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ANGLO AMERICANMETALLURGICAL COALInvestor & Analyst Briefing14 June 2012

DISCLAIMERDisclaimer: This presentation has been prepared by Anglo American plc (“Anglo American”) and comprises the written materials/slides for a presentation concerning Anglo American. By attending thispresentation and/or reviewing the slides you agree to be bound by the following conditions.This presentation is for information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy shares in Anglo American. Further, it does not constitute a recommendation byAnglo American or any other party to sell or buy shares in Anglo American or any other securities. All written or oral forward-looking statements attributable to Anglo American or persons acting on their behalfare qualified in their entirety by these cautionary statements.Forward-Looking StatementsThis presentation includes forward-looking statements. All statements other than statements of historical facts included in this presentation, including, without limitation, those regarding Anglo American‟sfinancial position, business and acquisition strategy, plans and objectives of management for future operations (including development plans and objectives relating to Anglo American‟s products, productionforecasts and reserve and resource positions), are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actualresults, performance or achievements of Anglo American, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-lookingstatements.Such forward-looking statements are based on numerous assumptions regarding Anglo American‟s present and future business strategies and the environment in which Anglo American will operate in thefuture. 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As such it presents the views of those third parties, but may notnecessarily correspond to the views held by Anglo American.No Investment AdviceThis presentation has been prepared without reference to your particular investment objectives, financial situation, taxation position and particular needs. It is important that you view this presentation in itsentirety. If you are in any doubt in relation to these matters, you should consult your stockbroker, bank manager, solicitor, accountant, taxation adviser or other independent financial adviser (where applicable,as authorised under the Financial Services and Markets Act 2000 in the UK, or in South Africa, under the Financial Advisory and Intermediary Services Act 37 of 2002).Resources - Anglo American Share, Excludes CallideCoal Inventory: Occurrence of coal of economic interest which forms the physical envelope that encompasses a Coal Resource or Coal Reserve, or both, and includes Reconnaissance, Inferred, Indicated andMeasured Coal Resources, together with any associated Probable and Proven Coal Reserves.These data represent tonnage estimates compiled in accordance with the principles and guidelines of the JORC code or NI 43-101 by a Competent (Qualified) Person or Persons.Due to the uncertainty which may be attached to some Inferred Mineral Resources, it cannot be assumed, but normally would be expected, that a major part of an Inferred Coal Resource will be upgraded to anIndicated or Measured Coal Resource as a result of continued exploration.2

CONTENTS1. OUR BUSINESS2. MARKETING & OUTLOOK3. PEACE RIVER & ASSET OPTIMISATION4. DELIVERING HIGH VALUE GROWTH PROJECTS5. SUMMARY

KEY VALUE DRIVERS• World class assets in developed regions close to growth markets• High performing business– 60% productivity improvement– Real unit cost reduction– High margin assets• Hard Coking Coal our preferred growth product• Best project pipeline– Large Hard Coking Coal resources close to ports– Projects at advanced stage• Hard Coking Coal CAGR of 12% to 20204

OUR BUSINESS

ANGLO AMERICAN UNDERLYING EARNINGS BYBUSINESS UNIT 1OtherDiamondsPlatinum7%7%6%25%Iron Ore & ManganeseNickel 0%Copper26%14%Metallurgical Coal15%1Financial results 2011Thermal Coal6

A GLOBAL COAL BUSINESS FOCUSSING ON PREMIUMMETALLURGICAL COALScale2 nd largest Australian and 3 rdlargest global seabornemetallurgical coal producerEurope2 MtChina1 MtOperations• 6 in Australia• 1 in CanadaTotalProduction1 MtAmericas1 MtIndia3 MtAsia13 MtKey Partners• Japanese steel mills• Indian steel mills• Korean steel mills• Arcelor Mittal• China SteelProducts• 14 Mt metallurgical coal• 5 Mt export thermal40302010TotalProduction19 MtOur seaborne metallurgical coal position0BHP BillitonTeck *AngloAmericanRio TintoWalterSource: Annual Reports & Quarterly Results Excludes SSCC production. All figures are attributable production 2011.* Teck production data is shown in 100% termsXstrata7

Source: All production on 100% basis, 2011 actualOUR OPERATIONSCanadaAustralia23 45BritishColumbia176ProductionProductProductionProduct1 Trend mine 100% 1 Mt Premium hard coking coal234Moranbah North 88% 2.8 Mt Premium hard coking coalCapcoal 70% 7.2 Mt Premium hard coking PCI coalFoxleigh 70% 2.0 Mt Premium PCI coal5Jellinbah East &Lake Vermont 23.3%5.4 Mt2.4 MtPCI coal/Semi softHard coking coal6Dawson 51%5.4 Mt2.3 MtCoking coalPremium export thermal coal7Drayton 88% 4.5 Mt Export thermal coal8

