Cautionary announcement

Rio Tinto PLC
18 January 2006


Palabora Mining Company (Rio Tinto 47.2 per cent) issued the following statement
in Johannesburg today.


Cautionary announcement

In accordance with the JSE Listings requirements shareholders and debenture
holders are advised that the progressive cave induced surface subsidence has
introduced a considerable amount of waste material into the bottom of the open
pit. This waste material has in all likelihood now sterilised some ore reserves
located in the side walls of the open pit which were scheduled to be extracted
during the latter stages of the mine life.

This is not expected to impact mine production in the near term but may reduce
the overall life of the mine in the longer term when lower grade material was
scheduled to be extracted. Shareholders and debenture holders are accordingly
advised to exercise caution when dealing in the company's securities until a
further announcement is made.


For further information, please contact:

LONDON                                           AUSTRALIA

Media Relations                                  Media Relations
Maria Darby Walker                               Ian Head
Office:  [phone]                    Office:  [phone]
Mobile: [phone]                     Mobile: [phone]

Investor Relations                               Investor Relations
Nigel Jones                                      Dave Skinner
Office: [phone]                     Office:  [phone]
Mobile: [phone]                     Mobile: [phone]

David Ovington                                   Susie Creswell
Office:  [phone]                    Office:  [phone]
Mobile: [phone]                     Mobile: [phone]

Website: www.riotinto.com


                      This information is provided by RNS
            The company news service from the London Stock Exchange