Contractual Dispute

Rio Tinto PLC
18 May 2000

         Settlement of Contractual Dispute with Macquarie Generation          
 
 
Novacoal Australia Pty Ltd (a wholly owned subsidiary of Coal & Allied
Industries Limited) and Macquarie Generation have settled, on confidential
terms, their contractual dispute which was to have been heard in the New
South Wales Supreme Court on 15 May 2000. They look forward to an amicable
and mutually productive working relationship in the future.
 
 
For further information, please contact:
     
Media Relations                     Investor Relations 
 
Lisa Cullimore                      Peter Jarvis
+ 44 20 7753 2305                   + 44 20 7753 2401
 
Website: www.riotinto.com