Presentation to Portfolio Committee on Public Enterprises

1. Presentation to Portfolio Committee on Public Enterprises Norman Mbazima- CEO Anglo American Thermal Coal Cape Town 28th January 2010

2. Discussion points Coal supply and security of supply Current stock levels Quality of coal Other matters

3. 59.9 Export/Domestic Goedehoop Domestic (2010) Greenside New Vaal ~4,870 kc/kg2 Sasol Kriel ~6,610 kc/kg3 Other New Denmark Kleinkopje Landau Isibonelo ~6,550 kc/kg4 Export Zondagsfontein Mafube Reliable long-term supplier for Eskom Our products Our approach Zimbabwe Namibia Mozambique AATC has long term relationships with customers Historical relationship with Eskom is the corner stone of SA coal business Botswana Swaziland AATC continues embedded and enduring partnership with Eskom Share of total Eskom burn tons ~28% • AATC consumes ~5% of electricity in SA Lesotho South Africa AATC domestic sales split Avg. CV (air dry) (2010E) AATC pursues further opportunities with Eskom and local customers depending on production availability AATC serves local pulp/paper, cement, and steel industry ~4,550 kc/kg1 Eskom 61% 61% Eskom 61% 59% Sasol 9% 9% 9% 9% Other inland 3% 2% 3% 4% Eskom relationship and volumes lay the foundation for Anglo's SA business 29% 28% 28% 27% Export 2007 2008 2009 8+4 2010 Plan Note: All data in this presentation is based on 8+4 budget figures 1. 19.1MJ/kg 2. 20.4 MJ/kg 3. 27.7 MJ/kg, incl. met coal 4. 27.4 MJ/kg. Approximate nar value (FOB): 5,980 kc/kg Source: AA; AATC; BCG analysis

4. We will meet our contractual obligations and work with Eskom to evaluate the potential for lifex beyond the current life of existing mines Security of Supply

5. Overview of mines

6. We are committed to meeting the Eskom tonnage requirement for 2010 and continue to seek opportunities to provide additional tonnes Coal Supply 2010

7. Eskom 2010 planned volumes covered by long-term and medium term contracts … Composition of 2010 Eskom volumes Description of categories • Demand covered via Coal supply agreement (CSA) • 20+ years for Cost+ • No short-term demand change • Annual volume budget agreement • 11% of volume sold to Eskom via medium term contracts Set for 2010 sales plan Medium-term demand volume depending on AATC price position Mine Volume in kt New Vaal 17,300 Cost+ mines New Denmark 4,810 Kriel 10,250 Goedehoop Kleinkopje 2,250 Fixed price mines Landau Mafube Zondagsfontein Total Eskom 30,618 5,932 36,550 0 20,000 40,000 Sales to Eskom for 2010 and beyond are contracted for

8. Stocks are in-line with the Eskom targeted levels for 2010 and we expect to maintain these levels throughout the year All mines are currently above Eskom’s system average of 36 days Stock Levels

9. We expect to meet our contractual obligations and through initiatives like the Optimal Coal Processing Initiative (OCPI) we are working with Eskom to improve power station performance Challenges: Geology Adverse weather conditions Coal Quality

10. Other matters • Discussing New Largo supply to Kusile power station • Future projects and Eskom demand • Lifex

11. Message • Eskom is our largest customer and a significant stakeholders • We are committed to ensuring security of supply for the country • We lead the Coal Working Group during Electricity Challenges in 2008, to ensure that stockpiles returned to comfortable levels and to identify logistical synergies key to improving other logistical challenges • Constructing new mines to meet Eskom’s new build programme • We are committed to meeting our contractual obligations in terms of quality and quantity • We continue to invest in and look for energy efficiency solutions at all our operations