CLEAR STRATEGY TO DELIVER VALUE FROM OUR WORLDCLASS ASSETSSafety, SustainableDevelopment &Community• Zero Harm• Environmental Best Practice• Carbon Reduction• Community PartnershipsIncrease Margins• Asset Optimisation• Streamlined Asset Portfolio• Marketing StrategyHigh Value GrowthProjects• Grosvenor• Moranbah South• Peace River Coal• Drayton South• DartbrookGlobal Growth• Mozambique• Mongolia• Indonesia9

A WORLD CLASS METALLURGICAL COAL BUSINESSProductivity (export mines)Metallurgical coal productionROM tonnes/FTE10,0007,5005,0002,500QLD rainimpactsMt1510502007 2008 2009 2010 2011FOB Cost (export mines excluding royalties)02007 2008 2009 2010 2011Operating profitAUD/t120Cost reductionfrom assetoptimisationQLD rainimpactsUS$m1,500100801,00060405002002007 2008 2009 2010 201102007 2008 2009 2010 2011Source: All figures on Anglo American equity basis.Metallurgical coal production excludes thermal coal.10

INDUSTRY WIDE CAPITAL AND OPERATING COSTPRESSURES REMAIN2011 vs. 2010 % cost increaseCosts and commodity prices indexed to 100ChileSouth AfricaAustralia160OilHot rolledsheet steelCopperpricePremium hardcoking coal price14012010027%26%15%32%25%22%0Q42010Q12011Q22011Q32011Q42011Q12012Capital intensity for Grosvenor project is attractive2,50016%2,0008%5%1,5001,000500ElectricityLabourDiesel0Grosvenorphase 1Bowen Basin1Bowen Basin2Bowen Basin311

PORTFOLIO STREAMLINED TO FOCUS ON HIGH MARGINPRODUCTDivestment programEBITDA margin by product• Dawson seam gas divested in 2010 for $38m• Bylong, Sutton Forest and Surat Basin assets divested in2010 for $580mUS$/tHard Coking Coal• Domestic thermal coal– Drayton 1 Mtpa domestic thermal now converted toexport thermal with coal plant upgrade in Q3 2011– Divestment of Callide expected to be completed Q32012 (7.5 Mtpa domestic thermal and 1 Mtpa exportthermal)PCIExportThermal• Portfolio management program completedDomesticThermal15 30Production (Mt)Source: 2010 Actual margins for Anglo American Metallurgical Coal products.12

LARGE TIER ONE HCC RESOURCES WITH EXCELLENT PORTACCESS IN AUSTRALIA AND CANADA• Metallurgical coal resource base predominantlypremium quality Hard Coking Coal• Hard Coking Coal located in two major hubs inQueensland and Peace River region in Canada• Moranbah and Peace River resourceconcentration provides significant developmentsynergy• Peace River is platform for growth in Canada• Pure thermal resources located in the HunterValley• All resources close to established towns andinfrastructure, Anglo American presence in allports with significant expansion opportunity3,0002,000ReserveMtResourceMtHard Coking Coal inventory by regionCoalInventoryMtMetallurgical 401 1,694 5,200HCC 310 1,512 4,500PCI 91 182 700ExportThermalMt102 1,282 5,3001,0000Moranbah NthMoranbah SthGrosvenorCapcoalFoxleighDawsonPeace RiverCanadaSource: All figures on Anglo American equity basis.13

HIGHEST GROWTH IN HARD COKING COALOur Hard Coking Coal growthCompetitor growth comparison (Hard Coking Coal)2010 - 2020Mt4012% CAGR302012%CAGR6% CAGR103% CAGR02010 2020 Anglo American BHP Billiton TeckSource: All figures on equity basis. Based on advanced stage projects only. Teck and BHP Billiton data from Investor presentations.14

MARKETING& OUTLOOK

STRONG DEMAND GROWTH FOR MET COAL DRIVEN BYCHINA AND INDIAGrowth markets• India‟s steel production growth is reliant on importedcoal due to poor quality domestic supply• China‟s reliance on seaborne coking coal imports willincrease due to government policy of industryconsolidation, construction of new large blastfurnaces requiring premium metallurgical coal anddepletion of domestic resources• Brazil and South East Asian economic developmentwill drive metallurgical coal demand. New steelcapacity is planned in Malaysia, Thailand, andVietnam - geographically close to Anglo AmericanoperationsTraditional markets25838261528365165CAGR+5%Global seaborne metallurgical coaldemand (Mtpa)3254238242963409775128308560 676972KoreaJapanBrazilEuropeOtherChinaIndiaDemand growth2010-2020271316263949• Japan, Korea, Taiwan and Europe will continue to bemajor consumers of Anglo American coals based onlong term stable relationships2010China2015Other*2020BrazilKoreaIndiaEuropeJapanSource: Wood Mackenzie - Coal Market Service - Metallurgical Trade.* Other includes Vietnam, Thailand, Malaysia, Taiwan, South Africa and Pakistan.16

