio in the current
phase of the mine plan, together with unscheduled repairs to the grinding
lines and conveyor belts in February.  Total costs (including depreciation and
financial expenses) reduced to 57.4 cents compared with 60.7 cents to June
2000, helped by lower interest costs and increased production.

Los Pelambres shipped 165,500 tonnes of payable copper in the period, compared
with 128,200 tonnes in the six months to June 2000.  Tonnages shipped in any
period may differ from tonnages produced because of loading schedules.
Revenues at Los Pelambres in the period were US$269.2 million (2000 half year
- US$238.9 million).  In line with industry practice, copper concentrate sales
agreements generally provide for provisional pricing at the time of shipment
with final pricing settlement based on the average LME copper price for
specified future periods.  Copper revenues on provisionally priced tonnages
are adjusted monthly until final settlement.  Sales volumes are also adjusted
based on the final metallurgical content of the concentrate.  Revenues in the
six months to 30 June 2001 included adverse adjustments to sales of
concentrates open at 31 December 2000 totalling US$16.2 million, affecting
profit after tax and minorities by US$8.3 million (equivalent to 4.2 cents
earnings per share).  At 30 June 2001, copper sales totalling 79,500 tonnes
remained to be finally priced, and were recorded at that date at an average
price of 70.8 cents.  A one cent change in the average price realised for
these provisionally-priced tonnes would have an approximate effect on revenues
in the second half of US$1.8 million and on profit after tax and minorities of
US$0.9 million (equivalent to 0.5 cents earnings per share).

In addition to on-going interest payments, Los Pelambres reduced its project
borrowings with a further principal repayment in June of US$43.7 million.  Of
the US$946 million originally drawn down to finance the development, US$835
million now remains outstanding.  In May, Los Pelambres declared a dividend of
US$43.7 million which it paid to its shareholders in July, increasing total
distributions since the start of the project to US$152.1 million.

A temporary pebble crusher was installed in July in order to improve capacity.
Results so far have been positive and this should enable ore throughput to
be sustained at up to 110,000 tpd.  Los Pelambres is expected to meet its
forecast production of 350,000 tonnes of copper this year - an increase of 17
per cent over 2000.  An investment of approximately US$24 million, to install
a permanent pebble crusher alongside the grinding lines and to increase the
cyclones capacity, has been approved.  The crusher is expected to be
operational by August 2002 and will increase ore processing levels from
113,000 tpd in 2002 up to 121,000 tpd in 2004 and will maintain an average of
114,000 tpd over the mine plan.  This initial step will not preclude further
expansions which are now being studied.



El Tesoro

Construction of the El Tesoro mine, which is 61 per cent owned by the Group,
has now been completed.  Heap-leaching of ore began in March this year and El
Tesoro produced its first 1,100 tonnes of cathodes by the end of April,
approximately three weeks ahead of schedule.  Ore grades and recoveries are in
line with expectations.  During the commissioning period to the end of June,
El Tesoro produced a total of 9,000 tonnes of cathodes, and made initial
shipments of 2,350 tonnes. El Tesoro will enter the operational phase in the
second half of this year.  At 30 June, US$271 million of the total US$296
million budget had been spent and total eventual development costs are
expected to be approximately US$4 million under budget.  At 30 June, US$181.5
million had been drawn down from the US$205 million financing facilities.
These borrowings will become non-recourse when the project achieves completion
and principal repayments are expected to begin from August 2002.

El Tesoro is a heap-leach SX-EW operation with a 21-year mine life and is
expected to produce 41,300 tonnes of cathodes this year, rising to 85,000
tonnes in 2002.  Cash costs are expected to average 40 cents in the first five
years, which places the El Tesoro mine among the world's lowest cost
producers.


Michilla

Cathode production to June was 23,800 tonnes compared with 25,400 tonnes in
the first half of 2000.  Both sulphide and oxide ores are being treated at the
SX-EW plant.  The marginal decrease in cathode production was caused by lower
ore grades under the current mine plan, and by a fault in one of the
transformers at the electro-winning plant in February.  Cash costs at Michilla
increased to 69.4 cents per pound in 2001 compared to 59.4 cents in the same
period last year and was mainly due to lower grades and higher stripping costs
during the current mine plan, together with lower production levels because of
the transformer fault.  Total costs were 89.4 cents compared to 78.8 cents  in
the same period last year.  Michilla made an operating loss of US$6.3 million
(2000 half year - loss of US$1.5 million), before incurring costs of US$0.6
million as part of its exploration programme.



Exploration

The Group spent US$3.1 million in the six months to June 2001 on its
exploration programmes in Chile and Peru.

In Chile, the main focus is on the Esperanza deposit located 5 kilometres from
the El Tesoro open pit.  The results of the drilling programme completed in
May were positive, and Esperanza is estimated to have reserves of 268 million
tonnes of sulphides with an average copper grade of 0.70 per cent and 0.33 g/t
of gold, and 70 million tonnes of oxides with an average grade of 0.42 per
cent.  Engineering studies are now being carried out and the potential for
developing an open pit mine is good.  The Group announced in April that it had
acquired a 51 per cent interest in a number of exploration properties located
in Chile's Second Region.  The most significant properties are located in the
Sierra Gorda and El Abra districts along the West Fissure, which is recognised
as one of the most prolific copper districts in the world.  A drilling
programme has been completed at Centinela, which is located 35 kilometres
south of El Tesoro, and the results are now being studied.  Both Esperanza and
Centinela could provide low cost ore for any future expansion of the Group's
activities in the district.  Michilla's 60,000 metre drilling programme
continued.

