ANGLO AMERICAN PLC - Anglo American: further performance improvements and growth outlook

Anglo American: further performance improvements and growth outlook

Anglo American plc (the "Company")
Registered office: 20 Carlton House Terrace, London SW1Y 5AN
Registered number: 3564138 (incorporated in England and Wales)
Legal Entity Identifier: 549300S9XF92D1X8ME43
ISIN: GBOOB1XZS820
JSE Share Code: AGL
NSX Share Code: ANM

11 December 2018

Anglo American: further performance improvements and growth outlook

Anglo American plc ("Anglo American" or "the Group") is today hosting a briefing for investors
and analysts to provide an update on the Group's current and projected operational and financial
performance. The briefing will cover guidance for the next three financial years, including capital
expenditure, and an update on Anglo American's broad range of organic growth options, which
are subject to ongoing strict capital allocation discipline.

Mark Cutifani, Chief Executive of Anglo American, said: "We have completely transformed the
quality of our asset portfolio and our performance as a whole over the last five years. We have
created a highly competitive business, with Anglo American amongst the very best in the industry
in terms of margin. We see considerable further opportunity ahead and continue to target
$3-4 billion of incremental annual EBITDA by 2022. This will come from a combination of meeting
or surpassing industry best-practice equipment performance across our operations; volume
growth from existing and new operations, such as Quellaveco; and the deployment of our
FutureSmart Mining™ technologies and digitalisation. It is these technologies that will transform
how we mine, process and market our products, providing the next step change in our
performance.

"We have continued to improve our performance during 2018. We now expect production to be
2% above previous guidance and costs 5% below. We are also confident about the outlook, with
production expected to increase by 3% in 2019, with cost inflation fully absorbed by our
productivity and cost improvements. We expect a further 5% production increase in both 2020
and 2021. In the last three years, we have reduced net debt by more than $9 billion and paid
almost $2 billion in dividends to our shareholders in the last 18 months. We are now well
positioned to drive enhanced returns through our capital allocation options, maintaining a strong
balance sheet while delivering attractive shareholder returns and value-adding disciplined growth.

"Anglo American's portfolio spans the products and product qualities that will supply the needs
of a cleaner, more electrified and richer world. We have a well sequenced range of high returning,
quick payback growth options, from life extensions in diamonds and metallurgical coal, to growth
across our copper, diamonds and met coal businesses in particular. Combined with our multi-
stakeholder focus to create a truly sustainable business, we believe we are set to keep delivering
on all fronts."

The presentation which contains the details relating to the information referred to above is
available on the Anglo American website at: www.angloamerican.com/investors/investor-
presentations/2018

Anglo American plc
20 Carlton House Terrace London SW1Y 5AN United Kingdom
Registered office as above. Incorporated in England and Wales under the Companies Act 1985.
Registered Number: 3564138 Legal Entity Identifier: 549300S9XF92D1X8ME43
For further information, please contact:

Media                                                  Investors
UK                                                     UK
James Wyatt-Tilby                                      Paul Galloway
james.wyatt-tilby@angloamerican.com                    paul.galloway@angloamerican.com
Tel: +44 (0)20 7968 8759                               Tel: +44 (0)20 7968 8718

Marcelo Esquivel                                       Robert Greenberg
marcelo.esquivel@angloamerican.com                     robert.greenberg@angloamerican.com
Tel: +44 (0)20 7968 8891                               Tel: +44 (0)20 7968 2124

South Africa                                           Sheena Jethwa
Pranill Ramchander                                     sheena.jethwa@angloamerican.com
pranill.ramchander@angloamerican.com                   Tel: +44 (0)20 7968 8680
Tel: +27 (0)11 638 2592

Ann Farndell
ann.farndell@angloamerican.com
Tel: +27 (0)11 638 2786

Notes to editors:
Anglo American is a global diversified mining business and our products are the essential
ingredients in almost every aspect of modern life. Our portfolio of world-class competitive mining
operations and undeveloped resources provides the metals and minerals to meet the growing
consumer-driven demands of the world's developed and maturing economies. With our people
at the heart of our business, we use innovative practices and the latest technologies to discover
new resources and mine, process, move and market our products to our customers around the
world.

As a responsible miner – of diamonds (through De Beers), copper, platinum and other precious
metals, iron ore, coal and nickel – we are the custodians of what are precious natural resources.
We work together with our key partners and stakeholders to unlock the sustainable value that
those resources represent for our shareholders, the communities and countries in which we
operate and for society at large. Anglo American is re-imagining mining to improve people’s lives.
www.angloamerican.com

Legal Entity Identifier: 549300S9XF92D1X8ME43

Forward-looking statements

This announcement includes forward-looking statements. All statements other than statements
of historical facts included in this announcement, including, without limitation, those regarding
Anglo American's financial position, business, acquisition and divestment strategy, dividend
policy, plans and objectives of management for future operations (including development plans
and objectives relating to Anglo American's products, production forecasts and reserves and
resources positions), are forward-looking statements. By their nature, such forward-looking
statements involve known and unknown risks, uncertainties and other factors which may cause
the actual results, 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-looking statements.

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 the future. Important factors that could cause Anglo American's actual results,
performance or achievements to differ materially from those in the forward-looking statements
include, among others, levels of actual production during any period, levels of global demand and
commodity market prices, mineral resource exploration and development capabilities, recovery
rates and other operational capabilities, the availability of mining and processing equipment, the
ability to produce and transport products profitably, the availability of transportation infrastructure,
the impact of foreign currency exchange rates on market prices and operating costs, the
availability of sufficient credit, the effects of inflation, political uncertainty and economic conditions
in relevant areas of the world, the actions of competitors, activities by governmental authorities
such as permitting and changes in taxation or safety, health, environmental or other types of
regulation in the countries where Anglo American operates, conflicts over land and resource
ownership rights and such other risk factors identified in Anglo American's most recent Annual
Report. Forward-looking statements should, therefore, be construed in light of such risk factors
and undue reliance should not be placed on forward-looking statements. These forward-looking
statements speak only as of the date of this announcement. Anglo American expressly disclaims
any obligation or undertaking (except as required by applicable law, the City Code on Takeovers
and Mergers (the "Takeover Code"), the UK Listing Rules, the Disclosure and Transparency
Rules of the Financial Conduct Authority, the Listings Requirements of the securities exchange
of the JSE Limited in South Africa, the SIX Swiss Exchange, the Botswana Stock Exchange and
the Namibian Stock Exchange and any other applicable regulations) to release publicly any
updates or revisions to any forward-looking statement contained herein to reflect any change in
Anglo American's expectations with regard thereto or any change in events, conditions or
circumstances on which any such statement is based.

The Company has a primary listing on the Main Market of the London Stock Exchange and
secondary listings on the Johannesburg Stock Exchange, the Botswana Stock Exchange, the
Namibia Stock Exchange and the SIX Swiss Exchange.

Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Date: 11/12/2018 01:30:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.