INDIAN STEEL PRODUCTION WILL BE RELIANT ONSEABORNE IMPORTS - CAGR 9%• Anglo American first shipment in 1993. Long termpartnerships in public and private sectorsOur customers• Limited domestic metallurgical coal reserves withlittle growth potential– Deep, expensive, high ash and low yield mining• Premium quality Hard Coking Coal importsrequired for large scale integrated blast furnacesteel productionTata SteelJSPL• 2010 imports 36 million increasing to 85 milliontonnes by 2020– +90% of the demand will be Hard Coking CoalGujaratRajasthanUttar PradeshWest Bengal• Anglo American is well positioned to supply theseproducts– Strong demand for premium mid volatile HardCoking Coal e.g. Moranbah, Grosvenor andPeace RiverJSWMaharashtraGoaAndhraPradeshChhattisgarhOrissaBhushan SteelRINLUttam GalvaSAIL plantsSource: Anglo American Metallurgical Coal.17

CHINA IMPORTS FORECAST TO GROWSIGNIFICANTLY - CAGR 8%• The majority of steel production capacity growth isgeared towards large coastal millsMajor Chinese steel mills• Major steel companies are commissioning largecapacity blast furnace (+4,000m 3 ) requiring HardCoking Coal• Depletion of domestic quality Hard Coking Coalresources• 2010 imports 38 million increasing to 77 milliontonnes by 2020– + 90% of the demand will be Hard Coking Coal• Anglo American is well positioned to supply theseproducts– Strong demand for premium low volatile HardCoking Coal e.g. Capcoal, Moranbah SouthShanxiHenanShaanxiChongqingGuizhouAnSteel Bayuquan ProjectHebeiSteelCapitalSteel Caofeidian ProjectShandong SteelRizhao ProjectShaSteelBaoSteelWuhanSteel Fangcheng ProjectBaoSteel Zhenjiang ProjectDomestic HCCSeaborne HCC importersMajor coastal steel plant developmentsSource: Anglo American Metallurgical Coal.18

WE WILL SUPPLY OVER 30% OF BOTH THE AUSTRALIANAND CANADIAN* INCREASEExisting supply source• Australia: New port & rail infrastructure at Abbot Pointand Wiggins Island will facilitate the development ofnew metallurgical coal mines in the Bowen Basin– Grosvenor and Moranbah South projects critical forHard Coking Coal increase• USA export growth will be limited due to reservedepletion• Canada: Rail & port capacity expansions– Peace River projects critical for Hard Coking CoalincreaseNew supply• Mozambique: Greenfield coal basin in the Tete provinceforecast to export 20 Mtpa by 2020 but infrastructuresolution still not clear258414 528481592010CAGRGlobal seaborne metallurgical coalsupply (Mtpa)+5%325916817464718420154091320212248572292020RussiaIndonesiaUSAOtherAustraliaSupply growth2010-2020MozambiqueCanada881015202070MozambiqueIndonesiaOtherRussiaCanadaUSAAustralia* Based on 8 Mtpa equity production target for Peace River region by 2020.Source: Wood Mackenzie - Coal Market Service - Metallurgical Trade.Other includes Vietnam, Thailand, Malaysia, Taiwan, South Africa andPakistan .19

MARKETING STRATEGYProduct strategy• Focus on building our brand with new customers:transition Anglo American from a mid-tier Australianproducer to the leading, reliable global supplier ofpremium Hard Coking CoalPCI20%2011PCI16%202080%Coking Coal84%Coking CoalCustomer strategy• Comprehensive Market Development Plans for eachcustomer segment to capture market share in targetmarkets, for example22%2011 20200%5%25%• Establishing local presence through regional marketingoffices and/or distribution centers at new capesize disportin India• Investigate strategic alliances with major targetcustomers through technical co-operation, priceleadership, long term off take agreements8%1%12%57%Japan, Korea, TaiwanEurope33%20%BrazilChina10%7%IndiaOther20

MARKETING STRATEGYPricing strategy• Seaborne metallurgical coal market has moved from theyearly benchmark system• Anglo American has worked closely with customers tofacilitate the changes and has led quarterly benchmarknegotiations• We will take a collaborative approach with customers onany further changesIntegrated logistics management• Integrated Logistics Management Centre commissionedin February 2011Our contract portfolio2009 2010 20114%92%8%Spot6%9%85%QuarterlyBenchmarkIntegrated Logistics Management Centre96%AnnualBenchmark• Pacific National contract operating successfully for twoyears– Dedicated trains– Expanded contract (21 Mtpa) commences January2012• Fully integrated mine to port value optimisation:– Optimised value movement from pit to port andcustomer service levelsSource: All figures on Anglo American equity basis21