In Peru, the 14,000 metre (Phase 3) drilling programme at Magistral has been
completed with results due in mid-September.  Current estimates indicate an
inferred resource of 190 million tonnes with a copper grade of 0.83 per cent
and a molybdenum grade of 0.062 per cent.  Under the terms of the
option agreement, the Group now has a 51 per cent interest in this project
subject to an internal review by its partner Inca Pacific.



Railway and other transport services

Rail tonnages were maintained at 1.9 million tons (2000 half year - 1.9
million tons) and turnover increased from US$33.9 million to US$34.3 million,
mainly due to continued growth in road transport and ancillary services.  A
ten year freight agreement has been concluded with El Tesoro.  The Railway
will transport approximately 85,000 tonnes of cathodes to the Pacific port and
deliver 180,000 tons of sulphuric acid a year to the mine when it is in full
production.  Rail tonnages are expected to increase in 2002 as a result of
other expansions in the Antofagasta region, and additional locomotives and
rolling stock have been acquired to provide for additional tonnage.



Investments

The Group holds a 33.6 per cent interest in Quinenco S.A., a diversified
industrial and financial group listed in Santiago and New York and the market
value of the Group's investment at 30 June was US$274.0 million.  Income from
Quinenco is accounted for on a dividends received basis.  During 2000,
Quinenco's results were affected by a restructuring programme at Madeco and a
net loss on the sale of Quinenco's food operations in Argentina.  Quinenco
reported a net loss of US$9.8 million and did not declare a dividend this
year.  Last year, the Group received a dividend of US$31.3 million due to
significant gains realised by Quinenco in 1999 through the sale of its banking
and cable television interests.

In the six months to June of this year, Quinenco reported a profit after tax
and minorities of US$36.3 million, including a profit of US$37.4 million on
the sale of part of its investment in Entel S.A.  This compared with a loss
after tax of US$12.6 million to June 2000.  In March, Quinenco acquired
control of Banco de Chile and  in August announced it would merge Banco de
Chile with its other subsidiary, Banco Edwards, by 2 January 2002.  The
planned merger is subject to approval by the banking authorities and
shareholders of both banks.  Quinenco will have a 52.2 per cent interest in
the merged entity, which will be the largest banking group in Chile.



Dividends

An interim dividend of 7.25 cents (2000 interim - 4.92 cents) will be paid on
12 October 2001 to ordinary shareholders on the Register at the close of
business on 14 September 2001.  Dividends may be paid in either US dollars or
sterling, and shareholders who receive dividends in sterling will be paid an
interim dividend of 5.0170 pence per share, based on an exchange rate of £1=
US$1.4451.  Further details are given in Note 9 to the Interim Results.



Current trading prospects

Base metal prices have been severely affected as the slowdown in the United
States has now taken on many of the characteristics of a recession and has
spread to Europe and Asia.  Although demand from China remains strong, global
consumption of copper has weakened and LME inventories have increased from
357,000 tonnes at the beginning of the year to 667,000 tonnes on  28 August,
reversing the trend in declining inventory levels seen in 2000.  Most
commodity analysts now expect the market to remain in surplus this year.
Copper prices averaged 77.6 cents in the first half of this year, and have
since traded in a range of 65 to 70 cents and any significant recovery will
depend on increased demand worldwide.  The Group, as one of the lowest cost
producers in the industry, is well placed to benefit from any improvement in
prices.


4  September 2001



FINANCIAL COMMENTARY FOR THE HALF YEAR TO 30 JUNE 2001


Results

Turnover increased from US$316.2 million to US$342.6 million. Turnover from
the mining division was US$308.3 million (2000 half year - US$282.3 million)
which included US$269.2 million (2000 half year - US$238.9 million) from Los
Pelambres.  The increase resulted  mainly from higher production at Los
Pelambres offset by lower copper prices.  As explained above, these revenues
also included adjustments of US$16.2 million relating to concentrate sales
open at 31 December 2000.  Turnover from the transport division was US$34.3
million (2000 half year - US$33.9 million).

Operating profits were US$77.4 million (2000 half year - US$92.1 million),
including US$80.3 million (2000 half year - US$88.4 million) in respect of Los
Pelambres.  The decrease in operating profits resulted from a combination of
lower copper prices and marginally increased cash costs and the effect of
adjustments to prior year concentrate sales, partly compensated by increased
production volumes.  Operating profit is stated after depreciation and the
loss on disposal of fixed assets, giving EBITDA (earnings before interest,
tax, depreciation and amortisation) of US$136.2 million (2000 half year -
US$149.6 million).

Income from fixed asset investments was US$0.1 million, compared with US$31.4
million in the 2000 half year when a dividend of US$31.3 million was received
from Quinenco.

During the six months to 2000, the Group sold surplus mining assets resulting
in a profit of US$3.9 million (US$3.3 million after tax) which was disclosed
separately as an exceptional item.

Net interest expense was US$26.9 million, compared with net expense of US$27.4
million in the 2000 half year.  This included interest costs of US$34.6
million (2000 half year - US$36.5 million) relating to Los Pelambres.
Interest costs in El Tesoro were capitalised in the period as the project
remained under development, but future interest costs will be expensed after a
commercial level of operations has been achieved.  This is expected in the
second half of this year.

