Investment Programme

Anglo American PLC
7 September 2000


        ANGLO AMERICAN PLC INVESTS US$454 MILLION IN SKORPION ZINC MINE
                                  IN NAMIBIA

Anglo American plc ('AA plc'), today, announced a capital investment programme
of  US$454  million  (N$ 3.2 billion) to develop the Skorpion  zinc  mine  and
refinery near Rosh Pinah, in southern Namibia.

Skorpion will produce 150,000 tonnes per year of zinc over a mine life  of  at
least  15  years.  Construction on the Skorpion mine will commence immediately
and first production is planned in the second quarter of 2003.

Simon  Thompson, chief executive of Anglo American Base Metals' Zinc  Division
said:  'The Skorpion zinc project will be one of the lowest cost producers  of
zinc  in  the  world  and  will offer attractive returns  for  Anglo  American
shareholders. At full production the mine will contribute some 4% to Namibia's
GDP  and  will have a major impact to the development of the southern part  of
the country.'

The  Skorpion zinc deposit is located in south-west Namibia, approximately  85
km  north-east  of Oranjemund and 25 km north of Rosh Pinah. The  deposit  was
discovered by Anglo American geologists in 1976. Reunion Mining plc  earned  a
60%  interest by conducting a feasibility study on the project. In 1999  Anglo
American  acquired Reunion Mining plc for US$82 million to take 100% ownership
of the project.

The  deposit  contains  reserves of 21.4 Mt grading 10.6%  zinc,  mineable  by
conventional  open pit methods. The ore is unusual in that it consists  mainly
of  zinc  silicates  and zinc carbonates, rather than the  more  typical  zinc
sulphide.  Accordingly, a metallurgical process has been developed, consisting
of  direct  acid leach of the ore, solid liquid separation, solvent extraction
and  electro-winning to produce special high-grade zinc. The process has  been
confirmed  in  a  pilot  plant  programme  at  the  Anglo  American   Research
Laboratories in Johannesburg and at Tecnicas Reunidas in Spain.

Negotiations with Nampower, Namwater and Namport for the provision  of  power,
water  and  port  facilities at Luderitz have been concluded. In  consultation
with  Rosh Pinah, maximum use will be made of existing infrastructure  in  the
area.

The  refinery  has been granted Export Processing Zone status by the  Namibian
Government  and is, therefore, exempt from paying taxes. The mining operations
will pay normal mining taxes and royalties.

The  Skorpion  project is expected to create 2000 jobs during the construction
phase  and  550 during normal operations. An extensive manpower  training  and
development  programme will be undertaken and Anglo Base  Metals  has  already
commenced  a scholarship scheme to enable Namibian citizens to study  relevant
subjects at university.

The  Namibian Government has welcomed Anglo American's investment decision  to
develop  the  Skorpion  mine and refinery.  Namibia's Minister  of  Trade  and
Industry,  Hon.  Hidipo  Hamutenya,  says  the  project  represents  the  most
significant single investment in the Namibian economy since independence.

'The  Skorpion project, especially its refinery component, is the best example
of value addition to our natural resources and is in line with our EPZ (Export
Processing Zone) and overall industrialisation objectives. We are committed to
this  project  and  we  would like to see it come on  stream  as  speedily  as
possible,' he said.

Namibia's  Ministry of Mines and Energy has also expressed confidence  in  the
project, noting thus, 'The Skorpion project will constitute one of the biggest
investments  in the mining sector since independence. The project  enjoys  the
fullest  support from the Ministry of Mines and Energy, and we view it  as  of
utmost  importance  to  the  mining sector in  particular,  and  the  Namibian
economy, in general.'

As  Skorpion will be the first non-diamond mine in the Diamond Area No.1  (the
Sperrgebeit), particular attention has been paid to the environmental  aspects
of  the project. An extensive Environmental Impact Assessment has been carried
out  by  independent consultants in accordance with Namibian  and  World  Bank
standards.  The Skorpion mine is also funding a research programme in  Namibia
on the rehabilitation of mine sites in arid environments.

The  Skorpion  project is a further step in the development of AA  plc's  zinc
strategy, with the Group already producing 130,000 tonnes per annum of zinc at
Hudson  Bay Mining in Canada and at Black Mountain in South Africa. Production
at  the  62%  owned  Lisheen  mine in Ireland is building  up  towards  design
capacity of 150,000 tonnes per annum of zinc.

AA  plc  is  also  continuing its feasibility study  for  the  US$860  million
Gamsberg zinc mine project in South Africa, which could produce 300,000 tonnes
per  annum  of zinc metal. This project would also be a low cost producer  and
would  further enhance AA plc's presence as a major low cost producer of  zinc
in the world markets.


Note:  There  will be a teleconference regarding this announcement  in  London
today  at 16.00 (BST). The dial in numbers are as follows. Please quote 'Anglo
American'.
UK dial in: 020 8781 0577
International dial in: [phone]


For further information:

London:
Nick von Schirnding                Kate Aindow
Tel:   [phone]         Tel: [phone]

Johannesburg:
Anne Dunn                          Marion Dixon
Tel:   [phone]             Tel: [phone]