PEACE RIVER &ASSETOPTIMISATION

PEACE RIVER, CANADA• Open cut metallurgical coal mine producing 100%premium Hard Coking CoalSaleable production HCC (Mt)• Decision made to retain based on potential forsignificant growth from coal inventory of over1,400 Mt of Hard Coking Coal• Acquisition of 25% minority interest completedin September 2011 and now 100% Anglo Americanownership. Cost < US$2/t resource, significantlycheaper than competitor acquisitions• Premium quality Hard Coking Coal for exportto Japan, Brazil and Europe• Target production for total Peace River operations is4 Mtpa by 2016 and 8 Mtpa by 2020• Key operational data– Mining strip ratio 9:1– CHPP yield 74%– Key equipment includes 3 excavator fleets– Capacity to produce up to 1.5 Mtpa of Hard CokingCoal from existing Trend Mine and progressingRoman feasibility study to increase production to4 Mtpa by 201610.80.60.40.202008 2009 2010 2011US$/t resource12108642Metallurgical coal acquisitions0Source: Reserve number on 100% ROM basis.Production numbers on a 100% basis.23

DELIVERING VALUE FROM ASSET OPTIMISATION& SUPPLY CHAINMarketingContract renegotiationsBlending and value in use pricingRealised benefits 2008 - 201010%SupplyLogistics managementOperationsMarketing 40%50%OperationsMoranbah – Longwall cutting hours0.88 MtDawson – Coal loss reduced to 7%Capcoal – Longwall cutting hours & OpenCut excavator utilisation and rateMoranbah – Second longwall operatedCapcoal – Coal loss reduced to 7%Workforce Restructure - 28% reduction0.5 Mt0.5 Mt0.35 Mt0.3 MtSupplyExplosives contracts $24mHeavy Mining Equipment$22mMining Services $18mTyres $12mFuels & Lubes $9mSource: All figures on Anglo American equity basis.24

COST CURVE POSITION - OPENCUT BEST PRACTICEBusiness Plan targets Best Practice at Dawson & Peace River Coal operations• Evidence of best practice performance throughout thebusinessPeace River coal business plan• Best practice gap represents A$8/t ROM cost reduction• Business plans to close the gap (up to A$8/ROMt)between actual performance and best practice ratesFOB costsA$162 t• Improvements delivered through adherence toOperations Management System, in particular:– Dawson and Peace River Coal improvement plans– Equipment set up for optimal digging– Manning and required skills set• Dawson targets and performance– 10 Mt by 2014 (36% increase from 2011)– Move to terrace mining and revitalised mine plan– Demonstrated 7% performance improvement acrossall key equipment compared to 2011• Peace River Coal targets and performance– 1.5 Mtpa by 2014; 63% increase from 2011– Demonstrated capability to achieve 82% of bestpractice across all key equipment; 2011performance 42% of best practiceProduction936 kt2011 2012 2013 201425

ASSET OPTIMISATION – TARGET TO LIFT LONGWALLCUTTING HOURS TO 100 HOURS PER WEEKLongwall benchmarkingGrasstree cutting hours (H1 2011)Hours120Hours1201001008080Best WeeklyPerformance60604040MonthlyAverageCuttingHours20200AngloAmerican2007AngloAmerican2011AustralianBenchmarkUSBenchmark0Jan Feb Mar Apr May Jun2010 Top 3 US Mines : Mach #1 Mine – 121 hrs/wk Mountaineer II mine – 113 hrs/wk Powhatan - 112 hrs/wk26

LONGWALL100 PROJECT CONTRIBUTES TO NEAR TERMPRODUCTION INCREASEAsset Optimisation to 2015Asset Optimisation beyond 2015Mt504030• Longwall100 at MoranbahNorth and Grasstree• Peace River Trend Mine• Capcoal Open cut productivity• Dawson productivityRoman(Peace River)Grosvenor &Moranbah South• Longwall design for Grosvenor and MoranbahSouth Projects is „Longwall of the Future‟ whichbuilds in potential for cutting performance of 120hours and cutting rate capacity of 2,500 tonnes perhour• Production targets for Grosvenor and MoranbahSouth projects based on 100 hours and 2,200tonnes per hour cutting rate• Design developed by2010Asset OptimisationBase– Dedicated team of local and internationalexperts in longwall operations– Partnership with Joy Mining Machinery, theworlds largest global supplier of high capacitylongwall mining equipment02010 2015 2020Source: All figures on Anglo American equity basis.27

DELIVERING HIGHVALUE GROWTHPROJECTS

PLATFORMS ESTABLISHED TO DELIVER OUR GROWTHInfrastructure• Ongoing investigation of dedicated terminaldevelopment options at Abbot Point and DudgeonPoint• Consideration of other terminal capacity options,including Wiggins Island Stage 2• Pacific National dedicated trains• Port capacity for Peace River Roman Projectsecured at Ridley IslandMt5040Growth(Advanced stage projects only)Roman(Peace River)Partnerships• Offtake agreements with key customers innegotiation• Joy partnership to deliver „Longwallof the Future‟ for all longwall projectsCommunity• Moranbah 2020 fund underpins our developmentin the Moranbah regionPeople• Program in place to build local skills and attractoverseas skills to both deliver and operate newassets3020100All HardCoking CoalGrosvenor &Moranbah SouthAsset OptimisationBase2010 2015 2020Source: All figures on Anglo American equity basis.29