As a result of these factors profit before tax for the period was US$50.6
million compared to US$100.0 million (US$68.7 million excluding the Quinenco
dividend) in the first six months of 2000, and earnings per share were 14.4
cents compared with 36.4 cents (20.5 cents excluding the Quinenco dividend)
for the corresponding period last year.

Tax amounted to US$8.4 million (2000 half year - US$10.4 million),
representing an effective tax rate (including deferred tax) of 16.6 per cent
(2000 half year - 10.4 per cent), compared with the statutory Chilean tax rate
of 15 per cent.  The lower tax rate in the previous period arose mainly
because the dividend from Quinenco was paid out of its post-tax profits and
was not subject to further tax on receipt.



Cash Flows

Net cash inflow from operating activities was US$129.7 million in the first
six months of 2001 compared with US$91.4 million in the same period last year.
Net cash inflow this period was affected by the build-up of stocks as part
of the El Tesoro start-up, and in the 2000 half year net cash inflow was
affected by the build-up of stocks and debtors as part of the Los Pelambres
start-up.

Net capital expenditures in the period were US$82.6 million, of which US$37.7
million related to the El Tesoro development.  Net capital expenditure in the
2000 half year was US$165.8 million when El Tesoro remained under development
and final construction costs at the Los Pelambres project were incurred.



Cash and debt

At 30 June 2001, the Group had cash and deposits of US$236.1 million (2000 -
US$344.4 million).  This includes US$26.8 million held by El Tesoro to fund
the remainder of its development costs.   After taking into account the
minority share of the non-wholly owned operations, the Group's share of the
total balance at this half year was US$205.1 million.

Total Group debt at 30 June 2001 was US$1,085.3 million (2000 - US$1,162.7
million); of this, US$633.8 million is proportionally attributable to the
Group after taking the minority share of partly-owned operations into account.
The total Group borrowings included US$835.0 million under the Los Pelambres
non-recourse project financing arrangements of which 40 per cent is
attributable to minority shareholders and US$181.5 million under the El Tesoro
project financing arrangements of which 39 per cent is attributable to
minority shareholders.  The El Tesoro borrowings will become non-recourse when
that project satisfies its completion test.



Balance Sheet

Shareholders' funds increased from US$948.5 million at the beginning of the
year to US$961.6 million, reflecting mainly profit after tax and minorities
for the period.

Minority interests decreased from US$292.8 million at the beginning of the
year to US$289.2 million, principally reflecting the excess of the minority's
share of dividend declared by Los Pelambres over the minority's share  of
profit after tax in the period.



Group Profit and Loss Account


                              US Dollars                    Sterling

               Notes Unaudited  Unaudited Audited Unaudited  Unaudited  Audited
                          half       half    year      half      half      year
                       year to    year to      to   year to   year to        to
                       30.6.01    30.6.00 31.12.00  30.6.01   30.6.00  31.12.00
                         US$'m      US$'m    US$'m      £'m       £'m       £'m

Turnover           3      342.6     316.2   766.1      237.8     201.8   505.4

Operating        3,4       77.4      92.1   246.0       53.7      58.7   162.4
profit

Profit on          5          -       3.9     4.1          -       2.5     2.7
disposal of                                 
fixed assets
(exceptional)
Income from                 0.1      31.4    31.5        0.1      20.0    20.1
other fixed
asset investments
Net interest       6     (26.9)    (27.4)  (58.3)     (18.7)    (17.4)  (38.4)
payable
Profit before              50.6     100.0   223.3       35.1      63.8   146.8
tax


Tax              5,7      (8.4)    (10.4)  (29.0)      (5.8)     (6.6)  (19.1)

Profit after               42.2      89.6   194.3       29.3      57.2   127.7
tax
Minority                 (13.7)    (17.7)  (56.1)      (9.5)    (11.3)  (37.0)
interests -
equity
Profit for the             28.5      71.9   138.2       19.8      45.9    90.7
financial
period
Dividends

Preference -              (0.1)     (0.1)   (0.2)      (0.1)     (0.1)   (0.1)
non equity


Ordinary  -        9     (14.3)     (9.7)  (73.7)      (9.9)     (6.4)  (50.8)
equity
Retained                   14.1      62.1    64.3        9.8      39.4    39.8
profit
Earnings per       8      14.4c     36.4c   70.0c      10.0p     23.2p   45.9p
share
Dividends per      9      7.25c     4.92c  37.37c      5.02p     3.25p  25.75p
ordinary share



Turnover and profit are derived from continuing operations.

The final dividend in 2000 included a special dividend of 18.03 cents (12.5
pence) per share.


Other recognised gains and losses

Other recognised gains and losses in the period (translation differences)
amounted to a gain of  US$14.8 million (£29.5 million; 2000 half year - a gain
of US$15.0 million; £24.1 million), and are shown in Note 14 together with
other movements in shareholders' funds.



