Rio Tinto Ltd Year2000 Report

RIO TINTO PLC
13 September 1999

Rio Tinto plc announces that Rio Tinto Limited has released the
attached notification to the Australian Stock Exchange.

For further information, please contact:

Media Relations                    Investor Relations
Alexis Fernandez                   Peter Jarvis
+ 44 207 753 2305                  + 44 207 753 2401


                         Rio Tinto Limited
           Year 2000 Compliance Report - September 1999

'Has  your company's assessment of its potential exposure  to  the
Year  2000  problem changed materially from what  the  market  has
previously  been  told?  If it has, your response should  describe
the change.'

No.

'Has  your  company initiated any material action to  address  the
Year 2000 problem beyond actions previously disclose to the market
or  does it propose to initiate any such action?  If is has,  your
response should describe the action.'

No.

Rio  Tinto's activities and progress relating to Year 2000 are set
out below.


Strategy

The  Rio  Tinto Group has been pursuing a strategy since  1996  to
ensure   that  all  significant  computer  systems  and   computer
controlled  plant and equipment across all Group  sites,  will  be
Year 2000 compliant.  The key objective is to ensure 'business  as
usual'  before, during and after 31 December 1999, including  leap
years.   The  Group's  strategy is focused on  those  systems  and
operating  plant and equipment that are critical to the continuity
of its business, the health and safety of employees and protection
of the environment. The Group is also concerned to ensure that its
key business partners are prepared for the Year 2000.

In  June  1997,  the Rio Tinto Group established a  programme  for
addressing  Year  2000 compliance. Accountability  for  compliance
lies with line management while monitoring and review is conducted
at Group level.

The Group's Year 2000 programme comprises two elements.  The first
addresses the Group's internal systems and processes.  The  second
addresses external dependencies involving business partners.


Internal systems

The  following steps are intended to achieve the British Standards
Institution's Year 2000 compliance standard for critical  internal
applications:

preparation  of  an inventory of computer systems,  microprocessor
controlled  plant  and  equipment  and  PLC  (programmable   logic
control) operating equipment

identifying from the inventory of systems and operating equipment,
those  that  are  essential  to  the  safety  and  well-being   of
employees, protection of the environment and continuity  of  Group
businesses

testing  Year  2000 compliance of critical systems and  equipment,
including  simulated tests and written assurances  from  customers
and suppliers

taking  corrective action, where necessary, to  ensure  Year  2000
compliance

testing the corrective action

developing appropriate contingency plans, where necessary.


External dependencies

The  Group's  strategy  also includes  liaison  with  third  party
suppliers,  customers and business partners to  pursue  Year  2000
compliance through the business chain.  This includes companies in
which  the Group has a significant interest but which it does  not
control.  Rio Tinto cannot take responsibility for the actions  of
these  entities  or third party suppliers, customers  or  business
partners,  however,  it  continues to encourage  and  monitor  the
development  and  implementation of their  Year  2000  strategies.
Where  the  necessary  assurances cannot be  obtained  appropriate
contingency  plans  are being developed and will  continue  to  be
refined.


Information Technology (IT) systems

The Group relies on information technology (IT) systems for a wide
range of business applications as well as specialised applications
such  as  mine  planning  and ore reserve  modelling.   The  great
majority  of these systems have been purchased from major software
houses.   Rio  Tinto  does  not have  common  systems  across  its
operations  and  accordingly, the risk of  Year  2000  failure  is
diversified  amongst  a  range  of  systems  and  suppliers.   The
inventory,  rectification and testing  of  these  systems  is  now
substantially  complete.   This  has  involved,  in  a  number  of
instances, the accelerated replacement or upgrade of IT systems.


Non-IT systems

Rio  Tinto  is  heavily dependent on computerised process  control
systems  to manage and control its mining, smelting, refining  and
other processing activities.  Further, many items of machinery and
equipment   used  in  the  mining  industry  contain  date   aware
components  that potentially could be affected by  the  Year  2000
issue.  The inventory, rectification and testing of these items is
substantially complete.


Third parties

Rio  Tinto systems have a very low level of integration with third
party  systems.  However, the Group is reliant upon the  continued
operation  of  key  suppliers, customers, national  utilities  and
infrastructure.   These  risks  are  greatest  where  the  Group's
operations,  suppliers  or  customers are  located  in  developing
countries.  However,  only 15% of the Group's assets are in  these
countries, generating only 25% of the Group's sales revenue.  Each
of  the  Group's business units has been assessing the  Year  2000
preparations  of its key business partners.  These assessment  are
used  to determine the need for, and nature of, contingency  plans
in  the  event of Year 2000 failure.  This work with key  business
partners is on-going and will continue throughout the year.


Most likely worst case scenario

Due  to the inherent uncertainties associated with the Year  2000,
and in particular, the reliance on key suppliers and customers, it
is  difficult to predict the likely impact that the Year 2000 will
have.

In  particular  it  is  difficult to  assess  the  risk  posed  by
suppliers  of external infrastructure such as power and  water  in
that it is not feasible to obtain categoric assurance of Year 2000
readiness,  particularly as these utilities are in turn  dependent
on their own third party suppliers.

Each  business operates with a high degree of autonomy and because
of  the  Group's geographical, product and systems  diversity  the
likelihood of a material Year 2000 failure attributable  to  third
parties is considered to be low.


Rio  Tinto  is  of  the opinion that the most  likely  worst  case
scenario  will  be a series of widespread but minor and  unrelated
interruptions to materials and services provided by third parties.
These should be mitigated by the contingency plans that are put in
place  and  are  not  expected to have a material  impact  on  Rio
Tinto's results.


Contingency plans

Contingency plans for critical exposures in all business units are
substantially complete but will continue to be monitored,  refined
and  rehearsed during the remainder of the year. Contingency plans
will  vary  from business unit to business unit but will  include,
where  practicable, advanced delivery of product and  rescheduling
of  planned  shutdowns.  The Group routinely maintains  'insurance
spares'  of parts that are critical to ensuring the continuity  of
production.   In addition business units will build up  stocks  of
other   key  parts  and  consumables  as  a  contingency   against
interrupted supply lines.


Monitoring and review

Rio  Tinto  has  appointed an executive director  to  oversee  the
Group's  Year 2000 initiatives.  He is supported by a small  group
that visits and monitors the progress of individual business units
in all aspects of their Year 2000 programmes.

The Technology Group Chief Executive receives a monthly report  on
the Group's Year 2000 progress and keeps the Board informed.

Various   business  units  in  the  Group  have  engaged  external
consultants  to  review and comment on their Year 2000  processes.
The  Group also has a programme in place to assess in detail  Year
2000 progress at key business units using specialist IT staff  and
process control engineers from other business units in the Group.

To  date  the  Group has not identified any systems  or  equipment
under its control that cannot be rectified before the Year 2000.


Year 2000 costs

Capital  and revenue expenditure related to the Group's Year  2000
programme is being brought to account as and when incurred.  Since
inception of the Group's Year 2000 project some US$42m before  tax
has  been recognised in the accounts up to 30 June 1999, of  which
US$20m  relates to capital expenditure.  Total forecast costs  are
expected  to  be US$55m. These amounts are inclusive  of  internal
labour  and  overhead costs and will be met from normal  operating
budgets.   Future costs include retaining Year 2000  resources  to
monitor changes or developments, executing contingency plans and a
modest  amount for unforeseen issues.  No significant IT  projects
have  been  deferred  as  a  result  of  Year  2000  rectification
activity.