CAPTURING SYNERGIES FROM CONTINUOUS PROJECTPIPELINE IN AUSTRALIA AND CANADAExample from Australian Longwall Projects (a similar model for the development of multiple open cut hubs inCanada is under design)Project deliveryobjectivesPlanned growth profilerequires a project that:• Achieves lowercapital costs• Provides greaterschedulepredictability• Reduces risk• EnhancesMetallurgical Coal‟spublic profile andcorporate reputation• Enhances Safety,Health, Environment& CommunityoutcomesOur approach Target outcomes Benefits1. One standard Longwall &CHPP design2. Metallurgical Coalcollaboration with JoyMining Machinery & Hatch3. Standard organisationstructures & integratedresourcing4. Integrated communityengagement andmanagement (Moranbah2020)5. Dedicated port terminal of30 MtProgress to Date:• Project Manager and Optimisation Team appointed• Implementation Plan completed• Partner of Choice – OEM & EPCM (Hatch, ABB & Joy)• Early contribution to design with a safety focusProgressive engineering &management efficiencies &cost reductionsReduced deliverylead timesDiversity of supply, cost andschedule reductionsConstruction safety andproductivity gainsImproved production ramp-upand operabilityTeam continuity andperformance120%100%80%60%40%20%0%120%100%80%60%40%20%0%115%110%105%100%95%90%Cost Performance1 2 3 4 5 6Start-up Time1 2 3 4 5 6Operability1 2 3 4 5 630

ADVANCED PROJECTS HEAVILY WEIGHTED TOWARDSHARD COKING COALMarginsProject Stage Product TypeMetallurgical CoalRoman Feasibility HCCGrosvenor Stage 1 Feasibility HCCMtpa3020100HCC PCI Export ThermalGrowth 2010 - 2020HCC PCI Export ThermalGrosvenor Stage 2 Prefeasibility HCCMoranbah South Prefeasibility HCCExport ThermalDrayton South Feasibility Export ThermalDartbrookPrefeasibilityPCI & ExportThermalSource: All figures on Anglo American equity basis, based on long term pricing.31

EXPLORATION IS FOCUSED ON PREMIUM HARD COKINGCOAL TARGETSAustralia• Significant exploration investment to firm up quality resourcebase in all regions >$100m pa• Priority targets are the Grosvenor and Moranbah Southresources• Life of mine extensions at Moranbah North, Capcoal andFoxleigh• Hunter Valley targets at Drayton South and DartbrookCanada• Regional exploration programme commencedwith total spend of $20m pa• Priority targets are– Roman– Belcourt Saxon JV (50%), significant under exploredresourceBrisbaneSydneyMORANBAH$40 millionCAPCOAL/FOXLEIGH$46 millionDAWSON$20 millionHUNTER VALLEY$9 millionNew supplier regions• Mozambique, Mongolia and Indonesia preferred• Country office opened in Mozambique; assessment ofopportunities ongoing• Exploration offices opening in the near future in Mongoliaand Indonesia32

A SUBSTANTIAL AND ACTIVE RESOURCE DEVELOPMENTPIPELINE PREDOMINATELY IN HARD COKING COALProject Stage Mining Product Type LocationGrowth/SustainingMetallurgical CoalAquila Concept Longwall HCC Capcoal/Foxleigh SustainingMoranbah North LW2 Concept Longwall HCC Moranbah GrowthBelcourt Saxon Exploration Open Cut HCC Peace River GrowthHorizonExplorationOpen Cut &UndergroundHCC Peace River GrowthRolfe Creek Exploration Underground HCC Capcoal/Foxleigh SustainingCapcoal NorthernLeasesCapcoal EasternExtensionExplorationOpen Cut &UndergroundHCC Capcoal/Foxleigh SustainingExploration Underground HCC Capcoal/Foxleigh SustainingDawson Far North Exploration Open Cut HCC Dawson SustainingExport Thermal CoalTheodore South Desktop Open Cut Export Thermal Dawson GrowthSource: Excludes Feasibility and Pre-Feasibility stage projects.33

GROSVENOR PROJECT - 100% OWNED IN THE MORANBAHAREA PRODUCING 12 MTPA FROM TWO LONGWALLSStage 1 Stage 2Mining Longwall LongwallProductSaleableProductionPremium HardCoking Coal5 Mtpa (increasingto 6 Mtpa)Premium HardCoking Coal6 MtpaDevelopment Coal 2013 2015LongwallCommissioning2016 2017InfrastructureCost CurvePositionUtilises synergywith MoranbahNorth CHPP andtrain loadoutBottom halfNew CHPPmoduleBottom halfLife of Mine 26 yrs 25 yrsSource: All figures on a 100% basis.34