Group Balance Sheet

                                US Dollars                   Sterling

                        Unaudited Unaudited Audited Unaudited Unaudited Audited
                          30.6.01   30.6.00 31.12.00  30.6.01   30.6.00 31.12.00
                           US$'m     US$'m    US$'m     £'m       £'m      £'m

                  Notes

Fixed assets
Tangible fixed    10      1,954.2   1,799.5 1,926.7   1,383.1   1,186.0 1,286.8
assets

Other investments 11        185.6     185.8   185.5     108.2     108.3   108.2

                          2,139.8   1,985.3 2,112.2   1,491.3   1,294.3 1,395.0
Current assets

Stocks                       61.0      52.8    41.6      43.4      34.9    27.8
Debtors                      81.6     115.5   110.1      58.0      76.3    73.7
Current asset               233.7     338.8   297.1     166.2     223.8   198.9
investments (including
time deposits)
Cash at bank and              2.4       5.6     3.0       1.7       3.7     2.0
in hand
                            378.7     512.7   451.8     269.3     338.7   302.4
Creditors - amounts
falling due within one
year
Trade and other            (89.4)    (67.8)  (87.1)    (63.6)    (44.7)  (58.3)
creditors
Loans            12        (90.9)   (122.4)  (92.2)    (64.6)    (80.9)  (61.7)
Dividends                  (14.3)     (9.7)  (64.0)     (9.9)     (6.4)  (44.4)
                          (194.6)   (199.9) (243.3)   (138.1)   (132.0) (164.4)
Net current                 184.1     312.8   208.5     131.2     206.7   138.0
assets
Total assets              2,323.9   2,298.1 2,320.7   1,622.5   1,501.0 1,533.0
less current
liabilities
Creditors -
amounts falling
due after more
than one year
Other creditors            (26.0)    (30.0)  (28.5)    (18.6)    (19.8)  (19.1)
Loans            12       (994.4) (1,040.3)(1,003.5)  (707.0)   (687.1) (671.8)
Provisions for   13        (52.7)    (30.4)  (47.4)    (37.5)    (20.1)  (31.6)
liabilities and
charges
                          1,250.8   1,197.4 1,241.3     859.4     774.0   810.5

Capital and reserves

Called up share              16.7      18.0    17.7      11.9      11.9    11.9
capital
Share premium               238.3     256.5   253.1     169.4     169.4   169.4
Reserves                    706.6     672.5   677.7     472.5     427.3   433.2
Shareholders'    14         961.6     947.0   948.5     653.8     608.6   614.5
funds
Minority                    289.2     250.4   292.8     205.6     165.4   196.0
interests
                          1,250.8   1,197.4 1,241.3     859.4     774.0   810.5


Approved by the Board of Directors on 4 September 2001, P J Adeane, Director.


Group Cash Flow Statement

                              US Dollars                    Sterling

               Notes   Unaudited Unaudited Audited Unaudited Unaudited   Audited
                            half      half    year      half      half      year
                         year to   year to      to   year to   year to        to
                         30.6.01   30.6.00 31.12.00  30.6.01   30.6.00  31.12.00
                           US$'m     US$'m    US$'m      £'m       £'m       £'m

Net cash inflow   15        129.7      91.4   326.6      90.0      58.3   215.4
from operating
activities
Returns on investment
and servicing of
finance
Dividends received from       0.1      31.4    31.5       0.1      20.0    20.1
other fixed asset
investments
Interest received             8.5      13.5    22.3       5.9       8.6    14.7
(including capitalised
interest)
Interest paid              (40.7)    (35.5)  (86.0)    (28.2)    (22.7)  (56.7)
(including capitalised
interest)
Dividends paid to           (1.1)     (4.1)  (10.2)     (0.8)     (2.6)   (6.7)
minority interests
Preference dividends        (0.1)     (0.1)   (0.2)     (0.1)     (0.1)   (0.1)
paid

Net cash inflow/           (33.3)       5.2  (42.6)    (23.1)       3.2  (28.7)
(outflow) from returns
on investment and
servicing of finance
Tax (paid)/                 (1.3)     (1.6)     1.1     (0.9)     (1.0)     0.7
recovered
Net cash outflow from      (82.6)   (165.8) (314.5)    (57.4)   (105.8) (207.5)
capital expenditure and
financial investment
Acquisitions and
disposals
Net cash balances               -       0.9     0.9         -       0.5     0.5
acquired with
subsidiary
Equity dividends           (63.7)    (17.2)  (26.6)    (44.2)    (11.3)  (17.7)
paid
Cash outflow before        (51.2)    (87.1)  (55.1)    (35.6)    (56.1)  (37.3)
management of liquid
resources
Management of liquid
resources
Net decrease/                64.2     (1.9)    40.2      44.6     (1.3)    26.5
(increase) in
time deposits
Financing
Contribution from               -       7.9     8.0         -       5.1     5.3
minority interests
Net (repayments)           (12.6)      86.7     9.8     (8.7)      55.3     6.4
/ borrowings in
period
Net cash (outflow)/        (12.6)      94.6    17.8     (8.7)      60.4    11.7
inflow from financing
Net cash inflow      16       0.4       5.6     2.9       0.3       3.0     0.9
in the period



Notes

1.           Reporting currency and accounting policies

a)             Reporting currency

The functional reporting currency of the Group is US dollars, the principal
currency in which the Group operates and in which assets and liabilities are
held. These interim results have additionally been presented in sterling on a
supplementary basis. Share capital remains denominated in sterling and, for
the purposes of reporting in US dollars, share capital and share premium are
translated at the period end rate of exchange. As explained in Note 9,
dividends may be paid in either US dollars or sterling.

b)          Accounting policies

The profit and loss account, balance sheet and cash flow statement for the
half year to 30 June 2001 have been prepared on the basis of the accounting
policies set out in the Group's statutory accounts for the year to 31 December
2000.

2.          Production (neither audited nor reviewed by the auditors)

The Group announced  second quarter production volumes and cash costs on 31
July 2001.  Production information on current mining operations for the first
six months may be summarised as follows:



a)         Tonnes of copper produced (neither audited nor reviewed by the
           auditors)
                                     Half year to     Half year to       Year to
                                        30.6.01          30.6.00        31.12.00
                                         '000             '000            '000 
                                        tonnes            tonnes         tonnes 
Los Pelambres
Payable copper in concentrate            170.0            141.2           298.9

Michilla
Copper cathodes                           23.9             25.4            51.1
Payable copper in concentrate                -              1.1             1.1

Group total                              193.9            167.7           351.1



El Tesoro remained under development in the first six months of the year,
producing 9,000 tonnes of cathodes during the commissioning period in the
second quarter.  This production has not been included in the Group figures
above relating to current operations.



b)      Cash costs per pound (neither audited nor reviewed by the
        auditors)
                                     Half year to       Half year to    Year to
                                       30.6.01             30.6.00      31.12.00
                                        cents               cents        cents

Los Pelambres                            37.0                35.4          35.6
Michilla                                 69.4                59.4          59.8

Group weighted average                   41.0                39.2          39.2



Cash costs are a measure of the cost of operational production expressed in
terms of cents per pound of payable copper produced. Cash costs exclude
depreciation, financial income and expenses, exchange gains and losses and
corporation tax.


3.         Segmental analysis

 a)        Turnover by geographical destination

                              US Dollars                    Sterling

                     Unaudited Unaudited Audited  Unaudited  Unaudited   Audited
                          half     half     year       half       half      year
                       year to  year to       to    year to    year to        to
                       30.6.01  30.6.00 31.12.00    30.6.01    30.6.00  31.12.00
                         US$'m    US$'m    US$'m        £'m        £'m       £'m

UK                        2.9       1.0     5.7           2.0       0.6     3.7

Rest of                  83.1      61.4   169.1          57.7      39.2   111.6
Europe

Chile                    30.7      33.0    78.2          21.3      21.1    51.6

Rest of                  22.9      28.4    54.9          15.9      18.1    36.2
Latin America

North                    23.3       9.4    38.4          16.2       6.0    25.4
America

Asia                    179.7     183.0   419.8         124.7     116.8   276.9
Pacific / other

                        342.6     316.2   766.1         237.8     201.8   505.4



b)        Turnover and operating profit by class of business and geographical
          location

          Operations are based in Latin America. Turnover and operating
          profit can be analysed as follows:


                              US Dollars                    Sterling

                   Unaudited  Unaudited Audited   Unaudited  Unaudited   Audited
                        half       half    year        half       half      year
                     year to    year to      to     year to    year to        to
                     30.6.01    30.6.00 31.12.00    30.6.01    30.6.00  31.12.00
                       US$'m      US$'m    US$'m        £'m        £'m       £'m

Turnover

Mining                 308.3     282.3   696.1         214.0     180.1   459.2
Railway and             34.3      33.9    70.0          23.8      21.7    46.2
other
transport
services
                       342.6     316.2   766.1         237.8     201.8   505.4
Operating
profit

Mining                  66.1      80.3   224.9          45.9      51.3   148.3
Railway and             11.3      11.8    21.1           7.8       7.4    14.1
other transport
services
                        77.4      92.1   246.0          53.7      58.7   162.4




4.         Operating profit

                              US Dollars                    Sterling

                     Unaudited Unaudited Audited   Unaudited  Unaudited  Audited
                          half      half    year        half      half      year
                       year to   year to      to     year to   year to        to
                       30.6.01   30.6.00 31.12.00    30.6.01   30.6.00  31.12.00
                         US$'m     US$'m    US$'m        £'m       £'m       £'m

Turnover (see            342.6     316.2   766.1        237.8     201.8   505.4
note below)
Cost of sales          (223.7)   (180.8) (418.9)      (155.3)   (115.4) (276.2)
Gross profit             118.9     135.4   347.2         82.5      86.4   229.2
Administrative          (37.5)    (40.4)  (88.7)       (26.0)    (25.8)  (58.5)
expenses
Closure                  (0.5)         -   (1.0)        (0.3)         -   (0.7)
provision
Severance                (0.5)     (0.6)   (2.7)        (0.3)     (0.4)   (1.8)
charges
Exploration              (3.1)     (2.4)   (8.3)        (2.2)     (1.5)   (5.5)
costs
Other net
operating
income/                    0.1       0.1   (0.5)            -         -   (0.3)
(expenditure)
Operating                 77.4      92.1   246.0         53.7      58.7   162.4
profit



Depreciation charges amounted to US$52.6 million (£36.5 million; 2000 half
year - US$54.6 million; £34.9 million).  Of this amount, US$47.8 million
(£33.2 million; 2000 half year - US$46.3 million; £29.6 million) is included in
cost of sales and US$4.8 million (£3.1 million; 2000 half year - US$8.3
million; £5.3  million) is included in administrative expenses.



In line with industry practice, copper concentrate sales agreements generally
provide for provisional pricing at the time of shipment with final pricing
settlement based on the average LME copper price for specified future periods.
Copper revenues on provisionally priced tonnages are adjusted monthly until
final settlement.  Sales volumes are also adjusted based on the final
metallurgical content of the concentrates.  Revenues in the six months to 30
June 2001 included adjustments to sales of concentrates open at 31 December
2000 totalling US$16.2 million.