MORANBAH SOUTH PROJECT - 50% JOINT VENTURE WITHEXXAROMiningTwo LongwallsProductPremium Hard Coking CoalSaleable Production12 MtpaDevelopment Coal 2015 – 2017Longwall Commissioning 2017 – 2020InfrastructureGreenfields processing facilityCost Curve PositionBottom halfLife of Mine28 yrsSource: All figures on a 100% basis.35

DRAYTON SOUTH - PROJECT EXTENDS LIFE OF DRAYTONOPERATION BY 26 YEARSMiningOpen Cut – Truck/ExcavatorProductExport Thermal CoalSaleable Production4 MtpaPre-strip 2013Open Cut Commissioning 2015InfrastructureUtilises existing DraytonCHPP and loadout facilitiesCost Curve PositionBottom halfLife of Mine26 yrsSource: All figures on a 100% basis.36

DARTBROOK - OPEN CUT MINE USING EXISTING COALPLANT AND RAIL INFRASTRUCTUREMiningOpen Cut Truck/ExcavatorProductPCI (35%) and ExportThermal Coal (65%)Saleable Production5 MtpaPre-strip 2015Open Cut Commissioning 2017InfrastructureUtilises existing DartbrookCHPP and loadout facilitiesCost Curve PositionBottom halfLife of Mine25 yrsSource: All figures on a 100% basis.37

ROMAN - 100% OWNED AND EXPANDS EXISTING TRENDOPERATION AT PEACE RIVERMiningOpen Cut Truck/ExcavatorProductPremium Hard Coking CoalSaleable Production3 Mtpa (target production fortotal Peace River region is 8Mtpa by 2020)Pre-strip 2014Open Cut Commissioning 2015InfrastructureExpands existing Peace RiverCHPP port capacity securedCost Curve PositionBottom halfLife of Mine15 yrsSource: All figures on a 100% basis.38

SUMMARY

SUMMARY• World class assets in developed regions close to growth markets• High performing business– 60% productivity improvement– Real unit cost reductionEurope2 MtChina1 Mt– High margin assets• Hard Coking Coal our preferred growth product• Best project pipeline– Large Hard Coking Coal resources close to ports– Projects at advanced stage• Hard Coking Coal CAGR of 12% to 2020TotalProduction1 MtIndia3 MtTotalProduction29 MtAsia16 MtAustralia8 Mt40

SUMMARY• World class assets in developed regions close to growth markets• High performing business– 60% productivity improvementROM tonnes/FTE10,000Productivity (export mines)– Real unit cost reduction– High margin assets• Hard Coking Coal our preferred growth product• Best project pipeline– Large Hard Coking Coal resources close to ports– Projects at advanced stage• Hard Coking Coal CAGR of 12% to 20207,5005,0002,50002007 2008 2009 2010 2011FOB cost (export mines excluding royalties)AUD/t120100806040200Cost reductionfrom assetoptimisationQLD rainimpacts2007 2008 2009 2010 201141

SUMMARY• World class assets in developed regions close to growth markets• High performing business– 60% productivity improvement– Real unit cost reductionSeaborne metallurgical coal demand growth2010-2020– High margin assets• Hard Coking Coal our preferred growth product• Best project pipeline– Large Hard Coking Coal resources close to portsKoreaJapanBrazilEurope27131690% Hard CokingCoal– Projects at advanced stage• Hard Coking Coal CAGR of 12% to 2020OtherChinaIndia26394942

SUMMARY• World class assets in developed regions close to growth markets• High performing business– 60% productivity improvementMt50Metallurgical Coal Growth(Advanced stage projects only)– Real unit cost reduction– High margin assets40Roman(Peace River)• Hard Coking Coal our preferred growth product• Best project pipeline30All HardCoking CoalGrosvenor &Moranbah South– Large Hard Coking Coal resources close to ports– Projects at advanced stage20Asset Optimisation• Hard Coking Coal CAGR of 12% to 202010Base02010 2015 202043

SUMMARY• World class assets in developed regions close to growth markets• High performing business– 60% productivity improvementCompetitor growth comparison (Hard Coking Coal)2010 - 2020– Real unit cost reduction– High margin assets12% CAGR• Hard Coking Coal our preferred growth product• Best project pipeline– Large Hard Coking Coal resources close to ports6% CAGR– Projects at advanced stage3% CAGR• Hard Coking Coal CAGR of 12% to 2020Anglo American BHP Billiton Teck44

SUMMARY• World class assets in developed regions close to growth markets• High performing business– 60% productivity improvement– Real unit cost reduction– High margin assets• Hard Coking Coal our preferred growth product• Best project pipeline– Large Hard Coking Coal resources close to ports– Projects at advanced stage• Hard Coking Coal CAGR of 12% to 202045

APPENDIX

STRATEGY IMPLEMENTATION: IN THE LAST TWELVEMONTHS WE HAVE...SafetyZero HarmDeveloped 3 Year Safety Improvement Plan and initiated Zero Harm Longwall of the Future ProjectIncrease MarginsAO/Supply ChainLongwall100MarketingPortfolio ManagementDelivered a 26% increase in Asset Optimisation/Supply Chain benefits ($0.7bn) from 2010 and total of $1.8bn since2008Recruited key personnel from best practice longwall operationsDeveloped Longwall100 plan and built targets into Business Plans and growth projectsEstablished preferred partnership with key supplierLeadership in quarterly pricing negotiations across all quartersProgressed divestment of Callide domestic thermal operationGrowthAdvanced Projects -AustraliaCanadaAdvanced Projects -CanadaInfrastructureExplorationMozambique &MongoliaGrosvenor 1 ApprovedProgressed Grosvenor 2, Moranbah South & Dartbrook to PrefeasibilityProgressed Drayton South to FeasibilityAcquired Peace River Coal minority parties and Watermark leases for $0.70/t significantly below industry multipleaverage.Integrated Canadian Peace River Coal operation and completed resource development plan for the regionSecured option to develop a dedicated 30 Mtpa coal terminal at Abbot Point in QueenslandDeveloped a plan to assess emerging coal regionsOffice opened in Mozambique; Mongolia office set to open in H2 201247

CARBON MANAGEMENT - MINIMISING THE IMPACT ON THEENVIRONMENT AND OUR BUSINESSCarbon reductionCarbon emissions (Mtpa)• Mitigation and initiatives identified to achieve a 40% reduction inemissions– Improved drainage and capture pre & post mining– Improved flare capacity– Expansion of German Creek Power Station +13MW• Ventilation Air Methane mitigation technology e.g. thermal or catalyticoxidation - safety concerns with current high temperature mitigationtechnology being investigated. Industry working group to develop„safety case‟• Expansion projects include current best practice methane captureprojects14121086420Business asusual40% reductionwith mitigationand plannedinitiatives201220152020Cost of carbon (Australia)Emissions sources• Direct costs of carbon units to cover fugitive emissions & indirectcosts will be passed through by increased electricity prices andreduction in fuel tax credit for diesel• Value of project pipeline potentially reduced by 24 – 32% over the lifeof these projects• Continue Government and stakeholder engagement to maximiseassistance package• Explore opportunities to create/purchase:– Domestic offset credits i.e. Carbon Farming Initiatives– Kyoto compliant international units (e.g. Certified EmissionReductions) created by Anglo American globallyOpen Cut Fugitives10%67%Electricity12%Diesel11%Underground Fugitives48

TRADITIONAL COUNTRY RELATIVITIES ARE CHANGING DUETO AUSTRALIA’S RISING COST PRESSURES• Canada becoming more cost competitive given structuralchanges in Australian domestic costs• Cost increases in Australia due to:– Currency: Both local currencies strengthening against USdollar Australia 5% CAGR ($26/t) and Canada 2% ($7/t)CAGR– Royalties: Higher royalty regime in Queensland averaging~9% of FOB price. No state based royalty in British Columbia(but have resource rent tax post recouping capital)– Labour & Material Costs:• Mining salaries and materials in Australia have increased4% since 2008. Canadian mining costs

PROJECT DELIVERY – PROVIDING LEADERSHIP ANDSTRUCTURE TO DELIVER GROWTH AND OPERATIONALEXCELLENCEOrganisational designWorkforce growth (FTE)• Ensuring the right structures and leadership are in place to manage thebusiness effectively as it grows in size, complexity and with extendedgeographical boundaries• Initiatives include:– Underground Leadership: targeted external recruitment in progress andin-house leadership development– Expansion Projects Leadership: 3 senior Project Directors internallyappointed n 2012– Recruit and redeploy leaders with experience in emerging growth regions.– Structure Canada as separate operating unit post 2013Growing the workforce8,0007,0006,0005,000Canada - RomanAustralia – UndergroundProjects+50%• Workforce to grow by 50% from 2012-2020, with critical capabilities requiredin underground mining• Initiatives to support growth include:– Project resourcing plan and schedule based on installing key roles aheadof ramp-up, flexible sourcing policies, and identified partnershipopportunities– Use of existing underground operations to onboard new personnel– Targeted recruitment of overseas longwall skills based on productivitybenchmarking– Implement gender diversity improvement plans– Recruitment of cleanskins with dedicated training centre for undergroundskills in Moranbah region4,0003,0002012Business As Usual2015202050