5.           Non-operating exceptional items

                              US Dollars                    Sterling

                     Unaudited  Unaudited Audited Unaudited  Unaudited  Audited
                          half       half    year      half      half      year
                       year to    year to      to   year to   year to        to
                       30.6.01    30.6.00 31.12.00  30.6.01   30.6.00  31.12.00
                         US$'m      US$'m    US$'m      £'m       £'m       £'m

      Profit on
      disposal of
      fixed assets             -       3.9     4.1          -       2.5     2.7
      at El Chacay                             

      Tax effect               -     (0.6)   (0.6)          -     (0.4)   (0.4)

                               -       3.3     3.5          -       2.1     2.3



6.         Net interest payable


                              US Dollars                    Sterling

                     Unaudited Unaudited  Audited  Unaudited Unaudited  Audited
                          half     half      year       half      half     year
                       year to  year to        to    year to   year to       to
                       30.6.01  30.6.00  31.12.00    30.6.01   30.6.00 31.12.00
                         US$'m    US$'m     US$'m        £'m       £'m      £'m

Interest                  8.1       9.7       21.0       5.6       6.2    13.9
receivable

Interest               (34.9)    (36.8)     (80.5)    (24.2)    (23.4)  (53.1)
payable

Foreign                   0.3         -          -       0.2         -       -
exchange

Discount                (0.4)     (0.3)        1.2     (0.3)     (0.2)     0.8
charge relating to
provisions
                       (26.9)    (27.4)     (58.3)    (18.7)    (17.4)  (38.4)



In addition to the above, interest payable capitalised in the period amounted
to US$8.4 million (£5.9 million; 2000 half year - US$5.8 million; £3.7
million) and interest receivable credited against fixed assets amounted to
US$0.5 million (£0.3 million; 2000 half year - US$2.5 million; £1.6 million).
These amounts related to the El Tesoro development.



7.        Tax

The tax charge of US$8.4 million (£5.8 million; 2000 half year - US$10.4
million; £6.6 million) represents an effective rate of 16.6 per cent (2000
half year - 10.4 per cent) on profit before tax, as compared with the Chilean
statutory tax rate of 15 per cent.  The lower effective tax rate in 2000 arose
principally because the dividend of US$31.3 million (£19.9 million) received
from Quinenco was paid out of Quinenco's post-tax profits and was not subject
to further tax on receipt.



8.        Earnings per share

Earnings per share is calculated on profit after tax, minority interest and
preference dividends giving earnings of US$28.4 million (£19.7 million; 2000
half year - US$71.8 million; £45.8 million) and based on 197,171,339 (2000
half year - 197,171,339) ordinary shares in issue throughout the period.



9.        Dividends

Dividends are now declared in US dollars but may be paid in either dollars or
sterling.  Shareholders on the register of members with an address in the
United Kingdom receive dividend payments in sterling, unless they elect to be
paid in dollars. All other shareholders are paid by cheque in dollars, unless
they have previously instructed the Company's registrar to pay dividends by
bank transfer to a sterling bank account, or they elect for payment by cheque
in sterling. The Company's registrar must receive any such election before the
record date of 14 September 2001.



The Board has declared an interim dividend of 7.25 cents per ordinary share
for payment on 12 October 2001 to shareholders on the Register at the close of
business on 14 September 2001.  Dividends are declared and paid gross. The
exchange rate to be applied for the conversion of dividends will be £1 =
US$1.4451, giving a dividend for those shareholders who will be paid in
sterling an interim dividend of 5.0170 pence per ordinary share.  In 2000, the
Board declared an interim dividend of 3.25 pence per share, equivalent to a
dividend of 4.92 cents based on the exchange rate at 30 June 2000.






10.      Tangible fixed assets

                                                       US Dollars

                                                         Railway
Net book value                                          and other
                                      Mining            transport         Total
                                       US$'m              US$'m           US$'m

1 January 2001 (audited)                1,810.8            115.9        1,926.7
Additions                                  79.2             10.0           89.2
Transfer to stocks                            -            (2.5)          (2.5)
Disposals                                 (3.2)            (3.0)          (6.2)
Depreciation                             (48.2)            (4.4)         (52.6)
Exchange                                    0.2            (0.6)          (0.4)
30 June 2001 (unaudited)                1,838.8            115.4        1,954.2



                                                        Sterling

                                                         Railway
Net book value                                          and other
                                      Mining            transport         Total
                                        £'m                £'m             £'m

1 January 2001 (audited)                1,212.2             74.6        1,286.8
Additions                                  55.0              6.9           61.9
Transfer to stocks                            -            (1.7)          (1.7)
Disposals                                 (2.2)            (2.1)          (4.3)
Depreciation                             (33.5)            (3.0)         (36.5)
Exchange                                   75.9              1.0           76.9
30 June 2001 (unaudited)                1,307.4             75.7        1,383.1





11.      Other investments

                                                           US$'m          £'m

1 January 2001 (audited)                                   185.5         108.2

Additions                                                    0.1             -

30 June 2001 (unaudited)                                   185.6         108.2

The above investments are quoted.  The market value of these investments was
US$277.8 million (£197.5 million; 2000 half year - US$357.3 million; £236.6
million).  These investments include a 33.61 per cent interest in Quinenco S.A.