INFRASTRUCTURE STRATEGY WILL PROVIDE PORTAND RAIL CAPACITY TO SUPPORT OUR GROWTH• Strategy to secure dedicated port and rail capacity inQueensland to provide certainty of delivery of HardCoking Coal resource to market– Port capacity secured for growth to 2023 at DalrympleBay and 2039 at Gladstone– Confirmed participant in Abbot Point process– Engagement with two potential port developers atDudgeon Point– Evaluation of other port capacity options, includingWiggins Island and capacity transfers– Ongoing engagement with QR National and otherprospective rail infrastructure developers• Port optionality with three interchangeable locations,including existing capacity at Dalrymple Bay andGladstone• High level of confidence around port and rail capacitythrough various arrangements during mine and portprojects ramp up• Experienced infrastructure management team in placewith technical support provided by global alliance partner,Hatch EngineeringMt6050403020100Moranbah NthGrosvenorMoranbah SthAbbot PointFoxleighCapcoalNorthern Bowen Basin exports2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 202051Source: All figures on a 100% basis.Dalrymple BayCallideDawsonWiggins IslandGladstoneAbbot Point &Wiggins IslandStage 2Dalrymple Bayand Gladstone

DAWSONLarge open cut metallurgical and export thermal mine• 51% ownership in joint venture with Mitsui• Estimated coal inventory of 2,700 Mt with reserves of174 Mt• Key operational data– Producing 7 Mtpa of coking and export-qualitythermal coal, increasing to 10 Mtpa as we movefrom dragline strip mining to more efficient terracemining in main central pit– Key equipment includes three draglines, two ropeshovels and six excavator fleets– Mining strip ratio 9:1– CHPP yield 75%– Life of mine of more than 30 yearsSaleable Production (Mt)10864202007 2008 2009 2010 2011Source: Production numbers on a 100% basisExportThermalHCCSource: Reserve number on 100% ROM basis.52

FOXLEIGHOpen cut metallurgical mine producing 100% premium PCI coal• 70% ownership with Posco and Nippon Steel• Estimated coal inventory of 242 Mt• Key operational data– Best practice for 500 tonne class excavators (RH 340)at 12.5 Mbcm per annum– Foxleigh produces high quality PCI coal– Key equipment includes 5 excavator fleets– Mining strip ratio 10:1– CHPP yield 78%– Foxleigh Plains will extend the life of mineby 15 years– Mine increasing to 3.2 Mtpa in line with CHPP upgradeSaleable production PCI (Mt)32102008 2009 2010 2011Source: Production numbers on a 100% basisSource: Reserve number on 100% ROM basis.53

DRAYTONOpen-cut thermal coal mine in New South Wales Hunter Valley• 88% ownership with Mitsui, NCEA, Hyundai& DaesungSaleable production thermal (Mt)• Following a $47m CHPP upgrade completed in Q3 2011,now 100% export thermal coal operation• Key operational data– Best practice for Hitachi 500 tonne class excavators at11 Mbcm per annum– Production approximately 4.5 Mtpa– Product exported through Newcastle Port– Key equipment includes one dragline, and 4 excavatorfleets– Mining strip ratio 7:1– CHPP yield 85%– Life of mine will be seamlessly extended by 26 yearsthrough the development of the Drayton Southresource from 2015, utilising current infrastructure andequipment5432102007 2008 2009 2010 2011Source: Production numbers on a 100% basisDomesticExportSource: Reserve number on 100% ROM basis.54

CAPCOALCombined open cut and underground operation producing 11 Mtpa of Hard Coking Coal and PCIfrom 2014• 70% ownership in joint venture with Mitsui• Estimated coal inventory of 1,500 Mt with reserves of217 Mt• Life of mine of more than 25 years• Product exported through Dalrymple Bayand Gladstone Ports gives flexibility• Key open cut operational data– Transferred large electric shovel from low margindomestic mine to high margin metallurgical mine in2011– Mining strip ratio 9:1– CHPP yield 71%– Key equipment includes 2 draglines, 1 rope shovel,five excavators fleets• Key underground operational data– Utilising the same CHPP as open cut– Underground operations include Grasstree longwalland Aquila bord and pillar operation– Aquila will convert to a longwall operationby 2016 producing Hard Coking CoalSaleable production (Mt)Mt10864202007 2008 2009 2010 2011Source: Production numbers on a 100% basisThermalPCIHCCSource: Reserve number on 100% ROM basis.55

MORANBAH NORTHUnderground longwall producing 100% premium Hard Coking Coal• 88% ownership with Mitsui, Nippon Steel, JFE,Shinsho & NS Resources• Estimated coal inventory of 960 Mt with reserves of130 Mt• Key operational data– Currently produces 4 to 5 Mtpa– Potential to operate two longwalls with futureexpansion plans– Produces high fluidity, Hard Coking Coal mainly forexport to steel manufacturers in Japan, Korea,Taiwan, India, Brazil and Europe– $200m powered roof support project delivered in2009 to increase the mine‟s productivity at depths– Life of mine of 17 yearsSaleable production HCC (Mt)5432102007 2008 2009 2010 2011Source: Production numbers on a 100% basisSource: Reserve number on 100% ROM basis.56