12.       Loans
                              US Dollars                    Sterling

                     Unaudited  Unaudited Audited Unaudited  Unaudited  Audited
                          half       half    year      half      half      year
                       year to    year to      to   year to   year to        to
                       30.6.01    30.6.00 31.12.00  30.6.01   30.6.00  31.12.00
                         US$'m      US$'m    US$'m      £'m       £'m       £'m

Los Pelambres

Loans                 (835.0)   (946.0)    (878.7)   (593.7)   (624.9) (588.2)
Subordinated                -    (31.2)          -         -    (20.6)       -
debt

El Tesoro

Loans                 (181.5)    (70.5)    (149.5)   (129.0)    (46.6) (100.0)
Subordinated           (37.9)    (98.9)     (36.2)    (26.9)    (65.3)  (24.2)
debt
                     
Finance leases         (17.5)         -     (15.0)    (12.4)         -  (10.1)

Michilla

Finance                 (1.9)     (1.1)      (2.1)     (1.4)     (0.7)   (1.4)
leases
               
Loans                       -     (0.1)      (0.1)         -     (0.1)   (0.1)
Railway and
other transport
services

Loans                  (11.5)    (14.9)     (14.1)     (8.2)     (9.8)   (9.5)

                    (1,085.3) (1,162.7)  (1,095.7)   (771.6)   (768.0) (733.5)




Maturity of loans:
                              US Dollars                    Sterling

                    Unaudited Unaudited Audited  Unaudited  Unaudited  Audited
                         half      half    year       half      half      year
                      year to   year to      to    year to   year to        to
                      30.6.01   30.6.00 31.12.00   30.6.01   30.6.00  31.12.00
                       US$'m     US$'m    US$'m        £'m       £'m       £'m

Due                   (90.9)   (122.4)    (92.2)     (64.6)    (80.9)  (61.7)
within one year

Due after            (994.4) (1,040.3) (1,003.5)    (707.0)   (687.1) (671.8)
more than one year
                   (1,085.3) (1,162.7) (1,095.7)    (771.6)   (768.0) (733.5)



13.      Provisions for liabilities and charges

                                                   US Dollars
                                    Decommis-
                                     sioning
                                     and site
                                  rehabilitation    Severance    Deferred
                                                   indemnities     tax    Total
                                      US$'m           US$'m       US$'m   US$'m

1 January 2001 (audited)                   (5.3)        (8.9)     (33.2) (47.4)
Charge to operating profit in              (0.5)        (0.5)          -  (1.0)
period
Release of discount to net                 (0.2)        (0.2)          -  (0.4)
interest in period
Charge to tax on profit in period              -            -      (5.7)  (5.7)
Utilised in period                             -          0.4          -    0.4
Capitalised in period                          -            -        0.5    0.5
Exchange                                       -          0.4        0.5    0.9
30 June 2001 (unaudited)                   (6.0)         (8.8)    (37.9) (52.7)




                                                    Sterling
                                    Decommis-
                                     sioning
                                     and site
                                  rehabilitation    Severance    Deferred
                                                   indemnities     tax    Total
                                       £'m             £'m         £'m     £'m

1 January 2001 (audited)                   (3.5)           (5.9)   (22.2) (31.6)
Charge to operating profit in              (0.3)           (0.3)        -  (0.6)
period
Release of discount to net                 (0.1)           (0.2)        -  (0.3)
interest in period
Charge to tax on profit in period              -               -    (4.0)  (4.0)
Utilised in period                             -             0.3        -    0.3
Capitalised in period                          -               -      0.3    0.3
Exchange                                   (0.4)           (0.2)    (1.0)  (1.6)
30 June 2001 (unaudited)                   (4.3)           (6.3)   (26.9) (37.5)




14.         Reconciliation of movements in shareholders' funds

                              US Dollars                    Sterling

                      Unaudited  Unaudited Audited Unaudited  Unaudited  Audited
                           half       half    year      half      half      year
                        year to    year to      to   year to   year to        to
                        30.6.01    30.6.00 31.12.00  30.6.01   30.6.00  31.12.00
                          US$'m      US$'m    US$'m      £'m       £'m       £'m

Profit for the              28.5      71.9   138.2       19.8      45.9    90.7
financial period
Other recognised
gains relating to
the period
Currency                    14.8      15.0    18.0       29.5      24.1    29.6
translation
adjustment
Total recognised            43.3      86.9   156.2       49.3      70.0   120.3
gains and losses
Dividends                 (14.4)     (9.8)  (73.9)     (10.0)     (6.5)  (50.9)

                            28.9      77.1    82.3       39.3      63.5    69.4

Exchange movement         (15.8)    (17.4)   (21.1)          -         -       -
on sterling                         
denominated share
capital and share
premium
Opening                    948.5     887.3   887.3      614.5     545.1   545.1
shareholders' funds
Closing                    961.6     947.0   948.5      653.8     608.6   614.5
shareholders' funds



15.        Reconciliation of operating profit to net cash inflow from
           operating activities

                              US Dollars                    Sterling

                     Unaudited Unaudited Audited   Unaudited  Unaudited  Audited
                          half      half    year        half       half     year
                       year to   year to      to     year to    year to       to
                       30.6.01   30.6.00 31.12.00    30.6.01    30.6.00 31.12.00
                         US$'m     US$'m   US$'m         £'m       £'m       £'m

Operating                 77.4      92.1   246.0         53.7      58.7   162.4
profit
Depreciation              52.6      54.6   105.9         36.5      34.9    69.7
Loss on                    6.2       2.9     3.0          4.3       1.9     2.0
disposal of
tangible fixed
assets
Increase in             (17.0)    (15.5)   (6.0)       (11.8)     (9.9)   (4.0)
stocks

Decrease/                 27.1    (71.6)  (70.5)         18.8    (45.7)  (46.5)
(increase) in
debtors
(Decrease)/             (16.6)      28.9    48.2       (11.5)      18.4    31.8
increase in
creditors and
provisions
Net cash                 129.7      91.4   326.6         90.0      58.3   215.4
inflow from
operating
activities






16.        Reconciliation of net cash flow to movement in net debt

                              US Dollars                    Sterling

                     Unaudited  Unaudited Audited Unaudited  Unaudited  Audited
                          half       half    year      half      half      year
                       year to    year to      to   year to   year to        to
                       30.6.01    30.6.00 31.12.00  30.6.01   30.6.00  31.12.00
                         US$'m      US$'m    US$'m      £'m       £'m       £'m

Net cash inflow             0.4       5.6     2.9       0.3       3.0       0.9
in the period
Cash outflow/              12.6    (86.7)   (9.8)       8.7    (55.3)     (6.4)
(inflow) from
decrease/
(increase) in debt
Cash (inflow)/           (64.2)       1.9  (40.2)    (44.6)       1.3    (26.5)
outflow from
(decrease)/
increase in
liquid resources
Change in net            (51.2)    (79.2)  (47.1)    (35.6)    (51.0)    (32.0)
debt resulting
from cash flows
Capitalisation of             -         -    10.3         -         -       6.8
subordinated debt
Acquisition                   -       5.1     5.1         -       3.2       3.2
Reclassification              -       3.5     3.5         -       2.2       2.2
Interest accrued          (1.7)     (4.0)   (8.1)     (1.2)     (2.5)     (5.3)
on long-term loan
balances
New leases                (1.5)         -  (16.3)     (1.0)         -    (10.8)
Exchange                    0.8     (4.2)   (3.5)    (33.3)    (33.3)    (37.6)
Movement in net          (53.6)    (78.8)  (56.1)    (71.1)    (81.4)    (73.5)
debt in the
period
Net debt at the         (795.6)   (739.5) (739.5)   (532.6)   (459.1)   (459.1)
beginning of the
period
Net debt at the         (849.2)   (818.3) (795.6)   (603.7)   (540.5)   (532.6)
end of the period



17.         Financial information



The Group's statutory accounts for the year to 31 December 2000 have been
filed with the Registrar of Companies.  The auditors' report on these accounts
was unqualified and did not include a statement under S237 (2) or (3) of the
Companies Act 1985.  The  31 December 2000 profit and loss account, balance
sheet and cash flow statements shown in this interim report are an abridged
version of these statutory accounts. The financial information contained in
this statement does not constitute statutory accounts within the meaning of
S240 of the Companies Act 1985.



18.        Currency translation

Results denominated in foreign currencies have been translated into dollars
and sterling at the average rate for each period.

            Period end rates                        Average rates

   30.6.01    US$1.41 = £1; US$1 = Ch$629       US$1.44 = £1; US$1 = Ch$591
   30.6.00    US$1.51 = £1; US$1 = Ch$539       US$1.57 = £1; US$1 = Ch$515
  31.12.00  US$1.49 = £1; US$1 = Ch$574         US$1.52 = £1; US$1 = Ch$540



19.         Distribution

These results will be sent by first class post to all shareholders on 4
September 2001.  Copies of this report will be available for members of the
public who are not shareholders at the Company's Registered Office, Park
House, 16 Finsbury Circus, London EC2M 7AH.




Independent Review Report to Antofagasta plc

Introduction

We have been instructed by the Company to review the financial information for
the six months ended 30 June 2001 which comprises the profit and loss account,
the balance sheet, the cash flow statement and related notes 1 to 16, with the
exception of Note 2.  We have read the other information contained in the
interim report and considered whether it contains any apparent misstatements
or material inconsistencies with the financial information.



Directors' Responsibilities

The interim report, including the financial information contained therein, is
the responsibility of, and has been approved by, the Directors.  The Directors
are responsible for preparing the interim report in accordance with the
Listing Rules of the Financial Services Authority which require that the
accounting policies and presentation applied to the interim figures should be
consistent with those applied in preparing the preceding annual accounts
except where any changes, and the reasons for them, are disclosed.



Review work performed



We conducted our review in accordance with the guidance contained in Bulletin
1999/4 issued by the Auditing Practices Board for use in the United Kingdom.
A review consists principally of making enquiries of group management and
applying analytical procedures to the financial information and underlying
financial data and based thereon, assessing whether the accounting policies
and presentation have been consistently applied unless otherwise disclosed.  A
review excludes audit procedures such as tests of controls and verification of
assets, liabilities and transactions.  It is substantially less in scope than
an audit performed in accordance with United Kingdom Auditing Standards and
therefore provides a lower level of assurance than an audit.  Accordingly, we
do not express an audit opinion on the financial information.



Review conclusion



On the basis of our review we are not aware of any material modifications that
should be made to the financial information as presented for the six months
ended 30 June 2001.





Deloitte & Touche
Chartered Accountants
Hill House
1 Little New Street
London
EC4A 3TR



4 September 2001